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


Joel Robinson

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

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


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

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


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

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


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

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


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

Construction

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<div>The ABS released its Construction Work Done figures for the June quarter, which showed total construction for the quarter rebounding by +1.6% to a seasonally adjusted $49.8 billion.</div>
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<div>Over the last year total construction remained at historically very high levels at $198 billion, although this is now down from a sky-high annual figure of $211 billion one year ago.</div>
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<div>As any good politician would, of course, smiling Treasurer Hockey immediately took to Twitter to claim credit for the rebound.</div>
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<div class="separator"><a href="https://4.bp.blogspot.com/-MXXSPCW_nbQ/Vd49Y3e_dTI/AAAAAAAAXz8/ZfZZ5h_X5Ic/s1600/a9.jpg"><img src="https://4.bp.blogspot.com/-MXXSPCW_nbQ/Vd49Y3e_dTI/AAAAAAAAXz8/ZfZZ5h_X5Ic/s640/a9.jpg" width="640" height="178"></a></div>
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<div>But in fact public infrastructure work has been very weak. </div>
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<div>Furthermore, against recent trends the rebound in the June quarter was not driven by residential construction either, rather it was a punchy quarter for engineering (i.e. resources) construction works, with expenditure rebounding by +5.6 per cent to a seasonally adjusted $25.6 billion.</div>
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<div>Despite this positive blip, engineering construction work done was -8.8 per cent lower than a year ago, and will doubtless resume its downward trajectory in due course, as considered in more detail below.</div>
<br><strong><span style="text-decoration: underline;">Mining rebound in WA</span></strong><br><div> </div>
<div>The driver of the engineering construction rebound was an increase in spend of nearly +$3 billion in Western Australia to $11.3 billion for the second quarter.</div>
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<div>In fact, anyone who was paying very close attention might have anticipated this.</div>
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<div>Recall that the so-termed "record trade deficit" in April 2015r actually included an <a href="https://petewargent.blogspot.com.au/2015/06/trade-deficitwtf" target="_blank">anomalous spike</a>in Western Australian imports from Korea. As I <a href="https://petewargent.blogspot.com.au/2015/06/trade-deficitwtf" target="_blank">noted at the time</a>:</div>
<br><div><span><em>"<span>No further detail is provided by the ABS, but given that there was a kahuna $1.5 billion spike in merchandise imports in Western Australia, and we can assume that this was probably related to a major mining project.</span></em></span></div>
<div><span><em> </em></span></div>
<div><span><em>In all likelihood, one might hazard that this was rail capex for Gina Rinehart's Roy Hill iron ore project (which typically a business would treat as an investment in a fixed asset for the generation of revenue streams, rather than trading expenditure)."</em></span></div>
<br><div>In all probability, therefore, the June quarter rebound was capex driven with a large asset purchase accounting for most of the spike.</div>
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<div>Moreover we can expect that the September quarter will see engineering construction work resuming its inevitable decline.</div>
<br><strong><span style="text-decoration: underline;">Building by state</span></strong><br><br><div>At the state level, Victoria has been the king of residential building across recent years.</div>
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<div>However New South Wales is now the one state which is benefitting from a material public sector and non-residential building contribution, thereby thrusting total building work done in the Premier State to its highest ever level in the June quarter.</div>
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<span>Indeed, the New South Wales economy in generally is in very fine shape at the present time.</span><br><br><strong><span style="text-decoration: underline;">Residential building by state</span></strong><br><br><div>Looking at specifically residential buiding we can see that the +7.4 per cent year-on-year increase has been overwhelmingly a function of "other residential" building - which is to say, the construction of units, townhouses and apartments.</div>
<br><div>As denoted by the green line below, outside Sydney major renovations activity has been very subdued through this cycle.</div>
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<div>Although new house building has responded to low interest rates almost everywhere to a greater or lesser extent, the trend has been looking increasingly peaky over the past four quarters.</div>
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<div>Victoria continues to lead the way on the house building front, a state which appears to suffer less from greenfield land supply constraints than other states and territories do.</div>
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<div><span>On the other hand the higher density sector building work continues apace, particularly in Melbourne, Sydney and Brisbane, which is a trend you can see everywhere from West End, South Brisbane, Fortitude Valley and Newstead (Brisbane), to Mascot, Wolli Creek and Zetland (Sydney). </span></div>
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<div>The latest building approvals figures suggest that the cycle for unit and apartment approvals may also be set to peak in due course, thoughthe duration of higher density projects from approval to completion may run to several years.</div>
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<div>Consequently the elevated levels of building activity in this sector may have quite some way to run yet.</div>
<br><strong><span style="text-decoration: underline;">The wrap</span></strong><br><br><div>Overal this was a positive result for construction in the June quarter which masks an ongoing decline in resources construction that is locked and loaded for the next few years. </div>
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<br>Residential building remains strong for the time being, but even here Australia can only build new apartment projects for so long.</div>
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<div>Of more significance will be today's capex intentions for the 2015/16 financial year, and specifically whether businesses are becoming more inclined towards investment plans.</div>
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<div>If not, in a nutshell, interest rates will have further to fall.</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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pwargent-M4siyDbqQY

