Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

Joel Robinson

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

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The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
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[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Eastern Suburbs buyers snap up ESTE Little Bay apartments

Brisbane

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A joint construction company venture in Brisbane between the Chinese government-owned construction giant China Railway Construction Group's and construction company Rimfire Constructions has collapsed.
The joint venture formed by the two parties, CRCG-Rimfire Pty Ltd has been placed under voluntary administration, the Courier Mail reported last week.
Fairfax Media reported Grant Thornton has scheduled the first creditors meeting for Monday.
It was a big disappointment for the world's third largest construction company, according to a media statement by the company.
</div>
<div>"Unfortunately, the appointment of an administrator to Rimfire Constructions (Qld) Pty Ltd being the subsidiary of our joint venture partner, Rimfire Constructions Pty Ltd in September has now had a flow-on impact on the joint venture company, CRCG-Rimfire," the company said,</div>
<div> </div>
<div>"CRCG wishes to be a productive, long-term participant in the Australian construction industry."</div>
<div>
Rimfire Constructions was previously led by former Lendlease head of apartment construction Adam Moore and Danny Cain. 
In a report to the creditors of Rimfire Constructions, Mr Cain said Rimfire's troubles were caused by CRCG's refusal to pay for expenses incurred by the joint venture.
</div>
<div>The business, which was initially profitable, had cost overruns, the report said, but agreement between the two companies which indicated CRCG would reimburse the JV costs ahead of regulatory approvals was not honoured, Mr Cain said.</div>
<div> </div>
<div>CRCG disputed the debt of $1.169 million and a CRCG spokesperson vehemently rejected the claims.</div>
<div>
"The company is confident the voluntary administrator will get to the bottom of all transactions and that CRCG's position will be vindicated," he said.
"We now find ourselves in a situation where the directors had little choice but to place the company into voluntary administration," CRCG said.
</div>
<div>
The biggest creditors in the JV fallout were subcontractors, material suppliers and employees, the joint venture's administrator, Grant Thornton's Michael McCann, said.
The joint venture had about six building contracts for apartment projects across Brisbane by unrelated developers.
The company had worked on an apartment complex at Greenslopes and a high-rise unit block in Baxter St, Fortitude Valley.
The Beijing-based CRCG has completed projects outside China, including the Four Seasons Hotel in Kuala Lumpur, a power project in Papua New Guinea and a 240 residential village in Saudi Arabia.
One of the largest companies in China and in the world, the $28 billion CRCC, has been responsible for large projects such as the Beijing-Shanghai High-speed Railway.
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j.ballantyne1990-6AQqhLzZaK

Chinese construction joint venture in Brisbane collapse after partners dispute cost overruns 

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The $2.9 billion redevelopment of the Brisbane Showgrounds has received the highest rating for master-planned precincts in Australia, demonstrating ‘World Leadership’ by achieving a 6 Star Green Star – Communities v1 certified rating from the Green Building Council of Australia (GBCA).
The Brisbane Showgrounds regeneration was assessed for its sustainability performances across five impact categories – Governance, Liveability, Economic Prosperity, Environment and Innovation – achieving a total rating of 77.7 points out of a possible 100 points.
Brisbane Showgrounds Project director Andrew Hay said the independent verification rating represents ‘best practice’ for a master-planned development in Australia, recognising Lendlease’s vision and commitment to sustainability.
“As the world’s population urbanises, there is a greater emphasis placed on the role of the built environment, including place, sustainability and community outcomes. People want to live and work in cities and precincts that are liveable, connected and accessible,” he said.
“Brisbane Showgrounds demonstrates each of these attributes, all of which have been independently verified by the GBCA.”
High scoring sustainable concepts include 25 King, the largest and tallest engineered timber office building in the world, recognition and integration of the cultural heritage of the site’s long history and commitment to education, skills and training.
"The Brisbane Showgrounds project exemplifies how sustainable design and construction continues to evolve, and how it challenges the industry to look for new ways to add social value,” says the GBCA’s Chief Executive Officer, Romilly Madew.
“Take Lendlease’s determination to preserve and enhance the significant heritage on the site as an example. This not only saves on demolition, waste to landfill and carbon emissions, but also delivers social benefits for all those who work, live in or visit the community.
“Other shared value initiatives on this project include Lendlease’s partnership with the Leukaemia Foundation of Queensland, which has delivered 14 discounted apartments for families with sick loved ones, and skills training for construction workers that highlights that sustainable buildings are good for the health and wellbeing of everyone – including those who build the community.”
Green Star – Communities is a nationally-adopted scheme designed to assess and certify the sustainability of large-scale master planned development projects.
The Brisbane Showgrounds precinct seamlessly combines commercial, residential and retail and is set to house to over 15,000 workers, customers and visitors by 2025. It is one of Brisbane’s most well connected and walkable neighbourhoods, a lively entertainment, retail and events quarter providing an inner-city lifestyle like no other.
 
