Family-owned builder and developer <a href="https://www.apartments.com.au/developers/omaya">Omaya</a> is bringing its 27-storey The Maybelle development to market, with the 229-apartment tower rising alongside Ismay Reserve near North Strathfield.

<a href="https://www.apartments.com.au/new-apartments/the-maybelle-21-parramatta-road-homebush-nsw-2140">The Maybelle</a> will comprise one, two and three-bedroom apartments, with its height providing elevated outlooks towards the Sydney skyline and Harbour Bridge, while other residences will look across neighbouring Ismay Reserve.

Designed by <a href="https://www.apartments.com.au/architects/squillace-architects">Squillace Architects</a>, the tower combines its parkside setting with proximity to the established retail, dining and transport amenity around North Strathfield.

[smartcode_project:default project_id=134873 project_image_fid=376196]

Residences will feature open-plan living spaces and a choice of two interior schemes, while communal amenity is spread across two elevated levels of the building.

Level 8 will be home to the Garden Pavilion, a full-floor resident space incorporating communal entertaining and breakout areas, seating and recreation spaces. Further up the tower, a landscaped Sky Terrace on Level 14 will provide another communal area with panoramic views towards the Harbour Bridge and Sydney skyline.

At ground level, the development sits directly alongside Ismay Reserve, where lawns, walking paths, children's play areas, picnic spaces and recreational facilities extend the green space available immediately around the project.

[smartcode_project:default project_id=134873 project_image_fid=376194]

The Maybelle is also within walking distance of North Strathfield and the Bakehouse Quarter, which provides a mix of cafés, restaurants, shops and everyday services.

Existing rail and bus services provide connections across Sydney, while the future North Strathfield Metro and access to the M4 will add to the transport options available around the precinct. Walking and cycling routes also extend via Powells Creek towards Sydney Olympic Park and its sporting, entertainment and parkland precincts.

Families are also well positioned for access to a broad selection of established schools and education options across Strathfield and the surrounding Inner West.

[smartcode_project:default project_id=134873 project_image_fid=376181]

Omaya has operated in Sydney for more than 35 years, managing projects from acquisition and design through to construction and delivery. The family-owned company is both developer and builder of The Maybelle.

Apartments start from $560,000, with the development protected by 10-year Latent Defects Insurance.

Construction is well underway, with completion expected by the end of 2026 and move-in anticipated from Q1 2027.

[smartcode_project_cta:default project_id=134873]

Joel Robinson

The Maybelle brings 27-storey parkside tower to market near North Strathfield

Melbourne developer <a href="https://www.apartments.com.au/developers/pdg-corporation">PDG</a> has unveiled its vision for the former Water Tank Site in Ivanhoe, which would see it transformed into a thriving residential neighbourhood, complete with a 2000 sqm public park.&nbsp;

Delivered in partnership with <a href="https://www.apartments.com.au/developers/development-victoria">Development Victoria</a>, the proposal would transform the prominent corner of Bell Street and Upper Heidelberg Road into a connected community comprising two residential buildings, generous public open space and shared amenities.&nbsp;

The vision includes 287 one, two and three-bedroom apartments, with a minimum of 10 per cent allocated to affordable housing, alongside a 2,000-square-metre publicly accessible park featuring a children's playground, activity lawn, indigenous planting, timber climbing logs, seating areas and a rock gathering circle.&nbsp;

Designed by <a href="https://www.apartments.com.au/architects/dko-architecture">DKO Architecture</a>, the proposal draws on the site's industrial heritage, using a robust architectural language that references the former water tank through expressive structural elements and durable, self-finished materials.&nbsp;

Extensive landscaping has been woven throughout the development, creating a living landscape that strengthens connections to nature while responding sensitively to the surrounding neighbourhood. Two residential buildings ranging from three to 12 storeys are linked by a landscaped forecourt, creating a welcoming arrival experience and improving pedestrian connections through the site.&nbsp;

Residents would also enjoy more than 1,000 square metres of communal open space, including barbecue and dining facilities, vegetable gardens, landscaped seating pavilions and a dedicated coworking space.&nbsp;

PDG Founder and Managing Director Vince Giuliano said the vision reflected an opportunity to transform one of Ivanhoe's most recognisable sites into a place that balanced housing, community and landscape.&nbsp;

"This is an opportunity to reimagine an important site and create a neighbourhood that delivers lasting benefits for Ivanhoe," Giuliano said.&nbsp;

"We're creating much more than new homes. The vision brings together affordable housing, quality architecture, meaningful public open space and shared places that encourage people to connect, while respecting the site's history and its place within the local community."&nbsp;

Development Victoria’s Executive General Manager Precincts, Niall Cunningham, said the application is an important step for the government-owned site.&nbsp;

“This is about delivering more homes in a well-connected location, along with public open space that the Ivanhoe community will benefit from for years to come,” Cunningham said.&nbsp;

PDG was selected as development partner in late 2025 following a competitive tender process.&nbsp;

A planning submission for the project is currently being progressed through the Victorian Government's Development Facilitation Program, with positive early engagement from both Banyule Council and the Department of Transport and Planning.