Construction rebounds...for now: Pete Wargent

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<div>Now the construction sector is expanding again per AIG.</div>
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<div>Some good analysis from AIG that is well worth a read - apartment construction is an obvious strong point, which makes the drag on second quarter GDP by dwelling construction something of a mystery.</div>
<div> </div>
<div>Perhaps the residential construction industry is operating at or close to its full capacity?</div>
<div> </div>
<div>In any case, I expect dwelling construction to contribute to the economic growth in the third quarter.</div>
<p><a href="/images/2015/09/09/PCI.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/09/09/PCI.jpg" alt=""></p>
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<p><span>All three of </span>AIG's Performance Indices<span> are now in expansion territory - manufacturing, construction and services.</span></p>
<p><a href="/images/2015/09/09/AIG.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/09/09/AIG.jpg" alt=""></p>
<p>Source: AIG</p>
<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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Construction expands in August: Pete Wargent

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<p>Construction work done missed expectations in the fourth quarter shrinking by another 3 per cent to $51.1 billion. </p>
<div>That follows on from a significant contraction in Q3, so in the second half of 2018 construction work done slowed by about 7 per cent overall.</div>
<div> </div>
<div>Quite nasty on the face of it, although we were coming off a high base. </div>
<div> </div>
<div>The engineering construction work done figures took a 5 per cent hit in Q4, which sounds quite dire at first blush.</div>
<div> </div>
<div>To be fair, the ABS has never gone big on accruals accounting for one-offs like the LNG Prelude platform, and as the Gorgon and Ichthys projects drop off the headline figures will inevitably appear weak - yet the underlying figures aren't quite so bad.</div>
<div> </div>
<div>In fact mineral exploration spend has been on the rise, so investment and mine restarts will likely pick up, especially in Western Australia. </div>
<div> </div>
<div>Here are the trend figures for engineering, in chain volume measures terms (you can click to expand the charts).</div>
<div> </div>
<div><a href="https://2.bp.blogspot.com/-vHa4gkejwfc/XHXfv_tDHhI/AAAAAAAAutU/tZU6tx8YpQsd2_kiSR5ZznERJZye_7BAACLcBGAs/s1600/A1.jpg" target="_blank"><img src="https://2.bp.blogspot.com/-vHa4gkejwfc/XHXfv_tDHhI/AAAAAAAAutU/tZU6tx8YpQsd2_kiSR5ZznERJZye_7BAACLcBGAs/s640/A1.jpg" width="640" height="374" data-original-height="803" data-original-width="1367"></a></div>
<p> </p>
<div>Residential construction work dropped by about 3½ per cent in the fourth quarter, although overall activity was actually still quite high on these estimates. </div>
<div> </div>
<div>A significant driver of the squeeze was slowing Sydney and Brisbane apartment construction, and there'll be plenty more to come here in 2019. </div>
<div> </div>
<div><a href="https://2.bp.blogspot.com/-iOylhEeJli8/XHXfwEaU6iI/AAAAAAAAutc/1WlaQhkwTqYA1J_O_tsLAYo-jm3j10fEwCLcBGAs/s1600/A2.jpg" target="_blank"><img src="https://2.bp.blogspot.com/-iOylhEeJli8/XHXfwEaU6iI/AAAAAAAAutc/1WlaQhkwTqYA1J_O_tsLAYo-jm3j10fEwCLcBGAs/s640/A2.jpg" width="640" height="376" data-original-height="815" data-original-width="1387"></a></div>
