Virgate Property Group is preparing to commence construction of Verdé, its new apartment development in Melbourne's Arts Precinct at Southbank, following a strong run of sales that has seen more than half of the project's 173 apartments secured.

Verdé has attracted a broad mix of first home buyers, owner-occupiers upgrading from nearby inner-city suburbs and investors, with younger owner-occupier couples aged between 28 and 45 accounting for the strongest enquiry. Many are already living in Southbank, South Melbourne, Albert Park, Port Melbourne, South Yarra and the CBD.

"Verdé is located in one of the most desirable pockets of southern Melbourne," Blair Property Group Director Darren Blair, who is managing sales at Verdé, said.

"It's within walking distance of the Arts Centre, Royal Botanic Gardens, Albert Park Lake, and Southbank's restaurants and retail. It's a great lifestyle location with strong amenity and liveability, which made it a very attractive choice for the project."

[smartcode_project:default project_id=4661 project_image_fid=372549]

Virgate was already familiar with the precinct, having previously delivered the successful Domain House development in neighbouring South Melbourne. That experience gave the developer confidence to acquire the Coventry Street site and continue expanding its presence in Melbourne's inner south.

"We had been keeping an eye on the site and the broader precinct for a few months before deciding to move forward with the acquisition," Virgate said.

The project was ultimately secured in 2020 following feasibility studies, planning assessments and due diligence, with the brief centred on delivering "a high-quality, considered design that feels both refined and fit for purpose."

[smartcode_project:default project_id=4661 project_image_fid=314259]

Designed by <a href="https://www.apartments.com.au/architects/bruce-henderson-architects">Bruce Henderson Architects</a>, Verdé comprises 173 one, two and three-bedroom apartments priced from $599,000. The architecture is distinguished by a faceted glass façade that responds to both the site's outlook and Melbourne's changing light conditions.

According to Bruce Henderson Architects, the coloured glazing gives the building a distinctive identity while also providing privacy and solar shading, with residences oriented to capture views across the bay, city skyline and surrounding parklands.

Inside, <a href="https://www.apartments.com.au/interior-designers/designoffice">DesignOffice</a> has created interiors focused on natural light, efficient planning and enduring materials. Apartments feature engineered oak flooring, natural stone benchtops, floor-to-ceiling glazing and SMEG appliances, while a restrained material palette aims to complement the expansive outlooks rather than compete with them.

[smartcode_project:default project_id=4661 project_image_fid=372550]

Resident amenity has also been designed around everyday functionality rather than occasional use. Facilities include a concierge-serviced lobby, residents' lounge with fireplace, library and co-working space, gym, terrace garden with barbecue facilities, ground-floor café, and package delivery management.

The project's location continues to be one of its strongest drawcards. Positioned on Coventry Street, Verdé sits within walking distance of the National Gallery of Victoria, Arts Centre Melbourne, Royal Botanic Gardens and Albert Park Lake, while Southbank's dining precinct, Sturt Street trams and the new ANZAC Station are all nearby. The surrounding education catchment also includes Melbourne Grammar, Melbourne Girls Grammar, Mac.Robertson Girls' High School and several major university campuses.

The sales team says buyers have responded particularly well to the combination of location, design quality and long-term liveability.

"They're responding really positively to the quality of the design, premium resident amenities and the uninterrupted views. Many also appreciate the location and how connected it is to everything they need."

The ability to secure stamp duty savings before completion has also been a key factor for purchasers, alongside the opportunity to personalise finishes ahead of settlement.

With construction set to commence soon and more than half the apartments already sold, Verdé enters its next phase as one of the Arts Precinct's more established apartment developments, offering remaining buyers an opportunity to secure a residence before construction advances further. Expected completion is scheduled for late 2027.

[smartcode_project_cta:default project_id=4661]

Joel Robinson

Virgate's Verdé Southbank moves toward construction as sales fly past halfway stage

Downsizer-focused apartment development Kooyongkoot in Hawthorn has been recognised at the 2026 Better Future Melbourne Design Awards, taking home Gold and Silver awards in two categories.

<a href="https://www.apartments.com.au/new-apartments/kooyongkoot-hawthorn-1-kooyongkoot-road-hawthorn-vic-3122">Kooyongkoot</a>, currently being delivered by developer PQD and designed by Cera Stribley, received Gold in the Interior Design – Proposed category and Silver in the Architecture – Proposed category.

The dual recognition reflects the design approach behind the boutique development on prestigious Kooyongkoot Road, where the focus has been on creating homes for downsizers seeking the space, quality and functionality of a detached house within a low-rise apartment building.

Rather than maximising apartment numbers, <a href="https://www.apartments.com.au/developers/pqd">PQD</a> and <a href="https://www.apartments.com.au/architects/cera-stribley-architects">Cera Stribley</a> limited the development to just 18 residences, allowing for larger floorplans, greater privacy, generous landscaping and expansive communal spaces.&nbsp;The majority of the apartments also benefit from corner aspects, allowing for dual sources of natural light.

Now around 70 per cent complete and on track for completion in November 2026, Kooyongkoot will comprise a mix of garden residences, ter​race apartments, sub-penthouses, and is crowned by two half-floor penthouses with direct lift access and private rooftop terraces.

[smartcode_project:default project_id=102717 project_image_fid=355297]

The Silver Award for Architecture recognised the way the building responds to its prominent corner position at the ent​rance to Hawthorn's Scotch Hill precinct, one of Melbourne's most established residential neighbourhoods.

Rather than competing with the grand homes that line Kooyongkoot Road, the architectural approach focused on restraint and longevity, using curved brickwork, generous landscaping and carefully considered proportions to integrate with the existing streetscape.

"The form feels fluid and timeless, as though shaped by the landscape itself – architecture that belongs, rather than competes," said Chris Stribley, Co-Founder and Managing Principal of Cera Stribley.

