<p><a href="https://www.apartments.com.au/developers/venturecrowd-property-projects">VentureCrowd</a> is down to the final Canopy Villa release at Cumulus Grand Villas in Carrara, as construction continues on the 59-residence gated community positioned above 100 hectares of natural savanna on the Gold Coast.</p>

<p>The remaining Canopy Villa forms part of one of four collections within the <a href="https://www.apartments.com.au/architects/bda-architecture">BDA Architecture</a>-designed community and has attracted interest from buyers seeking larger-format homes that combine privacy, security and low-maintenance living. Positioned within a private cul-de-sac and facing a protected black she oak forest, the four-bedroom villa includes a large private outdoor area suited to pet owners and families wanting more flexible space.</p>

<p><a href="https://www.apartments.com.au/new-townhouses/cumulus-grand-villas-carrara-17-baltimore-court-carrara-qld-4211">Cumulus Grand Villas</a>, located at 17 Baltimore Court, comprises a mix of three and four-bedroom villas across the Skyline, Canopy, Savanna and Broadview collections. Prices currently range from $1.455 million to $1.895 million, with the final Canopy Villa priced from $1.825 million.</p>

<p>[smartcode_project:default project_id=135663 project_image_fid=360477]</p>

<p>The Canopy Collection villas offer four bedrooms, 2.5 bathrooms and approximately 245 sqm of internal space, alongside double garages and landscaped private areas. Expansive glazing, open-plan living spaces and private balconies have been designed to maximise natural light and outlooks toward the surrounding savanna landscape.</p>

<p>Construction is now underway across the fully funded development, which VentureCrowd says has become an increasingly important consideration for buyers assessing off-the-plan opportunities on the Gold Coast. The project is being delivered by <a href="https://www.apartments.com.au/builders/devcon">Devcon Property Group</a>, which has operated in South East Queensland since 1993 and delivered more than 1,000 homes across the region.</p>

<p>VentureCrowd Director of Property David Whitting previously said the project responds to changing buyer priorities in the prestige Gold Coast market.</p>

<p>“Flexible floorplans have proven particularly relevant for purchasers aged between 40 and 65, including next home buyers, downsizers and investors,” Whitting said.</p>

<p>[smartcode_project:default project_id=135663 project_image_fid=360505]</p>

<p>The buyer profile at Cumulus has reflected that shift toward owner-occupier-driven demand. Stuart Towns and Tracey Loynes recently purchased a Canopy Villa, drawn to both the lifestyle offering and the flexibility the home provided for their next stage of living together.</p>

<p>The couple, who met three years ago, sold their Robina home earlier this year after identifying what they saw as strong long-term investment potential at Cumulus while remaining within the same Gold Coast market. The villa’s private backyard was a major drawcard for their dog Luna, while proximity to golf courses including Emerald Lakes also aligned with their lifestyle interests.</p>

<p>Beyond the residences themselves, the community has been planned around shared lifestyle and recreation amenities. The Infinity Terrace will include a 20-metre heated pool, barbecue facilities, alfresco dining spaces and elevated retreat areas overlooking the surrounding landscape. Walking trails, a private nature reserve, orchard and herb garden are also integrated into the masterplan.</p>

<p>[smartcode_project:default project_id=135663 project_image_fid=360473]</p>

<p>BDA Architecture Director Darren Greenaway said the design approach was heavily influenced by the site’s outlook and secluded setting.</p>

<p>The practice sought to create what Greenaway described as a “little piece of paradise,” drawing inspiration from the elevated views, surrounding greenery and quiet location.</p>

<p><a href="https://www.apartments.com.au/developments/carrara-qld-4211">Carrara</a> continues to attract buyers seeking larger homes within proximity to the coast but without direct beachfront pricing. Cumulus sits within easy reach of Broadbeach, Pacific Fair, Robina Town Centre and the M1, providing connections north to Brisbane and south toward the Gold Coast Airport and northern New South Wales.</p>

<p>The first stage of Cumulus Grand Villas is targeting completion in 2026.</p>

<p>[smartcode_project_cta:default project_id=135663]</p>


Joel Robinson

VentureCrowd nears sell-out of Canopy Collection at Cumulus Grand Villas in Carrara

<p data-end="89" data-start="0">Waverley Council has made a call that many councils have been reluctant to make publicly. Growth is coming, regardless of who controls it.</p>

<p data-end="659" data-start="141">The release of the Bondi Junction Vision and Master Plan is less about whether the Eastern Suburbs’ primary centre will change, and more about how that change is shaped, funded, and ultimately experienced on the ground. Waverley Council has released a 100-page plan which is effectively the first comprehensive blueprint for Bondi Junction in over two decades, and in doing so, signals a clear shift in how councils are positioning themselves in the current planning environment.</p>

<p data-end="1018" data-start="661">For the past 18 months, the conversation across New South Wales has been dominated by the State Government’s Low and Mid-Rise Housing reforms and the emergence of the Housing Delivery Authority pathway. Both have created faster, more centralised avenues for development approvals, particularly in well-located, infrastructure-rich areas like Bondi Junction.</p>

<p data-end="1087" data-start="1020">Waverley Council’s response has been to move early, and decisively.</p>

<p data-end="1547" data-start="1089">Rather than react to individual proposals as they come through the HDA or broader State-led reforms, Council has sought to establish a clear, place-based framework that sets the terms for how Bondi Junction evolves. The underlying position is relatively straightforward: if densification is inevitable, it should be tied to infrastructure, public domain improvements, and a cohesive vision for the centre, not delivered piecemeal through ad hoc applications.</p>

<p data-end="1547" data-start="1089"><img alt="bondi junction" data-entity-type="file" data-entity-uuid="7f1f729c-ed99-4c6c-bf87-ffbce6991941" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-19%20at%209.58.16%E2%80%AFAM.png?VersionId=ULX4OlXKjeJ5BvNCNGL86evgXCjCfMih" /></p>

<p data-end="2067" data-start="1591">At its core, the document is attempting to reposition Bondi Junction from what it largely functions as today, a transport interchange anchored by a major retail centre, into something far more layered. The ambition is to transform it into what the plan describes as the “civic and cultural heart of Sydney’s East,” a place that is active beyond commuting hours and capable of supporting a broader mix of uses, experiences and communities.</p>

<p data-end="2123" data-start="2069">That repositioning is built around four key ambitions.</p>

<p data-end="2424" data-start="2125">The first is to create a true destination. Bondi Junction already attracts significant foot traffic, with more than 86,000 daily transport users and millions of annual retail visits, but much of that activity is transient. People pass through, rather than stay.</p>

