For most new apartment buildings, the Owners Corporation starts life with little more than a bank account and the first quarterly strata levies.

At <a href="https://www.apartments.com.au/buildings/9-gay-street-castle-hill-9-gay-street-castle-hill-nsw-2154">9 Gay Street</a> in <a href="https://www.apartments.com.au/developments/castle-hill-nsw-2154">Castle Hill</a>, it starts with around $7 million in reserve.

It's an unusual legacy of what was once one of Sydney's highest-profile apartment remediation projects. When the development, originally known as Skyview and built by disgraced developer Top Place, came under scrutiny by then NSW Building Commissioner David Chandler, an $11 million remediation bond was negotiated to ensure any building defects could be fully rectified.

The building underwent an 18-month remediation program, during which around $4 million of that bond was spent bringing the building up to the standard it should have been in from the outset.

After extensive inspections, all active rectification orders have been lifted. What's more, around $7.2 million remains secured for the Owners Corporation for the next 15 years.

In a twist few would have predicted, what began as a significant concern for purchasers has left the building with something almost unheard of in the apartment market: a multi-million-dollar financial reserve from day one.

[smartcode_project:default project_id=147685 project_image_fid=359136]

<a href="https://www.apartments.com.au/project-marketer/equitifund-group">Equitifund</a> Executive Chairman Greg Huxley said the structure offers buyers a level of certainty that is difficult to replicate.

"The $11 million bond established for the Skyview Castle Hill development represents exceptional value, providing genuine financial security for purchasers," Huxley said.

"Unlike a standard insurance policy, this bond consists of real funds held in trust for the Owners Corporation, offering a tangible layer of protection and added peace of mind."

The apartments themselves have been designed with a focus on practical, contemporary living. Interiors feature Smeg appliances, stone benchtops, tiled living areas, carpeted bedrooms, 2.7-metre ceilings, floor-to-ceiling glazing, and ducted heating and cooling throughout.

Residents also have access to a range of shared amenities, including two rooftop barbecue areas, a swimming pool, children's playgrounds, secure building access, storage cages, and visitor parking.

The location continues to be one of the project's strongest drawcards. Castle Hill Metro Station sits virtually on the doorstep, providing direct connections across Sydney's expanding Metro network, while Castle Towers offers extensive retail, dining, entertainment, and service amenities within walking distance.

[smartcode_project:default project_id=147685 project_image_fid=359127]

The building, now named after its location at 9 Gay Street, comprises a diverse mix of one-, two-, and three-bedroom apartments starting from just under $600,000.

Equitifund National Sales Director Ben Hamblett said demand in the Hills District continues to be driven by buyers seeking convenience and connectivity.

"Interest from both owner-occupiers and investors in Castle Hill remains exceptionally strong, with buyers consistently prioritising developments in close proximity to the Metro station and Castle Towers Shopping Centre," Hamblett said.

"There is a clear trend in the market, with purchasers seeking convenient access to transport and lifestyle amenities that support a seamless, low-maintenance way of living."

On top of the long-term protection afforded by the remaining $7.2 million bond, Equitifund is offering a limited-time stamp duty rebate on selected apartments.

Eligible purchasers can also secure finance options, including a 3.99 per cent two-year variable rate, loan-to-value ratios of up to 90 per cent, and interest-only lending options through EquitiCredit.

[smartcode_project_cta:default project_id=147685]

Joel Robinson

Why this Castle Hill apartment building starts with a $7 million advantage

For much of the past few years, conversations about Australia's property market have centred on the rapid growth seen in Sydney, Brisbane, Gold Coast, and Perth. <a href="https://www.apartments.com.au/developments/melbourne-vic-3004">Melbourne</a> has followed a different trajectory.

That relative underperformance is now encouraging some buyers to reassess the city, particularly those willing to look beyond short-term market movements and focus on quality property in established locations, along with the long-term growth prospects of a city expected to overtake Sydney as Australia’s most populous.