The judging submission also highlighted practical innovations throughout the building, including lift cores servicing only nine homes each, a central landscaped lightcourt designed to bring daylight and ventilation into the building, and fully enclosed private storage rooms with lighting, power and shelving to better accommodate residents transitioning from larger family homes.

[smartcode_project:default project_id=102717 project_image_fid=355293]

The Gold Award for Interior Design recognised the project's focus on long-term liveability rather than display-home aesthetics.

According to the awards submission, the interiors were designed from the inside out, prioritising how homes would function over decades of daily use through generous proportions, practical storage, durable natural materials and flexible layouts.

The specification includes natural stone throughout, upgraded acoustic glazing, V-ZUG appliances and fully enclosed storage rooms, alongside an amenity offering focused on wellness, entertainment and everyday convenience.&nbsp;

Residents will have access to a gym and yoga studio, a wellness centre featuring traditional and infrared saunas, a cold therapy shower and treatment room, as well as a residents' lounge and golf simulator/cinema room for entertainment.&nbsp;Kooyongkoot has also considered the everyday convenience of its residents by offering a private carwash and pet wash facilities on site as well as dedicated parcel lockers and oversized fully enclosed storage rooms.&nbsp;

[smartcode_project:default project_id=102717 project_image_fid=355303]

The project's attention to detail has already resonated with buyers. Earlier this year, Kooyongkoot recorded one of Boroondara's highest apartment sales when an $8 million penthouse was purchased by a Melbourne CEO downsizing from a nearby family home.

"Every detail feels deliberate, from the overall design down to the smallest touches," the purchaser said.

"The level of quality and refinement is exceptional, but what really sold it was how liveable it felt... It felt like a place where everything had been considered, not just a luxury building."

[smartcode_project:default project_id=102717 project_image_fid=355304]

Sustainability also formed a key part of both award submissions. Kooyongkoot is targeting a minimum 7.5-star NatHERS rating across all residences, supported by passive design principles, high-performance glazing, EV charging infrastructure, water reuse systems and a wellness model focused on lower-energy dry facilities rather than pools and large wet areas.

Located within walking distance of Scotch College, Methodist Ladies' College, Koo​yong Lawn Tennis Club, Aubur​n Village and Camberwell Junction, Kooyongkoot continues to target owner-occupiers looking to remain in Melbourne's inner east without compromising on space or quality. A limited selection of two, three and four-bedroom residences remains available, with prices starting from $1.9 million.

[smartcode_project_cta:default project_id=102717]

Kooyongkoot wins Gold and Silver at Better Future Melbourne Design Awards

New apartment supply has become increasingly constrained across <a href="https://www.apartments.com.au/developments/parramatta-nsw-2150">Parramatta</a> in recent years, with fewer projects progressing through to completion as development conditions have become more challenging.

It makes <a href="https://www.apartments.com.au/developers/novm">NOVM</a>'s 2021-completed <a href="https://www.apartments.com.au/buildings/the-lennox-parramatta-12-phillip-street-parramatta-nsw-2150">The Lennox</a> one of the most recently completed residential towers on the Parramatta River, and among the newest apartment developments in Sydney's second CBD.

With the project largely completed before the sharp escalation in construction costs and inflation following the pandemic, The Lennox is now offering pricing that would be difficult to replicate in a comparable new development in Parramatta today, or across much of Western Sydney.

The majority of the 413 apartments at The Lennox sold before and shortly after completion. A limited release of the remaining apartments has recently been brought to market by capital partner <a href="https://www.apartments.com.au/project-marketer/equitifund-group">Equitifund</a>, with entry-level pricing from $700,000 and two-bedroom apartments available from under $1 million.

Rising above the Parramatta River at 12 Phillip Street, The Lennox comprises one, two, three and four-bedroom apartments, appealing to first home buyers, young professionals, families, downsizers and interstate investors seeking a completed apartment in one of Australia's fastest-growing economic centres.

[smartcode_project:default project_id=5743 project_image_fid=372394]

Rather than positioning Parramatta as an alternative to Sydney's CBD, Equitifund believes the city has reached a point where it stands on its own merits.

"Parramatta is no longer simply an alternative to Sydney CBD, it's becoming a destination in its own right," Equitifund Executive Chairman Greg Huxley said.

"The Lennox captures that evolution with a level of quality and amenity that's difficult to match at its price point."

[smartcode_project:default project_id=5743 project_image_fid=953]

Designed by <a href="https://www.apartments.com.au/architects/marchese-partners">Marchese Partners</a>, the tower responds directly to its riverfront setting through expansive glazing and open-plan layouts that maximise views across the Parramatta River and city skyline. Interiors feature engineered timber flooring, stone benchtops, stainless steel appliances and floor-to-ceiling glazing, while generous balconies extend the living spaces outdoors.

Marchese Partners says the project was conceived to balance high-quality apartment living with practical, long-term functionality, pairing larger, efficient floorplans with amenities more commonly associated with five-star hotels.

That emphasis continues through the resident facilities, which include a 20-metre rooftop swimming pool, fully equipped gym and wellness spaces, full-time concierge, a residents' lounge, function room, private lifts, secure basement parking and rooftop communal areas overlooking the Parramatta River. Ground-floor boardwalk retail and dining further activate the riverfront and integrate the building into the surrounding public realm.

[smartcode_project:default project_id=5743 project_image_fid=925]

Australian housing and finance group Equitifund has secured the remaining apartments, believing there are few completed apartment opportunities in Parramatta that offer the same combination of location, amenity and pricing.

Equitifund National Sales Director Ben Hamblett says buyers are increasingly recognising that premium apartment living no longer needs to come with Sydney CBD pricing.

"The Lennox is where aspirational living becomes attainable," Hamblett said.