<p data-end="2897" data-start="2426">The Master Plan seeks to change that dynamic. It leans heavily into the idea of an “18-hour economy,” extending activity well beyond traditional retail hours through dining, cultural programming, events, and a more active night-time offering. This is not just about adding more hospitality venues, but about fundamentally shifting how the centre operates, from a daytime shopping destination to a place that functions across the full span of the day and into the evening.</p>

<p data-end="2951" data-start="2899">Oxford Street Mall sits at the centre of that shift.</p>

<p data-end="3478" data-start="2953">Long seen as underperforming relative to its potential, the Mall is identified as one of the key catalyst projects in the plan. It is to be reimagined as a day-to-night spine, combining retail, dining, wellness and cultural uses in a way that creates a continuous flow of activity. Outdoor dining, rooftop venues, laneway activation and a curated events program are all part of the strategy, alongside significant public domain upgrades that aim to improve comfort, safety and usability.</p>

<p data-end="3478" data-start="2953">&nbsp;</p>

<p data-end="3562" data-start="3480">The second ambition is to transform Bondi Junction into a world-class interchange.</p>

<p data-end="3890" data-start="3564">Despite being one of the most heavily used transport nodes in Sydney, the current experience is fragmented. Connections between the station, Westfield, Oxford Street Mall and surrounding streets are often unclear, and major roads create physical barriers that disrupt pedestrian movement.</p>

<p data-end="4240" data-start="3892">The Master Plan proposes a more seamless, people-focused network. That includes clearer pedestrian links, improved wayfinding, better integration between transport modes, and a rethinking of how arrival into the centre is experienced. The aim is to shift the perception of Bondi Junction from a place people move through, to a place they arrive in.</p>

<p data-end="4296" data-start="4242">The third ambition focuses on greening and open space.</p>

<p data-end="4709" data-start="4298">One of the more consistent pieces of community feedback throughout the Vision phase was the need for more greenery, better public spaces, and a more comfortable urban environment. Despite being surrounded by major parks, Bondi Junction itself has relatively limited accessible open space, with much of the public realm dominated by hard surfaces and traffic infrastructure.</p>

<p data-end="5076" data-start="4711">The plan responds with a network of new and upgraded public spaces, increased tree canopy, and what it terms the “Parkline,” a green link connecting Waverley Park through to Centennial Park. This is not just about aesthetics. It is about addressing heat, improving liveability, and ensuring that increased density is matched by access to high-quality outdoor space.</p>

<p data-end="5183" data-start="5078">The fourth ambition is perhaps the most important from a development perspective: growth that gives back.</p>

<p data-end="5501" data-start="5185">Bondi Junction is already the primary location for new housing supply in the Waverley LGA, and that is expected to continue. The area carries a target of 2,400 new dwellings by 2029, with further growth projected beyond that as demand for well-located housing continues to rise. The Master Plan does not seek to limit that growth. Instead, it attempts to shape it.</p>

<p data-end="5842" data-start="5590">New housing is to be concentrated around transport, with stepped building heights designed to protect the character of surrounding neighbourhoods. At the same time, the plan introduces a more explicit link between development uplift and public benefit. This is where value capture becomes central.</p>

<p data-end="6327" data-start="5890">The document outlines a framework where increased development potential is tied to contributions that fund public domain improvements, community infrastructure, open space, and affordable housing. It is an approach that recognises that much of the transformation of Bondi Junction will be delivered by the private sector, but seeks to ensure that the benefits of that growth are shared more broadly. The Civic Precinct is a key part of that equation.</p>

<p data-end="6732" data-start="6381">Leveraging Council-owned land, the plan proposes a consolidated civic and cultural hub centred around Ebley Street. This would include new community facilities, cultural spaces, and potentially a new Council Chambers, creating a focal point for civic life that currently does not exist in Bondi Junction at scale.</p>

<p data-end="6980" data-start="6734">It is one of several catalyst projects identified in the Master Plan, alongside the Oxford Street Mall transformation. These projects are intended to anchor change, acting as early interventions that unlock broader investment across the precinct.</p>

<p data-end="7137" data-start="6982">Importantly, the Master Plan is not just a design document. It includes a delivery framework that sets out how these ambitions are intended to be realised.</p>

<p data-end="7519" data-start="7139">Council is explicit in acknowledging that it cannot deliver the transformation alone. Implementation will require coordination between State agencies, private developers, landowners and the community, with a mix of planning agreements, infrastructure contributions and direct delivery mechanisms used to fund and stage improvements over time.</p>

<p data-end="7843" data-start="7556">The plan outlines a mix of short-term, medium-term and long-term actions, from immediate public domain upgrades and planning controls, through to larger-scale projects that will unfold over the next decade or more. In practical terms, the next 12 to 24 months will be the most important.</p>

<p data-end="8108" data-start="7845">This is when the Master Plan will move through exhibition, refinement and eventual adoption. It is also the period in which Council will seek to embed the framework into its planning controls, giving it weight in the assessment of future development applications.</p>

<p data-end="8528" data-start="8161">Council officers have indicated that once the Master Plan is in place, it could be used as a benchmark when assessing Housing Delivery Authority proposals, and potentially reduce the need for further HDA declarations within Bondi Junction. In effect, it is an attempt to bring planning control back to the local level, while still aligning with State housing targets.</p>

<p data-end="8654" data-start="8530">That tension between State-led reform and local planning control is not unique to Waverley. It is playing out across Sydney.</p>

<p data-end="8710" data-start="8656">&nbsp;</p>

<p data-end="8710" data-start="8656">&nbsp;</p>

<p data-end="9626" data-start="9587">&nbsp;</p>

<p data-end="10207" data-start="9884">If delivered as intended, Bondi Junction will become denser, more active, and more complex. It will support more residents, more workers, and a wider range of uses, extending beyond its current retail core into a more layered urban environment.</p>


“The civic and cultural heart of Sydney’s East”: Bondi Junction masterplan revealed

<p>Toorak's dress circle St Georges Road, home to some of the city's priciest homes, is set for a rare new apartment development.</p>

<p>Blood Diamond Group, an entity tied to Tina Brandi, wife of David Brandi who has been a prolific bidder on The Block over the years, has filed plans for an ultra-exclusive development across an amalgamated 3,662 sqm site at <a href="https://www.apartments.com.au/new-apartments/104-106-st-georges-road-toorak-vic-3142">104 and 106 St Georges Road</a>.</p>