John Bekiaris, Research &amp; Market Insights at <a href="https://www.apartments.com.au/project-marketer/equitifund-group">Projects by Equitifund</a>, said Melbourne's current position is attracting increasingly sophisticated purchasers.

"Melbourne continues to present one of Australia's strongest long-term investment stories," Bekiaris says.

"While other capital cities have experienced stronger recent growth, that relative underperformance is exactly what's attracting sophisticated counter-cyclical investors."

[smartcode_project:default project_id=1979 project_image_fid=363268]

Equitifund isn't just commenting on Melbourne's property market, it's investing in it.

The Sydney-headquartered capital partner has taken over the remaining apartments at <a href="https://www.apartments.com.au/buildings/victoriana-melbourne-20-queens-road-melbourne-vic-3004">Victoriana</a>, the recently completed glass-encased development opposite Albert Park Lake in Melbourne's tightly held St Kilda Road precinct.

Designed by <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> and built by <a href="https://www.apartments.com.au/builders/hickory">Hickory</a>, Victoriana places residents between one of Melbourne's most recognised parklands and the CBD, offering oversized two and three-bedroom apartments aimed at owner-occupiers seeking a genuine alternative to a traditional family home.

The development comprises 232 completed residences alongside a suite of resident amenities, including a 25-metre indoor swimming pool, gymnasium, landscaped entertaining areas, resident lounges, EV charging, secure basement parking and a concierge-style arrival experience.

[smartcode_project:default project_id=1979 project_image_fid=363229]

The apartments have been designed with owner-occupiers firmly in mind.&nbsp;Open-plan living and dining areas flow onto generous balconies framing views across Albert Park Lake, Fawkner Park, the Royal Botanic Gardens and the Melbourne skyline.

Kitchens feature Gaggenau appliances, stone benchtops and generous preparation space. Bedrooms include built-in robes, while bathrooms feature full-height textured tiling. Hardwood flooring and ducted air conditioning complete residences designed for long-term living.

Rothelowman's architecture takes its cues from the landscape opposite the site. Sweeping horizontal glazing references the movement of Albert Park Lake, while generous balconies and expansive glazing strengthen the connection between the apartments and the surrounding parklands. The result is a building designed to deliver the scale and amenity expected of luxury apartment living, while offering the larger floorplans increasingly sought by owner-occupiers.

[smartcode_project:default project_id=1979 project_image_fid=363284]

The location is one of Victoriana's defining characteristics. Positioned on Queens Road, residents are directly opposite Albert Park Lake and within easy reach of Fawkner Park, the Royal Botanic Gardens, South Melbourne, St Kilda Road and the CBD. With few comparable development opportunities remaining in the precinct, buyers are increasingly placing value on outlooks that are unlikely to be interrupted by future construction.

Greg Huxley, Founder of Equitifund, believes those qualities become even more valuable over time.

"Premium real estate has always rewarded buyers who take a long-term view," Huxley said.

"Victoriana represents the kind of asset that's increasingly difficult to recreate today, particularly in an established location like Queens Road."

He said rising construction costs are also changing the way buyers assess completed developments.

"When you combine an irreplaceable location with thoughtful architecture and premium finishes, you create something that becomes increasingly difficult to reproduce as construction costs continue to rise."

[smartcode_project:default project_id=1979 project_image_fid=363228]

According to National Sales Director Ben Hamblett, enquiry has been driven largely by Melbourne downsizers and buyers upgrading from smaller apartments.

"Interest in Victoriana continues to build, with strong buyer focus on the larger owner-occupier residences within the development," Hamblett says.

"Enquiry is increasingly driven by local buyers who recognise the rarity of what's on offer: park-facing apartments in an established neighbourhood where new development opportunities are becoming increasingly scarce. At Victoriana, the view is not just a feature; it's an appreciating asset in its own right."

He said interstate enquiry has also strengthened as buyers reassess Melbourne's position within the national property cycle.

"Melbourne currently stands as the most compelling entry point of any major Australian capital, and discerning buyers are beginning to recognise what those who move early always understand: the best opportunities are taken before the price rise confirms them."