"Wake to river and mountain views, step into Sydney's Second CBD, and arrive home to resort-calibre amenities, all without the harbour price tag."

Hamblett says owner-occupiers are also attracted by the convenience of having Westfield Parramatta, Church Street's dining precinct, Parramatta Park, Riverside Theatres, Western Sydney University and major transport connections all within walking distance.

"At The Lennox, lifestyle is not an afterthought, it is the foundation."

[smartcode_project:default project_id=5743 project_image_fid=5374]

The Lennox places residents within walking distance of Parramatta Square, Westfield Parramatta, Church Street Eat Street, Parramatta Station, the ferry wharf, Light Rail, the future Sydney Metro West, Parramatta Park and CommBank Stadium, reinforcing Parramatta's position as one of Australia's most connected metropolitan centres outside Sydney's CBD.

Equitifund says buyers visiting the display suite consistently comment on the quality of the finishes, generous floorplans, river and skyline views, and the walkability of the location. The project has attracted a broad mix of local professionals, upsizers, downsizers, buyers relocating from Sydney's inner suburbs and interstate investors seeking long-term growth opportunities.

That demand aligns with Parramatta's continued evolution as an economic powerhouse. Equitifund Research and Market Insights specialist John Bekiaris says sustained population growth, infrastructure investment and expanding employment opportunities continue to support long-term housing demand across the city.

"Parramatta has evolved from a satellite city into one of Australia's most important economic centres. Population growth, infrastructure investment and employment are all supporting sustained long-term housing demand."

[smartcode_project_cta:default project_id=5743]

The apartment price gap drawing Sydney buyers west

A luxury beachfront apartment at Rainbow Bay has more than doubled in value since it sold off the plan six years ago, setting a new local apartment record in the process.

The three-bedroom apartment in the Flow development on Petrie Street, the first of four new projects locally by Paul Gedoun's S&amp;S Projects, has sold for $7.4 million, after originally selling for $3.27 million when the project launched in 2020.

The seventh-floor apartment, comprising 187 sqm of internal living space and a 54 sqm balcony overlooking Froggies Beach and Snapper Rocks, was purchased by a local family.

The transaction was negotiated by Pezet Matheson director Kerry Pezet and equates to more than $30,000 per sqm.

Pezet said the sale reflected the limited opportunities to buy into the boutique beachfront development.

"The sale highlights the rarity of opportunities within the boutique beachfront development, where residences seldom become available," Pezet said.

"Flow is one of the Gold Coast's most tightly held buildings. Buyers from our database move quickly when residences become available, and achieving an off-market sale at $7.4 million demonstrates the depth of demand for property of this calibre."

<img alt="Flow" data-entity-type="file" data-entity-uuid="c585b206-2130-4eee-a50c-3f27c51a7c70" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-06%20at%208.33.25%E2%80%AFPM.png?VersionId=m3pHRDV62Y3fvN.XQuQHq.52ilTWpRLf" />

Flow was the first of four luxury apartment developments delivered by Paul Gedoun's S&amp;S Projects at Rainbow Bay and was completed in 2023.

Positioned on the beachfront overlooking Snapper Rocks, the residence includes three bedrooms, three bathrooms, a powder room and views stretching north along the coastline towards Surfers Paradise.

Pezet Matheson Residential principal Mitchell Lambert said buyers continued to prioritise quality beachfront apartments in tightly held locations.

"Flow Residences offers a rare combination of elevated beachfront positioning, architectural excellence, comprehensive resident amenity and premium finishes, which is exactly what discerning purchasers are seeking," Lambert said.

"The transaction further reinforces Rainbow Bay's reputation as one of Australia's premier coastal lifestyle destinations, where limited supply and growing demand continue to support strong market performance."

Pezet Matheson originally marketed and sold out Flow off the plan, making the latest transaction a return to one of the project's original buyers.

Paul Gedoun is selling his third project, <a href="https://www.apartments.com.au/new-apartments/radia-rainbow-bay-271-boundary-street-coolangatta-qld-4225">Radia Rainbow Bay</a>, after recently completing, and selling out, <a href="https://www.apartments.com.au/buildings/esprit-217-227-boundary-street-coolangatta-qld-4225">Esprit</a>. He has plans for a <a href="https://www.apartments.com.au/news/qld/first-look-s-s-projects-proposes-88-apartment-wellness-tower-at-coolangattas-boundary-street">fourth building</a>, 88 apartments on <a href="https://www.apartments.com.au/new-apartments/209-213-boundary-street-coolangatta-qld-4225">Boundary Street</a>.

Rainbow Bay apartment doubles in price since off the plan sale during pandemic

The long-planned transformation of Brisbane's historic Shafston Estate has taken another major step, with Capella Hotel Group announced as the luxury hospitality partner behind what will become Brisbane's first branded residences.

The project, to be known as Capella Residences Brisbane, is being delivered by Verso Projects at the landmark Kangaroo Point riverfront estate, with completion targeted for 2029.

The announcement follows a series of planning changes to the project over recent years. The site was originally approved in 2023 for a 15-level, 37-apartment development designed by Rothelowman for Burgundy Group before Verso Projects took over the 10,070 sqm riverfront holding and lodged revised plans with Kerry Hill Architects to increase the development to a 25-level tower with 51 apartments.

The latest announcement confirms Capella Hotel Group will bring its branded residential offering to the project, marking just the second Capella Residences development globally after Seoul, and the group's first branded residential project in Australia.

The <a href="https://www.apartments.com.au/new-apartments/23-castlebar-street-kangaroo-point-qld-4169">Castlebar Street development</a> will centre around the restoration of the heritage-listed Shafston House, one of Brisbane's oldest residences, originally constructed in 1851 by Reverend Robert Creyke as a single-storey cottage known as Ravenscott.