<p>The proposal would replace two existing homes on the riverfront site with a five-level apartment building cascading down the steeply sloping land toward the Yarra River. Designed by Charles Wright Architects, the development has been carefully shaped around the site’s topography and river environs, with the upper levels stepping back to reduce visual bulk from both St Georges Road and the Yarra corridor.</p>

<p>Planning documents describe the proposal as “a site layout and building typology that is consistent with the emerging character of the area and which provides exceptional amenity for future residents without compromising that of neighbouring properties.”&nbsp;</p>

<p><img alt="First look: Blood Diamond Group unveils riverfront apartment plans for Toorak Pavilion" data-entity-type="file" data-entity-uuid="ea19a17e-7528-4fa8-b727-05f2f7c025e5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Toorak%20pavilion%20a_0.png?VersionId=rZ2IjdoUL_UrRl1sZ4wZHnQXbYUaEmUQ" /></p>

<p>The scheme comprises 12 apartments, including 10 three-bedroom residences, one one-bedroom apartment, and a substantial split-level five-bedroom penthouse. A 624 sqm communal rooftop terrace will crown the building, while three undercroft levels embedded into the hillside will accommodate apartments and basement parking.</p>

<p>The design leverages the site’s dramatic northern outlook across the Yarra River, with living areas and balconies oriented toward the water. A central atrium running the full height of the building is intended to draw natural light deep into the residences and improve internal amenity.</p>

<p>Landscape architecture by <a href="https://www.apartments.com.au/landscape-architect/jack-merlo">Jack Merlo Design &amp; Landscape</a> will play a major role in softening the built form, particularly along the river edge where significant setbacks have been introduced. The proposal includes a minimum 30-metre setback from the Yarra River boundary, preserving a substantial landscaped buffer between the development and the waterway.</p>

<p>While a mature English Oak near the front of the site is proposed for removal, the plans retain a large English Elm closer to the riverfront, alongside other established vegetation in the lower section of the property.</p>

<p><img alt="First look: Blood Diamond Group unveils riverfront apartment plans for Toorak Pavilion" data-entity-type="file" data-entity-uuid="ed3bf19b-5bc7-482f-bde7-41f709a13c3a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Toorak%20pavilion%20b.png?VersionId=SG_kBGu4rOaSPY8FtVcmPJfSCrstuOfg" /></p>

<p>Architecturally, the building adopts strong horizontal forms with expansive glazing and curved balcony edges facing the river. Planning documents note the upper levels “adopt a receding form” to ensure the building responds appropriately to the Yarra River environs overlay controls.&nbsp;</p>

<p>The surrounding streetscape is characterised by large contemporary homes embedded into the hillside, many presenting as modest one or two-storey forms to the street before expanding toward the river frontage below. The planning report notes this established pattern heavily influenced the massing strategy for Toorak Pavilion.&nbsp;</p>

<p>Until the recent sale of the landmark Clendon Road mansion Coonac for around $130 million, St Georges Road held the state's most expensive home, the $80,000,088 derelict "Ghost House" mansion that was bought by crypto king Ed Craven.&nbsp;</p>

<p>Blair House, also on St Georges Road, sold for $74.5 million in 2022.</p>


First look: Toorak Pavilions slated for dress circle St Georges Road

<p data-end="205" data-start="54">Six months after a development site on Kangaroo Point’s Shafston Avenue sold for $6.55 million, plans have been lodged for a 23-storey apartment tower.</p>

<p data-end="443" data-start="207">A company named JMT Mega Capital, understood to be interstate investors when the 1,222 sqm double block traded late last year through Patona Property, is proposing an 84-apartment development in place of the existing low-rise buildings.</p>

<p data-end="694" data-start="445">The slender tower at <a href="https://www.apartments.com.au/new-apartments/212-220-shafston-avenue-east-brisbane-qld-4169">212–220 Shafston Avenue</a>, overlooking the Brisbane River, has been designed by <a href="https://www.apartments.com.au/architects/aplus-design-group">Aplus Design Group</a>. It will comprise a mix of one-, two- and three-bedroom apartments above six basement levels, topped by rooftop resident amenities.</p>

<p><img alt="First look: 23-storey Kangaroo Point tower planned for Shafston Avenue riverfront precinct" data-entity-type="file" data-entity-uuid="7e17ba9e-553e-42ef-92b6-22081671521a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/podium_3.png?VersionId=hlVUf99vrOjUs.vhQs0qV0DhOncUy9T8" /></p>

<p>The development has been designed as a vertically articulated tower with recessed balconies, curved façades and planted edges intended to soften its scale within the evolving Shafston Avenue skyline. In the submitted Urban Design Report, Aplus Design Group said the tower had been “shaped with a slender vertical expression, articulated façades, recessed balcony zones, integrated planting and a clearly defined podium relationship, helping to reduce perceived bulk and create a more elegant contribution to the Shafston Avenue streetscape and broader Kangaroo Point skyline.”</p>

<p>The scheme comprises 84 apartments, including 25 one-bedroom units, 34 two-bedroom apartments and 25 three-bedroom residences. A total of 104 car spaces are proposed across six basement levels, including resident, visitor and accessible parking.</p>

<p>Residents will have access to rooftop communal open space and shared amenities, while the development also incorporates deep planting zones and subtropical landscaping throughout the podium and tower levels. The project includes 35 per cent communal space coverage across the site and a 17.5 per cent deep soil zone allocation to support urban greening outcomes.</p>

<p>The application exceeds the mapped building height under the Kangaroo Point Peninsula Neighbourhood Plan and is being assessed under Brisbane City Council’s impact assessment pathway. The design team argues the additional height is supported by the site’s strategic inner-city location, existing high-density zoning, and proximity to transport and employment hubs.</p>

<p>“The design has been developed to make better use of a well-serviced urban site within an established high-density residential setting, while improving the street presentation and overall quality of the public realm interface,” the report states.</p>

<p><img alt="First look: 23-storey Kangaroo Point tower planned for Shafston Avenue riverfront precinct" data-entity-type="file" data-entity-uuid="1ab44b1e-ff45-4bf3-8da8-8aa0cd79db33" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_10.png?VersionId=tSxeGekZOqj1e9g3PEn_yFoC3taKDp3U" /></p>

<p>The proposal adds to a growing pipeline of apartment developments reshaping Kangaroo Point ahead of the 2032 Brisbane Olympic Games, with demand continuing to strengthen for new housing supply in well-connected inner-city precincts.</p>

