Around 400 additional homes could be built at Southwark Grounds on Port Road, lifting total site capacity from 1300 to around 1700 dwellings.

A recently approved code amendment would allow apartment towers of up to 14 storeys in some areas of Renewal SA’s redevelopment of the former West End Brewery.

Renewal SA Acting Chief Executive Shane Wingard said he welcomed the code amendment, with the increase in heights and homes making a positive impact on the supply of high-quality, well-connected housing close to the city.

“By going higher across some parts of Southwark Grounds, we are adding a substantial number of very well-located homes with little impact on project delivery time or planned open space,” Mr Wingard said.

Since the project officially launched in 2025, Mr Wingard said more than 12,000 enquiries had been received about living at Southwark Grounds.

“The very strong early interest we’ve seen since homes were first released in the precinct reinforces our plans to create more housing opportunities,” he said.

The Southwark Grounds code amendment was launched in December last year, with community engagement undertaken over five weeks from January.

It proposed increasing maximum building heights from eight to 14 storeys on the eastern section of Southwark Grounds, and to 12 storeys across the remainder of the site, with minimum building heights ranging from two to four storeys.

The code amendment was implemented through an Early Commencement policy in late January, allowing developers to quickly explore the viability of increased height and housing yield while other planning processes continue.

One of the first developers delivering apartment sites have already finalised redesigns to increase the number of apartments following the code amendment.

Samaras’ development adjacent to the future Colonel Light Park is now planning to deliver 125 apartments across 11 storeys, significantly greater than original plans of around 50 apartments across four storeys.

The developer is also exploring the potential for additional affordable housing outcomes.

Most of the apartments at Southwark Grounds will be delivered within a master-planned precinct on a large parcel of land on the eastern portion of the site, covering around two-thirds of its 8.4 hectares.

Wingard said detailed precinct planning over the coming months may identify further opportunities to increase yield further that could see total apartment numbers at Southwark Grounds, exceed this number.

Affordable homes at Southwark Grounds will also see a net increase, with Renewal SA maintaining its commitment to a minimum of 20 per cent affordable housing across the development.

&nbsp;

&nbsp;

Civil works have begun across the site, with construction under way on the first new roads surrounding a townhouse precinct in the south‑west corner of Southwark Grounds. This includes Renewal SA’s 17 Founder’s Row homes, which are on track for completion by Christmas.

“We expect to have people living at Southwark Grounds by the end of the year, so delivering roads and public spaces for those residents is among our highest priorities.”

Construction of 40 townhouses off Anderson Street, known as West Village and being delivered by Contour, is forecast to begin in mid‑2026. Kolabb’s Anderson Lane development will follow shortly after, delivering a further 26 townhouses.

Southwark Grounds is a state government‑led urban renewal project now set to deliver around 1,700 homes over the next decade.

Homes will be supported by a supermarket, a range of retail and hospitality offerings anchored by a revitalised Walkerville Brew Tower, a childcare centre, car parking and well‑connected public spaces.

Joel Robinson

400 new homes planned for Adelaide's former West End Brewery site

Brisbane developer&nbsp;<a href="https://www.apartments.com.au/developers/cavcorp">Cavcorp</a> has lodged plans for a new mixed-use residential development at <a href="https://www.apartments.com.au/new-apartments/55-wyandra-street-teneriffe-qld-4005">55 Wyandra Street</a>, Teneriffe, anchored by an 85-metre public laneway designed to reconnect the suburb’s riverfront with the Gasworks precinct.

The buildings, known as Teneriffe House and Teneriffe Lane, would replace the existing Queensland Cotton head office site with a 15-storey residential tower transitioning to eight storeys toward Helen Street. The project has been designed by Plazibat Architects and lodged as a code assessable development application for 93 apartments across a 3,401 sqm mixed-use site within the Newstead and Teneriffe Waterfront neighbourhood plan.

Central to the scheme is the transformation of an existing service easement into a publicly accessible cross-block connection linking Wyandra and Helen Streets. Cavcorp says the new laneway will act as both a pedestrian shortcut and a landscaped civic space between the Teneriffe Riverwalk, ferry terminal, and Gasworks precinct.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="26e7f058-b065-4de8-b13d-a2b8cb64dfcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bldg.png?VersionId=sELS0ZKYi361oYipUa1BIKfe_.DLZoFV" />

“The revised proposal delivers a legacy public-realm cross-block link, permanently secured for community use, transforming an existing private easement into a safe, high-quality pedestrian connection between the Teneriffe heritage riverwalk and the Gasworks–Long Island precinct,” the planning report states.

The laneway will sit beneath a large subtropical loggia integrated into the podium levels of the development. The design incorporates deep landscaping, water gardens, lobby spaces, business lounges, and ground-floor apartments to create what Cavcorp describes as a climate-responsive “urban verandah.”

The tower itself has been designed as a slender form with recessed floorplates and curved translucent corners inspired by contemporary Japanese architecture. The building height aligns with the Commercial Road precinct controls, which permit towers up to 15 storeys within proximity to Longland Street.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="a8a17d40-43b6-4718-b3fd-67676fcbb485" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers%202_1.png?VersionId=i3VwDtp5AmL_8InW7w4qRbDFEpb744Jt" />

The project will comprise a mix of larger-format apartments aimed at owner-occupiers, downsizers, and families. The proposed apartment mix includes 11 loggia apartments across the lower levels, 50 four-bedroom Sky-Terrace apartments from levels three to seven, and 32 Sky-Pool Homes occupying the upper tower levels. The Sky-Pool Homes will feature private thermal plunge pools integrated into oversized balconies.

According to the application, the apartments are intended to reinterpret the scale and character of Teneriffe’s woolstore conversions and Queensland homes within a vertical residential format.

“The sky-pool homes build on Cavcorp’s previous projects and introduce a distinct apartment typology to Teneriffe, informed by both local and international precedent and responding to an identified market demand for enhanced safety, space and amenity,” the planning submission notes.