<img alt="Capella" data-entity-type="file" data-entity-uuid="2b9f4ce5-638f-4d6b-8082-3ca7e4b75fca" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-09%20at%207.20.41%E2%80%AFAM.png?VersionId=f7aeqsW_DzOJI4FymWb3lD8NptSfsP7q" />

Capella said the project aligns with its focus on heritage-led developments, with the Brisbane estate combining the restored historic residence with a new luxury apartment tower and hospitality-inspired resident amenities.

Residents will have access to the Capella Living Room, a concierge-led communal space inspired by the group's luxury hotels, alongside landscaped gardens, six swimming pools, wellness and recreation facilities.

The broader estate will also include two riverfront homes, a six-berth private marina, porte cochère arrival experience, secure basement parking and a new section of public riverwalk along the Brisbane River frontage.

The heritage Postal Depot Building will also be retained and repurposed as a guest house, in line with the revised development plans.

The project represents another evolution for the site, which Kerry Hill Architects previously described as a rare opportunity to restore one of Brisbane's most significant heritage estates while creating a new benchmark for apartment living.

"The Shafston Estate provides a once-in-a-generation opportunity to restore one of Brisbane's finest heritage precincts and to reinstate residential use as a unique site perched on the edge of Kangaroo Point," Kerry Hill Architects said in its Urban Context Report accompanying the planning submission.

"The project will celebrate excellence in sub-tropical residential design, setting a new benchmark for vertical living in Brisbane."

Verso Projects, which now has an $8.5 billion development pipeline spanning more than 6,000 dwellings across apartments, townhouses, retail and commercial projects, said the partnership with Capella would elevate the development beyond a traditional residential project.

"We feel honoured to be restoring Shafston Estate to its former glory, elevating it to new heights of luxury and excellence underpinned by Capella's distinctive service ethos and design philosophy, and making it a standout landmark in Brisbane," Verso Projects CEO Steve Laffey said.

"By partnering with Capella, globally recognised for its refined approach to luxury hospitality and deep respect for cultural and historical context, we will elevate this project beyond a residential offering into a world-class destination."

Capella Hotel Group President Roland Fasel said Brisbane's emergence as a global city made it the right location for the company's Australian residential debut.

"Brisbane is a city on the cusp of something remarkable, and Capella Residences is our commitment to being part of that story," Fasel said.

"The Capella residential experience is more than luxury. It is about a sense of belonging to a place with deep meaning."

Private appointments have now opened for the project, with a display suite expected to open in late 2026 ahead of the planned 2029 completion.

Capella to launch Brisbane's first branded residences at Shafston House, Kangaroo Point

Melbourne

<html><body>
Two adjoining Little Collins Street properties sold for $22.35 million in a heated auction which saw a number of well known interested parties battle it out for the prime commercial space.
The Melbourne Club, the private social club established in the 1830s who are located across the road, were an unbidder, as was Andrew Cannon, the honorary consul to Monaco.
The buyer was Rob Phillpot, co-founder of tech business Aconex, who bought the two separate properties at <a href="https://www.realcommercial.com.au/property-retail-vic-melbourne-503178230" target="_blank">37 Little Collins Street</a> (below) and <a href="https://www.realcommercial.com.au/property-retail-vic-melbourne-503178246" target="_blank">39-41 Little Collins Street</a> (above).
He paid $16.5 million for the bigger 39-41 Collins Street which is currently tenanted by Italian restaurant Lupino.
It was sold by the Mathews family.
There were 91 bids for the three level building which drove the price to more than double the vendors reserve price. It sold on a yield of 1.16%.
Next door, a two storey building currently tenanted by Mathew McConnell’s Bar Lourinha drew 66 bids with Phillpot paying $5,850,000. 
<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/2019/6/13/Collins2.jpg" alt="">
Colliers International’s Melbourne City Sales team of Oliver Hay, Daniel Wolman, Chris Ling and David Sia handled the auction campaign.
 Hay said the interest generated was unparalleled, resulting in more than 250 enquiries, 49 inspections and 52 contracts distributed. 
The interest was primarily driven by investors and future owner-occupiers desperate to secure an asset in the tightly held ‘Paris End’.
“With the favourable economic conditions, we are seeing countless active buyers and under-bidders from such campaigns eager to secure commercial assets that come to the market, particularly properties with rental upside and value-add opportunities within the Melbourne CBD grid,” Hay said. 
Late last year Phillpot <a href="/news/melbourne-construction-digital-entrepreneur-rob-phillpot-scores-both-block-gatwick-penthouses">bought the two penthouses</a> atop The Gatwick Hotel, the heritage-listed building in St Kilda renovated on The Block.
 
</body></html>

jrobinson-rf4aSBido9

Melbourne Club miss out on adjoining Collins Street Paris End buildings

<html><body>
Logistics companies and distribution centres are driving increased demand for south-east Melbourne industrial property, according to Colliers International.
Colliers International’s Harry Larwill said new and existing occupiers are competing strongly for properties for sale and lease based on availability of significant hardstand.  
"More than 20% of our running requirements and enquiry are businesses who require some form of hardstand, which in itself is not surprising." Larwill stated.
“With land supply being such a rare commodity and reaching record prices within the eastern industrial sector, tenants and occupiers are looking for more affordable alternatives." 
The alternatives are generally existing facilities on increased land allotments which allow for future extension and where affordable alternatives can be sought.
Colliers International recently leased a property at 7 Newcomen Road in Springvale at $130/sqm.  
"The 2,349 sqm site, which is home to a 1,000 sqm building and significant hardstand, leased for $10,000 dollars more than a building double the size at 26 Lascelles Street which had no hardstand," Larwill added.
“We also had five different parties reach lease agreement stage at 25-29 Nissan Drive in Dandenong recently, at $88/sqm. This property included a 1,033 sqm building on 1,900 sqm of land."
“In Boronia, we sold 8-10 Wadhurst Drive within a month at a rate of $1,800/sqm for a 1,240 sqm building on 2,509 sqm of land.
“These recent examples all highlight the significant benefit landlords and vendors are reaping when they are able to offer a substantial hardstand component with their property,” he added 
In the latest sale, Larwill and colleagues Andrew Chrapot and Richard Wilkinson sold a 468 sqm showroom office on auction day.
Situated on 1,846 sqm of land at 2139 Princes Highway in Clayton (pictured above), the showroom office was sold to a local developer for more than $1,300/sqm (on land). 
“The ample hardstand component of the property attracted keen interest, and the strong sales result an indication of the increased value buyers are putting on land within eastern industrial locations,” Mr Larwill concluded.
</body></html>