PDG unveils plans to transform landmark Ivanhoe Water Tank Site

Shane Wilkinson's <a href="https://www.apartments.com.au/developers/pace-development-group">Pace Development Group</a> has lodged plans for a major residential precinct on the former Presentation College site in Windsor, with an eight-building masterplan ultimately rising to 10 storeys.

The proposal at <a href="https://www.apartments.com.au/new-apartments/167-dandenong-road-windsor-vic-3181">167–187 Dandenong Road</a> spans a substantial 19,027 sqm site and is being progressed across six stages, with the first residential stages comprising 170 homes across four buildings designed by <a href="https://www.apartments.com.au/architects/cera-stribley-architects">Cera Stribley</a>.

Stage Two will deliver the bulk of the initial housing, with Building A comprising 81 apartments and Building B 49 apartments, both rising to six storeys.

Stage Three will deliver a further 40 homes. The heritage Nagel Building, identified as Building C, will be converted to 12 dwellings, while a new five-storey Building D will comprise 28 apartments at the Hornby Street and Dandenong Road corner.

The 170 homes across Stages Two and Three will include a mix of one, two and three-bedroom apartments, including townhouse-style dwellings.<img alt="First look: Pace plans landscaped housing precinct on former Windsor school site" data-entity-type="file" data-entity-uuid="83c56e3e-dfb9-4e12-b172-c3f18513ec32" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_9.png?VersionId=xRcRpSZsxX.UX_NDDGcRZktw7HVrzx7u" />

&nbsp;

The longer-term masterplan points to considerably greater density across the site.

Indicative plans show Building E accommodating around 80 dwellings across up to 10 storeys, while Building F is earmarked for around 120 dwellings and also up to 10 storeys. Building G is planned to range between four and 10 storeys, however its apartment yield is yet to be determined. That means the masterplan currently identifies at least 370 dwellings across Buildings A to F before any apartments within Building G are counted.

Across the 1.9-hectare site, that represents an indicative density of at least 194 dwellings per hectare, with the final figure to increase once the yield of Building G is established.

Pace is pursuing the project through the Victorian Government's Development Facilitation Program, with Urbis lodging a combined Section 96A planning scheme amendment and planning application on behalf of the developer, which secured the site earlier this year.

The application seeks detailed approval for Stages One, Two and Three, alongside approval of the broader masterplan framework that will guide the later residential stages. Stage One will see an existing heritage building adaptively reused for a wellness and fitness-related facility, while the broader precinct will retain several significant heritage buildings and established trees as part of the redevelopment.

A minimum 10 per cent affordable housing contribution is proposed across both the initial residential stages and the later masterplan stages, delivered through a discounted rental model.

The project comes immediately after a major change to the site's planning controls.

The site was rezoned to the Housing Choice and Transport Zone through Planning Scheme Amendment GC285, gazetted on July 22, 2026, and now sits within the inner catchment of the Windsor Station precinct under the State Government's Train and Tram Zone Activity Centres Program.

While the new controls identify large sites within the inner catchment for buildings of up to six storeys, Pace's masterplan pushes height to 10 storeys in parts of the site, with the taller buildings concentrated toward the centre and along the Sandringham railway corridor.

Lower-scale built form is proposed toward the site's more sensitive residential and heritage edges, with Buildings A and B generally stepping from three storeys at their interfaces to six storeys at upper levels.

Cera Stribley's masterplan breaks the development into a collection of separate buildings rather than a continuous built form, with landscaped spaces, new pedestrian links and a new publicly accessible road forming part of the precinct.

The planning report says the development will create new pedestrian connections to Elm Place and along the railway corridor, as well as a new publicly accessible road linking Elm Place with Dandenong Road. The proposed buildings will occupy around 54 per cent of the site, leaving a substantial portion available for landscaping, communal areas and permeable surfaces.

Urbis said the scale of the project reflected the site's strategic location close to Windsor Station, tram services and the Chapel Street Activity Centre, with the former school campus identified as a significant opportunity to increase housing supply on an underutilised inner-Melbourne site.

&nbsp;

First look: Pace plans landscaped housing precinct on former Windsor school site

<a href="https://www.apartments.com.au/developers/jl-place">JL PLACE</a>'s Veil Brighton is approaching its final months of construction, with the nine-townhouse development at 17 Rooding Street expected to complete in December 2026.

The milestone is bringing the boutique project closer to becoming a finished part of the <a href="https://www.apartments.com.au/developments/brighton-vic-3186">Brighton</a> streetscape, with much of Brighton's everyday amenity within a short walk.

Palace Cinema, Coles Supermarket and North Brighton Station are all around five minutes on foot from <a href="https://www.apartments.com.au/new-townhouses/veil-brighton-17-rooding-street-brighton-vic-3186">Veil</a>, alongside numerous cafés, restaurants and bars. The station provides a direct rail connection toward Melbourne's CBD, while Bay Street and the wider Brighton retail and dining network add to the range of services accessible without relying on a car for every trip.

"The location was fundamental to the project. Brighton is an established suburb where many buyers already have strong connections to the area and want to remain close to the people, places and amenities that form part of their everyday life," the developer said.

"Veil sits in a highly walkable part of Brighton, with a Walk Score of 90/100."