[smartcode_project_cta:default project_id=1979]

Why now is the time to buy in Melbourne's premium apartment market

Developers and apartment buyers have a narrowing window of opportunity before Brisbane's Olympic infrastructure pipeline begins competing directly with residential construction, pushing up costs, tightening labour supply and making new projects increasingly difficult to deliver.

While Brisbane's apartment market continues to benefit from strong population growth and limited housing supply, industry research suggests the years leading up to 2027 could prove to be the most important period for developers looking to secure builders and buyers hoping to purchase before the next wave of price increases.

A new Colliers report, Brisbane 2032 Olympic and Paralympic Games: Creating Solutions, highlights the scale of the challenge. While thousands of new homes are planned across South East Queensland, the Brisbane Olympic Athletes Village alone will deliver more than 10,500 beds during the Games before being converted into around 1,750 to 2,000 apartments. Equivalent to almost two years of typical inner-city apartment supply, the project will also absorb a significant share of the construction workforce and building materials.

The broader construction pipeline paints an even clearer picture.

Construction Skills Queensland's Horizon 2032 report forecasts Queensland's annual construction pipeline will average $69 billion over the coming years before peaking at $75 billion in 2027-28. Demand for construction workers is expected to increase by 17 per cent to almost 150,000 people, with the industry facing an annual shortfall of around 19,000 workers that could blow out to as many as 35,000 during the peak construction period.

The Olympic venues, athletes village and supporting infrastructure will account for billions of dollars worth of work across South East Queensland through to 2032, creating intense competition for labour at a time when Australia's residential construction sector is already under pressure.

[smartcode_project:default project_id=150489 project_image_fid=373834]

Colliers Queensland Residential Director Andrew Scriven said the convergence of these projects is creating a clear window of opportunity for both developers and buyers.

"From 2027 onwards, the market will shift dramatically," Scriven said.

"Labour will increasingly be locked into government-led infrastructure and Olympic projects, which means private residential developments will face higher costs and tighter margins. The developers who move now are the ones most likely to get projects off the ground."

Scriven said the same dynamic would also affect buyers, with fewer apartment projects expected to launch once construction capacity tightens.

"If you're looking to change your lifestyle over the next five years, now is your window of opportunity to buy."

[smartcode_project:default project_id=150713 project_image_fid=373827]

Developers are already positioning themselves ahead of that window.

Following the success of Monarch at Toowong, Consolidated Properties is preparing to launch two new Brisbane apartment projects in the second half of 2026. They include <a href="https://www.apartments.com.au/new-apartments/gloriette-30-bedivere-street-yeerongpilly-qld-4105">Gloriette</a> at Yeerongpilly Green, a 25-storey tower within one of Brisbane's key Olympic precincts, and <a href="https://www.apartments.com.au/new-apartments/castile-47-skyring-terrace-newstead-qld-4006">Castile</a>, a recently approved 25-storey riverfront development at 47 Skyring Terrace in Newstead.

Hutchinson Builders will deliver both projects, with early works already underway at Yeerongpilly and Newstead expected to commence later this year.

The timing comes as Brisbane's fundamentals continue to strengthen, with strong interstate migration, population growth and vacancy rates remaining below 1.5 per cent.

Colliers Queensland researcher Pragya Sharma said Greater Brisbane is forecast to require around 40,000 new apartments between 2021 and 2031.

"There's a real mismatch emerging between when housing is needed and when it will be feasible to build," Sharma said.

"As a result, the period leading up to 2027 presents a key window of opportunity for developers to secure approvals, funding and construction capacity, while buyers will have greater choice before supply constraints intensify."

Colliers research outlines a critical pre-2027 window to start residential projects before labour squeeze: now is the time to buy

Developers, buyers on watch in South East Queensland ahead of construction crunch: Colliers

It's taken less than nine months for developer Sherpa Property Group to sell out all 51 apartments in its <a href="https://www.apartments.com.au/new-apartments/flourish-oasis-palm-beach-7-9-sixth-avenue-palm-beach-qld-4221">Flourish Oasis</a> development in <a href="https://www.apartments.com.au/developments/palm-beach-qld-4221">Palm Beach</a>, over a year before its anticipated completion.