j.ballantyne1990-6AQqhLzZaK

Logistics and DCs drive increased demand for industrial space in South-East Melbourne: Colliers

<html><body>
A new Italian café and bar, Valentini's is the latest addition to the Melbourne’s Equitable Place.
Fitzroy agent Alex Shum negotiated the five-year lease with a five-year term for the 101 sqm space at 12 Equitable Place at $110,000 per annum on behalf of a private investor.
The deal reflected a building rate of $1,090 per sqm.
The new offering, Valentini’s, will offer old-school Italian foods and wines, and high-quality coffee.
It features a full wall mural painted (pictured) by Italian artist Giorgio Marzo, artist name Smoe.
Valentini’s is the latest venture from an experienced operator in the hospitality industry who has owned, operated and managed venues in South Melbourne, Carlton and the CBD. 
Mr Shum said the enquiry received for this space came from "a range of hospitality operators and fashion retailers looking to secure their own place in Melbourne’s famous laneway culture,”
Equitable Place already offers unique hospitality offering such as Brown Bagels, B’cos Brazil, Blank, Viet St., Kenny’s Bakery, Dodee Paidang and Madam I’m Adam.
It attracts a strong flow of customers from Little Collins Street, Collins Street and Elizabeth Street, and Shum said Valentini’s would bring a strong complementary offering.
</body></html>

Newly leased Italian venue, Valentini's offered in Melbourne’s Equitable Place

<html><body>
EXPERT OBSERVER
Melbourne shows that even in a city with a distinct overall trend, there are many diverse scenarios in play. Melbourne generally continues to decline but different sectors are producing different results, especially with price outcomes.
Apartment markets in particular are holding up well and there are more suburbs with rising unit prices than those with prices down. That runs contrary to the general media rhetoric of prices down across the board, thanks to generalised data and bad analysis.
Across the Melbourne metropolitan area, Hotspotting has analysed price trends in 435 house and unit markets and found that 44% have median prices higher than a year ago, while 56% have prices lower than last year.
Markets with significant declines in prices are relatively rare. Only 35% of the 435 suburban markets analysed have had median prices fall by more than 5% in the past 12 months – and it’s mostly the top end markets where prices have dropped a lot. Conversely, the locations where prices are still up substantially are primarily in the outer-ring areas where buyers are chasing affordability.
But, as we frequently observe, prices take time to respond to market realities, as shown by sales activity. The trends with buyer demand suggest Melbourne overall is at the bottom of the trough – suburbs with rising demand are virtually non-existent (the worst outcome since we started our quarterly surveys four years ago) and there are 73 suburbs which we have classified as “decline” markets (more than Sydney currently has).
In terms of trends with buyer demand, the steadiest markets are the areas where most suburbs are “plateau” or “consistency” markets. These are mostly the more affordable areas, either outer-ring precincts or middle market ones.
The City of Melton LGA on the western outskirts of the Melbourne metro area is a stand-out, both with sales trends and price outcomes. There are no “rising” suburbs in terms of sales activity but there are 11 classified as “plateau” markets. And many of the Melbourne suburbs where median prices have risen by more than 10% in the past 12 months are in the Melton LGA.
Other municipalities with steady buyer demand include the Hume LGA in the north, Casey in the far south-east, Brimbank in the western suburbs and Wyndham in the far south-west, as well as middle-ring areas like Darebin, Nillumbik and Moreland. The only LGAs in the Melbourne metro areas with no suburbs classified as “decline” markets are those three middle-ring areas, plus Melton City in the far west.
The middle-market Kingston LGA demonstrates the many different scenarios that can be found in real estate, even within one municipality. We have ranked 13 suburbs in the Kingston LGA: 2 rising, 6 plateau, 2 consistency and 3 decline. The rising suburbs are Chelsea and Chelsea Heights, the only two suburbs across Melbourne to be identified as having rising buyer demand in this Autumn survey.
The strongly-emerging trend is the number of Melbourne locations with significant declines in sales activity – and they are found right throughout the metropolitan area.
Many of the upmarket areas have multiple decline suburbs, including the LGAs of Boroondara, Glen Eira and Melbourne. But middle-markets LGAs like Whitehorse and Monash, as well as more downmarket locations like Greater Dandenong, have multiple decline markets.
And suburbs classified as decline markets are now starting to appear in the outer-ring LGAs like Casey and Hume, which provides further evidence that the previous growth cycle is over.
But the worst of the decline markets is the Mornington Peninsula – in this outlying LGA, we have classified 10 suburbs as decline markets.
Price levels remain quite resilient in many parts of Melbourne. Among the housing markets, 36% of suburbs have median prices higher than a year ago, while in the apartment sector 57% have higher prices.
In the housing markets, 94 suburbs have median prices higher than last year, while among the apartment markets, 98 suburbs have higher prices (compared to 73 with lower medians).
In terms of locations with significant price decline (a drop of more than 5% in the median price), only 38% of housing markets and 25% of apartment markets are in this category.
The suburbs with major decline in median house prices are all millionaire suburbs. Those where the median house price has dropped more than 20% in the past 12 months are Box Hill, Brighton, Canterbury, Carlton, Caulfield North, Hawthorn, North Melbourne, South Melbourne, South Yarra, St Kilda, St Kilda East and Toorak. 
The biggest drops in median house prices have occurred in Box Hill (down 36%), St Kilda (35%), Toorak (31%) and Hawthorn (30%).
Conversely, the areas still delivering good price growth are at the affordable end of the market. Of 11 suburbs with median house price growth above 10% in the past year, 5 are in the Melton LGA, 2 are in Hume and 2 are in Casey. Virtually all of these 11 suburbs are suburbs with median house prices under $600,000.
Terry Ryder is the founder of hotspotting.com.au
<a href="https://mailto:ryder@hotspotting.com.au">ryder@hotspotting.com.au</a>
twitter.com/hotspotting
</body></html>