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jrobinson-rf4aSBido9

Lendlease achieves world green star leadership at Brisbane Showgrounds

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CoreLogic's head of research Tim Lawless talks the Brisbane housing market.
 
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jonathanchancellor-7SQnKwU6yx

Brisbane's market update for November: CoreLogic

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Sunland Group’s new residential tower in Brisbane’s CBD has seen a $3.9 million resale.
<a href="https://www.realestate.com.au/property-apartment-qld-brisbane+city-126365802" target="_blank">The half-floor 36th level sub-penthous</a>e in the 24-hour concierge block, Abian fetched $240,000 more than paid for it two years ago off the plan.
Settlements were in August on the $3.66 million sale, with its offered for resale in early September.
The apartment at 3601/140 Alice Street comes with four bedrooms and three bathrooms covering 322 sqm.
There are three car parks.
It offers 270 degree views of the Brisbane River, Kangaroo Point and South Brisbane.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/11/20/Nov20Trophy2.jpg" alt="">
The apartment also includes a separate media room, full sized laundry and a guest powder room.
The Abian tower, overlooking Brisbane’s Botanic Gardens, attracted buyers including celebrity chef Matt Moran.
Simon Caulfield and James McKinlay of Place Kangaroo Point secured the sale to a local family downsizing from a riverfront home at Yeronga.
The building's 40-level features a resort-style pool and spa, plunge pool, sauna, Hammam thermal stone room and steam room.
Other early insoles have been showing above trend price growth.
A three bedder sold off the plan on the 16th floor at $2.09 million in 2014 has been onsold for $2,635,000.
A two bedder on the 12th floor has been onsold at $1,135,000. It was bought off the plan in 2014 at $968,000.
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jchancellor-FAypfDUnLy

Abian, Brisbane secures bullish $3.9 million resale

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A Brisbane developer has purchased a 7.3 hectare site in Thornlands for $3 million, with plans for residential lots.
The site will be developed into a 34 lot subdivision, plans for which were recently approved by the The Redland City Council. 
The selling agents were Adam Rubie and Brendan Hogan of Colliers International.
The site was sold after an expressions of interest campaign.
“The developer will sell an existing residential dwelling and use the balance for a residential subdivision of 33 lots on an elevated part of the site surrounded by a significant area being dedicated to Council for open space and rehabilitation. They plan for the lots to range in size from 360 sqm to 500 sqm,” said Rubie.
Hogan added that demand for new homes is outstripping supply in the Redland City Council Area, which is why the developer interest.
“In the last two years, the sales volumes of land in this region have increased by 26 per cent with an average sale price increasing by 7 per cent to $305,324.
“This is still some of the most affordable bayside living in Australia this close to a capital city.”
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Thornlands site snapped up by developer for residential lots