&nbsp;

Located at 7-9 Sixth Avenue, the $67 million development has resonated strongly with both local owner-occupiers and downsizers seeking high-quality apartments within walking distance of the beach, dining precincts and everyday amenities.

[smartcode_project:default project_id=151449 project_image_fid=357458]

Christie Leet, Founder of <a href="https://www.apartments.com.au/developers/sherpa-property-group">Sherpa Group</a>, said the sell-out reflected both the strength of the Palm Beach market and the success of Sherpa's community-first approach to development.

"The sell-out of Oasis is a fantastic outcome and reinforces the strong demand we're seeing for thoughtfully designed apartments in lifestyle locations," Leet said.

"From the outset, our vision was to create a development that genuinely enhanced the Palm Beach community while providing residents with exceptional homes and wellness-focused amenities.

"We've been incredibly encouraged by the level of local support throughout the campaign, 72.5 per cent of buyers are locals, with a significant proportion of purchasers choosing Oasis as their future home rather than an investment."

[smartcode_project:default project_id=151449 project_image_fid=357463]

Construction is now progressing following development approval, with trusted builder LPS Group delivering the project and completion anticipated in Q3 2027.

Oasis forms part of Sherpa Group's successful Flourish collection, which has become recognised for its focus on wellness, community and elevated coastal living.

[smartcode_project:default project_id=151449 project_image_fid=357469]

Residents will have private access to a rooftop amenity space featuring a pool, gym, sauna, steam room, hot and cold plunge pools, spa and barbecue facilities.

"The success of Oasis demonstrates that buyers continue to prioritise quality, location and lifestyle," Leet said.

"We are proud to have delivered a project that has resonated so strongly with the market and look forward to bringing Oasis to life for our future residents."

Sherpa recently launched <a href="https://www.apartments.com.au/new-apartments/flourish-soleira-palm-beach-1150-1160-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a>, its third instalment of the Flourish brand in Palm Beach following Flourish Oasis and <a href="https://www.apartments.com.au/new-apartments/amargo-6-12-sixth-avenue-palm-beach-qld-4221">Flourish Amargo</a>.

[smartcode_project_cta:default project_id=151449]

Sherpa sells out Flourish Oasis in booming Palm Beach

Urban Property Group's <a href="https://www.apartments.com.au/new-apartments/la-vera-macquarie-park-94-talavera-road-macquarie-park-nsw-2113">La Vera</a> is leading the next phase of Macquarie Park's residential evolution, with the new apartment development set to become the first of several new apartment projects in the precinct to complete.

The 169-apartment building has now topped out ahead of its scheduled completion in the third quarter of 2026, as new residential investment continues to reshape one of Sydney's largest employment hubs into a true mixed-use precinct.

[smartcode_project:default project_id=134951 project_image_fid=368645]

Cox Architecture has designed La Vera to capture the best of its unique positioning on Talavera Road, orienting the building towards Lane Cove National Park.&nbsp;The building features a sculpted northern façade with flowing curves inspired by the surrounding landscape, while its city-facing elevation adopts a more structured architectural expression to maximise skyline views.

"The vision for the project was to conceive a building that adopted an organic and curvilinear form to the northern portion that faces the Lane Cove National Park," <a href="https://www.apartments.com.au/architects/cox-architecture">Cox Architecture</a> Director Felipe Miranda said.

"The residents that reside in the northern portion of the building benefit by having beautifully crafted curved balconies that speak to the natural context and heighten the relationship of their internal living spaces to the external balconies."

[smartcode_project:default project_id=134951 project_image_fid=358802]

La Vera offers a diverse mix of one, two, three, and four-bedroom configurations, with prices currently starting from $740,000. Buyers so far have been a mix of Sydney-based investors,&nbsp;metro commuters, owner-occupiers and downsizers from surrounding North Shore suburbs.