A major focus of the proposal is its five-level wellness and lifestyle offering, extending from the basement through to the rooftop.

Amenities proposed include a rooftop Swim &amp; Racquet Club with a 25-metre Olympic lap pool and tennis court, coworking spaces and libraries, golf simulators, wine storage, concierge facilities, business lounges, pet wash areas, and rooftop longevity-focused wellness spaces with spas, outdoor fitness zones, and landscaped terraces.

<img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="944b352c-49b9-4247-a4c6-5967b4b69fda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/amenity.png?VersionId=Ed_qKjAtMwFT.5gfl3jiA9QwdWxSMsaX" />

All parking will be concealed within basement levels accessed from Wyandra and Helen Streets. Cavcorp says the deep-basement engineering approach allows the entire ground plane to prioritise landscaping, pedestrian movement, and active frontage rather than vehicle infrastructure.

The development continues Cavcorp’s concentration in Newstead and Teneriffe, where the Brisbane developer has delivered a number of apartment projects including Lucent, Le Bain, and Luminare, as well as the Long Island Wellness Precinct nearby. Several of those projects have received national design and architecture awards, including recognition under Brisbane’s “Buildings that Breathe” program.

Cavcorp unveils wellness-focused Teneriffe House and Teneriffe Lane apartment buildings

Focus Group Investments has lodged plans for a new apartment development at <a href="https://www.apartments.com.au/new-apartments/64-70-hanover-street-fitzroy-vic-3065">64–70 Hanover Street</a> in Fitzroy, seeking to utilise the Victorian Government’s recently introduced Great Design Fast Track pathway to accelerate approvals for the project.

The proposal is among the latest developments to emerge through the state-led initiative, which was established to fast-track well-designed residential projects in activity centres and transport-connected inner-city locations. The pathway allows qualifying developments that meet elevated design and housing benchmarks to bypass traditional council planning timeframes and instead be assessed directly by the Department of Transport and Planning.

Designed by SJB, the development will comprise a mix of apartments above activated lower levels, with a strong focus on architectural articulation, landscaping, and communal amenity. The design response seeks to balance the industrial character of Richmond’s former warehouse precincts with a more contemporary residential form.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="abea51cc-d85b-479e-9aef-a589f3b37ca7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ground.png?VersionId=e1Kf8EyPWwyiVumtqQ4rM5S4GpOR3CCz" />

Proposed are 63 new dwellings, a wide ranging mix of studio, one-, two-, and three-bedroom apartments, and townhouses and duplexes. They will be spread across a part-three, part-eight storey building.

The Planning and Urban Context Report by Tract says the development is of an "exemplary architectural standard" and has been carefully crafted by SJB Architects.

"Dwellings&nbsp;will benefit from excellent access to natural light, cross-ventilation opportunities and extensive communal space," the report noted.

The architectural material highlights the project’s integration of landscaped elements and communal spaces throughout the building. The proposal also incorporates sustainability initiatives aligned with the Victorian Government’s push for higher-performing apartment developments under the fast-track program.

The Great Design Fast Track was unveiled by the Victorian Government in 2024 as part of a broader housing supply strategy aimed at accelerating the delivery of new homes. Projects assessed through the pathway must demonstrate high-quality architecture, sustainability outcomes, and housing diversity while being located close to public transport and existing infrastructure.

<img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="afdbe834-8dc4-4a77-a943-ba07bc927348" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_11.png?VersionId=0J657j.TaChAZfp93wqJYBTqSsnREJx2" />

Focus Group, founder and led by Paul De Lutiis, is increasingly active across Melbourne’s inner suburbs, targeting well-connected urban renewal locations suited to medium and higher-density residential development. The Fitzroy proposal continues that strategy, leveraging the area’s strong transport links, established retail amenity, and proximity to the CBD.

Fitzroy has been one of the most popular spots for developers and buyers in recent years. The likes of PACE Development Group, SMA Projects, Crema Group and Chapter Group, currently selling projects in the suburb.

First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Fitzroy apartments

The Gold Coast Planning Committee has supported the preliminary approval for the Benowa Gardens Urban Village project following an extensive community consultation and assessment process.

The proposal will now proceed to a full council vote on June 2.

The application sought approval for a masterplanned urban village on the existing Benowa Gardens Shopping Centre site, combining new housing, retail, dining, health and lifestyle amenities within a walkable, integrated precinct.&nbsp;

The proposed redevelopment includes around 413 apartments integrated above a revitalised mixed-use centre featuring a full-line supermarket of 4,000 sqm, 6,000 sqm of specialty retail and dining space across around 30 retailers, a 7,000 sqm health and wellness precinct, and roughly 9,630 sqm of office and medical suites.&nbsp;

<img alt="$1b Benowa Gardens Urban Village moves to Full Council following Planning Committee support" data-entity-type="file" data-entity-uuid="fb36ae47-80bc-45f0-9914-31b0c7b6007d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/PR26576%20Ashmore%20Road%20C4%201121%20FI.jpg?VersionId=6mRKk2uU4r67TmTt39DKGUlvFRbTVqWa" />

The broader masterplan also includes very significant traffic and transport improvements, wide pedestrian walkways, upgraded pedestrian and cycle connections, and enhanced public areas designed to create a more connected and walkable community environment.&nbsp;

Centre owner Patrick Lu said the milestone reflected months of detailed planning, technical assessment and ongoing communication with local residents, businesses, schools and stakeholders.

“We appreciate the time, consideration and care Council officers and the Planning Committee have given this proposal throughout the assessment process,” Lu said.

“We also sincerely thank the local community for engaging with us, sharing feedback and participating in the consultation process over many months.