<p> </p>
<div>For completeness, quarterly 'other residential' work done slowed by about 4½ per cent in H2 2018 from $8.2 billion to $7.8 billion.</div>
<div> </div>
<div>In my humble opinion there could well be another couple of billion of quarterly declines to come here in 2019 and beyond, even if Australia is moving more towards attached dwellings and medium-density living. </div>
<p> </p>
<div><a href="https://4.bp.blogspot.com/-_ipAqrmh5jM/XHXfvygOfhI/AAAAAAAAutY/eBW_Qxir5zgbz2qFMTYqJOok537AOZ0wQCLcBGAs/s1600/A3.jpg" target="_blank"><img src="https://4.bp.blogspot.com/-_ipAqrmh5jM/XHXfvygOfhI/AAAAAAAAutY/eBW_Qxir5zgbz2qFMTYqJOok537AOZ0wQCLcBGAs/s640/A3.jpg" width="640" height="392" data-original-height="834" data-original-width="1361"></a></div>
<div> </div>
<div><strong>The wrap</strong></div>
<div> </div>
<div>Overall, a fairly ordinary miss on expectations. </div>
<div> </div>
<div>There are still too many partials to be reported for Q4 2018 to have any level of certainty, but while a technical recession perhaps remains unlikely, in per capita terms it looks very possible.</div>
<div> </div>
<div>Banks on strike; no chance of a hike.</div>
<div> </div>
<div><em>PETE WARGENT is the co-founder of AllenWargent property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank">blogger</a>.</em></div>
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Construction misses in Q4: Pete Wargent

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<p><span>EXPERT OBSERVATION</span></p>
<p><span>The March 2018 quarterly construction figures from the Australian Bureau of Statistics indicate a slow-down in NSW while Victoria grows.</span></p>
<p><span>The latest construction figures indicate a slowing rate of work in NSW particularly for </span><span>non-</span>residential work.</p>
<p>When the figures are looked<span> at on a per capita basis Victoria does seem to be building more than NSW. For total building in the March Quarter NSW construction was $1,145 per capita while</span><span>Victoria spent $1,343 per person.</span></p>
<p><span>In terms of residential construction over the March Quarter the per capita figures are</span><span>$785 per person in NSW and $878 per person </span><span>in Victoria.</span></p>
<p><span>On non</span>-residential construction over the March quarter NSW expenditure was $270 per capita<span> compared to the Victorian per capita expenditure of $339.</span></p>
<p>While both states are strong in long term measurements it does appear that Victoria is pulling<span> ahead in overall construction dollars </span><span>on a per capita basis.</span></p>
<p>It will be important for the NSW government to continue the excellent residential construction<span> of recent years into the future by ensuring a good pipeline of projects in the planning system. There are concerns in the Sydney apartment market of a slow-down in</span><span>pre commitments for apartments that could have an impact on housing supply.”</span></p>
<p><span>See below the graph of Total Building Value per Capita based on ABS seasonally adjusted data for the March 2018 quarter.</span></p>
<p><span><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/2018/5/25/C1.jpg" alt=""></span></p>
<p> </p>
<p><em><span>CHRIS JOHNSON</span> is the Urban Taskforce CEO.</em></p>
</div>
</div>
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j.ballantyne1990-6AQqhLzZaK