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The Brisbane property market chugs along, largely under the radar in the national headlines, although NSW purchasers are increasingly attracted by its cheaper prices.
CoreLogic has taken a look at the relationship between housing market growth in the two cities to determine whether the emerging slowdown in Sydney could translate into an acceleration in home buying in Brisbane.
The gap between median home values sits at a price differential of 85% - Sydney's $909,000 median versus $490,000.
The three decade average premium of Sydney dwellings over Brisbane prices has been 55% indicating that the current gap remains attractively above the long-term average.
Over the past 20 years the average gap has been 56% and at 41% during the past decade.
Such a price gap has made Queensland a popular migration destination for people choosing to leave New South Wales.
This has been the case especially following past Sydney surges.
The average quarterly number of persons migrating from New South Wales to Queensland sits at around 12,000 persons per quarter.  
The peak migration to Queensland at around 18,000 per quarter took place in 1989, and again 2002.
The wide gap in the cost of housing between the two cities was evident in both 1989 and 2002, CoreLogic researcher Cameron Kusher noted.
At its 1988 peak, Sydney dwelling values were 104% higher than Brisbane and in 2001, 107% higher than Brisbane.
Kusher concluded the past trends suggest that Brisbane could be well positioned for a pick-up in value growth as the Sydney housing market slows from its current peak.  
But he says there have been instances where value gap surge hasn’t been followed by a price surge in Brisbane.
So a lift in Brisbane activity and prices is no certainty, Kusher concluded, adding that although interstate migration out of NSW is increasing, it is yet to hit anything close to those two previous highs.
He also noted that people leaving NSW for Queensland won't necessarily settle for Brisbane as much as they have in the past.
Both the Gold and Sunshine Coasts are much bigger cities in their own right than they were in 1989 and 2002.
Ignoring the troubled Brisbane apartment market, Hotspotting website founder Terry Ryder recently advised the Brisbane house market was generally buoyant with some suburban precincts even recording double-digit annual growth for which Sydney has been renown for in recent years.
Ryder nominated the leading precinct as the Moreton Bay Region in Brisbane’s far north, where affordability, infrastructure and proximity to jobs nodes are key factors.
The Redcliffe Peninsula, which is part of the Moreton Bay Region LGA, had received particular impetus from the completion of the Moreton Bay Rail Link, a long-awaited piece of transport infrastructure.
Logan City, the mirror image of Moreton Bay in the south of the Greater Brisbane Area, had been a market leader in the past two years, though had perhaps faded a little of late.
Ipswich City, the south-western precinct with similar qualities to Logan City, had many suburbs now delivering good price growth.
This article first appeared in the Daily Telegraph.
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Brisbane housing market chugging along

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The Brisbane apartment market is seeing one in five foreign buyers fail to settle, according to investment bank UBS.
It comes as tighter capital controls are imposed in China.
</div>
UBS said default rates for top east coast developers remained low in light of residential price growth being strong for many of the buyers who purchased off the plan two to three years ago.
These buyers had a strong incentive to settle.
But the research highlighted the Brisbane market as where foreign buyers were not necessarily in the money.
The Brisbane apartment market has been the subject of recent warnings from the Reserve Bank after strong supply concentrated in inner city areas.
“The Brisbane apartment market is overbuilt in our view [with] residential prices largely tracking sideways for the last two years,” UBS analysts led by Kim Wright wrote.
“Resale prices are 10 per cent or more below purchase price and bank valuations are frequently below the initial purchase price.
“Poor quality projects are under significant pressure and we understand one in five foreign buyers aren’t settling, citing tightened capital controls.”
Listed developers Mirvac and Lendlease only had a small exposure to Brisbane apartment completions, UBS said, but flagged continued focus on the issue.
“We will be watching the market closely and also to provide an understanding of how foreign buyers will react if prices in Sydney and Melbourne also softened.”
More broadly, UBS said most Chinese consumers around the world had been financing their global property purchasers with cash or mortgages from Chinese banks, reducing concerns about settlement risk.
About a third of buyers paid cash using their savings and nearly three in 10 paid cash with help from family and friends.
Of the one-third of buyers who borrowed, 85 per cent used a Chinese bank rather than a local bank.
The research comes from a survey of 3,060 Chinese consumers that found an increasing trend in mainland Chinese ownership of global residential property.
The survey found around 14 per cent of properties purchased by Chinese consumers were bought for investment and left vacant, a figure that had fallen over the past six months.
Another 26 per cent of properties were used by their owners only part of the time, perhaps for holidays, business or to visit family.
“As much as 40 per cent of the overseas property owned by mainland Chinese may not be fully utilised,” UBS said.
“This may have ramifications for the vibrancy of the surrounding retail space and amenity of the area.”
Roughly a quarter of the purchasers live in their property full-time, while more than 40 per cent bought investment properties and rented them out.
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Brisbane foreigner OTP apartment defaults at one in five: UBS

