<p data-end="186" data-start="128">ANZ believes the Reserve Bank is in no rush to move again.</p>

<p data-end="441" data-start="188">Following the release of the May Monetary Policy Board Minutes, ANZ has taken the view that the RBA is now firmly in a holding pattern, with the cumulative impact of previous rate hikes giving the Board scope to assess how the economy evolves from here.</p>

<p data-end="508" data-start="443">That positioning, in ANZ’s view, makes a June rate hike unlikely.</p>

<p data-end="680" data-start="510">The bank continues to expect the cash rate to remain unchanged at 4.35 per cent for an extended period, with the RBA adopting what is effectively a wait-and-see approach.</p>

<p data-end="1015" data-start="682">The Minutes point to a Board that sees financial conditions as already restrictive, but without a clear read on just how restrictive they are. That uncertainty has shifted the focus away from immediate policy action and toward monitoring both domestic conditions and global developments, particularly the conflict in the Middle East.</p>

<p data-end="1098" data-start="1017">As ANZ interprets it, the Board is deliberately avoiding strong forward guidance.</p>

<p data-end="1345" data-start="1100">Instead, it is allowing itself flexibility, acknowledging that monetary policy has limited ability to influence the near-term trajectory of inflation, while also recognising that economic growth is likely to remain below potential for some time.</p>

<p data-end="1436" data-start="1347">Despite that pause in momentum, ANZ notes that the Board still carries a tightening bias.</p>

<p data-end="1678" data-start="1438">The Minutes reveal that, in weighing up its decision, the Board seriously considered another 25 basis point increase. The key debate centred on the trade-off between inflation and activity, particularly in the context of global uncertainty.</p>

<p data-end="1755" data-start="1680">Ultimately, most members leaned toward the inflation side of that equation.</p>

<p data-end="2082" data-start="1757">Underlying inflation is still expected to remain above target for an extended period, regardless of how external risks evolve. That has led to a view within the Board that the risks to its inflation objective have increased, and that the current cash rate may not be sufficiently restrictive to fully contain those pressures.</p>

<p data-end="2101" data-start="2084">That’s important.</p>

<p data-end="2239" data-start="2103">While the decision, for now, is to hold, the underlying tone of the Minutes suggests the door to further tightening has not been closed.</p>

<p data-end="2597" data-start="2241">ANZ also points to commentary from Assistant Governor (Economic) Sarah Hunter, who highlighted the risk that inflation could pass through the economy more quickly and broadly than in previous cycles. Both Hunter and a majority of the Board expressed concern that inflation expectations could become less anchored after such a prolonged period above target.</p>

<p data-end="2733" data-start="2599">That combination, persistent inflation and the risk of expectations shifting, is what continues to underpin the RBA’s cautious stance.</p>

<p data-end="2807" data-start="2735">However, where ANZ diverges from the RBA is on the outlook for activity.</p>

<p data-end="3152" data-start="2809">The Board appears relatively comfortable with current spending patterns, effectively downplaying recent declines in business and consumer sentiment. It notes that sentiment has historically been only weakly correlated with actual spending, and that feedback from its liaison program has not yet pointed to a meaningful slowdown in consumption.</p>

<p data-end="3176" data-start="3154">ANZ is less convinced.</p>

<p data-end="3464" data-start="3178">The bank believes the link between household disposable income, sentiment and spending is more direct than the RBA is currently acknowledging. With inflation continuing to erode real incomes, ANZ expects household spending to soften more materially than the central bank is forecasting.</p>

<p data-end="3528" data-start="3466">That divergence matters because it shifts the balance of risk.</p>

<p data-end="3740" data-start="3530">If activity weakens more than expected, the trade-off between inflation and growth changes. In ANZ’s view, that would reduce the need for further tightening and reinforce the case for the RBA to remain on hold.</p>

<p data-end="3855" data-start="3742">It also suggests that the current policy setting may already be doing more work than the Board fully appreciates.</p>

<p data-end="3945" data-start="3857">The broader takeaway from ANZ’s interpretation is that the RBA is walking a narrow path.</p>

<p data-end="4135" data-start="3947">On one side sits the risk of inflation remaining elevated for longer than expected. On the other is the growing pressure on households and the potential for a sharper slowdown in activity.</p>