<img alt="$1b Benowa Gardens Urban Village moves to Full Council following Planning Committee support" data-entity-type="file" data-entity-uuid="32fd1fc3-d0e6-485f-ac57-9916c9bcb818" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/PR26576%20Ashmore%20Road%20C5%201121%20FI_2.jpg?VersionId=fz8qQKDBLQ7MyFRc856Zccfbh9nFwLOe" />

“We understand projects of this scale bring questions and concerns, which is why we have worked hard to listen carefully, provide information transparently and continue refining elements of the proposal where possible.

“Our vision has always been to create a well-designed, community-focused urban village that responds to the changing needs of the Gold Coast, while delivering improved amenity, housing diversity, healthcare access and local lifestyle benefits.

“This proposal is about creating a genuine live-work-play environment where residents can access everyday services, schools, healthcare, dining, shopping and green space within walking distance, while also supporting local jobs and economic activity.”

<img alt="$1b Benowa Gardens Urban Village moves to Full Council following Planning Committee support" data-entity-type="file" data-entity-uuid="50dfbd04-590e-4fc6-983b-766880947867" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Dining%20Day%20Time%20-%20High%20Resolution.jpg?VersionId=BP7ZoKJ0DdL_8iRkkC8VVx99moICV6kg" />

Lu said the proposal had evolved significantly through consultation and technical review, particularly around traffic, pedestrian and student safety and neighbourhood connectivity.&nbsp;

Melissa Griffin, Director at Urbis, said the recommendation recognised the strategic importance of delivering more housing and services within established urban areas already supported by infrastructure.

“This proposal represents the type of thoughtful, integrated growth that planning frameworks across South-East Queensland are encouraging,” Ms Griffin said.

“The project seeks to place housing, retail, healthcare and employment opportunities together in a highly accessible location close to schools, transport and existing services.

“Importantly, the process has involved significant technical assessment and community engagement to ensure local issues and feedback were properly considered throughout the planning pathway.”

$1 billion Benowa Gardens Urban Village heads to council vote following Planning Committee support

Surfers Paradise is officially set for its first new residential development with a 45-storey skybridge connecting the two towers.

John Camilleri’s Celestino Developments has been given the green light by the Gold Coast City Council to develop its major beachfront precinct across its huge 4,000 sqm oceanfront site at <a href="https://www.apartments.com.au/new-apartments/63-79-garfield-terrace-surfers-paradise-qld-4217">63–79 Garfield Terrace</a>, just five months after its <a href="https://www.apartments.com.au/news/qld/first-look-exclusive-billionaire-winx-breeder-s-bold-two-tower-surfers-paradise-play-with-45th-storey-skybridge">submission in late 2025</a>.

The approved scheme will deliver two towers rising 55 and 48 storeys, connected by a skybridge positioned on level 45 that will house a range of resident-only wellness and entertainment spaces.

In its notice of approval, the Gold Coast City Council said the&nbsp;proposed overall built form has been designed to complement the scale, intensity and protect the adjacent amenity and surrounding streets through the use of varied setbacks, site cover and architectural elements.

<img alt="First look exclusive: Billionaire Winx breeder’s bold two-tower Surfers Paradise play with 45th-storey skybridge" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-30%20at%209.53.48%E2%80%AFAM.png?VersionId=ADyPJ_TFbJvSU9wZFOiCBnlPtgF7VWqW" />

Designed by <a href="https://www.apartments.com.au/architects/dbi">DBI</a>, the development will comprise 275 apartments across the two towers, including a mix of two-, three-, and four-bedroom residences, as well as several penthouses. The apartments will sit above a landscaped podium featuring more than 90 metres of beachfront pool frontage, private resident lawns, lounges, and wellness spaces.

DBI said the design draws heavily from the movement and form of the coastal environment, with curving balcony lines and sculpted façades intended to soften the scale of the towers while maximising ocean outlooks and passive shading outcomes.

“The project occupies a rare, uninterrupted oceanfront site and has been shaped by a design philosophy that merges architectural elegance with environmental responsiveness and a carefully curated lifestyle experience,” DBI said in planning documents submitted to the Gold Coast City Council.

The most distinctive element of the approved project is the skybridge linking the two towers at level 45. The elevated communal space is planned to include executive lounges, formal dining areas, wellness facilities, and panoramic ocean-facing outlooks.

“The skybridge enhances the identity of the development, promotes social interaction, and delivers a lifestyle experience not found elsewhere on the Gold Coast,” DBI said.

At podium level, residents will have access to a suite of resort-style amenities, including resident lounges, private dining rooms, a yoga lawn, gymnasium, plunge pools, and treatment spaces. The beachfront pool has been designed with separate lap, lounge, and children’s areas extending across the width of the site.

The project will also introduce new food and beverage offerings along the Enderley Avenue and Oceanway frontages, contributing additional activation to the beachfront precinct.

First look: Winx billionaire’s beachfront Surfers Paradise apartment development greenlit

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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The latest demographic statistics released by the Australian Bureau of Statistics have found that population growth is slowing, however the Housing Industry Association has noted that there is still strong demand for housing.
HIA economist Geordan Murray said that the latest figures have found Australia’s population reaching 23.49 million people at the end of 2013/2014, or an extra 365,000 people.
“This is equivalent to a growth rate of 1.6% over the year. This annual growth rate is down from the 1.8% rate which applied at the end of the 2012/13 fiscal year, but is still well above the long term average,” said Murray.
“The natural increase in population (births minus deaths) added 152,173 people in 2013/14. This contribution was 6% lower than in the previous year.”
Net overseas migration slowed in 2013/2014, with 212,695 more people than those departing – about 10% less than 2012/2013.
“Compared with many other developed economies, Australia has been a star performer over the last few years,” he said.
“With shortages of skilled labour evident in many industries and a relatively strong looking economy, Australia has proved to be a very attractive destination for overseas migrants and was equally attractive for Australians who would have otherwise considered opportunities overseas.”
The strongest states for population growth over the year were New South Wales and Victoria.
“Last financial year both these states recorded their strongest annual population growth rates in over twenty years, excluding the period skewed by the GFC,” he explained.
Murray noting that the annual growth for Victoria was 1.9% and for New South Wales it was 1.5%. Western Australia, however, is the star performer with 2.2% population growth. However, this is down from 3.3% last year.
Queensland increased 1.5%, while South Australia grew by 0.9% and Tasmania recorded 0.3% growth. The Northern Territory and ACT saw growth of 1.0% and 1.2% respectively.
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Population growth slows, but property demand high: HIA