terryryder-YECXbqmri2

Multiple property scenarios producing different results in Melbourne: Hotspotting's Terry Ryder

<html><body>
GUEST OBSERVATION
Melbourne is growing faster than most cities of similar size in developed countries. Population growth averaged <a href="https://www.abs.gov.au/websitedbs/D3310114.nsf/Home/2016%20QuickStats" target="_blank">more than 2.5% a year between 2011 and 2018</a>.
Other international cities that are also known for their livability typically recorded slower population growth than Melbourne. For example, over the decade to 2016, <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2018-08-14/melbourne-loses-most-liveable-city-title-to-vienna/10117338" target="_blank">Vienna</a> grew <a href="https://www.ceicdata.com/en/austria/population-by-region/population-vienna" target="_blank">about half as fast as Melbourne</a> and <a href="https://theconversation.com/canadas-most-livable-city-is-not-vancouver-its-calgary-101957" target="_blank">Greater Vancouver</a> about <a href="https://www12.statcan.gc.ca/census-recensement/2016/as-sa/fogs/spg/Facts-cd-eng.cfm?GC=5915&amp;GK=CD&amp;Lang=Eng" target="_blank">one-third slower</a>. Vienna and Vancouver are also smaller cities than Melbourne.
Melbourne is also fast becoming an economically and socially polarised city. Cheaper housing may attract people to outer suburban living, but it comes at a price.
If Melbourne is divided into inner, middle and outer urban areas, each containing about one-third of the city’s jobs, the greatest share of the city’s population (46.6%) lives in the outer local government areas (LGAs). This share is increasing as population grows rapidly, accounting for <a href="http://www.abs.gov.au/websitedbs/D3310114.nsf/%20Home/2016%20QuickStats" target="_blank">57.5% of the growth between 2011 and 2016</a>.
<a href="https://images.theconversation.com/files/274852/original/file-20190516-69213-jun1wc.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/274852/original/file-20190516-69213-jun1wc.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Inner, middle and outer Melbourne, each area holding approximately one-third of jobs in Melbourne. Author provided
At the same time, these outer LGAs have the fewest jobs per 1,000 residents. Many workers have to make long commuting trips, with associated congestion impacts.
What are the consequences of this pattern of growth?
Our <a href="https://sustainable.unimelb.edu.au/publications/research-papers/melbourne-how-big" target="_blank">newly published research</a> examines the capacity of Melbourne residents to capture income, as well as the findings on some important social outcomes.
Population growth and jobs in Melbourne
<a href="https://images.theconversation.com/files/275049/original/file-20190517-69182-582byv.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/275049/original/file-20190517-69182-582byv.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
<a class="source" href="http://www.abs.gov.au/websitedbs/D3310114.nsf/%20Home/2016%20QuickStats" target="_blank">From Australian Bureau of Statistics (n.d.), Quickstats</a>, Author provided
Over the 1992-2017 period, relative to Victorians as a whole, residents in each of the six fastest-growing outer Melbourne LGAs (Cardinia, Casey, Hume, Melton, Whittlesea and Wyndham) <a href="https://sustainable.unimelb.edu.au/publications/research-papers/melbourne-how-big" target="_blank">went backwards in terms of their share of income</a> from economic activity.
The findings at LGA level show a number of quite strong spatial associations. Differences in travel time or distance to central Melbourne have particularly clear impacts. As travel times from an LGA to central Melbourne increase, we see declines in:
<ul>
<li>population and job densities</li>
<li>median house prices</li>
<li>capital stock per person</li>
<li>the proportion of higher educated people</li>
<li>the proportion of jobs that are high-tech</li>
<li>LGA productivity</li>
<li>trust in others</li>
<li>the proportion of people living near public transport, with public transport use to get to work also declining.</li>
</ul>
Proportion of LGA residents who think most people in general can be trusted
<a href="https://images.theconversation.com/files/275051/original/file-20190517-69186-1dr8k5f.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/275051/original/file-20190517-69186-1dr8k5f.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
<a class="source" href="/news" target="_blank">health.vic</a>, Author provided
We see increases in:
<ul>
<li>open space per resident</li>
<li>car use to get to work</li>
<li>the proportion of commutes longer than two hours</li>
<li>reports of heart disease and obesity.</li>
</ul>
Hectares of public open space per 1,000 residents
<a href="https://images.theconversation.com/files/275055/original/file-20190517-69182-3nw5lk.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/275055/original/file-20190517-69182-3nw5lk.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
Victorian Planning Authority data, Author provided