<p data-end="4176" data-start="4137">For now, the Board is choosing to wait.</p>

<p data-end="4286" data-start="4178">But it is a pause that still carries an underlying tightening bias, rather than a clear pivot toward easing.</p>

<p data-end="4423" data-start="4288">In practical terms, that leaves the cash rate anchored at 4.35 per cent for the foreseeable future, with the next move still uncertain.</p>

<p data-end="4494" data-start="4425">For borrowers, it reinforces the reality that relief is not imminent.</p>

<p data-end="4686" data-start="4496">And for the broader economy, it highlights the delicate balance the RBA is trying to strike, between bringing inflation back to target and avoiding an unnecessarily sharp slowdown in growth.</p>

<p data-end="4774" data-is-last-node="" data-is-only-node="" data-start="4688">According to ANZ, it is a balance that is becoming increasingly difficult to maintain.</p>


Joel Robinson

RBA to hold rates for "prolonged period" rather than hikes: ANZ

<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>


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>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><span style="line-height: 1.3em;">In case it wasn't already obvious from reading this blog, I absolutely love analysing data flows, and I particularly love it when the numbers "just work"!</span></p>
<p>Immigration and population growth is a great case in point.</p>
<p>There was a huge surge in immigration and population growth to more than 450,000 per annum through the mining boom, which naturally slowed as the peak was passed and unemployment began to rise.</p>
<p>I've been hinting on this blog for a while that population growth probably bottomed out in 2015 and by now is probably rising again, though I haven't had any hard data to back that up just yet.</p>
<p>This is partly because a better performing Australian economy is now attracting more migrants - annual employment growth of about +2.3 per cent has been far outpacing population growth of about +1.3 per cent, helping the unemployment rate to cascade into a 28 month downtrend.</p>
<p>And secondly because, largely unrecognised by commentary, a relaxation of visa rules will see tens of thousands of international students acquire permanent residency through the "back door" of higher education.</p>
<div><strong><span style="text-decoration: underline;">Immigration rises again</span></strong></div>
<div> </div>
<div>There was a significant +14 per cent year-on-year jump in the number of permanent and long term arrivals in February to 91,590, while the number of permanent and long term departues wasn't much changed at +31,700, for a net monthly inflow of just under 60,000.</div>
<div> </div>
<div>I wouldn't read too much into one month of figures, granted, but mapping the data on a rolling annual basis showed a rise in net immigration for the first time in two years. </div>
<div id="post-body-6916561749567946338" class="post-body entry-content">
<br><a href="/images/2016/04/8/A3.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A3.jpg" alt=""><br><br><div>The share of settlers from Asia over the year to February continued to increase to its highest ever level at +58.1 per cent, largely at the expense of arrivals from the United Kingdom and New Zealand. </div>
<br><a href="/images/2016/04/8/A4.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A4.jpg" alt=""><br><div> </div>
<div><strong><span style="text-decoration: underline;">Record short term arrivals help rebalancing</span></strong></div>
<div> </div>
<div>The lower dollar is very slowly but surely helping the rebalancing of the economy, with a record 7.55 million short term arrivals in the year to February.</div>
<div> </div>
<div>Australia is a wealthy nation when measured in per capita terms, yet provided the dollar stays low enough for long enough evenutally there could even come a time when short term arrivals match the number of our own overseas trips, as more Aussies opt to holiday at home, thereby boosting the economy. In the words of British Rail, "we're getting there".</div>
<br><a href="/images/2016/04/8/A5.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content"> </div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A5.jpg" alt=""><br><div> </div>
<div>The annual number of short term arrivals from China, Hong Kong &amp; Taiwan (1.44 million) is poised to eclipse those from New Zealand &amp; Oceania imminently (1.49 million). </div>
<br><div class="separator"><a href="/images/2016/04/8/A1.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/04/8/A1.jpg" alt=""></div>
<br><strong><span style="text-decoration: underline;">Education arrivals going vert!</span></strong><br><br><div>With the share of overseas born Aussies now at a 120 year high, more than 2 million persons per annum are venturing Down Under to visit friends and relatives, which in turn reinforces the strength in the number of visitors from Asia. </div>
<br><a href="/images/2016/04/8/A6.jpg" target="_blank">Click to enlarge</a>
</div>
<div class="post-body entry-content">
<img src="/images/2016/04/8/A6.jpg" alt=""><br><div> </div>
<div>The most significant demographic shift of all has been the near-exponential surge in education arrivals, which bolted to another new record high of 95,100 in February, taking the annual total past half a million for the first time on record. </div>
<div> </div>
<div class="separator"><a href="/images/2016/04/8/A2.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/04/8/A2.jpg" alt=""></div>
<br><div class="separator">This is extremely significant, as in the years ahead tens of thousands of these international students will become permanent residents, largely in the largest capital cities.</div>
<div class="separator"> </div>
<div class="separator"><strong><span style="text-decoration: underline;">The wrap</span></strong></div>
<div> </div>
<div>Well, it has certainly been a while coming, but February saw the first rebound in immigration in a couple of years.</div>
<div> </div>
<div>In truth, population growth never really slowed that much in the largest capital cities anyway - still chugging along at a thunderous 80,000 to 90,000 per annum - the slowdown was more of a resources and a regional thing. </div>
<div> </div>
<div>In any case from observing the ABS data and from mapping out official government forecasts it looks as though population growth probably bottomed out at around 310,000 per annum, and is set to increase to about 340,000 in 2016, and to beyond 400,000 per annum before the end of the decade.</div>
<div> </div>
<div>Perhaps just as relevantly, it is important to note that the population growth is becoming increasingly centralised and focussed on a handful of capital cities, a trend which will only accelerate thanks to Asian and international student migration. </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>
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Population growth to rebound in 2016: Pete Wargent