For buyers looking to right-size within Bayside, that level of walkability adds to the appeal of a more manageable way of living. Everyday shopping, dining, entertainment and public transport can be accessed without relying on the car for every trip, while residents remain connected to the places and routines that make Brighton familiar. It allows buyers to simplify day-to-day life without giving up the convenience, amenity and connections they already value.

[smartcode_project:default project_id=7877 project_image_fid=355754]

As completion approaches, the architecture, landscaping and material palette are progressively becoming visible on site, giving prospective purchasers a clearer view of the finished development beyond its plans and renders.

Veil comprises nine townhouses, predominantly three-bedroom homes with between 2.5 and 3.5 bathrooms, two car spaces and, depending on the residence, study areas and private outdoor space. Selected homes include a bedroom on the ground floor.

Veil occupies a middle ground between detached housing and apartment living, retaining private gardens, storage and secure parking within a more manageable residential format.

<a href="https://www.apartments.com.au/architects/schmidt-pang-architects">Schmidt &amp; Pang</a> designed the architecture around natural light, ventilation, privacy and practical use of space. From Rooding Street, the façade has been composed to read as a cohesive residential building rather than nine individual townhouses, with landscaping by <a href="https://www.apartments.com.au/landscape-architect/john-patrick-landscape-architects">John Patrick Landscape Architects</a> integrated throughout the site.

Inside, natural stone, oak flooring, integrated joinery and brushed nickel finishes establish a restrained material palette, while kitchens include Miele appliances and substantial storage such as pantries. Walk-in robes and dedicated study spaces have also been incorporated across the collection.

[smartcode_project:default project_id=7877 project_image_fid=355852]

The project team said the planning of the homes has been informed by how the spaces function for both daily routines and larger gatherings.

"Our new homes owners at Veil have enjoyed the attention to detail in creating efficient layouts that use every space well. Hosting Christmas lunch and large family gatherings is an ease when care is taken to consider how people really live and entertain."

Private landscaped gardens extend the living spaces outdoors, while secure basement parking and bicycle parking are provided below. The homes have also been designed to achieve a 7-star energy rating, supported by double glazing, high-quality insulation, natural ventilation, LED lighting, water tanks and water-efficient fittings. Each residence is backed by a 10-year building guarantee.

Veil is being built by <a href="https://www.apartments.com.au/builders/jeniton">Jeniton</a>.&nbsp;Limited-time stamp duty savings are also currently available on selected purchases at Veil, adding another consideration as the project moves toward completion.

[smartcode_project_cta:default project_id=7877]

Veil Brighton nears completion in one of the suburb's most walkable pockets

<a href="https://www.apartments.com.au/developers/mosaic-property-group">Mosaic Property Group</a> has recorded 134 sales worth just over $400 million in two months of pre-release activity at The Riversdale, as the developer brings its $750 million South Brisbane riverfront project to the broader market.

The sales represent more than 60 per cent of the project's 213 apartments, with Mosaic reporting the majority of purchasers have been local owner-occupiers and downsizers.

<a href="https://www.apartments.com.au/new-apartments/the-riversdale-by-mosaic-south-brisbane-91-montague-road-south-brisbane-qld-4101">The Riversdale</a> will rise 39 storeys from its north-facing site at 91 Montague Road, delivering a mix of two, three and four-bedroom apartments alongside a collection of Mosaic's premium Masterpiece Series Sky Homes.

[smartcode_project:default project_id=151614 project_image_fid=371872]

The early buyer response comes ahead of the wider evolution of the northern end of Montague Road, where The Riversdale will be one of the first major residential projects delivered within an emerging riverfront precinct.

Directly adjoining the development is a planned 7.1-hectare mixed-use precinct, set to introduce new residences, parkland and public realm along the river's edge. The Riversdale's position directly on the Brisbane River gives it a relationship with the waterfront that Mosaic says cannot be replicated by future buildings within the precinct.

The site is also the result of a years-long pursuit by Mosaic. The developer first earmarked the <a href="https://www.apartments.com.au/developments/south-brisbane-qld-4101">South Brisbane</a> property in 2018, reflecting what Founder and Managing Director Brook Monahan has described as a deliberately patient approach to acquiring development sites.

[smartcode_project:default project_id=151614 project_image_fid=372083]

"We aren't opportunistic," Monahan previously told Apartments.com.au.

"Every site purchase is carefully considered. As seen with Kangaroo Point and South Brisbane, it can take years to eventuate. There are sites we're looking at now that we may not secure for several years."

Designed in collaboration with <a href="https://www.apartments.com.au/architects/bureauproberts">Bureau Proberts</a>, The Riversdale has been shaped around the qualities of the riverfront site, with apartments oriented to capture northern light and uninterrupted Brisbane River views.

Generous floorplans and expansive balconies extend the living spaces towards the river, while natural materials and a restrained interior palette have been selected with longevity in mind.

[smartcode_project:default project_id=151614 project_image_fid=371890]

Residents will have access to a level of amenity more commonly associated with world-class hotels and private members' clubs, with almost 3,000 sqm dedicated to wellness, connection, recreation and everyday convenience.

At ground level is a business lounge, private meeting rooms and dedicated workspaces. Mid-tower is a wellness sanctuary featuring magnesium hot and cold plunge pools, sauna, steam room, infrared therapy facilities, a Pilates and yoga studio, and a commercial-grade gymnasium.