<p>Mosaic has nearly sold out its under-construction <a href="https://www.apartments.com.au/new-apartments/the-bedford-by-mosaic-16-30-prospect-street-kangaroo-point-qld-4169">The Bedford by Mosaic</a>&nbsp;and <a href="https://www.apartments.com.au/new-apartments/the-carter-by-mosaic-77-linton-street-kangaroo-point-qld-4169">The Carter</a>,&nbsp;while Pikos recently completed <a href="https://www.apartments.com.au/buildings/skye-residences-by-pikos-kangaroo-point-8-river-terrace-kangaroo-point-qld-4169">Skye Residences</a> nearby. Pikos is also delivering <a href="https://www.apartments.com.au/new-apartments/gaia-kangaroo-point-108-lambert-street-kangaroo-point-qld-4169">Gaia</a>, over 230 three- and four-bedroom apartments on Lambert Street.</p>


First look: 23-storey Kangaroo Point apartment tower planned for Shafston Avenue riverfront precinct

<p>A new 25-storey apartment tower proposed for Mercer Street would push Geelong’s western gateway skyline higher, with Morphy Birrell Property Group lodging plans for a project directly beside one of the city’s most significant heritage streetscapes.</p>

<p>The <a href="https://www.apartments.com.au/architects/fk-australia">FK</a>-designed development at <a href="https://www.apartments.com.au/new-apartments/65-67-mercer-street-geelong-vic-3220">65-67 Mercer Street</a> has now been referred to Victoria’s Planning Minister. The site sits opposite the Geelong rail corridor and immediately south of the heritage-listed St Peter and Paul’s Catholic Church and Ashby Hall precinct.</p>

<p>Rather than compete with the neighbouring ecclesiastical buildings, the proposal adopts a sculpted podium intended to reference the materiality and scale of the heritage context. Planning documents note the design draws cues from the “dark stone brick” church and surrounding masonry buildings, while the tower above transitions into a softer, curved form oriented toward Corio Bay and the Geelong waterfront.</p>

<p><img alt="First look: Morphy Birrell Property Group targets 25-storey Geelong tower beside landmark church precinct" data-entity-type="file" data-entity-uuid="b797d10c-d4a6-47af-b8df-1aeaa3b382be" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/public%20square.png?VersionId=QGIpcz1x1hKB6lQLl2iobyHqb6PS2Ztc" /></p>

<p>The development forms “Stage 5” of Morphy Birrell Property Group’s broader Mercer Street precinct strategy, following the completion of the 21-storey Miramar tower on Cavendish Street and several additional approved redevelopment stages nearby. Planning consultants Ratio said the proposal “represents an exemplary development outcome” aligned with the strategic ambitions for Central Geelong’s continued urban renewal.</p>

<p>The mixed-use project would replace an existing low-rise commercial building and surface parking area on the 3,320 sqm corner site. FK’s urban context report describes the proposal as a residential development comprising apartments, resident amenities, commercial space, and integrated landscaping positioned to maximise bay views and northern sunlight access.</p>

<p>Renders show a deeply articulated tower with curved balconies stepping above a lower masonry podium that frames a landscaped forecourt facing Mercer Street. The design intentionally preserves sightlines toward the adjacent church buildings, with the podium scaled to reinforce the heritage edge before the tower recedes upward.</p>

<p><img alt="First look: Morphy Birrell Property Group targets 25-storey Geelong tower beside landmark church precinct" data-entity-type="file" data-entity-uuid="2bdca91e-66f7-4ac7-8baa-2f93bd5b564e" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/geelong%20site.png?VersionId=QOhbino4ZgzKYw5dW3QE14E.2yq.Sv87" /></p>

<p>The planning report highlights the site’s strategic location within 400 metres of key Geelong destinations including Cunningham Pier, the Geelong Station precinct, Deakin University, and the convention centre. Bus services run directly along Mercer Street, while the Corio Bay foreshore sits around 100 metres north of the site.</p>

<p>The proposal arrives amid accelerating redevelopment across central Geelong, where planning policy continues to encourage higher-density housing close to transport infrastructure and the waterfront. Mercer Street in particular has emerged as a focal point for taller apartment development due to its proximity to Geelong Station, the bay, and major civic infrastructure.</p>


Morphy Birrell Property Group targets 25-storey Geelong tower beside landmark church precinct

<p>Prominent New Zealand apartment and hotel operator, <a href="/developers/safari-group">Safari Group</a>, is offering up a prime investment opportunity for Australians to purchase off the plan in one of the world’s most popular ski destinations.</p>

<p>They recently took to market Mountain Oak Queenstown Apartments, in the growing precinct of Remarkables Park in Frankton, near the airport and at the foot of The Remarkables - the mountain range the locals like to call “The Remarks”.&nbsp;</p>

<p>Sydney investors have shown interest in the one, two and three-bedroom apartments that secure high-season occupancy six months over the year, primarily over summer and winter months.</p>

<p>They average 90 per cent occupancy across their portfolio over January, February, March, August, November and December, while shoulder season months of April, July, September and October are still occupied 70 per cent of the time, with the growing appeal of Queenstown becoming not just a hotspot for the snow, but a lifestyle destination.</p>

<p>Even in the low seasons of May and June, occupancy levels reach around 40 per cent.</p>

<p><img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_auto/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Ext_Cam15_Sunny.jpg?VersionId=SJAROUM_1s.Tr5ciMk4EEj5oAt_Vewmv" /></p>

<p>Safari’s Safari Hotels arm can also manage the holiday letting for an investor, from the listing on holiday accommodation websites such as Airbnb and Booking.com to the cleaning and maintenance of the investment. They’ve been in the short stay management business for 15 years and offer 24/7 support for investors, an important convenience benefit for any overseas investor</p>

<p>Another major drawcard for Australians is that New Zealand doesn’t have a stamp duty policy - so the entry price of NZ$639,000 (AU$586,000), is all that is payable on completion.</p>

<p><img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/313_Livingv2_WEB.jpg?VersionId=nV229fM0ZeYpoxOrX372HyGjfwY_LR8c" /></p>

<p>Safari is starting construction of the 141 apartments in Q2 this year, with a two-year build estimated to complete in mid-to-late 2027.<span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><span><img alt="" data-entity-type="" data-entity-uuid="" height="15" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXczFpFAb7WuA6f4f9TtKWcqXyNwR8qqtakWv352ERkpqNlP3KwIo8YKxw67jZNHfpjEGIZGv5MQTbnvLZwNt8iu9IVdOrswOjCvBZ4zhSoOOLrpt6etVEZTN1gkBho0r_R72zdHNA?key=yq3daOanqHSb88QFd8jGYKdb" title="Click and drag to move" width="15" /></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span></span><span><span><span><span><span><span>​</span></span></span></span></span></span></p>