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<p><span>Stockland has acquired the remaining 50 percent stake in the shopping centre formerly known as Sugarland Shoppingtown in Bundaberg, completing its 100 per cent acquisition of the centre.</span></p>
<p><span>Stockland acquired the remaining stake in the centre, which will now be rebranded as Stockland Bundaberg, for $61.5 million from a client of AMP Capital.</span></p>
<p><span>Stockland acquired its initial 50 percent stake in the centre from an AMP Capital managed fund for $59.25 million in October 2014.</span></p>
<p><span>John Schroder, Group Executive and CEO Commercial Property at Stockland, said Stockland Bundaberg SAT amongst the most productive shopping centres in their national retail portfolio. </span></p>
<p><span>Stockland Bundaberg is a 22,795 square metre sub-regional shopping centre anchored by Woolworths, Big W and JB Hi Fi, and includes four additional mini-majors and 64 specialty stores. It is the anchor mall at the centre of the rapidly growing West Bundaberg retail precinct.</span></p>
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Stockland takes 100 percent of Sugarland, Bundaberg

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<div>
<span style="line-height: 1.3em;"> </span><span style="line-height: 1.3em;">South Australia has headaches, not least in the form of Whyalla where the town's major employer is suspended from trading on the securities exchange having failed to guide its steelworks back to break even over recent years, despite continually cutting costs and capex, and having unveiled a recapitalisation proposal back in February that has now been rejected.  </span>
</div>
<div> </div>
<div>Steel company Arrium Limited (ASX: ARI), which employees thousands of workers and has an export port facility at Whyalla, has been stuck in a trading halt and has been suspended from official quotation, with the company staring down a possible bankruptcy or a likely voluntary administration and its last traded share price at only 2.2 cents.<br><br><div class="separator"><a href="/images/2016/04/8/ARI.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"><img src="/images/2016/04/8/ARI.jpg" alt=""></div>
<div class="separator"> </div>
<div class="separator"><em><span style="text-decoration: underline;">Source: ASX</span></em></div>
</div>
<div>It was announced to the ASX this week, in the euphemistically graceful way of these things, that the Chief Financial Officer of the company has resigned "to pursue other interests", while the company attempts to refinance its massive and unsecured $2.8 billion debt burden.<br><br>
</div>
<div>Whyalla already felt the pain of OneSteel shedding jobs last year and further cuts were made by OneSteel this week, with approximately 1,000 jobs lost in Whyalla since the beginning of last year as South Australian unemployment spiked to a 14 year high. </div>
<div> </div>
<div>Given that Arrium employs about 10 per cent of Whyalla's working population, the potential closure of the steelworks could rip the local community apart, having a more devastating impact than the closure of Holden upon South Australia, potentially resulting in related job losses variously estimated at between 3,000 and 4,000 (Arrium has about 10,000 employees in total, and the possible closure of the steelworks itself would directly account for 1,100 jobs). </div>
<div> </div>
<div>These are desperate numbers for a town with a population of only 22,000, and any such closure would inevitably result in an exodus or population outflow from the region. Let's sincerely hope that doesn't happen, though at present the outlook seems bleak.<br><br><strong><span style="text-decoration: underline;">Property market decimated</span></strong>
</div>
<div> </div>
<div>Median house prices have reportedly fallen sharply in Whyalla, while there have been few takers for attached dwellings, resulting in a crushing of unit prices.<br><br>
</div>
<div>It was reported this week that more than a billion dollars has been wiped off the value of Whyalla's property market in recent years - from $2.7 billion to $1.5 billion - as homeowners flood the market with for sale boards (though quite how those figures are derived given that so few dwellings have actually transacted is open to question). </div>
<div> </div>
<div>This may sound like catastrophising, but vacancy rates are threatening to go through the roof, with scores of properties listed for rent in Whyalla and hundreds more in surrounding suburbs.<br><br>
</div>
<div><a href="/images/2016/04/8/SQM.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2016/04/8/SQM.jpg" alt=""></div>
<div class="separator"> </div>
<div class="separator"><a href="/images/2016/04/8/SQM2.jpg" target="_blank"> Click to enlarge</a></div>
<div>
<br><div class="separator"><img src="/images/2016/04/8/SQM2.jpg" alt=""></div>
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<div class="separator"><a href="/images/2016/04/8/SQM3.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"> </div>