Crowning The Riversdale is a rooftop featuring a 35-metre swimming pool with lap lane and spa, outdoor dining and seating terraces, firepit lounges and views of the city, river and Mount Coot-tha.

A private members' club-inspired retreat offers private dining rooms, a whisky lounge, media rooms and immersive entertainment experiences. Completing the amenity offering are two hotel-style guest suites and a resident-exclusive electric vehicle fleet and car-share program.

[smartcode_project:default project_id=151614 project_image_fid=371877]

The Riversdale sits at the northern end of Montague Road between South Bank and West End, around 1.3 kilometres from the Brisbane CBD, providing access to the city's major cultural, dining and recreation precincts.

It becomes Mosaic's largest Brisbane project to date and adds to a pipeline already under construction across the city.

In Brisbane, the developer is currently delivering The Bedford and The Carter at Kangaroo Point, both of which are approaching sell-out, with a further four projects being delivered on the Gold Coast. Mosaic has completed more than $2 billion in projects since 2012 and has a further development pipeline exceeding $2 billion across South East Queensland.

Early works are underway at The Riversdale, which will be delivered by Mosaic's in-house construction division. Completion is anticipated in late 2029, with remaining apartments priced from $1.98 million.

[smartcode_project_cta:default project_id=151614]

Mosaic records more than $400m in two months at South Brisbane's The Riversdale

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.

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;

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.

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.

Even in the low seasons of May and June, occupancy levels reach around 40 per cent.

<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" />

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

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.

<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" />

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.<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" />​

The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;

Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.

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;

Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.

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

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It's no secret that I have a preference for obtaining a positive cash flow (or as close to it) from my property purchases.  I've written a lot about it over the years and have successfully added many such properties to my portfolio.
However, I can't help but notice that, somewhere along the line my message has been taken in a shortened form – leading investors to consider only cash flow when choosing their next property. This, in turn, results in the acquisition of property which might have good rent returns, but is in danger of not growing due to an absence of important growth drivers.
In choosing property for cash flow alone, many investors are inevitably led toward towns with a single industry.  Such towns tend to get a higher than usual rental yield for many reasons, including:
<ul>
<li>They are often well outside of major urban areas, and so the property values are low, creating a higher relative yield. 
</li>
<li>Where the industry in question is experiencing a robust period and demand for its product, extra workers are usually employed.  
</li>
<li>These workers often cannot be sourced from within town and so they are recruited from elsewhere, and move to the area, and as many of these workers are itinerant, at least until it can be confirmed that their continued employment is assured, they do not usually buy.  So, although the industry is doing well, the expanding population are not property buyers, and pressure is not brought to bear on values.  They are, however, renters and this is why rental yields often soar.</li>
</ul>
Property in such areas then becomes an attractive proposition, because, initially, the cash flows look fabulous.  This in turn attracts more investors and property prices do begin to move.  Pretty soon we see an artificial property boom, brought on purely by the existence of the single industry and the resulting hoards of hungry investors seeking, at first, good cash flows, and then the spin-off gain.
And while many experts may say that, where property in concerned 'time in market' is the key, in fact these towns require precise 'market timing' if the strategy is going to work.  You need to get in at the right time (before values move), and you need to exit the investment just before the fall that is often seen in such areas when the single industry falters, or the economy changes.  And if an investment requires precise market timing to pay off, then it also requires the investor to have a higher appetite for risk.
There is no question that, particularly while we are experiencing strong economic times and low interest rates, a property in a single industry town can provide a great return.  However, these properties must be considered to be a higher risk investment. 
As with any investment, the higher the potential return, the higher the risk, and property in single industry towns have more than their fair share of risks.
These include:
<ul>
<li>The lack of diversity of industry means the entire workforce's reliance on a single industry places the security of the whole town at risk, should something adverse happen to that one industry; 
</li>
<li>The prevalence of itinerant workers results in a weak underlying economy. Workers often take their earnings out of town and, if that industry's vibrancy is reduced, respond to economic changes, leave town altogether. This creates high vacancy rates, rapidly reversing the upward climb that property values were enjoying; 
</li>
<li>That same economic weakness means most councils lack the financial resources to provide infrastructure to the community, meaning that the towns are often severely under-resourced; 
</li>
<li>The entire town is highly exposed to 'hidden risk' – the risk that an unforeseen event, government decision or world economic turmoil impacts directly back on the only industry supporting the area.  This is a risk which cannot be mitigated as it most often cannot be foreseen, and in some cases has never actually happened before; 
</li>
<li>Even if that single industry continues on, the lack of diversity in industry usually means that the population grows very slowly – the town can only expand at the rate that the industry expands.  This can mean that, even though cash flow might be good, growth to the underlying asset (the property) is well below par. A sound property strategy requires both cash flow and growth.</li>
</ul>
If an your risk profile is such that you have plenty of capital and loss would not cripple you, or you have ample time available as an income earner within which you could replace lost capital, then the potential for good yields and possible capital gains may well make these risks worth taking.
However, if you are buying in order to create a retirement income, and each purchase must perform well, you may be gambling with what may become one of your only income sources, one which needs to last a significant length of time and will not be easily replaced if you are already close to retirement.  The surety of a house in an area with a growing population, diversity of industry and abundant infrastructure development is more likely to be the appropriate investment.  You may not have quite as much cash flow, but the chances of you having both the capital and a reasonable amount of yield and growth available to use for all of your retirement years are usually greater than these higher risk, single industry town investments.
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mlomas-KC9MUPZ6Ca