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<h3>Commencements slowing</h3>
It had become quite apparent by late 2014 that there was something extraordinary underway with regards to new 'high-rise' apartment construction in Australia. 
Outside Sydney, we're now coming down the other side of that mountain. Over the past 18 months, the trend in the number of new apartment starts in Queensland has continued to fall, and fall, and fall.
<a href="https://www.propertyobserver.com.au/images/2017/10/19/PeteAttachedDwellings.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/10/19/PeteAttachedDwellings.png" alt="">
In inner city Brisbane, new project commencements have slowed to a crawl. This is one of several ways in which that the apartment market in inner Brisbane is adjusting, as it needs to.
<h3>Adjustment time</h3>
It's not like the supply of apartments is anything new - we've been talking about it for three years now.
In its latest Financial Stability Review (FSR) the Reserve Bank of Australia (RBA) projects a flood of new completions in Brisbane in FY2018, especially in the city precinct.
Despite this, the RBA reported "few signs of significant settlement difficulties", which is generally a positive market indicator. Meanwhile the RBA noted that the "moderate" rate of price decline for apartments is now "slowing".
It's become much harder to source finance to buy off the plan in Brisbane, which is naturally cooling the market. Approvals have dropped dramatically, numerous Queensland developers have gone to the wall, and more are expected to follow in the coming months.
<h3>Quality street</h3>
Interestingly, the RBA noted that lower-quality apartments marketed to investors have struggled to value up, while higher-quality apartments targeted mainly at owner-occupiers have realised at or above their purchase price.
A salutary lesson in property investment right there...from your own Central Bank, no less! Many of those caught out in the new high-rise developments will likely be interstate and foreign investors, largely hailing from mainland China. 
While there is a lot of stock still due to hit the market - particularly in the CBD - construction activity on the ground has clearly slowed, and the actual number of completions in FY2018 will surely end up being materially lower than the RBA's forecasts.
You can see this for yourself, by the way, simply by taking a walk around the inner city: there are any number of stalled, delayed, or mothballed projects in suburbs such as Woolloongabba, West End, South Brisbane, Newstead, and so on. I note here that some of my fellow inner-city-dwelling latte-sippers have observed the very same thing:
<a href="https://www.propertyobserver.com.au/images/2017/10/19/PeteBlog.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/10/19/PeteBlog.png" alt="">
RBA liaison with industry participants and banks expressed confidence that new supply will be well absorbed by the market (as you'd expect), but there will be continued downward pressure on rents. That may be tough if you're the landlord, but not necessarily a bad thing overall, and the renters are moving in.
By the second quarter of calendar year 2017 the number of attached dwellings under construction in the Sunshine State had already dived by 15 per cent from the 2015 peak, though there was still plenty in the pipeline.
<a href="https://www.propertyobserver.com.au/images/2017/10/19/PeteAttachedConst.png" target="_blank">Click to enlarge</a>
 <img src="https://www.urban.com.au/images/2017/10/19/PeteAttachedConst.png" alt="">
This suggests that by the end of 2017, the number of apartments under construction will have fallen quite a large part of the way back towards their likely 'new normal', given that proportionately many more attached dwellings will be built in the future, as compared to the past.