<div class="separator"><img src="/images/2016/04/8/SQM3.jpg" alt=""></div>
<div class="separator"> </div>
</div>
<div><em><span style="text-decoration: underline;">SQM Research</span></em></div>
<div> </div>
<div>Note that the dynamics described above have transpired while Whyalla's official unemployment rate is still relatively speaking quite low, at 7.2 per cent  as at December 2015.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">Slow house sales</span></strong></div>
<div> </div>
<div>In truth it is very challenging to get an accurate read on housing market prices, since although there are now hundreds of properties listed for sale, comparatively very few of them have been selling. </div>
<div> </div>
<div>Looking at some specific examples suggests that if outright panic isn't on the cards yet, it may not be that far off if Arrium does shut up shop. As noted above, hopefully this proves not to be the case. </div>
<div> </div>
<div>By way of one example, following a few false starts and 372 days - more than a year - on the market, this house finally sold for $140,000, 36.4 per cent less than it was originally listed for. </div>
<div> </div>
<div class="separator"><a href="/images/2016/04/8/Whyalla1.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"> </div>
<div class="separator"><img src="/images/2016/04/8/Whyalla1.jpg" alt=""></div>
<p> </p>
<div class="separator"><a href="https://3.bp.blogspot.com/-4kOFesTsRMM/VwTu2Y5IziI/AAAAAAAAcRo/6n9VAIURjoYWNIwL4t2itTiVV4TXNfNXg/s1600/WHyalla2.jpg"><img src="https://3.bp.blogspot.com/-4kOFesTsRMM/VwTu2Y5IziI/AAAAAAAAcRo/6n9VAIURjoYWNIwL4t2itTiVV4TXNfNXg/s640/WHyalla2.jpg" width="640" height="66"></a></div>
<p> </p>
<div class="separator"><a href="https://1.bp.blogspot.com/-fKMid6N-oPE/VwTu2YeCZuI/AAAAAAAAcRw/atIfr41-xY4Ra78ibngGtjrLeb-mtfN6g/s1600/WHyalla3.jpg"><img src="https://1.bp.blogspot.com/-fKMid6N-oPE/VwTu2YeCZuI/AAAAAAAAcRw/atIfr41-xY4Ra78ibngGtjrLeb-mtfN6g/s640/WHyalla3.jpg" width="640" height="82"></a></div>
<p> </p>
<div>Other examples suggest that prices may now be down by about a quarter over the last couple of years, but this statistic is essentially useless to individual prospective sellers, since it really all comes down to the asset in question and whether a willing buyer can be found.</div>
<div> </div>
<div>While Arrium's steelworks fate is not yet decided, unfortunately this is becoming an all too familar story with regards to these small towns and cities that are so heavily reliant on a small number of employers.</div>
<div> </div>
<div>No doubt it's great if you can buy at the beginning of a resources boom and nimbly sell before the peak, but if you miss the precise turning points these markets have the potential to become frightfully thin and illiquid, and there may be nobody to even rent your property to, let alone sell it.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">Share indices</span></strong></div>
<div> </div>
<div>Another related graphic from the RBA Chart Pack worth looking at is the Australian share price indices chart. Note that the y axis here is presented on a log scale - the swan dive in the resources index since its peak has been nothing short of breathtaking.</div>
<div> </div>
<div><a href="/images/2016/04/8/australian-share-price-indices-small.gif" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2016/04/8/australian-share-price-indices-small.gif" alt=""></div>
<div> </div>
<div>To a certain extent the resources index has been reflected the fortunes of property markets in resources heavy regions, albeit not coterminously.<br><br>Sure, if you got in to the resources penny dreadfuls in 2000 and sold out in 2007 then you'd say that the resources minnows and micro-caps are the best thing since sliced bread, but over the longer term the self-sustaining industrials and financials triumph.<br><br>Yes, I get the counter-arguments, if you bought a house in Whyalla for $150,000 in 2000 today it "could" be worth double what you paid for it, assuming you can find a willing buyer (i.e. a "when to" investment rather than a "how to" investment).<br><br>That said, looking at actual resales of like-for-like properties shows that price performance has not been as smart as suggested by median prices (which are distorted by development).<br><br>Unfortunately many property investors hopped on to the mining boom bandwagon around 2012 egged on by seminar groups and promoters, and are somewhat more precariously placed as voluntary administration looms large for Arrium.<br><br>Don't get me wrong, I hailed from a depressed steel city myself, and the last thing anyone with a heart wants to see is a single job lost. But the steelworks is not viable, and it appears likely to close without government handouts, and as such the housing market is wobbly to say the least.</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>
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Whyalla wipeout on the brink (redux): Pete Wargent

