<p>A collection of just 25 large-format apartments and penthouses overlooking Goodwin Park is entering the Coolangatta market, with <a href="https://www.apartments.com.au/new-apartments/marea-residences-coolangatta-27-27a-dixon-street-coolangatta-qld-4225">Maréa Residences</a> combining a low-density, residential-only approach with uninterrupted park and Pacific Ocean outlooks.</p>

<p>Located at 27 Dixon Street, Maréa comprises three and four-bedroom residences alongside a limited number of dual-level penthouses, with the project positioned between Goodwin Park and <a href="https://www.apartments.com.au/developments/coolangatta-qld-4225">Coolangatta</a>’s coastal precinct.</p>

<p>Construction has commenced, with completion currently estimated for late 2027. Three-bedroom residences are priced from $1.8 million.</p>

<p>[smartcode_project:default project_id=150999 project_image_fid=374005]</p>

<p>The project has been designed around its northern outlook across the park, with the building’s architecture, landscaping and material palette intended to establish a connection with the neighbouring green space. The residences have been configured to maximise natural light and views across Goodwin Park towards the ocean.</p>

<p>Inside, the material palette incorporates timber, stone and brushed brass, complemented by curved detailing and ambient lighting. Kitchens and bathrooms carry the same natural material approach, while residences also include basement parking, storage and lift access.</p>

<p>Maréa’s penthouses are arranged over two levels and include private pools, adding another layer to the project’s focus on larger-format apartment living. Across the development, residences are configured with three or four bedrooms rather than the broader mix of smaller apartment types commonly found in larger projects.</p>

<p>[smartcode_project:default project_id=150999 project_image_fid=374010]</p>

<p>Resident amenity is concentrated at rooftop level, where landscaped entertaining terraces and pools take advantage of elevated views across Coolangatta and the Pacific Ocean.</p>

<p>The project has so far been particularly well received by local owner-occupiers and downsizers, according to Urban Activation Property Sales and Marketing Director Matt George, with the residential-only format, construction quality and northern park outlook among the features resonating with purchasers.</p>

<p>“The uninterrupted northern aspect overlooking Goodwin Park has been a key point of difference, with buyers attracted to the sense of serenity and open space the park provides, while still enjoying easy access to the ocean and being within walking distance of the lifestyle and amenities Coolangatta has to offer,” George said.</p>

<p>[smartcode_project:default project_id=150999 project_image_fid=374002]</p>

<p>“The combination of high-quality construction, a residential-only building, park outlook and proximity to the beach has resonated strongly with the local downsizer market.”</p>

<p>The Dixon Street address is within walking distance of Coolangatta Beach and the broader southern Gold Coast coastline, including the surf breaks at Snapper Rocks and Kirra. Coolangatta’s cafés, restaurants and retail are nearby, while Gold Coast Airport is also within close proximity.</p>

<p>[smartcode_project_cta:default project_id=150999]</p>


Joel Robinson

Maréa Residences brings parkside apartments to Coolangatta

<p data-end="535" data-start="324">Melbourne developer PDG has secured Victorian Government approval for its $1.5 billion Southbank development <a href="https://www.apartments.com.au/new-apartments/the-one-1-queens-bridge-street-southbank-vic-3006">The One</a>, clearing the way for the long-dormant riverfront site opposite Crown to finally be developed.</p>

<p data-end="717" data-start="537">The Minister for Planning has approved the project at 1-29 Queens Bridge Street, with the Department of Transport and Planning issuing the planning permit following its assessment.</p>

<p data-end="918" data-start="719">The approval will allow PDG to develop the prominent 5,059 sqm site with a major mixed-use tower comprising premium apartments, including branded residences, a luxury hotel and boutique office space.</p>

<p data-end="1131" data-start="920">PDG acquired the site in late 2024, with its position directly opposite Crown's main entrance and near Melbourne's Arts Precinct making it one of Southbank's most significant remaining development opportunities.</p>

<p data-end="1131" data-start="920"><img alt="PDG" data-entity-type="file" data-entity-uuid="3933013e-6332-4386-b9be-089df05caf17" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.22%E2%80%AFAM.png?VersionId=sITIgBqDL0N3VNSMwWEmF5UA.uvcsRyu" /></p>

<p data-end="1318" data-start="1133">Designed by COX in collaboration with ODO and PDG, the tower's architecture draws on the movement of the Yarra River, with six vertical pleats running the height of the sculpted facade.</p>

<p data-end="1433" data-start="1320">The project will also see the heritage-listed Queens Bridge Hotel restored and incorporated into the development&nbsp;with new hospitality and public uses, including a rooftop venue.</p>

<p data-end="1658" data-start="1591">A significant component of The One will be its residential amenity.</p>

<p data-end="1864" data-start="1660">More than 5,000 sqm of resident facilities will be delivered across a single level, making it one of the largest consolidated residential amenity offerings proposed in an Australian apartment development.</p>

<p data-end="2011" data-start="1866">The planning approval also incorporates a major upgrade of Queensbridge Square, which PDG will deliver in partnership with the City of Melbourne.</p>

<p data-end="2011" data-start="1866"><img alt="PDG" data-entity-type="file" data-entity-uuid="73167fcd-1031-4b6f-a408-a064cfe45ed1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.17%E2%80%AFAM.png?VersionId=Pf1AEWxw6SNmBqR0zQW5lyEze.MtxgFp" /></p>

<p data-end="2191" data-start="2013">The existing square will be revitalised as a new civic and pedestrian space along the Yarra River, strengthening the connection between the project, Southbank and the riverfront.</p>

<p data-end="2365" data-start="2193">PDG Founder and Managing Director Vince Giuliano said the approval represented a major milestone for a site which has remained largely underutilised for more than 15 years.</p>

<p data-end="2473" data-start="2367">“This is the most significant Planning Permit approval Melbourne has seen in recent years,” Giuliano said.</p>

<p data-end="2775" data-start="2475">“For more than 15 years, this site has remained underutilised. This approval enables us to deliver a project that will contribute meaningfully to the revitalisation of Southbank, restore and reactivate an important heritage building, and create a new civic and hospitality destination for Melbourne.”</p>

<p data-end="2943" data-start="2777">The latest approval follows an earlier planning permit issued by the City of Melbourne covering demolition works across part of the site at 9-29 Queens Bridge Street. Those demolition and early works are already underway.</p>

<p data-end="3145" data-start="3001">PDG has also started generating early interest in the residential component from owner-occupiers ahead of a planned public launch in early 2027.</p>