Both investors and owner-occupiers have been drawn to La Vera's proximity to Macquarie University, Macquarie University Hospital, Macquarie Centre and the Sydney Metro, infrastructure that supports both strong rental demand and a convenient lifestyle for residents.

The apartments feature full-height glazing, timber flooring throughout living areas, stone kitchen benchtops, SMEG appliances, floor-to-ceiling bathroom tiling and ducted air conditioning.

Residents will have access to a rooftop recreation level featuring a swimming pool, sauna, barbecue facilities and landscaped relaxation areas, complemented by additional communal space at ground level. Many apartments enjoy uninterrupted views across Lane Cove National Park, reinforcing the project's connection to its natural setting.

[smartcode_project:default project_id=134951 project_image_fid=364551]

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a>, a family-owned developer and builder with nearly four decades of experience, holds a 4.5-star iCIRT rating and was Australia's first developer to introduce 10-Year Latent Defects Insurance (LDI). La Vera is the first apartment development in <a href="https://www.apartments.com.au/developments/macquarie-park-nsw-2113">Macquarie Park</a> approved to offer the additional insurance protection, alongside a five-year warranty on SMEG appliances.

Urban Property Group CEO Patrick Elias said the additional protection reflects changing buyer expectations in the off the plan market.

"Consumers are a lot more weary and a lot more concerned in buying off the plan than they ever have been. Having LDI is a tool to portray the confidence that we have in our product, and a confidence we want buyers to share," Elias said.

Following completion of the building later this year, buyers will move into their apartments well before Christmas.

[smartcode_project_cta:default project_id=134951]

La Vera closes in on completion as Macquarie Park continues residential transformation

Adelaide

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The Adelaide CBD office vacancy rate will hit 15% next year with prices and and effective rents in decline until the end of the decade, according to research firm BIS Shrapnel.
The oversupply of office space meant Adelaide office buildings are overvalued, said BIS Shrapnel in its Adelaide Commercial Property 2014 to 2024 report.
“Prospective internal rates of return over a five-year investment horizon are less than 3%.
“Against this backdrop, the current weight of investment funds pushing down yields doesn’t make sense,” the report author Maria Lee said.
The most recent sale by German fund SachsenFonds sale of Adelaide office complex to the Lend Lease-managed Australian Prime Property Fund’s for $175 million last month, came despite the negative forecast backdrop, the Australian Financial Review reported
It also noted 100 Waymouth Street was fully leased, 108 North Terrace (75% leased) and 169 Pirie Street (60% leased) with 70 Franklin Street which was speculatively built by the Kyren Group being 75% committed.
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jchancellor-FAypfDUnLy

Falling yields in Adelaide office market "doesn't make sense": BIS Shrapnel

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A two bedroom house surrounded by gardens was the cheapest sold at weekend auction in Adelaide.
Kristy Dundon of Harris Real Estate sold the house at <a href="https://www.realestate.com.au/property-house-sa-blackwood-118120775" target="_blank">20 Brightwood Avenue</a>, Blackwood for $450,000.
The home is located in Blackwood, at the foot of the Adelaide hills.
On the lower level there is a kitchen and dining room, bedroom, bathroom and living area that opens onto an outdoor entertaining deck. The mezzanine level holds the main bedroom and a living space. Double height windows look onto the property's well established gardens, set over 898 square metres of land.
The property also includes a separate studio, a double carport and storage under the house.
The sellers bought the home for $173,000 in 2000.
<a href="/news">Blackwood</a> has a median sale price of $480,000, according to RP Data.
Earlier this year Property Observer's contrarian commentators Jonathan Chancellor and Margie Blok debated <a href="/expert-insights/investing/a-frame-houses-do-they-work-he-said-she-said">the merits of the A-frame design</a>.
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jrichardson-uRX5hFdKfN