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<p>The number of homes being taken to auction is continuing to increase with 1,677 capital city homes scheduled to go under the hammer this week.</p>
<p>While Sydney had more auctions than Melbourne over the past two weeks, this week, Melbourne’s auction activity is set to rise, bringing the total number of residential auctions to 730, as opposed to the 624 scheduled for Sydney.</p>
<p>This week, auction volumes are higher than last week in the two major auction markets of Melbourne and Sydney, while they remain relatively steady across the remaining capital cities.</p>
<p><span style="text-decoration: underline;"><strong>Capital </strong></span><span style="text-decoration: underline;"><strong>City Auctions this week:</strong></span></p>
<ul>
<li>
<strong>Sydney</strong><strong>: </strong><strong>624</strong>
</li>
<li>
<strong>Melbourne: </strong><strong>730</strong>
</li>
<li>
<strong>Brisbane: </strong><strong>145</strong>
</li>
<li>
<strong>Adelaide: </strong><strong>70</strong>
</li>
<li>
<strong>Perth: </strong><strong>32</strong>
</li>
<li>
<strong>Canberra</strong><strong>: 65</strong>
</li>
</ul>
<p>The three busiest individual suburbs for auctions this week are all located in Melbourne, with 17 auctions scheduled to take place in Mount Waverley, 16 in Reservoir and 14 in Preston.</p>
<p><span style="text-decoration: underline;"><strong>Summary of last week’s results:</strong></span></p>
<p><a href="/images/2016/04/7/20160407-cc-table.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/7/20160407-cc-table.png" alt=""></p>
<p>Across the combined capital cities, clearance rates softened last week from 70.9 percent for the previous week to 66.6 percent last week. Much of the fall in clearance rates was driven by Sydney, which was the busiest auction market over the week, host to 664 auctions and recorded a clearance rate of 69.8 percent, far lower than the 77.9 percent over the previous week.</p>
<p>In Melbourne, the auction clearance rate remained relatively steady, down to 69.2 percent from 71.4 percent the previous week.</p>
<p><a href="/images/2016/04/7/20160407-graph.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/7/20160407-graph.png" alt=""></p>
<p>Despite the fall in Sydney’s auction clearance rate, there were some very strong sub-regions in the city. City and Inner South (91.4 percent) and Eastern Suburbs (90.5 percent) both saw clearance rates in excess of 90 percent, while in Parramatta only one third of auctions were successful.</p>
<p>The strongest clearance rate across Melbourne was 76.3 percent in the Inner East.</p>
<p>Of the other capital city auction markets, Adelaide was the best performer last week with 71.2 percent of auctions clearing, while in all other cities only around half of the properties taken to auction resulted in a sale.</p>
<p><a href="/images/2016/04/7/20160407-sub-region.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/7/20160407-sub-region.png" alt=""></p>
<p> </p>
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Melbourne auction levels outpacing Sydney: CoreLogic RP Data's Shana Miller