PDG secures approval for $1.5bn Southbank apartment development, The One

<p>Local developer Harridan is seeking to turn its Woolloongabba apartment project into the first stage of a broader transformation of Burke Street, using a new 16-storey mixed-use building to establish a greener pedestrian connection toward the rapidly evolving Boggo Road transport and knowledge precinct.</p>

<p>The South East Queensland developer has filed plans for 154 apartments on the <a href="https://www.apartments.com.au/new-apartments/4-burke-street-woolloongabba-qld-4102">southern side of Burke Street</a>, where its proposal has been designed alongside a wider vision by LatStudios for the street.</p>

<p>That vision positions the southern side of Burke Street for buildings of 15 storeys and above, while envisaging lower-rise development of up to five storeys on the northern side to transition into Woolloongabba's existing character housing. It also proposes wider pedestrian verges, deep planting, new street trees and upgrades to the pedestrian approach to Boggo Road Station.</p>

<p>The Harridan development itself has been designed by Brisbane-based Arqus Design and will comprise 154 apartments across 16 storeys. The mix is weighted heavily toward two-bedroom apartments, with 121 proposed alongside 10 one-bedroom and 23 three-bedroom residences. There will typically be around 14 units per floor.</p>

<p>A lower-ground car park and three podium levels will accommodate 156 resident parking spaces, along with visitor and commercial parking. There will also be 154 resident bicycle spaces and 40 visitor bicycle parks.</p>

<p>&nbsp;</p>

<p>Harridan is a family-owned developer and part of the Holmwood Highgate Group, with more than three decades of development activity across South East Queensland. Its portfolio spans residential, commercial and industrial property, with current residential projects including Riverbank on Byron in Bulimba, Esperance Residences in Carina and The Precinct at Kinross Road in Thornlands.</p>

<p>Wooloongabba has been popular for apartment developers, particularly since the announcement of the 2032 Summer Olympics games in Brisbane.</p>

<p>While there have been a lot of development applications, it has failed to materialize into real supply.&nbsp;</p>

<p>Sarazin has been the major player in the area. They are under construction at Murcia Residences, on the fringe of East Brisbane and Woolloongabba. They have just launched <a href="https://www.apartments.com.au/new-apartments/the-stanley-residences-woolloongabba-8-trafalgar-street-woolloongabba-qld-4102">The Stanley Residences</a>, in Woolloongabba on Trafalagar Street. They also have Nuage coming soon on the nearby <a href="https://www.apartments.com.au/new-apartments/nuage-woolloongabba-14-wellington-road-woolloongabba-qld-4102">Wellington Road</a>.</p>


First look: Harridan plans Burke Street transformation beside Boggo Road transport hub

<p><strong>IN BRIEF</strong></p>

<ul>
	<li>
	<p>Just three double-storey Sky Homes sit at the top of The Waterline, each with its own private marina berth and rooftop terrace.</p>
	</li>
	<li>
	<p>Construction on The Waterline is complete, with the first residents expected to move in from mid-October.</p>
	</li>
	<li>
	<p>Sky Homes range from 282 sqm to 367 sqm and are priced from $3.65 million.</p>
	</li>
</ul>

<hr />
<p>Lewis Land has opened the first completed sky home for inspection at Harbour Shores, giving buyers their first opportunity to step inside one of just three double-storey residences crowning The Waterline.</p>

<p>Each sky home comes with its own private marina berth, rooftop terrace and Broadwater views, combining the scale of a larger home with direct access to the boating lifestyle that underpins the wider <a href="https://www.apartments.com.au/new-apartments/harbour-shores-biggera-waters-564-oxley-drive-biggera-waters-qld-4216">Harbour Shores</a> masterplan.</p>

<p>[smartcode_project:default project_id=113271 project_image_fid=366708]</p>

<p>Lewis Land Head of Development Michael Long said the inclusion of a berth with every Sky Home had become increasingly valuable as marina access across the Gold Coast tightened.</p>

<p>“Marina berths are becoming increasingly difficult to secure across the Gold Coast, so including one with every Sky Home makes this a genuinely rare offering,” Long said.</p>

<p>“The private 70-berth marina will accommodate boats up to 12 metres in length and is positioned just 2.5 kilometres from the Broadwater, placing the open ocean only 15 minutes away.</p>

<p>“Being able to step out of your home onto your boat is a rare luxury, and it’s something residents here can look forward to when it opens later this year.”</p>

<p>[smartcode_project:default project_id=113271 project_image_fid=366709]</p>

<p>The display opening comes as construction completes on The Waterline, with the first residents expected to move in from mid-October.</p>

<p>The three Sky Homes range from 282 sqm to 367 sqm and each feature three bedrooms, three bathrooms, multiple living zones, expansive kitchens with butler's pantries and large balconies taking in the Broadwater outlook.</p>

<p>Each residence also has three secure basement car spaces and additional storage.</p>

<p>“This is the first opportunity the Gold Coast has had to step into Harbour Shores and see, touch and feel what we’re bringing to life here,” Long said.</p>

<p>“There are only three Sky Homes within The Waterline, ranging in size from 282sqm to 367sqm, with each residence featuring three large bedrooms, three bathrooms, multiple living zones, expansive custom-built kitchens with butler’s pantry, and large balconies capturing Broadwater views.”</p>

<p><img alt="Harbour Shores" data-entity-type="file" data-entity-uuid="bab65e10-4fab-45e1-92d8-fc56e2ab98ff" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-25%20at%202.00.16%E2%80%AFPM.png?VersionId=XT8q76LsPkw3cYTsvN3JfFDaPLud90PN" /></p>

<p>Residents of The Waterline will have access to a private pool, along with Harbour Shores' wider collection of amenity including a lagoon pool, social clubhouse, tennis court, gym, yoga facilities and sauna.</p>

<p>Lewis Land partnered with Studio Collective to furnish the completed display, with the interiors designed to demonstrate how the residences could function as permanent homes rather than simply as show apartments.</p>

<p>Studio Collective Director Melissa Park said the surrounding waterways informed the interiors, but in a more restrained way than a traditional coastal scheme.</p>

<p>“We drew inspiration from the canals and coastal surrounds, but our approach was to interpret that subtly through layered materials and a grounded palette of earthy tones, rather than literal coastal references,” Park said.</p>

<p>“We introduced hero moments of green and teal to reference the surrounding waterways, while mirrored elements help reflect natural light.</p>

<p>“The result is a residence that feels elevated yet comfortable, somewhere buyers can genuinely imagine themselves living, entertaining and unwinding.”</p>