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GUEST OBSERVATION
Investing in property can prove financially rewarding. It often proves less volatile than shares or other investments.
With property you can earn rental income and benefit from capital growth and many property expenses can be offset for tax purposes but to ensure the property you purchase is a wise investment, it’s essential to have a clear strategy and conduct the appropriate due diligence.
When formulating your investment strategy it’s important to consider factors including whether you want to buy a house or a unit, the value of the land, the suburb’s future outlook and whether you want to buy off the plan or pre-established. For the inexperienced these considerations can be an overwhelming.
To make an informed decision and achieve the maximum value from your investment, seeking professional advice is invaluable. Engaging a buyer’s advocate to help you find and secure a property that meets your personal investment needs is one way to do this. For those not wishing to engage a buyer’s advocate, there are property investment guides available to ensure you know what to look for when considering potential properties.
Failure to conduct the necessary research can result in purchasing a property that isn’t investment-grade. In fact, most potential investors are unaware that fewer than 5% of properties on the market at any given time are specifically suited for long-term investment.
There are two simple yet strategic considerations often overlooked are opting for a property with off-street parking and avoiding main roads.
While off-street parking adds a premium to the purchase price for properties within 10 kilometres of Melbourne, it also contributes to higher rents, stronger capital growth and shorter vacancy periods. Factors such as these can be the difference between a profitable venture and a financial loss.
While there are many benefits to investing in property, to achieve the maximum return from your investment, it pays to do your research and seek independent advice to ensure you are informed and researching strategically.
Greville Pabst is CEO of <a href="https://www.google.com.au/url?sa=t&amp;rct=j&amp;q=&amp;esrc=s&amp;source=web&amp;cd=1&amp;ved=0CEAQFjAA&amp;url=http%3A%2F%2Fwww.wbpproperty.com%2F&amp;ei=Jb4hUevODOyamQX6mIGYDQ&amp;usg=AFQjCNH0u8Ji9ymluq8AKARfB-KjHZ-aFA&amp;sig2=DNsIKQR7tQj4PtYuiJOHPA&amp;bvm=bv.42553238,d.dGY" target="_blank" rel="nofollow">WBP Property Group.</a>
WBP Property Group’s 'The Essential Guide to Investing in Property' is available at <a href="https://www.wbpproperty.com/">www.wbpproperty.com</a>.
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Preparing to start your property investment adventure

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I thought as my final story before we close for the year and take a little break, I'd share with you a case study on one of our best property development results for 2014.
The development strategy: House renovation, Torrens title subdivision, three bedroom, two bathroom duplex construction, strata subdivision.
What an adventure this development was. We started our journey after locating a fabulous three bedroom house on large block of land for our lovely clients Lean and Alex, a very hard working couple and savvy property investors wanting to boost their portfolio.
On the land there was room to build a three bedroom, two bathroom duplex facing a secondary street. 
<img src="/images/2014/12/19/IMG_9546.jpg" alt="">
Property Bloom negotiated a nice discount off the purchase price and terms including a low deposit and extended settlement with access to start our renovations.
Our main concern was drainage and vehicle access to the secondary street as it was not a certainty that council would approve our orientation of the duplex because there was a small section that could be classified as a laneway that led to the secondary street.  However, there was some existing guttering that had been completed by a developer a few blocks up and a stormwater drain within a few meters to direct our run off to.  
To add to the complication, a new local environmental plan (LEP) and development control plan (DCP) came into effect during our settlement period. We had to ensure our plans would meet all the new requirements.
It was decided that we would lodge a development application (DA) with two stages; firstly a two lot Torrens title subdivision and the second stage to construct the duplex. If we lodged a DA for a three unit development (including the existing house) we'd need to provide space for visitor parking and complete certain upgrades to the house that would not necessarily increase its value but would be costly. By subdividing first we could maximise the area for the duplex and make it more spacious. It was a more lengthy and complicated process, but gave a far better design result.
We used the settlement period to complete the house renovations and work on the concept plan for the duplex. The house was leased at a strong rent which offset holding costs whilst we worked on the duplex design, planning and construction phases.
After much research and several meetings with council we lodged our DA.
The DA process was frustratingly long which we put down to the planners also getting their heads around the new LEP and DCP requirements. Finally we received the consent but then found conditions around the timing of when the subdivision should be registered that we wanted amended. We wanted to start construction before the subdivision was registered which would be a much quicker process. So we lodged a Section 96 application and were granted permission for the subdivision to be registered before the release of the occupation certificates, so after constructing was completed, this saved valuable time.
The actual construction went very smoothly thanks to our wonderful builder and our clients even received some credits for provisional sums that were not needed.
Property Bloom set up a relationship with a national housing group that required new properties to lease to their government tenants, so our client received rent from the date of handover and are on a long term lease with this agency. 
<img src="/images/2014/12/19/IMG_9536.jpg" alt="">
Here's the actual financial results of this project:
<ul>
<li>Total cost including house purchase, stamp duty, legal, renovations, design and planning process, subdivision and turnkey construction: $693,574</li>
<li>Total valuations on completion, including house and two three bedroom villas: $840,000</li>
<li>Equity created: $146,426</li>
<li>Gross yield: 8% </li>
</ul>
Our client's portfolio was boosted by three properties created from one.
I hope you've enjoyed our stories this year.  I wish all our readers and the wonderful people at Property Observer a safe, relaxing and happy Christmas. 
May 2015 bring you much joy and happiness, and a maybe a shiny new property development.
<a href="https://www.propertybloom.com.au" target="_blank">www.propertybloom.com.au</a>
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One of our best 2014 property development results