A-frame Blackwood home Adelaide’s cheapest at auction

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A two storey family residence secured the highest sale price of any home auctioned in Adelaide this weekend, according to Australian Property Monitors.
The five bedroom house at <a href="https://www.realestate.com.au/property-house-sa-brighton-118038947" target="_blank">16 King Street</a>, Brighton sold for $1.1 million through Brad Allen and Mark Patterson of Gary J Smith Real Estate Glenelg.
The house has multiple living and entertaining spaces, including a formal lounge, dining rooms, and an open plan north facing living area which opens to the outdoor in ground swimming pool.
There are two bathrooms – an en suite off the master bedroom and a main bathroom.
Sitting on an 896 square metre plot, the home includes a double garage with a cellar. It is located in the Brighton Secondary School zone.
<a href="/news">Brighton</a> is a coastal suburb, between Seacliff and Glenelg. According to RP Data, the area had a median sales price of $585,000 in September.
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Beachside Brighton, Adelaide home tops city's weekend auctions

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Paralowie, in Adelaide’s north, was the location of the city’s most affordable house sold for $323,000 at weekend auction.
The 1997-home has five bedrooms on a block at 83 Liberator Drive. The modern house has an ensuite to the master bedroom, a three-way bathroom, modern kitchen that serves an adjoining dining area plus outdoor entertaining areas.
Plaza Real Estate, according to APM, handled the sale.
RP data has the median house price for September in Paralowie at $288,000, while capital growth for 2013 was -1.2%.
This year three houses have sold on the street with the least expensive being a three-bedroom house on 300 square metres at 97 Liberator Drive that changed hands for $250,000.
In July another three-bedroom house on 642 square metres sold for $325,000.
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andreadixon-oif3j7eKne

Paralowie Adelaide's cheapest weekend auction sale

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Adelaide’s most expensive property to sell at auction last weekend was a $1.195 million Californian bungalow in Glenelg.
The 1935-built residence is at <a href="https://www.realestate.com.au/property-house-sa-glenelg-117941435" target="_blank">14 Maturin Road</a>, just a few streets back from the beach and Jetty Road attractions, according to Australian Property Monitors.
The sprawling five-bedroom house is 243 square metres in size and features an Art Deco cocktail den. It is on 968 square metres of land and was sold through Harris Real Estate Glenelg.
The house last traded in 2005 for $750,000.
According to RP Data, the median house price for Glenelg, which is 9 kilometres from Adelaide, was $1.2 million in August this year.
However, the statistics show that the suburb sits within a dramatic statistical growth cycle. In 2013 growth in Glenelg was negative 20.8% while in 2012 it was up more than 22% on 2011’s negative growth of 22.5%. 
Over five years, RP Data has the suburb’s median house price up by 20%.
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Glenelg bungalow sells for $1.195 million

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The most expensive domestic real estate to sell in Adelaide at the weekend auctions fetched $900,000 in Brighton’s Park Crescent, on the South Australian capital’s coast.
The three-bedroom single-level house was set on a large 1,420 square metre block at <a href="https://www.realestate.com.au/property-house-sa-brighton-117876483" target="_blank">5 Park Crescent</a>, and traded through selling agent Elders Brighton, according to Australian Property Monitors.
The 1957-built house last sold in June 2005 for $550,000.
According to RP Data, the median house price in Brighton for August 2014 was $574,000 up from $490,000 in the corresponding month in 2013. 
Capital growth for 2013 is at 3.4% for the area, which is a considerable improvement on the -25% recorded for 2012. 
The median rental for a house in Brighton is $420 a week. 
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Brighton Park sale was Adelaide's dearest weekend auction