<p>Sky Homes are priced from $3.65 million.</p>

<p>Lewis Land is also offering private marina berths with The Residences, its limited collection of three and four-bedroom villas positioned directly along the Harbour Shores waterfront boardwalk.</p>

<p>Three-bedroom villas are priced from $2.99 million, while four-bedroom residences start from $3.19 million.</p>

<p>Harbour Shores is being marketed by Colliers International.</p>

<p data-end="555" data-start="341">[smartcode_project_cta:default project_id=113271]</p>


Lewis Land opens sky home display as The Waterline completes at Harbour Shores

<p data-end="387" data-start="97">St Vincent de Paul Society Housing Australia has filed plans for a major mixed-use housing precinct on the southern edge of the North Sydney CBD, adding another significant proposal to a pocket around North Sydn​ey Station that is quickly becoming one of the LGA's busiest development zones.</p>

<p data-end="697" data-start="389">The State Significant Development Application covers a 5,990 sqm site at <a href="https://www.apartments.com.au/new-apartments/1-19-mackenzie-street-lavender-bay-nsw-2060">1-19 MacKenzie Street and 211 Blues Point Road in Lavender Bay</a>, immediately south of Nor​th Sydney Station and between the commercial core and the lower-rise Lavender Bay Heritage Conservation Area.</p>

<p data-end="925" data-start="699">Designed by Wardle, the proposal would deliver a new residential tower comprising 88 build-to-sell apartments and 19 affordable apartments, alongside a separate co-living building with 57 rooms and a building manager's studio.</p>

<p data-end="1217" data-start="927">It would also see the significant restoration and upgrade of St Francis Xavier Catholic Church, the adaptive reuse of the former school building, new parish facilities, retail, a new public square and around 1,000 sqm of publicly accessible open space.</p>

<p data-end="1217" data-start="927"><img alt="Vinnies North Sydney" data-entity-type="file" data-entity-uuid="d5dd7f87-a617-463e-b577-17541e01f0e9" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-26%20at%209.10.13%E2%80%AFAM.png?VersionId=4R8TsFN3P_LrrXO2HswTOIrx2blil8lh" /></p>

<p data-end="1538" data-start="1219">The project is seeking a concurrent rezoning of the site to R4 High Density Residential and an increase in the maximum building height to allow a tower reaching RL120, or up to 20 storeys. The proposal was progressed through the NSW Government's Housing Delivery Authority pathway.</p>

<p data-end="1723" data-start="1540">The build-to-sell component will be weighted toward larger apartments, with just six one-bedroom apartments compared with 31 two-beds, 43 three-beds and eight four-bedroom residences.</p>

<p data-end="2063" data-start="1725">The 19 affordable apartments will comprise two studios, 15 one-bedroom apartments and two two-bedroom apartments, taking the total apartment component to 107 residences before the 58 co-living rooms are included.</p>

<p data-end="2063" data-start="1725"><img alt="Vnnies" data-entity-type="file" data-entity-uuid="7d568ca5-cb90-4e18-96c6-d9795dba0c56" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-26%20at%209.10.05%E2%80%AFAM.png?VersionId=GY2R5M9VtQh0EKy1vajaea19PSLOPuRD" /></p>

<p data-end="2205" data-start="2065">Wardle's design for the Vinnies site has sought to negotiate that emerging high-rise context while retaining the lower-scale character of MacKenzie Street and the adjoining heritage conservation area.</p>

<p data-end="4244" data-start="4087">The main building adopts a three-storey podium and tower arrangement, with the podium aligned to the ridgeline and front setback of St Francis Xavier Church.&nbsp;Wardle has designed the podium with colonnades, seating, recessed entries and active ground-floor frontages, with sandstone-toned precast concrete and face brick referencing the materiality of the existing church.</p>

<p data-end="4598" data-start="4246">The tower then steps back eight metres to the south and six metres to the north before rising in a sculpted form comprising four interlocking quadrants. Wardle has also introduced rounded forms and chamfered corners to reduce the tower's perceived bulk and improve view sharing with neighbouring development sites.</p>

<p data-end="4798" data-start="4600">Resident facilities and outdoor areas are planned at the separation between the podium and tower at Level 3, oriented toward Sydney Harbour and the CBD skyline.</p>

<p data-end="4798" data-start="4600">The tower itself will feature a glass reinforced concrete facade, with recessed balconies and deep reveals used both to provide shading and privacy and frame views toward the harbour and city. The lower levels take a different architectural approach, using brick and sandstone-toned finishes intended to establish a stronger relationship with St Francis Xavier Church. The Church itself will be conserved and upgraded for its continued use, while the former school building will be adaptively reused as part of the co-living component.</p>

<p data-end="5032" data-start="4800"><img alt="Lavendar Bay" data-entity-type="file" data-entity-uuid="2d4418ad-90aa-4d49-af93-c80b140aea80" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-26%20at%209.09.47%E2%80%AFAM.png?VersionId=Kv4gzbsACaGvZSRuaqcfGC54jEJRXIDJ" /></p>

<p data-end="5486" data-start="5211">&nbsp;</p>

<p data-end="2205" data-start="2065">The proposal adds to an increasingly concentrated pipeline of residential development around Blue Street, MacKenzie Street and Lavender Bay.</p>

<p data-end="2375" data-start="2207">Just west of the site, Central Element lodged plans earlier this year for one of the most significant residential developments proposed in Lavender Bay in recent years.</p>

<p data-end="2712" data-start="2377">Central Element's SJB-designed scheme at 64-66 Lavender Street and 3-7 Middlemiss Street would deliver 163 apartments across two towers rising 23 and 32 storeys, replacing five existing apartment buildings containing 32 homes. The project also forms part of the Housing Delivery Authority pathway.</p>

<p data-end="2751" data-start="2714"><em><a href="https://www.apartments.com.au/news/nsw/first-look-central-element-reveals-lavender-bay-apartment-plans?utm_source=chatgpt.com" rel="noopener" target="_blank">First look: Central Element reveals Lavender Bay apartment plans</a></em></p>

<p data-end="2865" data-start="2753">Immediately around North Sy​dney Station, another two significant proposals have emerged at 5 and 15 Blue Street.</p>

<p data-end="3067" data-start="2867">Zurich Australian Insurance Properties is seeking to adaptively reuse its longstanding commercial building at 5 Blue Street, directly above North Sydney Station, rather than demolishing the structure.</p>