These correlations suggest cheaper housing and better access to open space, which may attract people to outer suburban living, come at a price. These costs are commonly associated with the lower population and job densities at greater distances from central Melbourne.
The fastest-growing outer suburbs tend to show lower levels of some of the drivers or social conditions needed to achieve social inclusion, well-being and health. For example, additional challenges can be seen in <a href="https://sustainable.unimelb.edu.au/publications/research-papers/melbourne-how-big" target="_blank">higher levels of child development vulnerability</a>, which tend to lead to early school leaving and youth unemployment. This can reduce the ability of individuals to be productive, while at the same time increasing societal expenses in areas such as welfare payments, health costs, law enforcement and remediation costs of family violence and substance abuse.
Youth (age 15-19) unemployment rates by LGA
<a href="https://images.theconversation.com/files/275053/original/file-20190517-69204-1od64v.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/275053/original/file-20190517-69204-1od64v.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></a>
<a class="source" href="/news" target="_blank">health.vic</a>, Author provided
Increasing inequality, social, congestion and productivity costs are linked with infrastructure spending that has been too low to meet the needs of the rapidly growing population. The <a href="https://sustainable.unimelb.edu.au/publications/research-papers/melbourne-how-big" target="_blank">research</a> suggests a backlog of around A$125 billion to enable the six fastest-growing outer LGAs to achieve growth in gross regional product per resident of working-age population in line with the state average. Additional spending will be needed to cater for subsequent population growth and to tackle problems beyond the six outer growth LGAs, such as traffic congestion and crowded public transport.
What can be done about this?
Steps can be taken to reduce the growing scale of future infrastructure spending. These include a more determined focus on delivering the intent of <a href="https://www.planmelbourne.vic.gov.au/the-plan" target="_blank">Plan Melbourne 2017-50</a> that Melbourne becomes a more compact city. This would mean a much higher share of population growth is located in inner and middle suburbs with good public transport access, particularly to the CBD and to the inner and middle urban <a href="https://vpa.vic.gov.au/faq/national-employment-innovation-cluster/" target="_blank">National Employment and Innovation Clusters</a> identified in the plan.
Outer urban densities also need to increase. There must be a greater focus on delivering a city of 20-minute neighbourhoods. This calls for higher levels of local services, including bus and active transport opportunities (cycling and walking), provided <a href="https://theconversation.com/build-in-good-services-from-day-one-for-healthier-communities-lessons-from-selandra-rise-58790" target="_blank">in a more timely manner</a>. A focus on big infrastructure projects can crowd out attention on such locally important priorities.
Regional Victoria can play a <a href="https://theconversation.com/this-is-how-regional-rail-can-help-ease-our-big-cities-commuter-crush-81902" target="_blank">bigger role in catering for population growth</a>. However, to do so sustainably it needs to substantially increase its non-farm productivity. This was about one-fifth higher than in Melbourne 20 years ago but is now about one-fifth lower, as Melbourne’s knowledge economy has boomed.
The research does not take account of many other impacts of high population growth. Among these are the <a href="https://theconversation.com/elephants-and-economics-how-to-ensure-we-value-wildlife-properly-107184" target="_blank">loss of ecosystem services</a>, the <a href="https://theconversation.com/to-protect-fresh-food-supplies-here-are-the-key-steps-to-secure-city-foodbowls-114085" target="_blank">loss of food-growing land through urban sprawl</a>, <a href="https://theconversation.com/cape-town-is-almost-out-of-water-could-australian-cities-suffer-the-same-fate-90933" target="_blank">increasing freshwater scarcity</a>, and the <a href="https://theconversation.com/four-ways-our-cities-can-cut-transport-emissions-in-a-hurry-avoid-shift-share-and-improve-106076" target="_blank">transport sector’s greenhouse gas emissions</a>. These issues all have impacts on productivity, health and well-being.<img src="https://counter.theconversation.com/content/117244/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;">
John Stanley, Adjunct Professor, Institute of Transport and Logistics Studies, University of Sydney Business School, University of Sydney
Janet Stanley, Principal Research Fellow – Urban Social Resilience, Melbourne Sustainable Society Institute, University of Melbourne
Peter Brain, Executive Director, National Institute of Economic and Industry Research
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/rapid-growth-is-widening-melbournes-social-and-economic-divide-117244" target="_blank">original article</a>.
</body></html>