Buying in a single-industry town - how to negotiate the risks: Margaret Lomas

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At 6.00 pm on Saturday, on our first auction day of the year for Inner East and Bayside we have been to 13 auctions – all had bidders and all sold.
No emphasis on stats today as there were very few $1 million plus auctions , Inner Melbourne’s big auction games start next week.
I’ve really only had this week to get a “face to face street feel” on what’s happening in 2015. It appears to have started strongly and the vibe from the agents at the 20 homes which I inspected and rated was positive and “maaaate, the market continues to fire”. Heaps of people through opens.
Our company enquiry levels are up solidly on last year and we concur with what the selling agents are whispering under their breaths. We have already started with an auction win and a miss ($1 - $2 million) and the market hasn’t really got going in auctions yet. Off markets and other types of buying has also started for us.
Auction-wise, next week is different, a strong weekend with around 140 auctions over $1 million scheduled for Inner East and Bayside and the following week is a Super, Super Saturday with nearly 250. Hold onto your hats.
No we mean it – buyers should be holding onto their hats and only put their hand up if it makes sense. Every February we expect a strong start and this year is not unusual. After a six week Christmas hiatus there are a number of nervous nellies out there pushing hard on prices – it happens every year. It appears it will happen again this year.
So demand is coming from four types of buyers:
<ol>
<li>New local buyers (average price thoughts)</li>
<li>New overseas buyers (higher than average price thoughts)</li>
<li>An array of nervous nellies (higher than average price thoughts)</li>
<li>Last year’s wounded underbidders (higher than average price thoughts)</li>
</ol>
All these buyers are pushing through the February OFI doors like a Boxing Day David Jones Doorbuster Sale.
Every year around this time, we urge caution, 2015 will be the same. If it’s good, go for it; but once the bidding get’s past very strong, consider your competitors, consider your alternatives, consider stopping and trying on another home, another day.
Case in point (1): Last weekend on the one we missed at 14 Parliament Street, Brighton (Julian Augustini) – agent quoting around $950,000 to $1,050,000. We opened at $1,100,000 and then a guy bid $1,150,000 and then bid against himself up another $50,000 to $1,200,000. We competed against him and another bidder, until we were beaten at $1,325,000. Please, this was a good home for what it was and congratulations to the buyer – bought a good property, but the agents will tell you they couldn’t get it sold late last year around the opening bid (nearly $200,000 south of today’s price).
Case in point (2): We could have bought 8 Johnson Street, Hawthorn (James Tostevin) quietly last year circa $1,600,000. We didn’t. Today four bidders competed to just over $1,800,000.
Case in point (3): We couldn’t buy a property pre-Christmas off market, but bought it this year before auction – Glen Iris (Cameron Edgoose).
So has the market started with a bang or is this the usual February ”Berocca” effect where you wake up desperate, take a Berocca and go out there and take the world on?
Big numbers through opens in February is about as Melburnian as big numbers through the gates at the first round of the footy season.
While the market mood appears just as strong as last year, maybe even more so, any longer term market shift won’t be evident until Super Saturday 28 March and confirmed mid May.
Mal writes weekly auction reports, advice and in-depth market analysis on <a href="https://www.jamesbuyeradvocates.com.au/" target="_blank">James' website</a>.
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maljames-vHwm28JUAa