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Adelaide House Rules winners Carly Shulz and Leighton Brow achieved their success last July.
Now <a href="https://www.realestate.com.au/property-house-nsw-caringbah-116118699" target="_blank" style="line-height: 1.3em;">they have spent $1.01 million at Caringbah South</a>.
Just what they plan for the three bedroom house remains to be seen as they have put it up for rent at $750 a week while they sell in Adelaide.
The new Sydney was marketed as "ideally positioned".
Situated on the high side of a cul-de-sac, the home on 796 square metres was offered for the first time.
It is located close to Yowie Bay.
"Ideally suited to renovate and recreate your new home," listing agent Peter James from Peter James Realty Caringbah said.
The young Adelaide couple was crowned the renovation show's inaugural winners last July.
They got their house renovated and got their mortgage paid off.
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On their win, Brow said they were considering going into property development.
"I renovate houses anyway for a living, so we'll just step it up," he indicated.
"I'll maybe get Carly as a (business) partner and get into developing.
"She can do the nice colour choice and interior decorating."
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Adelaide House Rules winners Carly and Leighton spend $1 million at Caringbah South

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Adelaide continues to deliver data suggesting a rising market – and further evidence that those who called the end of the so-called national property boom forget to look beyond Sydney.
The latest figures come from an analysis of Valuer-General’s data by the Real Estate Institute of South Australia. They confirm my own figures showing strongly rising sales volumes throughout Adelaide. The REISA report also provides evidence of the first signs of price growth.
This reinforces the findings of the Price Predictor Index, which suggest a rising Adelaide market in 2014.
I wrote <a href="/news/sa/adelaide-is-the-standout-market-and-opportunity-for-investors">on Property Observer last month</a>:
“The standout market for me at the moment is Adelaide. The South Australian capital has more forward momentum than most of the capital cities. Given that this has not yet translated into major price growth, it represents an opportunity for investors.
“South Australia is the only capital city which ended 2013 with sales volumes rising significantly and carried that into the early part of 2014. Some of our cities peaked, in terms of sales activity, in early or mid 2013. Some ended 2013 strongly but made a lukewarm start to 2014.
“But SA is really just beginning its run.”
The REISA report indicates a 6.2% quarterly rise in the number of houses sold in metropolitan Adelaide. It says the median price rose 4% to $415,000.
I would expect more growth to follow, given the strong pattern of rising sales volumes.
Adelaide and South Australia seldom get the credit they deserve. They only attract national headlines when something negative happens, like the deferral of the Olympic Dam resources project or the closure of a major manufacturing enterprise.
I think few investors realise how much is happening there, particularly in the area of new infrastructure spending and development of new property markets, such as urban renewal projects in the inner-city areas.
Adelaide has major infrastructure projects happening with rail links, road networks, hospitals, education facilities and sports infrastructure.
I commented about two years ago that Adelaide had more infrastructure developments under way than did Sydney. This is no longer true, as the NSW state government has initiated some major projects more recently, but Adelaide remains a significant centre for infrastructure spending, relative to its size.
As the year progresses, I expect to see more from the South Australian capital in terms of rising property markets and significant price growth.
You can contact Terry via <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email</a> or on <a href="https://www.twitter.com/hotspotting" target="_blank">Twitter</a>.
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terryryder-YECXbqmri2