Construction slowing in New south Wales but growing in Victoria

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<p class="post-title entry-title">EXPERT OBSERVER </p>
<div id="post-body-2776624239748747914" class="post-body entry-content">
<div><span>Residential building work done fell another 2½ per cent back in the first quarter of the year, to be 3.2 per cent lower than a year earlier. </span></div>
<div><span> </span></div>
<div><span>Unsurprisingly this largely continued to be driven by apartments and medium-density dwelling activity in Sydney and Brisbane. </span></div>
<div><span> </span></div>
<div><span>There'll plenty more where this came from in Q2 as well. </span></div>
<br><div class="separator"><a href="https://4.bp.blogspot.com/-P9fueGlywsY/XOSqw1SGT1I/AAAAAAAAwHQ/oS8gzhTWMf0xNkQe5PiVpvTYLuSYPc7vwCLcBGAs/s1600/A1.jpg" target="_blank"><img src="https://4.bp.blogspot.com/-P9fueGlywsY/XOSqw1SGT1I/AAAAAAAAwHQ/oS8gzhTWMf0xNkQe5PiVpvTYLuSYPc7vwCLcBGAs/s640/A1.jpg" width="640" height="374" data-original-height="814" data-original-width="1387"></a></div>
<br><div>More disappointingly engineering construction is also now winding down sharply again, to be some 12.4 per cent lower than a year earlier. </div>
<div> </div>
<div>New South Wales and Queensland held up relatively well on public and infrastructure works.</div>
<div> </div>
<div>But this was a poor result for Western Australia with the lowest level of activity since 2005. </div>
<br><div class="separator"><a href="https://4.bp.blogspot.com/-7f-GxgMKemk/XOSqwrR3CnI/AAAAAAAAwHM/3FcMjU_TxqU6nY5J4JioFwIagFIGytCgQCLcBGAs/s1600/A2.jpg" target="_blank"><img src="https://4.bp.blogspot.com/-7f-GxgMKemk/XOSqwrR3CnI/AAAAAAAAwHM/3FcMjU_TxqU6nY5J4JioFwIagFIGytCgQCLcBGAs/s640/A2.jpg" width="640" height="374" data-original-height="804" data-original-width="1369"></a></div>
<br><div>In the post-Ichthys Northern Territory engineering activity is imploding towards zero.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">The wrap</span></strong></div>
<div> </div>
<div>An ugly result, as median market expectations were for total construction activity to be flat, but year-on-year the contraction has now blown out to 6 per cent and falling fast. </div>
<div> </div>
<div>Market analysts and the most highly respected RBA-watchers are weighing up the potential for four interest rate cuts, in addition to fiscal stimulus or unconventional policies. </div>
<div> </div>
<div class="separator"><a href="https://4.bp.blogspot.com/-MRH8cCtxeAo/XOSsPDkwFXI/AAAAAAAAwHc/aSxB8JQy6v8ZDcLMoCZonL2IqDap63WzwCLcBGAs/s1600/JG.jpg" target="_blank"><img src="https://4.bp.blogspot.com/-MRH8cCtxeAo/XOSsPDkwFXI/AAAAAAAAwHc/aSxB8JQy6v8ZDcLMoCZonL2IqDap63WzwCLcBGAs/s640/JG.jpg" width="640" height="134" data-original-height="154" data-original-width="729"></a></div>
<div> </div>
<div>The skilled vacancies figures for April showed construction jobs and trades down by between 10 and 20 per cent from a year earlier, pushing the monthly result lower once again. </div>
<div> </div>
<div>The trend for skilled vacancies nationwide is now also 6 per cent lower than a year earlier, albeit coming back down from a very high peak in New South Wales and Victoria. </div>
<p><em><strong>PETE WARGENT</strong> is the co-founder of AllenWargent property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank">blogger</a>.</em><span> </span></p>
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Construction is winding down sharply: Pete Wargent