<p>The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;</p>

<p>Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.</p>

<p>With its strategic location near Coronet Peak and Cardrona Alpine Resort, as well as key retail and dining precincts such as Market Street, Five Mile Shopping Centre, and Remarkables Market, Mountain Oak offers a strong proposition for investors seeking high rental yields and capital appreciation in one of New Zealand’s most sought-after locations.&nbsp;</p>

<p>Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.</p>


Safari Group offers low-touch investment proposition in Queenstown’s popular ski fields district

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<p>The Swiss-Belhotel International Group will open its first Australian hotel in Brisbane on the 1st October 2016.</p>
<p>Swiss-Belhotel is a rapidly growing, Hong Kong based international brand that currently spans twenty countries with over seven thousand staff.</p>
<p>Swiss-Belhotel Brisbane is situated at 218 Vulture St, South Brisbane.</p>
<p>The site was selected because of its proximity to River Quay, South Bank, the Gabba and nearby Royal Children's Hospital, Mater Hospital and Ronald McDonald House.</p>
<p>The 134 room hotel is made up of 108 Superior Rooms, 14 Deluxe Studios (45 sq metres) and 12 Executive Studios (54 sq metres). <span style="font-size: 12.16px; line-height: 1.3em;"> </span></p>
<p>Swiss-Belhotel International Chairman and President Gavin Faull said he was presented with this exciting opportunity in Brisbane two years ago.</p>
<p>"We were so impressed that we have taken a long term lease on the hotel and invested in the property''.</p>
<p><span style="font-size: 12.16px; line-height: 1.3em;"> Cafe 63 at Swiss-Belhotel will be an expanded version of the very popular Cafe 63 in Brisbane.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;">Gavin Faull </span><span style="font-size: 12.16px; line-height: 1.3em;">has built the portfolio of hotels under his management from just three to well over 135 that stretch across the globe incorporating the Middle East, Europe, China, Southeast Asia, Australia and New Zealand. </span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;">The brand now spans twenty countries and employs over seven thousand people.</span></p>
<p><span style="font-size: 12.16px; line-height: 1.3em;">There is no sign of a slowdown with plans to have at least 40 hotels managed by Swiss-Belhotel International in Australia within ten years.</span></p>
<p class="p1">Gavin Faull, a New Zealand born dairy and tourism entrepreneur is in Australia this week.</p>
<p class="p2">Faull aims to<span style="font-size: 12.16px; line-height: 1.3em;"> have 10 hotels managed by Swiss-Belhotel International in Australia within five years.</span></p>
<p class="p2"><span style="font-size: 12.16px; line-height: 1.3em;">"We were introduced to the Horan Group by Mr Ian Pert of GPM Consulting and Project Managers and were very impressed with the hotel project, with the location and with the developers. </span></p>
<p class="p2"><span style="font-size: 12.16px; line-height: 1.3em;">"We have been working together for almost two years. </span></p>
<p class="p2"><span style="font-size: 12.16px; line-height: 1.3em;">"We were so impressed that we have taken a long term lease on the hotel and invested in the property.</span></p>
<p class="p2"><span style="font-size: 12.16px; line-height: 1.3em;">''Swiss-Belhotel Brisbane is on a long term lease by Swiss-Belhotel International where the developer has been able to secure their return by leasing to an international management company yet has been able to work very closely with Swiss-Belhotel International to develop a truly international hotel product. </span></p>
<p class="p2"><span style="font-size: 12.16px; line-height: 1.3em;">"There are also strata title apartments in the complex and Swiss-Belhotel International will be managing those apartments as well as handling the letting services for those apartments.</span></p>
<p class="p2"><span style="font-size: 12.16px; line-height: 1.3em;">"A unique fusion of property development; individual investment opportunities managed and incorporated into an international hotel operation''.</span></p>
<p class="p2">''This is Swiss-Belhotel International offering the investor community an alternative management and property product to the other many products in this investment space in Australia. We are an exciting alternative'', he concluded.</p>
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New property brand, Swiss-Belhotel International launching in Brisbane

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<p>Club Crocodile Hotel, the resort in Airlie Beach, has been sold to Singaporean group Well Smart Investment Holdings.</p>
<p>Owning the Mantra Terrace Hotel in Brisbane and the Ibis Budget Hotel Melbourne, Club Crocodile is the group's third hotel.</p>
<p>The sale was brokered by PRD Airlie Beach.</p>
<p>The 3.5-star Club Crocodile Resort was sold by David Kingston's Ocean Hotels for between $8 million and $9 million.</p>
<p>The resort features 161 rooms on a large freehold site close to the beach front and Abell Point Marina.</p>
<p>Resorts in Airlie Beach and the Whitsundays have recently had high occupancy levels. </p>
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Club Crocodile sold to Well Smart 

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<p>The Cowley family has finally fully exited its Hunter Valley property holdings, selling off The Convent.</p>
<p>It has been bought by the Escarpment Group for just over $5 million</p>
<p>The Convent — one of the Hunter Valley’s best known resorts - dates back to a 1909 Coonamble to house an order of nuns, which was relocated to Pokolbin.</p>
<p>It has 17 luxury rooms. It was sold along with Circa 1876, one of the Hunter Valley’s top fine dining restaurants.</p>
<p>CBRE Hotel’s Rob Cross and Alan Jurd from Jurd’s Real Estate sold the properties for the Cowley family.</p>
<p>The Escarpment Group, run by George Saad and Huong Nguyen, owns a collection of Blue Mountains properties, including the Hydro Majestic Hotel, Parklands Country Gardens and Lodges, Lilianfels Blue Mountains Resort and Spa and Echoes Boutique Hotel and Restaurant.</p>
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Cowley's sell The Convent to the Escarpment Group