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<p class="Body"><span style="line-height: 1.3em;">The image-makers who groom politicians think we’re simplistic creatures easily led. Primary school mantras like “stop the boats” will get us every time, apparently. Of course, if they were right, no one would ever lose an election.</span><span style="line-height: 1.3em;"> </span></p>
<p class="Body">Queensland’s Premier Anna Palaszczuk, not the sharpest tool in the political shed, clearly thinks the “jobs, jobs, jobs” song sheet is the best one to sing from. She and her ministers are chanting this mantra in front of cameras every day.</p>
<p class="Body">But it doesn’t matter how good the song, if the singer is tone deaf it’s still going to jar with the listener.</p>
<p class="Body">So the Premier’s big pitch to justify a mining lease to Indian corporate villain Adani for a mega-billion coal mine - jobs for Queenslanders, jobs for locals, jobs for everyone north of the NSW border - had a hollow sound. You could see in her delivery at the press conference that she didn’t really believe it herself.<span style="line-height: 1.3em;"> </span></p>
<p class="Body">She is no doubt aware of Adani’s track record of being big on rhetoric and small on delivery. Already the company is pulling back from earlier statements about starting work and there is unlikely to be any action in the next 12 months.</p>
<p class="Body">The company won’t even make the key investment decision until some time in 2017. It has been unable to find a bank willing to lend for the project and there will continue to environmental opposition and court challenges.</p>
<p class="Body"> <span style="line-height: 1.3em;">As one major newspaper commented: “Much is the wailing and gnashing of teeth at the move by the Queensland government to approved the project, but this approval is entirely political. It’s all about the appearance of commitment to jobs – jobs that will never occur unless the coal price doubles.”</span></p>
<p class="Body">If and when the project goes ahead, the modern trend of flying in your workers from distant locations and accommodating them in temporary workers camps will seriously dilute the economic and property market benefits in Central Queensland.</p>
<p class="Body">To recap, this week the Queensland Government issued the mining lease Adani needs to proceed with its Carmichael mega coal mine in the Galilee Basin. I’ve seen many different cost estimates for this project, anywhere between $8 billion and $15 billion.</p>
<p class="Body">Whichever way you look at it, it’s a massive project. The proponent says there will be 4,875 jobs in building and operating the mine, plus 1,520 jobs in building and operating the rail link to Abbot Point. There will be, allegedly, a $4.1 billion boost to the economy.<span style="line-height: 1.3em;"> </span></p>
<p class="Body">But can we believe the numbers about jobs and economic benefits, and will it make any difference to ailing property markets in Central Queensland?</p>
<p class="Body">The mine site is a long way from major population centres. This will be a FIFO operation with temporary accommodation camps set up close to the mine. And we’ve seen what happens to local towns when mining companies bypass the local communities and hire workers from outside the area, flying them in from distant locations.</p>
<p class="Body">Moranbah, Gladstone and Emerald are examples. All attracted major development of new dwellings from builders who expected rising demand for local houses and services, not understanding that most would be flying in and staying in camps. Massive oversupply resulted, causing rents and property values to fall.<span style="line-height: 1.3em;"> </span></p>
<p class="Body">The existence of major resources developments puts pressure on local towns, for example its medical services - but they derive few of the benefits because most of the workers don’t live locally and they don’t spend locally. They take their fat pay packets back home, which might be Brisbane, the Sunshine Coast, Sydney or Perth.</p>
<p class="Body">So the core message is that there will be no property boom, if and when Adani eventually does go ahead with its mega project.</p>
<p class="Body">And, in terms of jobs for locals – there will be few, if any.</p>
<p class="Body"><em>Terry Ryder is the founder of <a href="https://www.hotspotting.com.au/" target="_blank">hotspotting.com.au</a>. You can <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email him</a> or follow him on <a href="https://twitter.com/hotspotting" target="_blank">Twitter.</a></em></p>
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No property boom from Queensland's latest FIFO mining project: Terry Ryder 