Caution - nervous bidders are pushing hard on auction prices: Mal James

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House prices are soaring in comparison to incomes, making life difficult for many and threatening to undermine national economic performance. Western Australia has devised an innovative policy solution.
Using a shared equity model, the Shared Home Ownership scheme allows low-earning prospective homeowners who meet certain criteria to purchase a property by sharing up to 30% of the capital cost with the Department of Housing and borrow the rest with a SharedStart loan through state mortgage lender KeyStart Home Loans.
The loan is directly linked to a major construction expressions of interest project that means the department is able to procure newly built, affordable dwellings in bulk from the market at discounted rates. The discount to market prices gained by the department become its equity share in the portfolio of properties.
In recognition of its achievements, the Department of Housing won the overall award at the 2014 WA Premier’s Awards for Public Sector Excellence and the “Developing the Economy” award for the scheme.
Perhaps unsurprisingly given Australians’ obsession with home ownership, <a href="https://www.ahuri.edu.au/publications/projects/p70394" target="_blank">previous research conducted</a> with potential purchasers of shared equity homes showed focus group participants had two primary motivations that would impact on their interest in such schemes: wanting the security of having a place of their own on the one hand, and desiring asset accumulation on the other.
So unlike other shared ownership models where the government retains a permanent interest in the property, stunting the resident’s opportunities for wealth formation but ensuring long-term affordability is maintained, WA’s Shared Home Ownership scheme encourages the resident to eventually buy out the department’s share, offering a path to full home ownership.
Interest rates are set higher than the lowest variable market rate so that, while repayments will be lower for the period that the homebuyer owns only 70-80% of the property, they will be incentivised to refinance with a private institution once they buy out the department’s share.
So far the program has helped deliver home ownership to over 700 low-income households, many of whom would not have been able to do so otherwise. Though such a program cannot be targeted at the lowest socio-economic groups, as it still relies on a regular income to pay off a mortgage, it lowers barriers to entry for those making below-median incomes.
The program was developed “in response to an increased demand for affordable housing as rents became unaffordable in Western Australia”, says Adrian Warner, acting director of strategy and policy at the Department of Housing.
“In the March quarter of 2014, the median rent reached $460 in Perth, while the median house price increased to $540,000, up from $525,000 in the previous quarter,” he said.
<img class="aligncenter size-full wp-image-22441" src="https://www.themandarin.com.au/wp-content/uploads/2015/02/graph.png" alt="graph" width="504" height="405">
The program has been praised for its benefits to prospective purchasers, government and the wider community, he said:
<ul>
<li>Purchasers only need to borrow 70-80% of the property value;</li>
<li>The equity component is not dependent on a government grant or debt;</li>
<li>The supply of entry-level housing is increased;</li>
<li>It supports local industry and creates value for the economy — over $650 million in economic activity to date;</li>
<li>First home buyers require only a 2% or $2000 deposit;</li>
<li>No lender’s mortgage insurance or monthly account keeping fees.</li>
</ul>
According to figures provided by the Department of Housing, to date, SharedStart has delivered:
<ul>
<li>$149 million of direct construction activity;</li>
<li>$112 million of induced activity by suppliers;</li>
<li>1491 jobs supported;</li>
<li>722 households into home ownership;</li>
<li>Total economic benefit to the state of $465 million.</li>
</ul>
{qtube vid:=9w3-JRBmeis}
Return for households and government
A <a href="https://www.ahuri.edu.au/publications/projects/syn91" target="_blank">report by the Australian Housing and Urban Research Institute</a> in partnership with PricewaterhouseCoopers found the program was not only achieving its intended outcomes, but had generated significant returns for households, government and industry. AHURI found that the department’s practice of acquiring new homes had helped increase housing supply:
“The shared equity EOI initiative increased the overall supply of low-cost dwellings through its EOI procurement process. This distinguishes the EOI initiative from shared equity schemes that are linked to existing dwellings and therefore do not achieve an increase in the overall supply of dwellings …
“There was agreement amongst all stakeholders interviewed that the shared equity EOI initiative has been highly effective in increasing the supply of lower-cost housing. For example, a peak body representative described the effectiveness in relation to increasing lower-cost housing supply as ‘outstanding’ and a senior Keystart representative commented that the scheme has been highly effective in terms of providing low-cost properties, which were under $300,000 in several circumstances.
Resident satisfaction with housing affordability was very high:
“… the majority of respondents (87.4%) agreed or strongly agreed that their mortgage payments were affordable; and the majority of respondents (74.9%) agreed or strongly agreed that their home was affordable to run (e.g. in terms of utility bills).”
And the program has done well helping lower income people move into their own housing:
“The scheme was successful in providing home ownership opportunities to members of the targeted client groups. This included: eight public housing tenants who moved into home ownership via the shared equity EOI scheme; 188 survey respondents who were first home owners and 198 survey respondents who reported that they would never have been able to buy a home from the private market without the shared equity EOI scheme; six survey respondents who reported having a disability; and nine respondents who reported living with a person with a disability; 58 survey respondents who were single home owners with one child or more; and 42 survey respondents who were key workers [nurse, teacher, police etc].”
The program has encouraged more interest among developers for building one- and two-bedroom housing, something traditionally seen as more risky.
The report found that the typical expectation of housing assistance is that it is a form of subsidy to households that generates significant costs to government. “Instead,” said Warner, “this form of assistance makes a sustained, substantial difference to the financial wellbeing of lower-income households whilst also delivering a positive rate of return for government. Through this process, value has been created for government in the form of embedded equity stock.
“These initial equity shares had an estimated value of $58 million by September 2013 for 722 properties ($80,729 per property). These equity shares were created without capital expenditure by the department.
“Due to the nature of the SharedStart scheme, as house prices increase so will the value of equity shares held by the department. Additionally, the scheme ensures that the portfolio maintains a strong asset base as government sells down other state assets.”
The scheme is part of the government’s Affordable Housing Strategy 2010-2020, which sets a target of at least 20,000 new affordable homes by 2020.
“The government passed the halfway mark on its target just three years into the strategy,” said Warner. “Over 17,000 new affordable housing opportunities have been created since January 2010, on schedule to exceed the target of 20,000 by 2020.”
<a href="https://www.ahuri.edu.au/publications/projects/p80088">Research from 2003 showed</a> shared equity to be a more effective policy option than the First Home Owners Grant at assisting low-income earners into housing. According to modelling, shared equity would have a greater impact on home ownership rates, is more likely to be taken up by lower income households, and is less likely to simply bring forward home purchase decisions.
This article first appeared on <a href="https://www.themandarin.com.au/" target="_blank">The Mandarin</a>.
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How WA is tackling the housing affordability crisis