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The Raith House residential development site at Bradbury has been sold for $2.41 million.
Capital Developments bought the 2.2 hectare offering from Government Property NSW.
It was offered through John Macree and Dylan McEvoy at JLL.
It comes with the heritage listed home, <a href="https://www.realcommercial.com.au/property-land+development-nsw-bradbury-501368135" target="_blank">Raith House at 74 Fern Avenue</a>, offered after fire damage and ongoing vandalism.
The Indian bungalow-style house was built for H.J.M. Merewether and his bride, Wilhelmina Gore, daughter of Campbelltown bank Manager, A.J. Gore. 
The building was designed by Wardell &amp; Denning in 1903 and built by D. McIntyre and Sons of Sydney at a cost of 3000 pounds. 
Raith Lark Hill Hostel was established by the Child Welfare Department in 1964 to serve the Campbelltown district.
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Indian-style bungalow Raith House, Bradbury sells for $2.41 million

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GUEST OBSERVATION
Your tenants and their children may welcome a visit from Santa Claus, but when the jolly red man drops in, it is not without risk to you and your property. 
Here are six insurance scenarios for landlords to consider this festive season:
<ol>
<li>
Accidental roof damage  When nine hefty reindeer land on your roof with a fully-laden sleigh the size of a small car, you’re looking at a load of over 3,000 kilograms – and the potential for serious roof damage. When you consider Santa has approximately 2.2 billion children to visit, take-offs and landings are necessarily rushed, increasing the risk. 
</li>
<li>
Chimney issues Even if Santa’s sleigh lands safely without damaging the roof, there are obvious perils in what comes next, particularly when you consider Santa’s considerable girth. If Santa gets stuck or injured in your chimney, you could be held responsible. His beard alone is thought to be worth millions. Worse still, you could face a class action from children who failed to receive gifts as a result of an incident on your property. 
</li>
<li>
Fears around ‘Cheers!’ Are your tenants qualified in the responsible service of alcohol? Is your rental property licensed? These days, it could be considered quite foolhardy to leave alcoholic refreshment for a red-cheeked once-a-year binge drinker. Does your landlord insurance include cover for liability? 
</li>
<li>
Snack attack In Australia, the weather is hot at Christmas time, and leaving perishable foodstuffs for Santa and/or his reindeer is a foreseeable risk. Even a small nibble could cause them to come down with food poisoning, with far-reaching and potentially fatal consequences and associated liability risks. (Please note: leaving food out also increases the risk of vermin – which no landlord insurance policy in Australia will cover.) 
</li>
<li>
Naughty or nice? Are your tenants naughty or nice? Santa aside, Christmas puts considerable financial strain on household budgets. If your tenants spend their hard-earned on these things and neglect to pay the rent, quality landlord insurance will see you are covered. 
</li>
<li>
Theft of gifts Fantastic – Santa’s come and gone, leaving behind hundreds or even thousands of dollars worth of gifts beneath the tree. Your tenants need to know that if these gifts are subsequently stolen your landlord insurance won’t cover the cost of replacements – for that they’ll need their own household contents cover.
</li>
</ol>
 Sharon Fox-Slater is the executive general manager of landlord insurance provider <a href="https://www.rentcover.com.au/">RentCover</a>.
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Will your landlord insurance cover a visit from Santa?