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<p>Childcare centres were much in demand at Burgess Rawson's 103 portfolio auction in Sydney on Tuesday, with all the four on offer being snapped up by investors.</p>
<p>Hubba Bubba Child Care at <a href="https://www.burgessrawson.com.au/buying/NSW/North-Shore-~-Lower/Chatswood/Office/2P1153#.Vv2x_GR946U" target="_blank">204 Mowbray Road</a> in Sydney's Chatswood, which had received 185 enquiries prior as reported by Property Observer, sold for $2.41 million on a record low yield of 3.9 percent to a local investor.</p>
<p><span>The 26-place childcare centre with 100 percent occupancy earns a net of $94,000 pa plus GST. </span></p>
<p><span>The portfolio auction of 19 properties generated more than $35 million in sales, according to the Australian Financial Review.</span></p>
<p><span>Burgess Rawson director Dean Venturato said the Chatswood childcare centre sale was the clear standout result.</span></p>
<p><span>"We've sold over 120 childcare centres over the last two years and it's the first time we've sold one on sub-4 percent yield," he was quoted as telling AFR.</span></p>
<p><span style="line-height: 1.3em;"> </span></p>
<p><span style="line-height: 1.3em;">Another childcare centre, at <a href="https://www.burgessrawson.com.au/buying/NSW/Northern-Beaches/Freshwater/MedicalorConsulting/2P1163#.Vv2042R946U" target="_blank">10/4-8 Waine Street, Freshwater</a>, sold on a 6.1 percent yield. This one has </span><span style="line-height: 1.3em;">80 places with 100 percent vacancy and a waiting list.</span></p>
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<div><span>The Prairewood centre at <a href="https://www.burgessrawson.com.au/buying/NSW/Western-Sydney/Prairiewood/MedicalorConsulting/3P1258#.Vv2222R946U" target="_blank">6 Pierce Close</a>, in the outer west, sold on a 5.1 percent yield.</span></div>
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Childcare centres ripe for Burgess Rawson's 103 portfolio auction

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<p><span>Retail vacancy in Melbourne's</span><span style="line-height: 1.3em;"> CBD Core and Swanston Walk retail precinct was 2.6 percent in March 2016, lower than the 3.8 percent recorded a year ago according to Savills. </span></p>
<p><span style="line-height: 1.3em;">The latest Melbourne retail market update from Savills found vacant space is tight in the arcades and laneways with only three of the 181 shops currently available for lease. It said street front shops had the highest vacancy rate with seven of the 247 shops vacant, followed by Shopping Centres with 19 of the 704 shops available for lease.</span></p>
<p><span style="line-height: 1.3em;">"Vacancy in the Street Front and Shopping Centres was largely driven by shops in secondary locations," the report noted.</span></p>
<p><span style="line-height: 1.3em;">"Prime retail locations are taken-up as soon as they become available. For example, Sketchers will be launching their flagship store at 106 Elizabeth Street, a backfill space vacated by Cotton On."</span></p>
<p><a href="/images/2016/04/5/Screen%20Shot%202016-04-05%20at%204.18.29%20PM.png" target="_blank"><span>Click to enlarge</span></a></p>
<p><span><img src="/images/2016/04/5/Screen%20Shot%202016-04-05%20at%204.18.29%20PM.png" alt=""></span></p>
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March retail vacancy in Melbourne's CBD, Swanston Walk at 2.6 percent