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Cbus Property has sold 81-125 Princes Highway, Dandenong – formerly the General Motors Holden manufacturing site – to the Western Australia property syndicator fund manager Warrington Property Group.
The 33.7 hectare property comprises 8 hectares, with three buildings totalling 27,919 square metre leased to GPI, CEVA and Australia Meat Holdings.
<img src="/images/2015/02/18/etstqae-feb-18-one.jpg" alt="">
Fully leased the total estate income is $6.7 million.
It is located 32 kilometres south-east of the Melbourne CBD.
Warrington Property, which has around $250 million of assets under management, was founded by British-born valuer Chris Weaver.
The Dandenong deal was brokered by Savills Australia agents Chris Jones and Ben Hegerty.
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Warrington Property Group buys 33 hectare Dandenong property

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The industrial premises at 72-76 Cherry Lane, Laverton North have been sold for $29 million on a 7.5% yield through Savills.
Toll Holding sold the 9.8 hectare holding to Stockland in an off market sale and leaseback.
The facility comprises a 20,500 square metre warehouse and 4.5 hectares of container-rated hardstand.
Laverton North is one of Melbourne’s premier industrial locations, with the Cherry Lane facility located 12 kilometres west of the Port of Melbourne and 16 kilometres from the Melbourne CBD.
It is located very close to the Princes Highway, Westgate Freeway and Western Ring Road.
Stockland chief Mark Steinert said high-quality acquisitions supported their strategy to profitably increase the size and scale of its Logistics and Business Parks portfolio.
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Toll Holdings sells Laverton industrial property

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NAME:  Rod Chadwick<img src="/images/2015/02/18/chadwick-feb-18-one.jpg" alt="" style="float: right;"> 
POSITION:  State general manager, Queensland
COMPANY:  AVJennings
OFFICE LOCATION: Milton, Brisbane
<ul>
<li>How long have you been in the industry?</li>
</ul>
15 years. I joined AVJennings in 2004 as NSW business development manager before relocating to Auckland, New Zealand in April 2008 to take up the role of project director with AVJennings’ Hobsonville Point Development. In July 2014, I relocated to Brisbane to join the Queensland team as AVJennings Queensland general manager.
<ul>
<li>What’s happening in the area you specialise in?</li>
</ul>
Affordability continues to be a significant factor that consumers consider when purchasing a new or existing property. Interest rates are at a record low and as such we are seeing increased activity in the first home buyer market across our Queensland portfolio.
To ensure our products represent good value, AVJennings is continuously looking to innovate, whether this is in the urban design of new communities, the architectural design of new homes or in the materials and construction techniques we use when building new homes.
Our ability to provide innovative and consumer focussed products ensure that our products appeal to a broad range of customers from first and second home buyers and young families through to empty nesters looking to settle into a low maintenance home in established communities.
<ul>
<li>Describe the most interesting property you have worked on? </li>
</ul>
Creekwood at Meridan Plains on the Sunshine Coast because of the diverse range of properties offered to the community. The entire Creekwood community spans 50 hectares and on completion will feature a total of 370 townhomes, terrace and loft homes and 470 homesites.
There is so much activity in the area, with the new Sunshine Coast Public University Hospital  at the Kawana Health Precinct set to employ 3,500 people - it's an exciting project in a beautiful part of Queensland.
<ul>
<li>What are the ingredients to being successful in your job? </li>
</ul>
Being consumer orientated is key.  Strong communication skills, unwavering commitment and patience are just as important as being inquisitive, numerate and strategic.
<ul>
<li>What aspects of your role do you enjoy the most? </li>
</ul>
Creating communities and homes that people love to live in. At AVJennings, we are committed to our philosophy of creating fresh residential addresses that meet the individual needs of local communities and modern lifestyles.
Choosing a place to live is part of the great Australian dream. Our investment in innovative design, excellent land management practices, delivering outstanding community facilities and great living environments are our way of staying true to our goal of creating high-quality communities. It is great to be part of a dedicated team with values that align with the AVJennings brand.
<ul>
<li>Where would you invest a spare $750,000?</li>
</ul>
AVJennings’ Elysium Noosa community at Noosa Heads, Queensland.  The Noosa Heads property market is in the recovery cycle with sales prices and volume increasing. There are opportunities to purchase land and new homes in the Noosa Market for a fraction of the prices of being paid prior to the GFC. This represents the opportunity for capital gain as the market continues to improve and more buyers return to enjoy the lifestyle benefits of the Noosa region.
Elysium Noosa is one of the limited addresses where you can buy new land and homes with a Noosa Heads address. Elysium appeals to owner occupiers and investors alike as residents have access to their very own Rec Club with pool, tennis courts and residents lounge, plus its only 10mins to the restaurants of Hastings Street and Noosaville.
<ul>
<li>Which football team do you support?</li>
</ul>
Wallabies.  Queensland Reds, Socceroos, Central Coast Mariners.
<ul>
<li>What’s your favourite app or techno gadget? </li>
</ul>
iPhone.  Now extension of the arm. Nearmap software allows me to access aerial images changing over time.
<ul>
<li>How do you use social media? </li>
</ul>
Limited to be honest. I am on LinkedIn but I rely on my social media savvy team in the social media arena.
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In profile: AVJennings' state general manager, Queensland, Rod Chadwick