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<div id="post-body-2934597644349298689" class="post-body entry-content">
<div class="separator">Some years ago there were doomsday predictions of a property correction in Australia since dwelling prices had reached three times the value of our Gross Domestic Product (the exact relevance of the three times figure was never adequately explained).</div>
<div class="separator"> </div>
<div class="separator">Today, the ratio is just over 3.6 times, having ticked down slightly over the past six months of publicly available official figures.</div>
<div class="separator"> </div>
<div class="separator">Is there a link between the two measures? Kind of, but it's not very strong.</div>
<div class="separator"> </div>
<div class="separator">In fact, as a predictor of property prices the ratio has been useless in recent years. Actually, no, it's been worse than useless - it has been a contra-indicator!</div>
<div class="separator"> </div>
<div class="separator">One problem with GDP is that it's historic in nature, so at best it tells you what was happening in the economy months ago - thus as an indicator of future outcomes it's necessarily all that useful.</div>
<div class="separator"> </div>
<div class="separator">More pertinently this ratio doesn't make a lot of logical sense since it compares a <strong>stock</strong> value at a fixed point in time with a <strong>flow</strong>, being the value of goods and services produced over a specified period of time (in the example in the chart below, one year).   </div>
<div class="separator"> </div>
<div class="separator"><a href="/images/2016/07/06/STOCK.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/06/STOCK.jpg" alt=""></div>
<br><div>Furthermore, some types of property in thinner markets fare much better in times of boom, and worse in times of bust. And some types of property in some inner suburban locations tend to outperform the averages over time, while properties is lower demand generally fail to keep pace with the averages.</div>
<div> </div>
<div class="separator"><strong><span style="text-decoration: underline;">Key national accounts aggregates</span></strong></div>
<div class="separator"> </div>
<div class="separator">In today's electronically connected world, hordes have wanted to be the person to 'call' the next Australian recession. But the economy has proved to be surprisingly robust, with the annualised rate of GDP growth for the past six months accelerating to 3.6 per cent. </div>
<div class="separator"> </div>
<div class="separator">The riposte has been that GDP is the "wrong" measure - we should ignore GDP and look at national income. </div>
<div class="separator"> </div>
<div class="separator">It is indeed true that real (i.e. adjusted for inflation) gross national income has stalled, but then again Australia's commodity prices could not and did not grow to the sky, so this isn't necessarily that surprising. </div>
<div class="separator"> </div>
<div class="separator">Another way to look at this is that national income has more than doubled over the past twenty years, even after accounting for inflation.</div>
<div class="separator"> </div>
<div class="separator"><a href="/images/2016/07/06/GDP.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"> </div>
<div class="separator"><img src="/images/2016/07/06/GDP.jpg" alt=""></div>
<div class="separator"> </div>
<div class="separator">Moreover, if GDP is an unreliable measure of the performance of the economy, how can it be a good measure of dwelling prices? Can't have it both ways! </div>
<div class="separator"> </div>
<div class="separator"><strong><span style="text-decoration: underline;">National accounts</span></strong></div>
<div class="separator"> </div>
<div class="separator">The national accounts provide us with a range of figures relating to the property markets, but as implied by the name of the data release the figures are national and backward-looking in nature, and therefore don't really tell us much of interest about what sub-regional property markets are up to or will be up to.</div>
<div class="separator"> </div>
<div class="separator">As noted, the national accounts lag a bit, but broadly home owners owe about $1 trillion in mortgage debt, and investors about $550 billion. What is not so well shown by these figures is that mortgage buffers and offset accounts are also at record high levels. </div>
<div class="separator"> </div>
<div class="separator"><a href="/images/2016/07/06/DEBT1.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/06/DEBT1.jpg" alt=""></div>
<br><div>With dwelling price growth having outpaced the growth in household debt, gearing ratios have declined in recent years.</div>
<br><div class="separator"><a href="/images/2016/07/06/DEBT2.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/06/DEBT2.jpg" alt=""></div>
<br><div class="separator">None of which tells of much of any predictive value. We can all think of housing markets in Australia that are overvalued; but equally we can all name others where prices are getting walloped or have already crashed. </div>
<div class="separator"> </div>
<div class="separator">If there is one ratio from the national accounts which is useful in predicting where to next for dwelling prices - and I'm not saying that there necessarily is - it's the ratio of housing interest payable to income. </div>
<div class="separator"> </div>
<div class="separator">The actual quoted percentage figure is skewed lower since so many households have no mortgage debt at all, but has declined from a peak of 16.4 per cent in June 2008 to 9.7 per cent by December 2015. </div>
<div class="separator"> </div>
<div class="separator">On this measure, mortgage repayments are more than 40 per cent cheaper than they were at their 2008 peak.</div>
<br><div class="separator"><a href="/images/2016/07/06/INTEREST%20PAYABLE.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/06/INTEREST%20PAYABLE.jpg" alt=""></div>
<div class="separator"> </div>
<div class="separator"><strong><span style="text-decoration: underline;">Rates heading lower?</span></strong></div>
<div class="separator"> </div>
<div class="separator">It would be fair to say that if mortgage rates head back to where they were at their most recent peak of about 8 to 9 per cent, then many of Australia's housing markets are heading into correction territory. </div>
<div class="separator"> </div>
<div class="separator">It's an interesting bet if you want to take it on. But money markets are begging to differ, with yields grinding out new lows in anticipation of possible Brexit turmoil. </div>
<div class="separator"> </div>
<div class="separator">Yesterday Australia's 10 year government bond yield fell to its lowest ever level at well below 2 per cent.</div>
<br><div class="separator"><a href="/images/2016/07/06/RBA.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/06/RBA.jpg" alt=""></div>
<br><div>Meanwhile, OIS rates are on a seek and destroy mission to crunch out new record lows, and they are winning that particular battle. We are now just one benign inflation print from seeing a new record low cash rate in August.</div>
<br><a href="/images/2016/07/06/OIS.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/07/06/OIS.jpg" alt=""><br><br><strong><span style="text-decoration: underline;">The wrap</span></strong><br><br><div>GDP is a useful measure of the strength or otherwise of the economy. And over the long term stronger economic growth may be reflected in higher dwelling prices - but not necessarily so, since there are so many other contributory factors, such as tax settings or the supply of new dwellings, for example. </div>
<div> </div>
<div>It's true that property prices can fall during recessions. But then again they can fall when GDP is positive such as they did in 2011 and early 2012.<br><br>And what about China, where real GDP growth has slowed from above 13 per cent in 2007 to just 6.7 per cent (if you can call 6.7 per cent slow), yet house prices in Shenzhen have skyrocketed by more than 50 per cent within the past year?<br><br>Obviously there are many other factors at play than purely economic growth.  And if there is a correlation between GDP and dwelling stock valuations, it's a tenuous one. </div>
<div> </div>
</div>
<div class="post-footer"> 
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
</div>
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The GDP myth and doomsday property predictions: Pete Wargent