<h3>Migration north (garbage in...)</h3>
The other thing that's helping to drag the market back into balance, is net interstate migration, mainly from New South Wales. The official ABS estimates had interstate migration heading into Queensland back up to around +15,700 by the end of March, from about +5,600 at the cyclical nadir.
Analysts will torture and torture these numbers until they confess, no doubt, but it can't be stressed enough that the numbers aren't actually real, however much emphasis is put on citing individual figures.
The data lags massively for one thing. Moreover it's derived from change of usual residence statistics via Medicare records (and let's face it, who updates these on a timely basis, hmm?).
The ABS thus discloses that the interstate migration figures are among the poorest or least reliable of the available population measures. Anyway, the net interstate migration estimates are impacted by seasonality, and so are presented here on a rolling annual basis. 
<a href="https://www.propertyobserver.com.au/images/2017/10/19/PeteMigrationInter.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/10/19/PeteMigrationInter.png" alt="">
These figures are only a guide, then, but just from hanging out in the inner city it's become clear that there has been a surge in interest in relocating to Brisbane since 2015. 
It wouldn't be a great surprise if in 2018 the interstate migration figures are much higher than this - previous cycles have shown that when this cyclical migration trend gets underway, it can ramp up very quickly.
Driven as much by net overseas migration, annual statewide population growth had already picked up to an estimated +75,400 in the first quarter of 2017, about +28 per cent higher than in September 2015.
The March quarter figure of +23,869 for the preliminary estimated resident population of Queensland was up by more than +26 per cent from a year earlier. If this proves to be anywhere near correct it is something akin to a population boom. 
Even those most recent figures relate to the period from January to March 2017, which was the best part of a year ago now, but any way you look at it, the supply story is now likely to be one of rebalancing.
<a href="https://www.propertyobserver.com.au/images/2017/10/19/PeteQldStats.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/10/19/PeteQldStats.png" alt="">
Annual employment growth in the state has been seriously, woefully patchy since the peak of resources construction, but in August 2017 it bolted to around a decade-high of +95,400, albeit largely driven by part-time employment.
Unusually, Queensland finds itself joint-top of the employment growth tree alongside Victoria, at least for now, so that's another important trend to watch. 
<h3>The wrap</h3>
Overall, it's easy to construct a doomsday or calamity scenario by adding up every apartment project and dwelling unit ever approved in Greater Brisbane and comparing this to historic demand for attached dwellings. 
But if you instead look at what's actually going to complete over the next few financial years, and compare this to the future demand for inner city living in Brisbane, you'll come up with a far less dramatic picture.
So far, we've seen declining asking rents, and some fairly marginal declines in asking prices for apartments. Interestingly the rental pain appears likely to be shared by dated rental stock across Brisbane.
The soft rental markets are not only restricted to inner Brisbane apartments, as young bargain-hunting renters take up the new inner city living option, spurred by new projects such as Howard Smith Wharves and the massive $3 billion Queen's Wharf Project. 
In the meantime, I'll definitely be on the lookout for apartment and townhouse bargains in New Farm in 2018, where lowball offers should certainly be the order of the day.
 