<p data-end="3379" data-start="3069">Its SSDA proposes converting the building into a 14-storey mixed-use development with 62 apartments and 86 co-living rooms, together with ground-floor retail and a major refurbishment of Blue Street Plaza. The application is currently at the Response to Submissions stage.</p>

<p data-end="3379" data-start="3069"><a href="https://www.apartments.com.au/news/nsw/first-look-zurich-targets-north-sydney-office-conversion-with-148-unit-proposal-above-metro-station"><em>First look: Zurich targets North Sydney office conversion with 148-unit proposal above Metro station</em></a></p>

<p data-end="3883" data-start="3659">&nbsp;</p>


First look: Vinnies files for 20-storey Lavender Bay apartment tower as North Sydney housing pocket heats up

Commercial

<html><body>
<p>RMIT University is hoping to continue its substantial building program with a sizeable mixed-use tower set for a long held A'Beckett Street address.</p>

<p>Entering planning during late 2015, the new proposal designed by Denton Corker Marshall would provide additional educational space and 11 levels of office space, most likely for ancillary university use. Located at 24-46 A’Beckett Street the project also represents Denton Corker Marshall's third tower in the RMIT precinct, joining two active large-scale student housing towers in development.</p>

<p>Although the proposal will result in the loss of an urban park, the site was always expected to be developed by RMIT and has been subject to a proposal as far back as a decade ago.</p>

<h2>24-46 A’Beckett Street, Melbourne application summary</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/image48_3.jpg" rel="gallery-all" title="RMIT's latest precinct addition. Planning image: DCM"><img alt="" class="image-article-full-width-580px" height="758" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/image48_3.jpg?itok=HHqqyPk5" title="RMIT's latest precinct addition. Planning image: DCM" width="580"></a>

<figcaption>RMIT's latest precinct addition. Planning image: DCM</figcaption></figure><ul>
<li>Current 2,806 square metre site use: temporary urban park</li>
	<li>Proposed 24 level mixed-use tower at 115.2 metres</li>
	<li>Levels 1-13 subject to educational uses over 16,708 square metres</li>
	<li>Levels 13-23 dedicated to 13,954 square metres of office space</li>
	<li>Two ground floor retail tenancies over 472 square metres</li>
	<li>206 bicycle parking spaces, gym, 15 showers and 120 lockers included</li>
	<li>Gross floor area: 46,813 square metres</li>
	<li>Project value: $137.4 million</li>
</ul>
<h2>City of Melbourne generally supportive</h2>

<p>24-46 A’Beckett Street's podium will consist of a lower section of metal cladding with a lighter element above containing voids throughout which act as break out areas and terraces. The tower section gently tapers in and will be finished with a metal clad and glazing similar to the lower aspect of the podium.</p>

<p>City of Melbourne is broadly supportive of the proposal with the terraces recessed into the podium noted as being a strong design initiative. Colonnades have been included along each street front providing contrast to more recent builds in the vicinity.</p>

<p>Post assessment from City of Melbourne planning staff, it has been resolved that the Future Melbourne Committee will support the application, with the final decision on the project to be made by the Minister for Planning.</p>

<h2>RMIT continues to invest in facilities</h2>

<p>The assessment of 24-46 A’Beckett Street comes as construction progresses on RMIT's latest city campus project, New Academic Street. Under the guidance of Lend Lease, New Academic Street will see an upgrade to the lower levels of existing Buildings 8, 10, 12 and 14, opening these buildings up to the surrounding city.</p>

<p>At a cost of approximately $220 million, New Academic Street is set to be delivered incrementally with a target completion date of July 2017.</p>

<p>New Academic Street is a follow-up project to RMIT's Swanston Academic Building and Design Hub on the corner of Victoria and Swanston Streets. Combined these projects and 24-46 A’Beckett Street would push RMIT's investment in educational facilities to well beyond $1 billion.</p>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/img_2374.jpg" rel="gallery-all" title="Lend Lease is progressing with RMIT's NAS."><img alt="" class="image-article-full-width-580px" height="387" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/img_2374.jpg?itok=i0axc8BU" title="Lend Lease is progressing with RMIT's NAS." width="580"></a>

<figcaption>Lend Lease is progressing with RMIT's NAS.</figcaption></figure><h2>RMIT and VU on the same wavelength</h2>

<p>RMIT's A'Beckett Street proposal draws parallels with another nearby university-driven mixed-use development.</p>

<p>Victoria University holds approval for a similar sized tower of approximately 43,300 square metres at 364 Little Lonsdale Street. Both developments seek to greatly expand the educational capabilities of either institution in a high density format, while also adding a sizeable amount of office space.</p>

<p>Both projects see direct educational facilities over lower levels, with upper levels dedicated to support offices and academic staff work spaces.</p>

<p>Victoria University's project has not advanced to construction as yet, raising the prospect that both towers may potentially rise simultaneously in the years to come.</p>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/image49vu.jpg" rel="gallery-all" title="VU Tower's intended mixed use. Image: Jackson Architecture"><img alt="" class="image-article-full-width-580px" height="379" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/image49vu.jpg?itok=O5vdRyjv" title="VU Tower's intended mixed use. Image: Jackson Architecture" width="580"></a>

<figcaption>VU Tower's intended city campus. Image: Jackson Architecture</figcaption></figure>
</body></html>

silvermb

RMIT's play for a new A'Beckett Street footprint

<html><body>
<p>With much commentary at the moment centred around the state of the Melbourne inner city residential market and hints of an oversupply of apartments, it is an opportune time to focus on the commercial market; namely new Melbourne office projects on the not too distant horizon.</p>

<p>The current crop, either awaiting tenant pre-commitments or on the cusp of commencing construction, range from campus style accommodation to upwards of 40-storeys in the middle of the CBD. Developer heavy hitters Mirvac, Lend Lease, CBUS, Brookfield, Charter Hall and QIC are all actively spruiking their projects with a large number also boasting a Collins Street addresses.</p>

<p>Currently, the largest commercial projects under construction within City of Melbourne are found within Walker Corporation's Collins Square project, with three towers under construction ranging in height from 75m to 147m.</p>

<p>Mirvac's 2 Riverside Quay project at Southbank and Grollo Equiset's 535 Rialto forecourt redevelopment are also becoming reality. Combined, these developments will add in excess of 150,000sqm of office space to the central city.</p>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/under_construction.jpg" rel="gallery-all" title="Collins Square and 2 Riverside Quay Under Construction. Images courtesy Ryan Seychell"><img alt="" class="image-article-full-width-580px" height="219" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/under_construction.jpg?itok=sLaJFE02" title="Collins Square and 2 Riverside Quay Under Construction. Images courtesy Ryan Seychell" width="580"></a>