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The combined capital city housing markers have seen values increase by 7.0% over the first 11 months of 2014. 
Throughout the whole of 2013, capital city home values increased by 9.8% indicating that the rate of home value growth is likely to be lower this year than last.  On an annualised basis, combined capital city home value growth peaked at 11.5% in April of this year and has slowed to 8.5% over the 12 months to November 2014. 
As we enter 2015 it is our expectation that the housing market will see another year of home value growth, but not likely at the same pace as experienced over the 2014 or 2013 calendar years.  Although this is our base-case scenario, there will still be plenty of potential headwinds to watch out for that may impact on the housing market.
<h3>Unemployment</h3>
The national unemployment rate was recorded at 6.3% in November 2014 which is the highest unemployment rate since September 2002.  The Mid Year Economic and Fiscal Update (MYEFO) was released earlier this week by the federal government.  In the document the government revised up its forecast of the unemployment rate to 6.5% at the end of the current and the next financial year.
It isn’t just the high rate of unemployment which remains a concern.  Over the past year, the majority of new employment has been part-time positions which have increased by 2.5% over the year compared to a 0.7% increase in full-time employment.  The data also showed that in November 2014 the underemployment rate had increased to 8.6% which was its highest on record.  This is reflective of the strong growth in part-time employment, many working part-time would probably like to be working more hours or in full-time employment.
With comparatively high rates of unemployment and growing underemployment it has the potential to impact on housing demand.  If employees become concerned about job security they will be less inclined to commit to purchasing a home.  Furthermore, if employees can work as much as they like and subsequently earn as much as they’d like they may also not be able to purchase a home.
<h3>New APRA steps to reinforce sound residential mortgage lending practices</h3>
Last week APRA (the Australian Prudential Regulation Authority) wrote to all Australian authorised deposit-taking institutions (ADIs).  The letter highlighted further steps that will reinforce sound lending practices. 
Although the note didn’t indicate that any macroprudential tools would be formally implemented, the letter noted that APRA will be increasing supervisory surveillance to reinforce sound lending practices.  This is in response to specific prudential concerns which are detailed below:
<ol>
<li>
Risk profile – higher risk lending such as high loan to income and high loan to valuation ratios, interest-only lending to owner occupiers for lengthy periods and long term lending are of specific concern. APRA is concerned about lenders undertaking larger than normal volumes of lending in these areas. 
</li>
<li>
Investor lending – fast or accelerating credit growth in this space can be a key indicator of growing risk. APRA highlighted that annual investor credit growth that was materially above 10% per annum will be an indicator of increased risk. 
</li>
<li>
Serviceability assessments – APRA is of the view that mortgages should have a serviceability buffer of at least 2% above the loan product rate and with a minimum floor assessment rate of 7%</li>
</ol>
Through these guidelines they have advised the ADIs of the lending environment they expect.  Although there have been no blanket macroprudential tools, the letter is pointed and notes that ADIs that do not adhere to these rules will be under review to stricter lending limits. These guidelines are likely to have an impact on the residential housing market. 
Firstly the very strong growth in investor housing demand over the past two years will likely taper to a more moderate pace.  Secondly, some borrowers who are stretching themselves financially to enter the market may find accessing home loans increasingly difficult due to the new serviceability guidelines.
<h3>Household income growth</h3>
While home values have increased by 8.5% over the 12 months to November 2014, real household incomes have increased by just 0.8%. One wonders how long home value growth can continue to outpace household income growth.  
Over the 10 years to September 2014 nominal home values have increased 52.4% compared to real household income growth of 36.4%.  These two figures are not significantly different and real home value growth has actually been lower than growth in household incomes.  This would seemingly suggest that the current surge in home values, which has started to slow, cannot continue all that much longer without income growth.
Article continues on the next page. Please click below. 
<hr class="system-pagebreak">
<h3>Consumer sentiment</h3>
According to the Westpac and Melbourne Institute’s monthly measure of consumer sentiment, consumers have been more pessimistic than optimistic for 10 consecutive months.  To put that in perspective, consumers haven’t been this consistently gloomy since the depths of the financial crisis in 2008 and early 2009. 
Further highlighting the consumer gloom the data shows that when respondents were asked about the wisest place for savings 40.3% chose a banks, building societies and credit unions.  This was the highest reading since September 2012. 
Over the past 15 years, an average of 27.5% of respondents have chosen this segment, highlighting the heightened sense of consumer anxiety.  The level of consumer anxiety is more confronting when you consider that those with savings in a financial institution are currently earning virtually no interest with the cash rate sitting at 2.5%.
Consumer sentiment is closely correlated with housing demand.  If consumers are feeling less confident about the overall economic conditions, they are going to be much less likely to make high commitment decisions such as taking out a new mortgage.
<h3>Housing finance commitments</h3>
We have already highlighted that APRA is concerned with the heightened level of investment lending and have provided stricter guidelines for Australian ADIs regarding to this segment of the market.  Housing finance data shows that investors are currently the primary driver of housing demand.
In October 2014, there were $11.7 billion in housing finance commitments to owner occupiers for new loans, $5.4 billion to owner occupiers for refinancing purposes and $12.1 billion to investors. 
Year-on-year, owner occupier new loan commitments are 0.8% higher, owner occupier refinances have risen 18.1% and investment loan commitments are 19.8% higher. Owner occupier new loans and investor loans are a much larger driver than refinances. 
With the new APRA guidelines it looks as if lending to the investor cohort will slow in 2015.  It is unlikely this can simply be replaced by lending to owner occupiers for new loans.  In fact, new lending to owner occupiers has been trending lower since it peaked at $12 billion in lending in November 2013.
If lending to investors slows as owner occupier lending is already doing, it seems that there will be less mortgage demand and subsequently less property transactions.  In turn, this is likely to result in lower levels of capital growth across the housing market.
<h3>Dwelling approvals</h3>
Dwelling approvals have lifted significantly throughout the past two years, providing a significant pipeline of new construction. 
Although dwelling approvals have eased over recent months, over the 12 months to October 2014 there were 197,529 dwelling approvals which is hovering around the highest annual number on record.  On a monthly basis dwelling approvals peaked in January 2014 and although they remain high, they have trended lower.
An important feature of dwelling approvals is that the number of multi-unit dwellings being approved is at near record highs.  There is growing demand for inner city units however, a unit development is typically a riskier development proposition than a detached house and ultimately multi-unit dwelling approvals are less likely to proceed into the construction phase.
If growth in home values slows throughout 2015 along with a slowdown in housing transactions, we may see some of the pipeline of approvals, particularly unit approvals, not actually make it to construction. 
In order to commence construction developers typically require a certain level of pre-sales to begin.  If sales slow, achieving a sufficient level of presales may become more difficult and may potentially jeopardise some of the progress of these projects.
<h3>Recommendations for new foreign investment rules</h3>
The House of Representatives Standing Committee on Economics recently released its findings and recommendations following a review of foreign investment. 
The four key findings of the report were:
<ol>
<li>Recognising there is no accurate or timely data that tracks foreign investment in residential real estate, the Committee recommended the establishment of a national register of land title transfers that records the citizenship and residency status of all purchasers of Australian real estate. 
</li>
<li>Improving the inner workings of the Foreign Investment Review Board (FIRB). 
</li>
<li>Bolstering the compliance and enforcement regime of the foreign investment rules. 
</li>
<li>Recommending an application fee of $1500 for each approval application made to FIRB by non-resident foreign investors in order to fund improved administration and monitoring of the foreign investment rules undertaken by FIRB.</li>
</ol>
The report also recommends the following civil penalties for breaches of the foreign investment framework:
<ul>
<li>Financial penalties to be calculated as a percentage of the property value, rather than restricted to $85,000 as is currently the case; and 
</li>
<li>The regime applies to both foreign investors and any third party who knowingly assists a foreign investor to breach the framework.</li>
</ul>
Although these are just recommendations at this stage, one would hope that the committee’s recommendations do get implemented.  More timely, accurate and reliable data about foreign buyers would certainly seem to be valuable and penalties for those who skirt the rules seems appropriate. 
Importantly, it is unlikely that any of these recommendations would act as a disincentive to foreign investment rather they would result in improved transparency about such investment.
This article continues on the next page. Please click below. 
<hr class="system-pagebreak">
<h3>Australian dollar</h3>
In Australia we generally like to compare our currency to the US dollar.  After the end of month peak in the exchange rate of $1.08 in February 2012, the exchange rate has now fallen to $0.849 at the end of November.  Importantly, most of the fall has occurred recently, six months earlier the exchange rate was $0.93.
The fall in the trade weighted index (TWI) has not been as large as the fall relative to the US dollar.  The TWI was recorded at 68.2 at the end of November, down from 71.5 six month ago and a peak of 79.2 in February 2012.  Nevertheless the Australian dollar has weakened.
The lower dollar should provide some support for the Australian economy, making our exports more attractive and providing heightened demand for the struggling manufacturing sector.
We suspect that demand from foreign buyers has grown over recent years.  Furthermore, if the Australian dollar continues to depreciate, it is likely that Australian residential property will potentially become even more attractive for overseas buyers as the relative cost improves.
<h3>Interest rates</h3>
Official interest rates were recorded at 2.5% in December 2014, with no meeting of the Reserve Bank’s board in January they will remain at that level until at least February.  The average standard variable mortgage rate is currently 5.95%, discounted variable rates are 5.1% as are three year fixed rates.
The RBA has repeatedly stated that they believe a period of interest rate stability is the most prudent course.  In an interview with the Australian Financial Review last week Glenn Stevens remarked that any change in interest rates would have to help boost confidence while a cut may do the opposite. 
Nevertheless, over recent months there have been a growing number of economists predicting the next movement in rates would be lower as the overall economic performance slows.  The cash rate futures market is now also pricing in a 25 basis point rate cut to interest rates by June next year.
A lower interest rate would seemingly make investment in housing even more attractive as returns on cash savings reduce further.  Of course, if this were to occur it would likely take place in the face of slowing growth in housing demand and limits on just how much Australian ADIs can lend to the investment segment of the market. As the RBA has previously stated, there are limits to what monetary policy can do. 
Given this, a further 25 basis points cut to official interest rates may make little material difference to the residential property market….of course it could also make a substantial difference.
<h3>Conclusion</h3>
At CoreLogic we are of the view that home value growth will continue in 2015, albeit at a more moderate pace than what we have seen in 2014.  As the above analysis shows there are plenty of factors which will impact on the housing market in 2015, not to mention potentially hundreds of other factors which could impact on the direction of the market. 
It will be important to keep track of the broader economic trends and consider how that may impact on your property in 2015.
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The economic factors to watch that may impact the housing market in 2015