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<p>GUEST OBSERVER</p>
<p>Population growth nationally remains strong but continues to trend lower, meanwhile dwelling construction is booming creating a much closer relationship between housing supply and demand.</p>
<div>
<p>Demographic data for December 2015 was released by the Australian Bureau of Statistics (ABS). The data showed that the national population was estimated at 23.9 million persons, with the population having increased by 326,073 persons over the 2015 calendar year. The annual increase in population has fallen substantially from a peak of 459,504 persons over the 12 months to December 2008.</p>
<p>While population growth (ie housing demand) has slowed, dwelling construction has increased to record highs. Over the 12 months to December 215, there was a record-high 190,072 dwellings constructed nationally. </p>
<p>With an increasing population, and the majority of growth coming from overseas migration, additional demand for housing is created. The charts published in this report look at the ratio of population growth to dwelling completions.  A few important things to note from this analysis:</p>
<ol>
<li>The figures don’t take into consideration demolitions and homes constructed for non-permanent or semi-permanent occupation (previously estimated by the RBA at approximately 15 percent)</li>
<li>Dwelling completions data may include construction of temporary accommodation such as hotels or serviced apartments</li>
<li>An increase in population doesn’t necessarily create more demand for housing. For example a family having a baby may not create an immediate requirement for more housing while a new arrival from overseas is more likely to create additional housing demand.</li>
</ol>
<p>The latest housing and occupancy costs research from the ABS showed that the average household sizes across each state and territory in June 2014 was: 2.6 persons in NSW, Vic, Qld and ACT, 2.4 persons in SA and Tas and 2.7 persons in WA and NT.</p>
<h3>Ratio of population growth to dwelling completions</h3>
<p><a href="/images/2016/07/06/2016-07-04--nsw-qld-image1.jpg" target="_blank">Click to enlarge</a></p>
<p><br><img src="/images/2016/07/06/2016-07-04--nsw-qld-image1.jpg" alt=""></p>
<p><a href="/images/2016/07/06/2016-7-04--nt_Act-image2.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/07/06/2016-7-04--nt_Act-image2.jpg" alt=""></p>
<p>If we look at the charts, over 2015 the ratios of population growth to dwelling completions have been recorded at: 2.4 in NSW, 1.9 in Vic, 1.6 in Qld, 1.0 in both SA and WA, 0.8 in Tas, 0.4 in NT and 1.3 in ACT. </p>
<p>Based on these measures compared to the average household size it would appear that each state and territory is currently over-building however, there are some short-comings of this analysis as detailed above.  It is clear that the ratio compared to the long-run average implies that under-building is still taking place in NSW and Vic while over-building is occurring elsewhere.</p>
<p>Additionally, in most states, there has previously been a substantial undersupply of housing which will continue to overhang any overbuilding for a period of time.</p>
<p>Another thing to consider when looking at this analysis is the type of dwellings that are being constructed.  Units are becoming a much more prominent part of dwelling construction.  Units are often smaller and therefore likely to house fewer residents than a detached house which also has an impact on these figures.</p>
<p>Although this analysis doesn’t provide a definitive answer to whether too much construction is taking place it is clear that as population growth has slowed and dwelling construction has ramped-up there is now a much better relationship between housing supply and demand.  This is highlighted by the fact that in most states and territories there has been a sharp decline in the ratio of population growth to dwelling completions over recent years.</p>
<p>With many new dwellings under construction and even more approved to commence construction, developers should take heed of these figures and exercise caution when looking to undertake new projects.  As population growth trends lower and construction ramps up, housing shortages appear to be diminishing quite rapidly.</p>
<p><em>Cameron Kusher is research analyst for CoreLogic RP Data. You can contact him <a href="https://blog.corelogic.com.au/about/">here</a>.</em></p>
</div>
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ckusher-ujnxiKuFQs

Dwelling completions boom as population growth slows: Cameron Kusher

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<p>A site with development potential on the Nepean Highway in Melbourne’s Frankston is up for auction on July 15 and is expected to fetch around $1.3 million.</p>
<p>The 345 Nepean Highway property comprises a 1,303 square metre block of land zoned Commercial 1, with a single-level 225 sqm commercial building and on-site parking.</p>
<p>The property will be sold subject to a short-term lease to Lifeworks Relationship Counselling &amp; Education at an annual rental of $67,090 net.</p>
<p>It is suitable for various uses subject to council approval, according to a media release.</p>
<p>The property is being marketed by Teska Carson’s Matthew Feld, who expects the Nepean Highway to be key to the property’s value.</p>
<p> </p>
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prateek24-ezbwHMbNAk

Nepean Highway site in Melbourne to go under hammer

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<p>A five-story building in Brisbane’s inner north suburb of Newstead has exchanged hands for $13.25 million.</p>
<p>The A-grade asset on 26 Commercial Road is positioned on a 760 sqm site.</p>
<p>The property was marketed as part of a portfolio of properties being sold by Heathley’s Diversified Property Fund. </p>
<p>The building has a net lettable area of 2,195 sqm and has a diverse tenancy mix comprising Blue Commercial, Symposium Café, 20Cube, Emerchants Limited, White Retail Group and Gray Puksand. </p>
<p>The deal was brokered by CBRE’s Peter Court and Darren Collins on behalf of Heathley Asset Management Limited to a Melbourne-based investor. </p>
<p>“The property’s location in Newstead’s Urban Renewal Precinct was a key drawcard... with the area now regarded as one of Brisbane’s most revered office hubs,” Court said. </p>
<p>“The precinct has experienced significant leasing success over the past 12 months, with vacancy decreasing from 16 percent to 10 percent." </p>
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Building in Brisbane's Newstead fetches $13.25 million 

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<p>Savills Australia has appointed Jason Kougellis, as managing director of Savills Victoria.</p>
<p>His career has included time as managing director Australia, New Zealand and South East Asia of GE Capital Real Estate as well as roles at Fosun International Ltd, Paladin Funds Management, GIO Asset Management and in CBA's Property Valuation Services.</p>
<p>Paul Craig, chief executive officer, Savills Australia and New Zealand said Jason has an outstanding level of transactional experience and knowledge of all Australian markets and has acquired, managed and divested over $5 billion of assets.</p>
<p>"His recent role with the Chinese international conglomerate and investment company, Fosun, has afforded Jason an excellent understanding of Asian investor appetite and process," he said.</p>
<p>“Furthermore, Jason’s relationships with key institutional capital both in Australia and abroad will enhance our highly successful Melbourne city and suburban sales team’s ability to attract a broader audience.</p>
<p>“We are embarking on an aggressive growth strategy and Jason’s leadership and management experience will significantly benefit the greater Savills business in achieving a co-ordinated and disciplined approach" </p>
<p> </p>
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jonathanchancellor-7SQnKwU6yx