<figcaption>Collins Square and 2 Riverside Quay Under Construction. Images courtesy Ryan Seychell</figcaption></figure><p>But what of the next crop of Melbourne office towers? Below is a summary of each and its current status as understood by Apartments.com.au:</p>

<h2>72-82 Collins Street | 36-storeys | 187m | 45,000sqm | QIC | Woods Bagot</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/82c_podium.jpg" rel="gallery-all" title="72-82 Collins Street. Images courtesy of Woods Bagot"><img alt="" class="image-article-full-width-580px" height="249" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/82c_podium.jpg?itok=eMcaxuyo" title="72-82 Collins Street. Images courtesy of Woods Bagot" width="580"></a>

<figcaption>72-82 Collins Street. Images courtesy of Woods Bagot</figcaption></figure><p>Boarded up and with Brookfield Multiplex appointed as the head contractor last year, one would assume this particular project would be commencing its skyward ascent, however this has not been the case.</p>

<p>The project has undergone a redesign, particularly at street level, creating a much more cohesive and sophisticated street presence. While no prospective tenants have been announced for the 45,000sqm of space, another contributing factor in the project's delay has been laneway ownership being transferred from the City of Melbourne to QIC only recently.</p>

<h2>447 Collins Street | 41-storeys | 143m | approx. 54,000sqm | CBUS | Woods Bagot + SHoP</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/447-close_up.jpg" rel="gallery-all" title="447 Collins Street. Images courtesy of Woods Bagot and 7news"><img alt="" class="image-article-full-width-580px" height="187" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/447-close_up.jpg?itok=J6tY75_x" title="447 Collins Street. Images courtesy of Woods Bagot and 7news" width="580"></a>

<figcaption>447 Collins Street. Images courtesy of Woods Bagot and 7news</figcaption></figure><p>With Planning Minister Richard Wynne and developer CBUS Property reaching an agreement following the initial rejection of the scheme, the dual tower project featuring a 2,000sqm city park in addition to residential, retail and hotel still requires formal approval of amended documentation before it can commence.</p>

<p>It is expected that the remainder of the site will be cleared by September and a display suite established on site for the project's sales and marketing campaign.</p>

<p>With an expected end value of $1.3 billion dollars, this project will have a massive impact on the heart of the city. Final metrics will be confirmed upon submission of the revised scheme.</p>

<h2>477 Collins Street | 38-storeys | 165m | 54,000sqm | Mirvac | Grimshaw</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/477_foyer.jpg" rel="gallery-all" title="477 Collins Street. Images courtesy of Grimshaw"><img alt="" class="image-article-full-width-580px" height="202" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/477_foyer.jpg?itok=vdL4tAO1" title="477 Collins Street. Images courtesy of Grimshaw" width="580"></a>

<figcaption>477 Collins Street. Images courtesy of Grimshaw</figcaption></figure><p>Approved near on one year ago, the 165 metre Premium Grade tower is Mirvac's flagship Melbourne project and will hold approximately 54,000sqm of leasable floor area with 2,461sqm of leasable retail space and end of trip facilities included to support a sizeable work populace. The Olderfleet buildings along Collins Street will be retained and integrated into the new development.</p>

<p>The project is currently awaiting pre-commitment from a tenant or tenants before it forges ahead but is expected to be well underway during 2017.</p>

<h2>664 Collins Street | 12-storeys | 50m | 26,000sqm | Mirvac | Grimshaw</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/664c.jpg" rel="gallery-all" title="664 Collins Street. Image courtesy of Grimshaw"><img alt="" class="image-article-full-width-580px" height="387" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/664c.jpg?itok=Zdo6Jch5" title="664 Collins Street. Image courtesy of Grimshaw" width="580"></a>

<figcaption>664 Collins Street. Image courtesy of Grimshaw</figcaption></figure><p>The sister building to 699 Bourke Street, the Collins Street building will be the new home for Pitcher Partners who signed on as a tenant for 10,000sqm during late 2015. Latest indications suggest construction is expected to begin by the end of the year, thus finishing the overall redevelopment of Southern Cross Station.</p>

<h2>Wesley Place | 34-storeys | 148m | 55,000sqm | Charter Hall | COX</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/130l.png" rel="gallery-all" title="Wesley Place. Image courtesy of COX"><img alt="" class="image-article-full-width-580px" height="306" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/130l.png?itok=ksEwuSC4" title="Wesley Place. Image courtesy of COX" width="580"></a>

<figcaption>Wesley Place. Image courtesy COX</figcaption></figure><p>Having initially received support from Council, the $450 million project was formally approved by Planning Minister Wynne last week. Initially owned by Leighton Porperties, Charter Hall acquired the site during planning and will be looking for further tenants after the church signed on for 55,000sqm in the project.</p>

<p>Charter Hall are confident of securing these by the end of the year, allowing construction to begin during 2017. Interestingly Charter Hall also owns the adjoining site at 150 Lonsdale Street which is currently occupied by an office building and carpark with redevelopment potential.</p>

<h2>405 Bourke Street | 39-storeys | 161m | 61,500sqm | Brookfield | Woods Bagot</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/view-from-yarra.jpg" rel="gallery-all" title="405 Bourke Street. Image courtesy Brookfield Multiplex"><img alt="" class="image-article-full-width-580px" height="345" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/view-from-yarra.jpg?itok=7WvcNpjI" title="405 Bourke Street. Image courtesy Brookfield Multiplex" width="580"></a>

<figcaption>405 Bourke Street. Image: Brookfield Multiplex</figcaption></figure><p>With the current incarnation of the project first appearing on Apartments.com.au during our early days of 2013, the project appears no closer to commencing with tenants yet to be secured and very little news on its prospects. Developer Brookfield will naturally be hoping to snare a tenant as soon as possible.</p>

<h2>Melbourne Quarter | 12-storeys + TBC | 56m + TBC | 24,303sqm + TBC | Lend Lease | DCM</h2>

<figure><a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/mq_overall.jpg" rel="gallery-all" title="Melbourne Quarter. Images courtesy of Lend Lease"><img alt="" class="image-article-full-width-580px" height="163" src="/sites/urban.melbourne/files/styles/article_full_width_580px/public/pictures/article-images/mq_overall.jpg?itok=ZGZBR5NH" title="Melbourne Quarter. Images courtesy of Lend Lease" width="580"></a>