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Australia’s major retail outlets could once again bring forward their end-of-year sales in a bid to shift clearance stock and capitalise on the Christmas spending bonanza.
Both Myer and David Jones are considering moving forward their Boxing Day sales to combat weeks of patchy trading, <a href="https://www.afr.com/p/business/companies/david_jones_myer_concern_jump_gun_jCeIa2YDgJZLgamIHJvnqO" target="_blank">according to Fairfax</a>.
If the retail giants opt to bring forward their end-of-year sales it would not be the first time. Three years ago Myer brought forward its December sales by two days, informing loyalty card holders they could <a href="https://www.smartcompany.com.au/growth/economy/23692-20111223-the-boxing-day-sale-that-wasn-t-myer-brings-forward-big-discounts-to-christmas-eve" target="_blank">receive Boxing Day discounts on Christmas Eve</a> in the wake of tough trading conditions.
A spokesperson for Myer did not confirm whether the company would push forward its Boxing Day sales, but said the retailer regularly promotes discounts and the Christmas period is no different.
“We have promotional activity for our customers right throughout the year,” the spokesperson says.
“The lead up for Christmas is no different and this is what we have always done to support Christmas in our stores.”
The spokesperson says Myer is “currently very focused” on Christmas trade as an important time of year.
But Paul Greenberg, executive chairman of the National Online Retailers Association, said he thinks the time when Boxing Day sales meant people would trample over one another to get into a store is “well and truly over”.
“Days are gone where we’re going to sleep overnight at the front door of a retailer and fight it out,” Greenberg says.
“A focus not just on price but convenience and value has to be the new focus and that’s going to be good for everybody.”
Greenberg says there has been a “buzz” for quite a long time now that the level of discounting on Boxing Day itself is not as aggressive as it once was.
“Customers have access now to information and transparent pricing that I think makes it a different ball game,” he says.
“But it’s still very exciting. Promotional activity needs to be part of everyday retail.”
Last year retailers enjoyed strong Boxing Day sales trading. The Australian National Retailers Association estimated around $1.8 billion was spent on Boxing Day itself, with $5.7 billion spent in the first week of the end-of-year sales.
SmartCompany contacted David Jones for comment but did not receive a response prior to publication.
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
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Are Boxing Day sales still relevant for retailers?

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The 360 Capital Office Fund has exchanged a conditional contract to buy 576 Swan Street, Richmond, Melbourne for $46.5 million, reflecting an initial yield of 7.7%.
The property is located within the Botanicca Corporate Park, set five kilometres from the Melbourne CBD.
Completed in August 2013, the A-grade building provides 8,331 square metre of net lettable area with 217 car spaces.
It is fully leased to GE Capital Finance and Forever New Clothing.
Its leases subject to fixed reviews, averaging 3.5% per annum.
The contract is conditional upon approval of the form of landlord deed of covenant by major tenant GE Capital Finance.
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576 Swan Street, Richmond offices sold for $46.5 million