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<p class="post-title entry-title">EXPERT OBSERVER</p>
<p class="post-title entry-title">There are much softer numbers for construction in Q3 2018, feeding into the GDP result. </p>
<div>Somewhat old news by now, but the value of apartment building work done peaked somewhere between April and June this year, with the pipeline falling away now.</div>
<div> </div>
<div>The value of apartment building work two peaked about two years ago in Queensland, with the unit market in Brisbane now looking much more in equilibrium than it was. </div>
<div> </div>
<div class="separator"><a href="https://3.bp.blogspot.com/-GotiguGC1Bo/W_31-vn5rKI/AAAAAAAAtF8/hBy0ioFkrHYSzLFEzhqinlTTp62OzJxUQCLcBGAs/s1600/A1.jpg"><img src="https://3.bp.blogspot.com/-GotiguGC1Bo/W_31-vn5rKI/AAAAAAAAtF8/hBy0ioFkrHYSzLFEzhqinlTTp62OzJxUQCLcBGAs/s640/A1.jpg" width="640" height="372" data-original-height="804" data-original-width="1378"></a></div>
<p class="post-body entry-content"> </p>
<div>The September quarter also saw a much weaker result for engineering, and this was in spite on the tremendous ongoing strength in infrastructure construction in New South Wales and Victoria. </div>
<div> </div>
<div>The slowdown reflected weaker activity levels in Queensland, South Australia, and Western Australia, as well as dramatic drop off in the Northern Territory as the Ichthys LNG project now transitions to the production phase. </div>
<p class="post-body entry-content"> </p>
<div class="separator"><a href="https://3.bp.blogspot.com/-1t4jAa6gx1E/W_31-9T5rUI/AAAAAAAAtGA/zCEyL4CY9GEPxcYb0SJW5-zHf_5aqVkMQCLcBGAs/s1600/A2.jpg"><img src="https://3.bp.blogspot.com/-1t4jAa6gx1E/W_31-9T5rUI/AAAAAAAAtGA/zCEyL4CY9GEPxcYb0SJW5-zHf_5aqVkMQCLcBGAs/s640/A2.jpg" width="640" height="374" data-original-height="801" data-original-width="1366"></a></div>
<div class="separator"> </div>
<div class="separator">Overall, a weak result across all sectors of construction: new houses, new apartments (ex-Sydney), commercial, and engineering. </div>
<div class="separator"> </div>
<div class="separator"><em>PETE WARGENT is the co-founder of AllenWargent property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank">blogger</a>.</em></div>
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Construction is weakening, that means fewer cranes: Pete Wargent

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<p><span>Construction sites across NSW will be subject to a new scaffolding safety blitz after a recent round of inspections saw more than 800 notices issued for significant safety breaches.</span></p>
<p><span>Minister for Better Regulation, Kevin Anderson has called upon the industry to improve its standards or risk heavy fines after SafeWork’s inspectors found missing scaffold parts, unlicensed workers, and substandard safety measures for those working from heights.</span> </p>
<p><span>“This is no joke – this year alone three people have died and 25 have been seriously injured due to falling from a height,” Mr Anderson said.</span> </p>
<p><span>“Over the first three month blitz SafeWork inspectors issued 26 penalty notices, 232 prohibition notices and 580 improvement notices, 500 of which were for risks associated with falling from heights.</span> </p>
<p><span>“We will not tolerate poor safety and workers lives being placed at risk on our worksites, and from today we are kicking off a new three month<span> blitz, focusing on these risks.</span></span></p>
<p><span>“The sites we’ve identified can expect another visit very soon<span>.”</span></span> </p>
<p><span>Mr Anderson said the notices were only the first step in the process, and under the recently amended Work Health and Safety Act 2011, non-compliant businesses could face heavy fines or up to five years jail-time.</span> </p>
<p><span>“NSW is proud to be leading the way with the strongest work health and safety legislation in the country, and we will not hesitate to prosecute anyone who disregards the safety of others,” Mr Anderson said.</span> </p>
<p><span>“Everyone should feel safe doing their job. If you spot anything risky, play your part in protecting your own safety as well as that of your work mates by immediately reporting it to SafeWork via the <em>Speak Up</em> app or <a href="https://speakup.safework.nsw.gov.au/" target="_blank" rel="noopener noreferrer" data-auth="NotApplicable">website</a>.”</span></p>
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Second NSW scaffold safety blitz following significant breaches