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Australand has been selected as the preferred developer to transform 50 hectares of vacant council land in Sunbury following an agreement with Hume City Council.
The 390 new home residential development, Sunbury Fields, located on Racecourse Road just 2 kilometres north of the historic Sunbury Town Centre, will have around 30% dedicated to open space.
Given the presence of the Eastern Grey Kangaroo, Sunbury Fields will feature 9.7 hectares of Grassy Woodlands Conservation Reserve.
There will also be 3.5 hectares of local village parks and gardens along with 1.6 hectares of wetlands.
Australand advised the development would cater for more than 1,000 residents on completion with land blocks ranging from compact 263 square metres to large country-style blocks of more than 1,540 square metres.
The Sunbury Fields site had a history dating back to the late 1800s where it was home to the annual Easter military encampments by the Rupertswood Battery and then as Sunbury’s Racecourse in the 1900s.
Following rezoning of the site late last year, Hume City Council has issued planning permits for the Sunbury Fields development with onsite works scheduled to commence in April 2015 and an estimated completion by 2018.
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Australand wins Sunbury Fields development rights

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Investors who are looking for the highest returns will continue to look for development opportunities, and Savills particularly favour outer London and the key regional cities as development opportunities in 2015. Speculative development activity will remain sparse, due to investor and lender caution, but those who are brave enough to undertake it will do well, it said.
Overall Savills expect that 2015 will be another strong year for UK real estate, but investors are going to have to work harder to identify markets and sectors that will deliver high returns.
"The commercial markets in 2015 will still offer opportunities for both risk-averse and risk-embracing investors, though the stronger than expected bounce in capital values in 2014 will diminish," the report said.
In London offices, the low level of availability will continue to deliver strong rental growth.
"We expect to see continuing strong demand from risk-averse international investors," said the report.
"Strong capital value growth was undoubtedly the key theme of 2014, with growth across all sectors stronger than we were forecasting at the beginning of the year.
"We expect to see continuing capital value growth across all prime sectors in 2015, albeit at a slower rate.
"The general election in spring 2015 will definitely have some effect on sentiment, though in the agricultural and commercial sectors we expect the effects to be relatively muted."
In the residential markets the threat of mansion tax, combined with the Mortgage Market Review could lead to a more sustained hiatus in capital value growth in 2015.
Generally Savills expect that the macro- economic story for the UK will remain benign, with base rates remaining unchanged until early 2016, and the combination of low oil prices and recovering incomes giving a boost to the UK consumer.
Savills expect that UK real estate will continue to deliver high returns in comparison to other asset classes.
"This will mean that domestic and international demand for prime and good secondary assets will be strong, though we expect to see more focus on supply and demand fundamentals in 2015, rather than just the potential for yield shift."
Savills top picks across all sectors are for markets with structural or impending undersupply.
Click to open in new window:
<a href="/images/2015/02/18/save%20feb%2018%20one.jpg" target="_blank"><img src="/images/2015/02/18/save%20feb%2018%20one.jpg" alt=""></a>
Source: Savills
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Savills suggest UK commercial investment strategies for 2015

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Building and landscaping industry operative Andrew Smith, from nearby Holgate, has emerged as the director of the purchasing company of the Patonga Beach Hotel on NSW’s Central Coast.
It was sold, five months after being listed with $10 million sale hopes. The land sale component totalled $7.35 million on its recent settlement.
Listed by the Osborne family, the Patonga Beach Hotel and the adjoining fish shop is set in the gully on the shores of Broken Bay at the mouth of the Hawkesbury River.
It is the only hotel in a 12-kilometre radius.
It is opposite the Patonga Beach ferry wharf, popular with day-trippers and visitors from the Central Coast.
<a href="https://rca.joneslanglasalle.com.au/property-hotel+leisure-nsw-patonga-501053471" target="_blank">Jones Lang LaSalle Hotel and Hospitality Group agent John Musca</a> had the 1,546 square metre hotel offering.
Since 2000 Andrew Smith has headed Scape Constructions that undertakes civil construction, commercial landscaping and building.
Photo source: Facebook.
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Patonga Beach Hotel buyer emerges as Central Coast builder

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As a commercial property investor it's important for you to keep tabs on all the separate markets around Australia.
To help with that, a recent market update by Credit Suisse places Sydney and Melbourne CBD offices as the best performers over the next three years.
However, Brisbane and Perth are expected to deteriorate further from where they are at present.
The report anticipates a 3.5% per annum improvement in the effective rental for both Sydney and Melbourne — with vacancy rates to remain under 10% for the next three years.
And this is supported by improved tenant demand over the past 12 months.
Whereas, rentals for Brisbane and Perth are expected to fall by 1.2% and 7.2% respectively over the same period.
And their vacancy rates are likely to blow out to 22% and 19% respectively.
Unfortunately, demand for space in both these mining States has been rather weak; and the Office markets continue to suffer from an oversupply of new space.
Historically, you find the surrounding suburban areas tend to follow closely what occurs within the various CBD office markets.
That means, any increase (or decrease) in demand for space tends to create a "ripple effect" out into the suburbs — with a time-lag of a around six months.
Bottom line, for the foreseeable future Sydney and Melbourne are expected to have strong tenant and buyer demand for office property. In turn, this should provide investors with solid predictable income and capital growth over the next three to four years.
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