The data is in: Adelaide's on the move and I expect significant price growth

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Adelaide’s residential property market is in a slightly better position than it was 12 months ago, according to Herron Todd White.
" It is fair to say that it is no longer the buyers' market that it once was," the latest report by the valuation firm advised.
 The number of days on the market has reduced, vendor discounting has tightened, sales transactions have increased and in that time there has been around a 3% improvement in median price.
Investment activity appears to have increased in the past 12 months or so as investors try to capitalise on the current market conditions that see vacancy rates remaining low, rental rates steady, and low interest rates persisting. 
"With the property market in Adelaide having reached the bottom of the cycle investors are now more confident that property will start to see some improvement in capital growth in the medium to long-term," the report said.
With only a slight annual increase to Adelaide's median price, the report suggested $500,000 would still buy much the same as it would have last year.
It noted $500,000 can currently buy in the inner suburbs, less than seven kilometres from the CBD, including Norwood, Parkside, Unley and Prospect, but "more and more difficult" in older established suburbs located close to popular shopping strips and centres, and dining and café precincts. 
"Proximity and access to the city is probably the biggest selling point for these areas."
Property within these suburbs that have a price tag of less than $500,000, can secure an older style two bedroom unit or attached cottage/maisonette on a small allotment.
"Tenant demand within these suburbs remains high, with very low vacancy rates as a result.
"Tenant demand should also maintain current rental rates with the potential for slight increases over time. 
The current rental rate is around $350 to $500 which would roughly equate to a gross yield of 3.5% to 5%. 
"Properties within these locations are also expected to experience solid capital growth in the long term with property investment in these suburbs somewhat akin to blue chip shares," the report said. 
Within the next zone of 7 to 25 kilometres from the city $500,000 will purchase an older three bedroom house on a large allotment (500 to 900 square metres) or a newer three bedroom house on a smaller allotment (200 to 500 square metres). 
"The older dwellings on large allotments have the possibility of renovation, extension or even sub division in the future to increase capital worth. "The prospects for solid long term growth are good. 
"Yields in this area vary and would expect the average yield to be in the order of 4% to 5%."
Suburbs greater than 25 kilometres from the CBD considered to be the outer suburbs, include to the north, Elizabeth and Davoren Park where it is possible to purchase a basic two to three bedroom dwelling of 100 square metres on an allotment of 400 to 800 square metres for $130,000 to $200,000. 
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Adelaide no longer the buyers' market that it was: HTW

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The median price of a house in Adelaide was $420,000 for the quarter to June, according to RP Data-Rismark.
Property Observer looks at the city's recent sales to see what exactly that sum will buy you.
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<a href="https://www.realestate.com.au/property-terrace-sa-woodville+west-115717987" target="_blank">14 Smith Avenue, Woodville West</a> <img src="/images/2014/07/14/1.jpg" alt=""> This house in Adelaide's western suburbs sold for $425,000 in May. With a 782 square metre plot, the listing information stated: "Build two and live in one! Sell the other! Divide the land and sell! Rent the current home out knowing you can develop later on." The existing house is a 1950s era three bedder. 
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<a href="https://www.realestate.com.au/property-house-sa-flinders+park-116815535" target="_blank">77 Hartley Road, Flinders Park</a> <img src="/images/2014/07/14/2.jpg" alt=""> This three bedroom brick house sold for $417,000. With carpeted bedrooms and tiled living areas, the house was described as "quirky and quaint" by the listing agent, who also suggested a subdivision, given the 600 square metre plot. Price: $417,000 Bedrooms: Three Drive to CBD: 12 minutes 
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<a href="https://www.realestate.com.au/property-house-sa-marden-115839839" target="_blank">3 Glenbrook Close, Marden</a> <img src="/images/2014/07/14/3.jpg" alt=""> Sold for $423,500 in April, this Marden home has three bedrooms and one bathroom. It has floorboards throughout and a substantial backyard, with a carport. The home is located near Willow Bend Rserve along the River Torrens. Price: $423,000 Bedrooms: Three Drive to CBD: 14 minutes 
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<a href="https://www.realestate.com.au/property-house-sa-semaphore+park-117081607" target="_blank">16 Third Avenue, Semaphore Park</a> <img src="/images/2014/07/14/4.jpg" alt=""> Described as a "good candidate to be demolished" by the selling agent, this two bedroom home sold for $420,000 in June. The two bedroom, one bathroom house has, according to the agent, "been in the family for many years". Price: $420,000 Bedrooms: Two Drive to CBD: 23 minutes 
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<a href="https://www.realestate.com.au/property-house-sa-birkenhead-116866711" target="_blank">7 Mead Street, Birkenhead</a> <img src="/images/2014/07/14/5.jpg" alt=""> This 1870s era terrace near the beach sold for $425,000. The two storey home has a bay window, timber joinery, a cast iron balustrade and blue stone walls. There is a newly built extension on the house, with a tiled open plan living area and new bathroom, laundry and toilet. Price: $425,000 Bedrooms: Three Drive to CBD: 22 minutes</li>
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