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<p>There's a lot happening in Brisbane at the moment, so here's a round up of the latest construction milestones in the city. </p>

<h2><strong>Mirvac commence construction on Ashford Residences</strong></h2>

<figure><img alt="" class="image-article_full_width_580px" height="393" src="https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/styles/article_full_width_580px/public/pictures/article-images/screen_shot_2020-08-26_at_6.53.03_pm.png?itok=_fBMruWu" title="Source: Built Brisbane/Linkedin" width="580">

<figcaption>Source: Built Brisbane/Linkedin</figcaption></figure><p><a href="/developers/mirvac">Mirvac</a> have now commenced construction on their $81 million Ashford Residences community at Everton Park which includes the creation of a one-hectare eco area alongside the Kedron Brook.</p>

<p>Civil contractor Pensar Infrastructure have been engaged to begin work on the initial stages which will form part of the Ashford Residences project. On completion, Mirvac Residential's new community will feature 124 residences, including 43 freestanding homes and 80 three and four bedroom terrace homes, along with the newly restored heritage Queenslander, 'Murphy's Dairy Residence' and as pictured; The Ashford Club.</p>

<h2><strong>Cavcorp connect retail precinct to Luminare</strong></h2>

<figure><a href="/buildings/luminare-newstead-20-festival-place-newstead"><img alt="" class="image-article_full_width_580px" height="313" src="https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/styles/article_full_width_580px/public/pictures/article-images/screen_shot_2020-08-26_at_6.59.13_pm.png?itok=XWzaKQ8C" title="Source: Built Brisbane/Linkedin" width="580"></a>

<figcaption>Source: Built Brisbane/Linkedin</figcaption></figure><p><a href="/developers/cavcorp">Cavcorp</a> have lodged a proposal to expand their award-winning Long Island retail precinct with a new four-floor fitness and wellness centre. The new development will be the second stage of Long Island and will be built around a central public piazza which will also connect Lucent and the future <a href="/buildings/luminare-newstead-20-festival-place-newstead">Luminare</a> building.</p>

<p>The building highlights Cavcorp’s commitment to health and wellness for their residents and locals alike, through the inclusion of two full floors for gyms and a top floor featuring a 25 metre pool, yoga pavilion, magnesium spas, infrared saunas and float tanks. The rooftop even features a vegetable garden.</p>

<h2><strong>West End’s Tree House includes over 1000 trees</strong></h2>

<figure><a href="/buildings/tree-house-111-jane-street-west-end"><img alt="" class="image-article_full_width_580px" height="247" src="https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/styles/article_full_width_580px/public/pictures/article-images/screen_shot_2020-08-26_at_7.01.01_pm.png?itok=RA-ftrLf" title="Source: Aria Property" width="580"></a>

<figcaption>Source: Aria Property</figcaption></figure><p>One of West End’s most exciting developments currently under construction is <a href="/developers/aria-property-group">Aria Living's</a> "Tree House" at 111 Jane Street, opposite Davies Park. Designed by <a href="/architects/rothelowman">Rothelowman</a>, the 12 storey, 90 apartment residential building aims to merge lush greenery with an architecturally striking form, featuring more than 60 mature trees throughout.</p>

<p>Using an earthy colour palette and incorporating some gorgeous curves, <a href="/buildings/tree-house-111-jane-street-west-end">Tree House</a> is a prime example of Aria’s ability to go well above and beyond Brisbane City Council's Buildings that Breathe guidelines with landscape designers RPS at the helm. The capacity to adequately maintain the intense amount of vegetation at Tree House will likely have some impact and dictate future decision making for Aria’s bold new Urban Forest proposal, which is proposed to contain over a thousand trees.</p>

<p>And what’s an Aria development without a stunning rooftop? Tree House certainly doesn’t buck the trend featuring; a 2 storey rooftop with river and city views, an infinity pool, spa, private dining rooms, BBQ facilities and even a playground for the kids.</p>