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pwargent-M4siyDbqQY

It's easy to construct a doomsday Brisbane apartment scenario, but expect it to be far less dramatic: Pete Wargent

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Apartment developer Gurner has repaid its $180 million loan to ANZ following the settlement of apartments worth nearly $200 million at its FV project in Brisbane.
Gurner said in a media release that it had settled 80 percent of the first 520 apartments of stage one of its 981-apartment, three tower ‘FV’ project. 
The settlements come at a time when repeated warnings have been sounded from various quarters, including the RBA, about an apartment oversupply in Brisbane.
The precinct, which is managed by Mantra Group under the high-end Peppers brand, has seen more than 80 apartments leased before settlements, and rental yields in the range 5.2 - 7.5%.
The project’s resort-style facilities such as a sunken pool, gym, private dining areas, VIP spa retreats, expansive sun-deck and concierge services are being cited as a big hit by Gurner.
Tim Gurner, founder of Gurner, said both the project’s settlement success and rental demand had proven the fears of oversupply wrong.
"People have been discussing Brisbane’s property market like it’s the end of the world as we know it," said Gurner.
"However, the fundamentals are strong, and with rental yields high and price points low compared to other major Australian cities, I believe Brisbane’s quality apartment market has only just started to hit its straps. 
"The constant reports and negative whispers about Brisbane’s market are way too simplistic and alarmist when the reality is, quality apartments are settling well, they are leasing well, generating good rents and achieving solid resale prices."
But The Australian newspaper has reported more than 100 apartments in the high-profile inner-city Brisbane development are yet to settle.
Some 20 per cent of the first tower of property developer Gurner’s 520-unit FV development are yet to settle, it reported.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/10/13/Gurner-1.jpg" alt="">
Gurner said his marketing was not focussed on foreign buyers, unlike other projects of that scale, with only 110 out of 651 settlements by foreign buyers.  
“We are seeing more foreign buyers settle in cash rather than through bank finance as they seek to navigate the complex lending requirements, so this is not deterring them from settlement,” Gurner said.
“We have been saying for years that any talk of oversupply has been grossly overstated, due to analysts looking at the number of projects granted permits, rather than the number that actually start construction.” 
 <img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/10/13/Gurner-main.jpg" alt="">
ANZ’s head of Institutional Property, Eddie Law, said the bank’s outlook for good quality, owner-occupier apartment projects that are backed by experienced developers in Brisbane remained strong. 
“We were delighted to be able to support and assist GURNER realise the creation of a premier residential product in Brisbane, despite the anticipated and known market supply metrics.” 
The developer partnered with Singaporean listed company, Thakral across the development.
Gurner went on to say that Brisbane could again see an undersupply problem as a tightening of bank lending, construction price rises and foreign investment changes have almost stalled permitted off-the-plan projects.
“The Brisbane off-the-plan market literally came to a grinding halt about 12-15 months ago and by 2019 there will be virtually no new supply coming to the market and we will be talking about an under supply again,” he said. 
“This means not only is there less stock on the market than first suggested, the rental market is incredibly tight and good quality apartments that will rent for between $400 - $700 per week are in very high demand. 
The project’s third tower, No.1, is due for completion in mid-2019.
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Gurner settles apartments worth $200 million in Brisbane in quick time, downplays oversupply concerns

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Listed property developer Land &amp; Homes Group has secured planning approval for a $330 million mixed-use development on the edge of Brisbane’s CBD. 
The <a href="https://www.yourneighbourhood.com.au/44-100barryparade-fortitudevalley/" target="_blank">44-100 Barry Parade</a> site currently comprises a number of single storey-commercial and industrial units, together with a service station. 
Rothelowman Architects will work on the design of the 3,154 square metre site.
Land &amp; Homes Group’s development will feature two towers rising to 26 and 37 storeys and include 492 apartments, ranging from one to three bedrooms, with a ground floor retail precinct. 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/10/13/LHM2.jpg" alt="">
Located at the nexus of the Brisbane CBD, Fortitude Valley and Spring Hill, the Barry Parade site is close to the city.
Land &amp; Homes Group executive director Grant Archibald said the development would reinvigorate the site and contribute to the revitalisation of the surrounding precinct. 
“Buyers are looking for housing in inner city areas, close to the amenities, transport and the lifestyle that inner city living offers,” he said.
“However, despite the amount of development which has gone on in Brisbane’s inner city in recent years there is an absence of really good quality, spacious apartments for long term owner occupiers.” 
The upper level floors of both buildings will feature larger, more luxurious apartments with views of the city. 
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