New MD for Savills Victoria

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<div id="post-body-4955982737537404109" class="post-body entry-content">
<div>Building Approvals declined by 5.2 percent in May to be 9.2 percent lower than a year ago in seasonally adjusted terms. </div>
<div> </div>
<div>Somewhat optimistically the "trend" result is still recording a rise, but it does appears that the peak of the building approvals boom has now passed. </div>
<br><div class="separator"><a href="/images/2016/07/05/BA4.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/05/BA4.jpg" alt=""></div>
<br><div>A couple of observations.</div>
<div> </div>
<div>Firstly, although this was clearly a weaker result than last month's bonanza - one which probably at last signifies the beginning of the end for this construction cycle - the hyperbole in reporting can get overblown.</div>
<div> </div>
<div>There were after all some 19,706 dwellings approved in May (in original terms) - down from a massive 20,612 in April - historically very high numbers, and higher than had ever been seen until the last quarter of 2014.</div>
<div> </div>
<div>Whether or not all of these dwellings all get built is another matter. </div>
<div> </div>
<div>In rolling annual terms total approvals fell to 233,900 down from a peak of 240,130 in October 2015, comprising of 117,300 houses and 116,600 units, townhouses and apartments. </div>
<br><div class="separator"><a href="/images/2016/07/05/BA5.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/05/BA5.jpg" alt=""></div>
<br><strong><span style="text-decoration: underline;">City by city</span></strong><br><br><div>At the capital city level, approvals in Melbourne have recorded four very strongly monthly readings in a row, taking annual detached house approvals for the Victorian capital up to a fresh cyclical high of 25,600 (a crunching 57 per cent more than Sydney over the same period). </div>
<div> </div>
<div>This chart is worth noting when folk talk about a so-called "oversupply" in Sydney - a lasting oversupply not quite so easy to achieve at the city level when you are building so few detached houses into romping population growth. </div>
<br><a href="/images/2016/07/05/BA3.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/07/05/BA3.jpg" alt=""><br><br><div>The monthly decline in approvals was driven by huge declines in attached approvals in Sydney (from 3,777 to 2,900) and especially Brisbane (2,500 to 1,062). </div>
<div> </div>
<div>That said, there were some sneaky upwards revisions totaling more than 1,800 additional dwellings to previously reported figures, and three quarter of these related to New South Wales and Queensland. </div>
<br><a href="/images/2016/07/05/BA2.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/07/05/BA2.jpg" alt=""><br><br><div>Overall, although it's a volatile data series it does look as though the unit and apartments approvals boom has passed its peak.</div>
<div> </div>
<div>Approvals in Western Australia have now been trending down since September 2014, which should help to bring the rental market back into equilibrium in due course. </div>
<br><strong><span style="text-decoration: underline;">High rise declines</span></strong><br><br><div>This cycle has been characterised by the approval of greater volumes of 4+ storey dwellings than ever before, with more than 70,300 approved over the past year alone - an astonishing 57 times more than we saw in 1992.  </div>
<br><div class="separator"><a href="/images/2016/07/05/BA6.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/07/05/BA6.jpg" alt=""></div>
<div> </div>
<div>The most recent data suggests that high approvals are starting to wane, though, especially in Victoria where a glut of high rise approvals was pulled forward into 2015.  </div>
<br><a href="/images/2016/07/05/BA1.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/07/05/BA1.jpg" alt=""><br><br><div><strong><span style="text-decoration: underline;">The wrap</span></strong></div>
<div> </div>
<div>Overall, another very strong result, but there are now multiple indicators suggesting that the peak of the construction cycle is all about upon us.</div>
<div> </div>
<div>One of these days we'll all be able to say we called it!</div>
<div> </div>
<div>All eyes will be on the Reserve Bank of Australia at 2.30pm, in particular to determine the wording of their policy statement.</div>
<div> </div>
<div>Will an easing bias be reinstated ahead of a possible August interest rate cut?</div>
<div> </div>
<div>
<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
</div>
<div> </div>
</div>
<div class="post-footer"> </div>
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Approvals decline  for Sydney and Brisbane units: Pete Wargent

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<p>Landlord-favourable markets have allowed Sydney and Melbourne CBD office markets to record their strongest rental growth in over five years, according to real estate services firm Cushman and Wakefield's latest report. </p>
<p>Their MarketBeat report series for Brisbane, Melbourne and Sydney CBD office markets reveals that growth in service sector employment is driving strong demand in Sydney and Melbourne, but Brisbane is yet to feel the effects. </p>
<p>Above average economic growth in New South Wales of 3.5% over the past year, compared to trend of 3.1%, has continued to fuel demand for office space. Vacancy has remained tight despite an injection of new supply to Sydney CBD in the first half of 2016, including international Tower 3 and 200 George Street.</p>
<p>“Enquiry levels have been very high in Sydney. When combined with limited vacant space has resulted in gross effective rents rising over 6% this quarter. This is the strongest quarterly gain we have seen in Sydney since 2008,” said Tim Molchanoff, head of Office Leasing.</p>
<p> <img src="/images/2016/07/01/Screen%20Shot%202016-07-03%20at%2011.58.16%20PM.png" alt=""></p>
<p><img src="/images/2016/07/01/Screen%20Shot%202016-07-03%20at%2011.56.13%20PM.png" alt=""> </p>
<p>While CBD office rental growth has been stronger in Sydney, Melbourne's CBD is also experiencing rising demand with no new stock added in Q2 and vacancy below the long-run average. The landlord favourable market has resulted in prime net rents rising 3.3% in Q2, the strongest quarterly rise since 2011.</p>
<p> <img src="/images/2016/07/01/Screen%20Shot%202016-07-04%20at%2012.03.31%20AM.png" alt=""></p>
<p> <img src="/images/2016/07/01/Screen%20Shot%202016-07-04%20at%2012.01.51%20AM.png" alt=""></p>
<p>In contrast, rents in Brisbane eased further over the quarter. The market is set to experience double the long-term average new supply in 2016, with over 133,000 sqm expected over the year. While this new supply will keep direct vacancy at near record levels, much of the impact has now been priced into prime market rents.</p>
<p>“We estimate that the market is now at, or near, the bottom of the cycle. Although there are green shoots of recovery such as ongoing employment growth in the finance sector, it will likely take some time for a significant tranche of this current vacancy to be absorbed," said Dr Dominic Brown, head of Australia &amp; New Zealand Research.</p>
<p> <img src="/images/2016/07/01/Screen%20Shot%202016-07-04%20at%2012.09.12%20AM.png" alt=""></p>
<p><img src="/images/2016/07/01/Screen%20Shot%202016-07-04%20at%2012.05.28%20AM.png" alt=""></p>
<p> </p>
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