<figcaption>Melbourne Quarter. Images courtesy of Lend Lease</figcaption></figure><p>Approval of the first stage of Melbourne Quarter was provided last month, after Lend Lease secured engineering firm Arup for the building known as One Melbourne Quarter in December of last year.</p>

<p>The first stage features a commercial building of 25,000sqm and a 2,000sqm sky park to be built above Collins Street. Construction of Melbourne Quarter is expected to begin later this year, beginning with One Melbourne Quarter and the Skypark.</p>

<p>The next stage, construction of C2 / Two Melbourne Quarter, the North-South Link and the City Room, are expected to be lodged soon following pre-application meetings. C2 will be the tallest building on the site and is expected to be similar in height to the KPMG building at Collins Square.</p>

<h2>55 King Street (+ 555 Collins Street) | Charter Hall</h2>

<p>And finally according to Fairfax media, Charter Hall have purchased a future development site at 55 King Street for $78.5 million. The site neighbours the vacant 22,000-square-metre building at 555 Collins Street which owners Fragrance Group are looking to offload following failure to receive approval for a 90-storey 300m residential tower on the site.</p>

<p>If acquired by Charter Hall and combined with 55 King Street, this would create the opportunity for a development of significant size. The potential for this site will form the topic of another Apartments.com.au article.</p>
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Laurence Dragomir

Office towers to the fore

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<p>A retail arcade in the NSW town of Kempsey is set to go under the hammer for circa $1 million at a Burgess Rawson portfolio auction on April 5 in Sydney.</p>
<p>Located at <a href="https://www.burgessrawson.com.au/buying/NSW/Mid-North-Coast/Kempsey/Retail/2P1165#.VvCb8mR96u5" target="_blank">14 Smith Street</a>, Centrepoint Arcade comprises 12 ground floor retail tenancies and a first floor gym.</p>
<div>The 2,873 sqm property in the CBD area is surrounded by IGA, Aldi, Coles &amp; Woolworths supermarkets.</div>
<div> </div>
<div>The shopping centre has a diverse mix of tenants, including a jeweller, takeaway food, cafe and Williams Shoes, and earns an estimated $69,267 pa + GST.</div>
<div> </div>
<div>There is also the potential for further development subject to council approval.</div>
<div> </div>
<div>With a Gross Regional Product of $12.16 billion, Kempsey LGA forms part of the Mid North Coast region which boasts a population of 259,000 and is expected to grow to 277,450 by 2021.</div>
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jonathanchancellor-7SQnKwU6yx

Retail arcade in NSW's Kempsey to go under the hammer at Burgess Rawson auction 

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<p style="text-align: justify;" align="center"><span style="line-height: 1.3em;"><img src="/images/2015/11/17/Holdencapital_banner.jpg" alt="" width="518" height="109"> </span></p>
<p style="text-align: justify;" align="center">SPONSORED POST</p>
<p style="text-align: justify;" align="center"><span style="line-height: 1.3em;">Your GST obligations are not a project cost as they are ‘self-liquidating’ however, they are a cost that you need to account for from a cash flow perspective.</span><br><span style="line-height: 1.3em;"> </span><br><span style="line-height: 1.3em;">Financiers have a number of ways of dealing with GST on both the initial site acquisition and then the GST portion of the subsequent development costs.</span><span style="line-height: 1.3em;"><br></span></p>
<p><strong style="line-height: 1.3em;">GST on Initial Land Acquisition –</strong><span style="line-height: 1.3em;"> When considering the funding of the initial site acquisition, you need to be clear with the potential financier on how GST payable on the acquisition is to be dealt with. Some funders will require that you cover the GST from your own cash flow or capital resources while others will allow a temporary gearing excess to fund the GST on the undertaking that you claim the refund and the payment is directed to reduction of the debt.</span></p>
<p><br><strong style="line-height: 1.3em;">GST on Development Costs – Developer Funded –</strong><span style="line-height: 1.3em;"> Some financiers require the developer to finance the GST payable on the development costs from their own resources. Progress claims are funded from the loan facility on a “net of GST” basis and the developer is required to ‘top up’ the payments to the builder/creditors for the GST portion and then claim the GST refund back to their own account. In these cases the developer will need to allow a cash reserve from their capital contribution sufficient to fund 10% of the first two months estimated project costs. The GST refund claims then reimburse the cash reserve to provide for future GST outlays.</span></p>
<p><br><strong style="line-height: 1.3em;">GST Funded by a separate overdraft facility –</strong><span style="line-height: 1.3em;"> Some financiers will provide an overdraft facility specifically for the purposes of covering the GST commitment, which is separate from the construction facility. They will require an undertaking that the developer will claim the GST back on a monthly cycle and have the GST refund electronically credited to the nominated account. The overdraft is secured by the project security but financiers differ in the LVR and LCR calculation – some require it to be covered within their maximum </span><span style="line-height: 1.3em;">tolerances where others will allow it ‘outside’ of their calculations of the key ratios, acknowledging the ‘self-liquidating’ nature of the facility.</span></p>
<p><strong style="line-height: 1.3em;">GST Funded within the Project Finance Facility –</strong><span style="line-height: 1.3em;"> Some financiers allow a ‘self-liquidating’ cost line within the project funding categories to cover GST – this is basically a cash flow utilisation of the project financing facility limit. The financier will allow the first two months claims to be GST inclusive but from month 3 onwards the progress claim allowable will be adjusted for the GST refund that should have been received by the developer from the claim two months previously. The developer still needs to manage their cash flow to account for the ‘ins and outs’ over a 3-month cycle.</span><br><span style="line-height: 1.3em;"> </span><br><span style="line-height: 1.3em;">The optimum outcome from a developer’s perspective is to be provided with a GST overdraft facility that is excluded from the financiers calculations of its key ratios but it is important to understand your financiers preference up front when finalising your funding.</span></p>
<p> </p>
<p><em>This article was written by Dan Holden of HoldenCAPITAL, who are a bespoke construction finance firm, they arrange construction finance and invest in projects through their equity fund, Queen Street INVEST. To discuss your project finance requirement please call (07) 3171 4200 or visit HoldenCAPITAL <a href="https://www.holdencapital.com.au/" target="_blank">here</a>.</em><br><span style="line-height: 1.3em; text-decoration: underline;"> </span></p>
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firstname-zEygzUaHDN

Don't forget your GST obligations when arranging your project finance: HoldenCAPITAL