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A cash retention trust scheme is scheduled to protect New South Wales sub-contractors in the event of a large construction company collapses in response to the Collins Inquiry.
The NSW Fair Trading Minister, Matthew Mason-Cox announced the retention trust proposal as the first of its kind in Australia.
"NSW will become the first state to protect payments for subcontractors by requiring construction companies to hold retention money in a trust fund," Mason-Cox said.
“Head contractors will be responsible for holding retention money in their own accounts, and NSW Fair Trading will be checking audit reports that require head contractors to show they are keeping trust accounts as required.
“This will end the widespread industry practice of using subcontractors’ trust money for the head contractor’s working capital purposes."
NSW Fair Trading has released a draft regulation and regulatory impact statement, which is now open for public consultation.
The scheme will initially apply to head contractors and their direct subcontractors for projects valued of $20 million plus.
The NSW government would commence a full review of the Security of Payment Act in 2015, which would be an opportunity for a comprehensive revision of security of payment laws.
The $40 billion construction industry in NSW was a major contributor to employment and growth in this state, Mason-Cox said. 
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NSW subcontractors cash retention trust scheme proposed for construction company collapses

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GUEST OBSERVATION
The new Victorian Andrews government has lost no time putting its stamp on the future shape of Melbourne, funding the planning stage of the Melbourne Metro Rail tunnel – while fretting about the $9 billion cost.
Victoria can fund this vital connection, lifting train speeds and frequency throughout the network.
Land prices along this route will soar and government is entitled to use some of this to fund the project through value capture.
People forget 30% of the Melbourne underground loop was funded by a special city levy on land values from 1963. The Melbourne Underground Rail Loop Authority ensured city land owners shared a small portion of benefits they gained from the project. There is no reason we can’t do this again.
There are <a href="https://www.prosper.org.au/26p/" target="_blank">very good studies</a> that prove the merit of this approach. In London, the recent Jubilee rail line delivered £13 billion in windfall gains to landowners within 1,000 yards of the eleven new rail stations. Construction costs were just £3.5 billion.
The rise in land values directly attributable to this civic improvement was enough to pay for the rail link <a href="https://www.propertyobserver.com.au/https://www.transportblog.com/archives/000344" target="_blank">nearly four times over</a>.
The ALP referred directly to land value capture to fund the removal of level crossings in its <a href="https://www.danielandrews.com.au/wp-content/uploads/2013/11/Victorian-Labors-Project-10000.pdf" target="_blank">Project 10,000 </a>election manifesto. It is economically sound, fair to taxpayers and, in practice, drives powerful infrastructure improvement by recycling investment funds.
Doubts remain as to whether the roads-biased Abbott government will assist this vital Victorian rail project. There is more than enough embedded in land values to fund the cross-city rail – with or without federal help.
After mentioning the soft option of tolling drivers, which has <a href="https://www.prosper.org.au/2014/04/11/superannuation-the-next-sacrificial-lamb-in-failed-infrastructure-model/" target="_blank">failed spectacularly as a financing mechanism in NSW and QLD</a>, an article <a href="https://www.theage.com.au/victoria/toll-motorists-to-pay-for-rail-tunnel-expert-says-20141210-124azo" target="_blank">in The Age </a>recently quoted the RACV’s Bryan Negus:
"RACV public policy head Brian Negus said tolling level crossings would be impractical.
"He said some on Labor’s list could be removed in a public-private partnership, with the private sector given development rights around the rail line.
"'If you remove six or seven together in one package and put those out to the private sector in a value capture arrangement with government funding as well, that’s a good way of trying to deliver them,' he said."
With <a href="https://www.smh.com.au/it-pro/rash-financial-deals-dilute-philanthropy-20121223-2btp6" target="_blank">the cost of Public Private partnerships continuing to rise</a>, one wonders when a Labor government will ever question them? From <a href="https://www.smh.com.au/comment/why-tunnel-vision-will-cost-all-victorians-big-time-20130623-2oq8h" target="_blank">the cost of finance at 2% above government financing</a>, the public interest is immediately at a disadvantage.
Then there is the incredible cost per train station. The Wyndham Vale and Tarneit stations are rumoured to have cost $50 million each. These are jaw dropping costs, for which the developer paid nothing to see his land values skyrocket. But the millennium falcon of train stations – the Williams Landing station – tops them all at $110 million (including overpasses). The size of these costs ensures the government mustutilise the most efficient form of revenue raising possible. Under the current arrangements, the public will recognise such immense infrastructure projects as nothing more than <a href="https://www.earthsharing.org.au/2014/12/the-code-to-housing-wastage/" target="_blank">developer welfare</a>.
The academic with the lead quote in the article almost got it right:
"Speaking this week on a panel organised by Engineers Australia, Professor Stanley of the Institute of Transport and Logistics Studies said the revenue could go into a transport fund that would help the government deliver a long-term plan for Melbourne.
"'The general principle is you identify who the beneficiaries are from implementing public policy initiatives and ask them to make a contribution, and the people who are going to benefit from this are the motor vehicle users who get a better run,' he later told Fairfax Media."
But Professor Stanley looks only at the users – the car drivers. The real beneficiaries are the surrounding land owners. Some property valuers estimate the value of a train station adds $70,000 to each property within walking distance. A sway of <a href="https://www.prosper.org.au/26p/" target="_blank">high level reports</a> have pointed to the use of a fairer infrastructure financing system.
Former Prosper Australia President Robert McAlpine was a Melbourne City Council bureaucrat who played a significant role in ensuring surrounding land owners to the City Loop paid something back to the community to say thanks for the new service – and the windfall gains. However, today landowners scream poor when they have to pay even 2% of the benefits back.
But alas we face the usual battle: One real estate industry figure said imposing such a special levy on land along the route would be met with spirited opposition from property groups.
The tenor of the first few comments accompanying the article suggest the people have had enough.
With the new Victorian government introducing the <a href="https://www.vic.gov.au/contactsandservices/directory/?ea0_lfz149_120.&amp;roleWithSubordinates&amp;d8469aeb-74d4-4051-acac-e822b89ac64d" target="_blank">Ministry of Equality</a>, this policy innovation is a vital step forward.
Karl Fiztgerald is project director of <a href="https://www.prosper.org.au/" target="_blank">Prosper Australia</a>.
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