<p>The development is on track for completion towards the end of the year.</p>

<p><em>Stay up to date on either <a href="https://www.instagram.com/builtbrisbane/"><u><strong>Instagram</strong></u></a> or <a href="https://www.linkedin.com/company/builtbrisbane/"><u><strong>LinkedIn</strong></u></a>.</em></p>
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Brisbane's latest construction milestones: Featuring Mirvac, Cavcorp + Aria Property

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<p>Construction employs about 340,000 people across Victoria, but with new measures limiting staff to 25 per cent on multi-storey construction projects, concerns have been raised.</p>
<p>According to new restrictions, high-rise Melbourne sites can only function with one-quarter of normal employees on-site and workers can only work at one site during stage four restrictions.</p>
<p>The rules put 75 per cent of Melbourne’s 220,000 construction jobs at risk, said Kerry Barwise, consulting economist for the Australian Construction Industry Forum (ACIF) industry body.</p>
<p>It will also halt work for specialists and skilled tradespeople, who work across several sites.</p>
<p>Currently 735 of Victoria’s 832 largest construction projects are undertaken in Greater Melbourne, placing strains on supply chains and pressures on cash-flow.</p>
<p>ACIF criticised the decision, noting that inflexible, hard rules were not the answer.</p>
<p>"They’re not necessarily enhancing safety, but they’re definitely limiting the capacity to do the job.” Barwise said.</p>
<p>“They should take better account of the risk management strategies which are being applied."</p>
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New COVID-19 restrictions place pressure on Victoria's construction industry