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<p><span>The valuation firm Herron Todd White has issued its latest</span><span> property clock for the office market - a simple broad brush means to suggest where property markets are - and what direction prices are moving in.</span></p>
<p>The valuation firm has included capital and regional cities on the property clock for house price direction.</p>
<p><a href="/images/2015/11/9/700_htw.jpg" target="_blank">Click here</a> to enlarge.</p>
<p><em>For more information, <a href="https://www.htw.com.au/" target="_blank">click here</a>.</em></p>
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mick.cee-iDmgDDAmu8

Brisbane, Tamworth, Melbourne office market at peak: Herron Todd White

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<p>GUEST OBSERVER</p>
<p>Woolworths shareholders have had a torrid couple of years. The company’s market capitalisation is down around a third since mid-2014 – quite a hit for a company once worth almost A$50 billion dollars. Today it forecast a 35% fall in half-year profit, sending its shares plunging by more than 9%.</p>
<p>The disastrous Masters foray is partly to blame. Conceived in oligopolitical hubris, Masters has been an unmitigated disaster for Woolworths shareholders. They were right to expect far better from the company’s exceedingly well-remunerated board and senior executives. The fact that Masters has ended quite a few careers is cold comfort for shareholders who have lost hard earned savings and superannuation.</p>
<p>Today’s results open a new chapter of woe. Once, Masters was seen as an unfortunate sideshow, able to be separated from the Goliathan strength of Woolies’ grocery cash machine. Today, the illusory nature of that misapprehension has emerged – with sales in decline year-on-year for like stores, and a flagged collapse of earnings by up to a third and, most tellingly, no end in sight.</p>
<p>While the problems of the last 18 months at Woolworths have often been ascribed to the Masters debacle, analysts have long been worried about the main game in groceries. Aldi, the privately-held German multinational, has been playing a cautious and patient long game.</p>
<p>Aldi’s “value proposition” to consumers is starkly different to both Woolworths and Coles, and it’s clear Australians have warmed to what Aldi has to offer – a narrow range of good quality products at prices equivalent to the majors’ “specials”. The narrow range and small format stores have the additional benefit of quick and easy shopping for busy consumers. Woolworths has been losing market share quickly.</p>
<p>Its response has so far been too little and too late. Woolworths has tried to “shoehorn” an Aldi equivalent into the lower shelves of its large format stores. It suggests to consumers that they can get a basket of goods similar to Aldi’s at the same price within their stores if they look hard enough. In this regard – to paraphrase the late, great Z.Z. Hill - what Woolies are selling, Australians ain’t buying.</p>
<p>The limited success of this “Aldification” of Woolworths stores has, however, done damage to Woolworths' core business of groceries. Whenever consumers choose the low cost goods within Woolworths, it is at the expense of the higher margin goods they also have for sale. This is evidenced by the steep decline in margins reported today – with sales in slight decline (2.5%) and projected earnings in free fall (28 to 35%). Woolworths is learning the hard way that while revenues are easy to lose, the same can’t be said for the fixed costs involved in running a national retailer.</p>
<p>In the background, again, lies Masters. Its disastrous drain on revenues has meant Woolworths has had little to invest in new stores elsewhere. While Woolworths has opened six new stores during the quarter, Aldi has flagged the opening of up to 80 new stores during 2016, on top of the 80 it opened this year. Its expansion is uncannily like a German train timetable and its geographical spread means most of these new stores will not cannibalise existing sales – something Woolworths can rarely achieve.</p>
<p><em><span style="line-height: 1.3em;">John Rice is p</span><span style="line-height: 1.3em;">rofessor of management, University of New England and can be contacted <a href="https://theconversation.com/profiles/john-rice-93120" target="_blank">here</a>. </span><span style="line-height: 1.3em;">Nigel Martin is l</span><span style="line-height: 1.3em;">ecturer, College of Business and Economics, Australian National University and can be contacted <a href="https://theconversation.com/profiles/nigel-martin-117971" target="_blank">here</a>.</span></em></p>
<p><em><span style="line-height: 1.3em;">Both are authors for The Conversation.</span></em></p>
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jchancellor-FAypfDUnLy

The ‘Aldification’ of Woolworths is destroying its value

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<p><span>Frasers Property, formerly Australand, is relocating from West Leederville to West Perth after securing space at 1 Havelock Street.</span></p>
<p><span>The new lease deal in West Perth will accommodate its Western Australian headquarters. </span></p>
<p>Frasers Property has signed an eight-year lease on the 1,236sqm office located on the second level of <a href="https://www.realcommercial.com.au/property-offices-wa-west+perth-5665011" target="_blank">1 Havelock Street</a>. </p>
<p><span>CBRE Office Services Director Luke Bray, who negotiated the deal on behalf of lessor Ascot Capital, said the quality offering of the property was a key factor underpinning the deal. </span></p>
<p><span>“Frasers Property was attracted to the quality refurbished space on offer, the high car bay allocation and the prime West Perth location which is walking distance to the CBD,” Mr Bray said. </span></p>
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Frasers head to West Perth office space

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<p><span>Australia’s best in building design were recognised at the 2015 National Building Design Awards with a 12-hectolitre microbrewery getting a key prize.</span></p>
<p><span>The brewer in Western Australia’s Northbridge was awarded the National Building Design of the Year.</span></p>
<p><span>The award, an initiative of the National Association of Building Designers, was sponsored by James Hardie Australia.</span></p>
<p><span>Hosted by interior design expert and editor of Vogue Living Australia, Neale Whitaker, more than 25 projects across Australia were awarded for their creative effort.</span></p>
<p><span>Designed by d4 Designs, Northbridge Brewing Company was lauded for creatively complementing the bustling activity of Northbridge Piazza and providing a family-friendly environment.</span></p>
<p><span>The result was a glasshouse where the sculptural quality of the micro-brewery becomes the focal point both inside and outside the building.</span></p>
<p><span>The projects were judged on their design solutions, sustainability, the relationship of internal and external spaces, utility, quality and balance of interior and exterior aesthetics.</span></p>
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j.ballantyne1990-6AQqhLzZaK