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<p>Swedish fashion giant H&amp;M will open its next Australian store at Broadway Sydney in spring in the revamped Level 2 precinct.</p>
<p>Broadway <span style="line-height: 1.3em;">owners, Mirvac Group and Perron Group today said the redevelopment includes a 3,400 square metre expansion to increase the food and fashion retail offering to approximately 31 retailers.</span></p>
<p><span style="line-height: 1.3em;">Mirvac senior retail development manager Christina Nelson, said by bringing more prestigious retail options to the inner west, we’re giving locals the opportunity to shop for everything they need without having to venture into the city</span></p>
<p><span style="line-height: 1.3em;">“H&amp;M is the perfect addition to our current offering, which includes everything from Apple Store, JB-Hi Fi, Nike, Kmart and Target to Coles, ALDI, Hoyts and Rebel.”</span></p>
<p><span style="line-height: 1.3em;">H&amp;M is known for its collaborations with celebrated designers such as Karl Lagerfield, Stella McCartney, Jimmy Choo and Madonna.  </span></p>
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Swedish fashion giant H&M set for Broadway Sydney

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<p>GUEST OBSERVER</p>
<p>With low interest rates, combined with strong house prices and tighter residential investor lending conditions, lenders are urging investors to consider adding a commercial property to their real estate portfolios<strong>.</strong></p>
<p>If you’re new to commercial real estate, the good news is that you can still rent out the property just like a house or apartment. And better still, you receive a rental income in return. In fact, as a general rule of thumb, the rental yields for commercial property investments may vary between 6 percent and 12 percent.</p>
<p>This wide variation can be attributed to whether it’s a retail, industrial or office space, the build quality and location of the asset, its environmental rating and so on.</p>
<p>Other important differences with residential real estate include the fact the tenant of a commercial property is called a “lessee”<a href="https://www.investopedia.com/terms/l/lessee.asp">,</a> and the leases generally run for longer periods of time – usually several years. The trouble is that when a commercial lessee decides to move on, finding a replacement business to take up the lease can be a little more time-consuming than finding a residential tenant.</p>
<p>Also, Goods and Services Tax (GST) applies to a commercial property. If you buy a commercial premises, such as a shop or factory, you may be eligible to claim a credit for the GST included in the purchase price.</p>
<p>You may also be able to claim GST on other expenses that relate to buying the property – such as the GST included in solicitors’ fees and ongoing running expenses, according to Australian Taxation Office. So be sure to keep your records and paperwork up to date.</p>
<p>In addition, any commercial properties used in the running of a business are subject to capital gains tax (CGT). You’re also generally liable for GST on the sale price and can claim GST credits on related purchases.</p>
<p><em><span>Angus Raine is executive chairman, <a href="https://www.raineandhorne.com.au/" target="_blank">Raine &amp; Horne</a>.</span></em></p>
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What is involved in investing in a commercial property? Angus Raine

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<p>Minister for Family and Community Services and Social Housing Brad Hazzard <span style="line-height: 1.3em;">and the Lord Mayor of Sydney, Clover Moore, officially opened the latest development by </span><span style="line-height: 1.3em;">City West Housing, The Exordium Apartments at Zetland.</span></p>
<p><span style="line-height: 1.3em;">Exordium Apartments at Zetland is a $41m development comprising 104 </span><span style="line-height: 1.3em;">contemporary one, two and three bedroom units geared toward </span>affordability<span style="line-height: 1.3em;"> for city workers.</span></p>
<p>Janelle Goulding, CEO of City West Housing said the vision for the development <span style="line-height: 1.3em;">was to create a high quality and sophisticated contemporary building and </span><span style="line-height: 1.3em;"> provides a mix of residential </span><span style="line-height: 1.3em;">dwellings to help support the ever increasing demand for affordable rental accommodation.</span></p>
<p>It will feature communal gardens and BBQ areas, a small cafe and a single <span style="line-height: 1.3em;">level basement with parking for 40 cars and ample bicycle storage.</span></p>
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