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<p class="legacy">GUEST OBSERVATION</p>
<p> </p>
<p>Architecture suffers before building does.</p>
<p>A survey of more than 450 architecture practices conducted by the Association of Consulting Architects finds that <a href="https://aca.org.au/article/pulse-check-no-3-preliminary-findings">two thirds</a> have lost more than 30% of their revenue, and eight in ten have had projects cancelled or put on hold.</p>
<p>Six in ten are relying on JobKeeper. Half have cut pay or working hours. Three in ten have stood down or sacked staff. Only 15% believe they have enough work to see out the year.</p>
<p>In total, the survey finds more than A$10 billion of projects have either been cancelled or put on hold, just among those responding to the survey.</p>
<p>John Held, the National President of the Association of Consulting Architects says</p>
<p>"unless there is a more effective stimulus package for construction, the government will need to consider extending JobKeeper beyond its expiry in September to prevent the loss of many normally-viable architectural practices. Without a pipeline of projects, a substantial rise in unemployment across the whole construction sector will result"</p>
<p>Dr Peter Raisbeck, an expert in the building and construction industry at the University of Melbourne, says</p>
<p>"two thirds of architects in Australia are small businesses employing less than five people, operating on small profit margins. Widespread insolvencies amongst these vulnerable firms would be catastrophic"</p>
<p>The design professions – architecture and engineering – are the <a href="https://www.forbes.com/sites/kionasmith/2019/12/31/the-canary-in-the-coal-mine-isnt-ancient-history/#c6abbe843931">canary in the coalmine</a> for the wider construction industry. If those professions are in a slump now, construction itself will most probably be in big trouble in three to six months.</p>
<p><strong>A window on the future</strong></p>
<p>The findings are reinforced by forecasts prepared by the <a href="https://www.acif.com.au/acif-news/australian-construction-industry-forum-issues-coronavirus-recovery-proposal-constructions-bridge-to-recovery">Australian Construction Industry Forum</a>.</p>
<p>They show that while engineering construction on projects such as motorways and public transport is likely to hold up reasonably well, residential and non residential construction, already weak prior to COVID-19, is set to slump over this year and the next, with the brunt of the impact being felt in NSW and Victoria.</p>
<p>It will be very bad for employment.</p>
<p>The building and construction industry consists of nearly 400,000 businesses that directly employ more than 1.2 million Australians. Most of the supply chain for building materials is in Australia, particularly for low-rise residential buildings.</p>
<p>The immediate priority should be to ensure that projects continue to be designed and documented to avoid the “valley of death” caused by the need for drawings to be completed before construction can start.</p>
<p><strong>We’ve had warning</strong></p>
<p>If eight out of ten architectural practices have projects that have been cancelled or put on hold now, there will be a significant shortage of projects going to tender later in 2020 and in 2021.</p>
<p>Based on the numbers in the surveys, the loss of jobs in construction could add two percentage points to unemployment during 2021.</p>
<p>To overcome the valley of death, something needs to be done to restart projects that have been deferred or cancelled.</p>
<p>To their credit, state and territory governments have brought forward varying amounts of public works projects, including schools, hospitals and a small amount of social housing. In Victoria, the acceleration of the government’s <a href="https://theconversation.com/cladding-fire-risks-have-been-known-for-years-lives-depend-on-acting-now-with-no-more-delays-111186">combustible cladding replacement program</a> is also helping to prop up demand.</p>
<p>Unfortunately, the evidence from the Association of Consulting Architects survey suggests this won’t be enough.</p>
<p>HomeBuilder, the federal government’s $680 million program intended to “save the tradies”, appears <a href="https://www.afr.com/property/residential/frustrating-state-delays-hold-up-homebuilder-grants-20200615-p552na">to have stalled</a>.</p>
<p>So far, none of the states has finalised an implementation plan for the scheme, perhaps because it was so <a href="https://theconversation.com/homebuilder-might-be-the-most-complex-least-equitable-construction-jobs-program-ever-devised-140162">poorly designed</a>.</p>
<p>In Sydney, where a lot of houses may exceed the $1.5 million value cap, some builders are complaining that the scheme is actually delaying decisions while homeowners wait to see if it will apply to them.</p>
<p><strong>And we know what to do</strong></p>
<p>We can learn from history. The Rudd government’s $3 billion (in today’s money) <a href="https://www.anao.gov.au/work/performance-audit/building-education-revolution-primary-schools-21st-century">Building the Education Revolution</a> scheme was successful in stimulating construction and delivering jobs during the global financial crisis.</p>
<p>The $3 billion <a href="https://www.anao.gov.au/work/performance-audit/home-insulation-program">Home Insulation Program</a> (later known as the “pink batts” program) also created jobs.</p>
<p>Although there was widespread and justified criticism of how both programs were implemented, they were big enough and quick enough to make a difference to employment. And they delivered general benefits.</p>
<p>We should be able to learn from these ideas and the mistakes that were made in their implementation.</p>
<p> </p>
<p>The Morrison government’s efforts to support the construction industry to date have been too small and too slow. The architects survey suggests the design professions will go over a cliff in September. The construction forecast suggests that the construction industry will follow them over in 2021.</p>
<p>State and local governments have a long list of useful school, health and community projects that could go ahead now if the federal government made the money available.</p>
<p>Many shovel-ready projects that have been cancelled are in the higher education sector, many of them meant to deliver the STEM graduates or STEM research that the government <a href="https://www.theguardian.com/australia-news/2020/jun/19/australian-university-fees-arts-stem-science-maths-nursing-teaching-humanities">says it is keen on</a>.</p>
<p>There is also a crying need for good <a href="https://theconversation.com/why-the-focus-of-stimulus-plans-has-to-be-construction-that-puts-social-housing-first-136519">social housing</a>, made more apparent by <a href="https://www.theage.com.au/national/victoria/covid-public-housing-wrap-20200705-p5596z">developments in Melbourne</a>.</p>
<p>If we learned anything from the global financial crisis, it was that going hard and early worked. It is not too late to do it now, but it will be soon.<img src="https://counter.theconversation.com/content/141367/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;"></p>
<p><span><a href="https://theconversation.com/profiles/geoff-hanmer-90647">Geoff Hanmer</a>, Adjunct Professor of Architecture, <em><a href="https://theconversation.com/institutions/university-of-adelaide-1119">University of Adelaide</a></em></span></p>
<p>This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/if-architecture-is-the-canary-in-the-coalmine-the-outlook-for-construction-is-appalling-141367">original article</a>.</p>
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