Microbrewery wins Australia's best building design award for 2015

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<div>The ABS released its Lending Finance figures for August 2015 this morning.</div>
<div> </div>
<div>August was a weaker month for commercial lending, with the trend estimate declining by -2.1% in the month to $44.1 billion, having peaked at more than $48 billion back in April.<br><br>The trend certainly appears to be softening in sympathy with weak capex intentions surveys and macroprudential measures to trim back property investment loans - but then, that's been said before through this cycle, so time will tell. </div>
<div> </div>
<div>On the other hand, home lending to owner-occupiers is now trendng up sharply, with the seasonally adjusted result showing a +6.1% leap in August, and the trend estimate bolting +18% higher over the year. </div>
<div> </div>
<div>Significantly, AMP announced today that it would chop a variable rate home loan package available to owner-occupiers to a highly competitive rate of just 3.99%.</div>
<div> </div>
<div>It seems likely that the major banks will be targeting this sector hard in the months ahead.<br><br>Total lending finance has also trended down a little from an April peak.</div>
<div> </div>
<div><a href="/images/2015/10/13/A1.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/10/13/A1.jpg" alt=""></div>
<div> </div>
<div><span>Charted below is what at face value is happening to owner-occupier home loans at the state level, which is to say now apparently burning up in the most populous states.</span></div>
<div><span> </span></div>
<div><a href="/images/2015/10/13/OwnerOccupiersRolling12m.jpg" target="_blank"><span>Click to enlarge</span></a></div>
<div><span><img src="/images/2015/10/13/OwnerOccupiersRolling12m.jpg" alt=""></span></div>
<div> </div>
<div> </div>
<div>
<div>In obliquely related news, the latest credit card figures from the Reserve Bank showed that Aussies are clearing credit balances more comfortably than before, with balances down over the year and more of us opting to pay off balances by the due date.</div>
<br><strong><span style="text-decoration: underline;">Switcheroo</span></strong><br><div> </div>
<div>For the remainder of 2015, the housing market story will largely be a tale of whether banks and borrowers can find a way to shoehorn owner-occupier lending higher in order to offset any pending declines in investor loans.</div>
<div> </div>
<div>In August the answer was seemingly at an emphatic "yes" with investor loans essentially flat at $13.6 billion but owner-occupier commitments ripping more than <a href="https://petewargent.blogspot.co.uk/2015/10/housing-finance-shock" target="_blank">+6 per cent higher</a> to $20.8 billion. </div>
<div> </div>
<div>In this regard, the AMP decision to cut its variable rate to below 4 per cent effective from today appears to be a clear statement of intent.</div>
<div> </div>
<div>That said, the August figures may yet prove be <a href="https://petewargent.blogspot.co.uk/2015/10/housing-finance-shock" target="_blank">bogus</a> to some extent, and another month or two of data will shed more light. </div>
<div> </div>
<div>In the words of one eminent Chief Economist "we can conclude that the figures have suddenly become a lot murkier", while Westpac instead opted for a more canine theme in describing the latest data as "a dog's breakfast".</div>
<div> </div>
<div>Overall it seems that the macroprudential story has some way to run yet before the waters are de-murkified (or the dog's morning meal is digested). </div>
<br><span>I looked at this in more detail in relation to last week's Housing Finance release </span><a href="https://petewargent.blogspot.co.uk/2015/10/housing-finance-shock" target="_blank">here</a><span>.</span><br><br><div><strong><span style="text-decoration: underline;">Investor loans cooling...</span></strong></div>
<div> </div>
<div>Of course the flip side to the new-found strength in the homebuyer space is that property investment loans should now be cooling in response to APRA's calming macroprudential measures.</div>
<div> </div>
<div>On a rolling annual basis New South Wales originated investor loans climbed to a new high of $67.6 billion, but there have now been two consective months of declines in original terms from the May 2015 monthly peak of $6.6 billion.</div>
<div> </div>
<div>Although investment loans remained at a high level in Victoria and Queensland, there has been a general cooling of this sector across recent months.</div>
<div> </div>
<div><a href="/images/2015/10/13/LF1.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/10/13/LF1.jpg" alt=""></div>
<div> </div>
<div>
<span>Since the investment loans data is not seasonally adjusted I also look at it on a 12mMA basis, and we can see that while the trend in Queensland has risen to its highest level since April 2008, the trend is now falling in Western Australia, South Australia and Tasmania.</span><br><br><span>In the Northern Territory the trend in investment loans seems to be dropping off a cliff so there is likely to be some fallout for Darwin.</span><br><br><span>More on all of these figures and trends to follow tomorrow.</span><br><br><span>The detailed monthly investor loans figures for New South Wales show loans tracking at $5.53 billion in August, down from the all-time record high of $6.62 billion in June.</span>
</div>
<div><span> </span></div>
<div><a href="/images/2015/10/13/LF3.jpg" target="_blank"><span>Click to enlarge</span></a></div>
<div><span> </span></div>
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<div><span><img src="/images/2015/10/13/LF3.jpg" alt=""></span></div>
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<div><span>Looking at total lending for housing in New South Wales, the total housing market finance for August surpassed $13 billion for the third time, however it could not quite match the record levels seen in June.</span></div>
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<div><a href="/images/2015/10/13/LF2.jpg" target="_blank"><span>Click to enlarge</span></a></div>
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<div class="separator">The most important release of the week will be the Labour Force data for September on Thursday morning. </div>
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<br>Expecting to see a flat result for the month, both for total employment and the unemployment rate.</div>
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<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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The housing market switcheroo: Pete Wargent

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<p><span>Ray White Commercial’s investment auctions achieved a clearance rate of 91.4% for the first half of 2015, according to the latest edition of the group’s Auction Insights report.</span></p>
<p><span>Ray White Commercial senior director auctions and investments, Richard Impiombato, said total auction sales of $151 million were achieved over the six months.</span></p>
<p><span>“Passive investment property with the ‘trifecta’ of a long lease, secure covenant and attractive location continue to be in strong demand.</span></p>
<p><span>“These property clearance characteristics and consistent high clearance rates in most sectors demand that auctions be implemented.</span></p>
<p><span>"We trust these consistently strong results will help remove any resistance to auctions.”</span></p>
<p><span>Mr Impiombato said notable Ray White Commercial auction sales for the June quarter included a $22.1 million sale price for a development site in the Belconnen Town Centre in Canberra, which attracted 11 registered bidders.</span></p>
<p><span>“Two large sales of $22.1 million in Canberra and $8.5 million at Vermont South in Melbourne underwrite the residential development site sector which had a clearance rate of 62.5% for the June quarter,” he said.</span></p>
<p><span>Mr Impiombato said the clearance rate for vacant buildings soared from 53.6% in the March quarter to 82.6% in the second quarter.</span></p>
<p><span>“This result proves the effectiveness of the auction process for what are traditionally more difficult and time consuming assets to divest from,” he said.</span></p>
<p><span>“It’s also worth noting properties in this sector averaged only 40 days on the market.”</span></p>
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