Rapid growth is widening Melbourne’s social and economic divide

<html><body><div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
AFL premiership fancies GWS Giants have taken up a lease for a 77 sqm Docklands suite near the league’s headquarters in the Melbourne CBD. 
Samuel Friend and Stephen Land of Fitzroys negotiated the three-year lease with a two-year option at Suite 101/198 Harbour Esplanade, just moments from AFL House and the adjacent AFL-owned Marvel Stadium.
The Giants agreed to pay $450 per sqm with 3% annual increases for its new Melbourne offices.
Friend said more than 50 enquiries were received during the campaign.
He stated, "the suite offers ample natural light with fantastic views west overlooking the harbour and towards the Bolte Bridge, and as expected attracted tenants from a range of industries including tech companies, law firms, not-for-profits and media agencies."
“For the Giants, the suite presented an excellent opportunity to set up an office conveniently close to AFL House and enhance their communication capabilities with the league.
“Spaces of this type attract a great deal of attention when they become available, as vacancies across Docklands have continued to firm in the first several months of 2019 and are now at the tightest level of any of Melbourne’s central precincts," Friend concluded.
</div>
</div>
</div>
</div></body></html>

GWS Giants take up Dockland lease near AFL House

<html><body>
GUEST OBSERVATION
More shared spaces, safer streets and fewer cars in the city are all part of a <a href="https://www.melbourne.vic.gov.au/news-and-media/Pages/Ten-year-transport-plan-to-create-more-space-for-people.aspx" target="_blank">newly released 10-year plan</a> by the City of Melbourne. <a href="https://www.melbourne.vic.gov.au/about-council/committees-meetings/meeting-archive/pages/Future-Melbourne-Committee-7-May-2019.aspx" target="_blank">This evening</a>, Town Hall will consider the ambitious <a href="https://www.melbourne.vic.gov.au/about-council/committees-meetings/meeting-archive/MeetingAgendaItemAttachments/856/15289/AGENDA%20ITEM%206.4.pdf" target="_blank">draft transport strategy</a> that would boost pedestrian, cycling and tram access across the CBD’s <a href="https://ictedservices.typepad.com/.a/6a00e5537796fd883401b7c951605c970b-pi" target="_blank">Hoddle Grid</a>.
<a href="https://images.theconversation.com/files/272690/original/file-20190506-103053-17wr7re.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/272690/original/file-20190506-103053-17wr7re.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=237&amp;fit=clip" alt=""></a>
A map of central Melbourne, with the Hoddle Grid, including the ‘little’ streets, at its heart. <a class="source" href="https://commons.wikimedia.org/wiki/File:Map_of_central_Melbourne_3384553.PNG" target="_blank">Wikimedia</a>, <a class="license" href="http://creativecommons.org/licenses/by-sa/4.0/" target="_blank">CC BY-SA</a>
A significant amount of on-street parking and road space would be reallocated to walking, cycling and greenery. Some “little” streets would be converted to shared zones that give priority to pedestrians, with reduced speed limits. <a href="https://www.sfmta.com/demand-responsive-parking" target="_blank">Variable parking pricing</a> would be trialled and <a href="https://www.gizmodo.com.au/2015/12/how-to-fix-traffic-congestion-in-australia/" target="_blank">congestion charging</a> not be ruled out.
The strategy recognises the role of technology in delivering community benefits. It supports trials of <a href="https://www.propertyobserver.com.au/https://www.mdpi.com/2071-1050/11/5/1262" target="_blank">shared mobility</a> (all types of conveniently accessible rental vehicles) and <a href="https://theconversation.com/for-mobility-as-a-service-maas-to-solve-our-transport-woes-some-things-need-to-change-105119" target="_blank">tech-enabled seamless travel solutions</a> (people using mobility as a service, typically via an app and single payment platform, when they need it).
The result of these digital technology-driven mobility shifts is a lower proportion of people owning vehicles.
The strategy also foresees transport in the city will be emissions-free by 2050. On-demand <a href="https://theconversation.com/get-set-for-take-off-in-electric-aircraft-the-next-transport-disruption-114178" target="_blank">travel and deliveries by air</a> could be in the mix of solutions.
<a href="https://images.theconversation.com/files/272671/original/file-20190506-103078-14bcp3p.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=1000&amp;fit=clip"><img src="https://images.theconversation.com/files/272671/original/file-20190506-103078-14bcp3p.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=237&amp;fit=clip" alt=""></a>
An analysis of public feedback to the city council on walking in the city. <a class="source" href="https://participate.melbourne.vic.gov.au/transportstrategy" target="_blank">Participate Melbourne/Melbourne City</a>
While the plan might seem radical, these policies are sensible, comprehensive and crucial to the city’s future. They’re aligned with <a href="https://theconversation.com/four-ways-our-cities-can-cut-transport-emissions-in-a-hurry-avoid-shift-share-and-improve-106076" target="_blank">best practice</a> in leading global cities.
Some cities have far more aggressive policies and emissions reduction targets. Around the world, <a href="https://www.businessinsider.com.au/cities-going-car-free-ban-2018-12?r=US&amp;IR=T" target="_blank">15 cities</a> are already starting to ban cars altogether from urban centres.
Melbourne’s transport strategy “refresh” follows a year of reviews and public consultation (you can see the public responses <a href="https://participate.melbourne.vic.gov.au/transportstrategy" target="_blank">here</a>).
There will be implementation challenges, which the draft strategy acknowledges. It notes the need to provide access for people with disability.
The plan also includes ongoing access for commercial vehicles, delivery vans and emergency services.
Responding to travel trends
The new strategy recognises that Melburnians’ travel habits have changed and will continue to adapt to modern-day urban living. This includes recent trends towards increased use of public transport and active travel options such as cycling and walking.
Today, walking accounts for about 90% of all travel in the Hoddle Grid, yet pedestrians are <a href="https://www.theage.com.au/national/victoria/cbd-drivers-could-spend-more-time-at-red-lights-under-council-plan-20190502-p51jkg" target="_blank">allocated only 24% of street space</a>.
Across Melbourne since 2003, the <a href="https://www.bitre.gov.au/publications/2018/files/infrastructure-statistics-yearbook-2018.pdf" target="_blank">growth in public transport use has been around three times the growth in private transport use</a>. Over this time the <a href="https://www.bitre.gov.au/publications/2018/files/infrastructure-statistics-yearbook-2018.pdf" target="_blank">growth in car use has been slower than population growth</a>.
Growth in private and public transport passenger kilometres in Melbourne since 2003
<img src="https://images.theconversation.com/files/272643/original/file-20190505-103045-1dxxfi3.JPG?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="">
More than 900,000 people move into, within and through the municipality each day, the strategy notes. This is expected to climb to 1.4 million people a day in 2036. The city’s streets and places would need to adapt to support these changes.
Another policy in the draft strategy is to reduce through-traffic. Around 43% of cars coming into the city are heading for a destination beyond the Hoddle Grid. Spencer Street, King Street and William Street carry most of that traffic.
<img src="https://images.theconversation.com/files/272657/original/file-20190505-103053-1sw4vip.JPG?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="">
Proportion of through-traffic entering the Hoddle Grid at each entry point. <a class="source" href="https://www.melbourne.vic.gov.au/about-council/committees-meetings/meeting-archive/MeetingAgendaItemAttachments/856/15289/AGENDA%20ITEM%206.4.pdf" target="_blank">City of Melbourne, Draft Transport Strategy 2030, page 53</a>
The strategy calls for the city council to work with government to contain through-traffic to freeways and arterial roads. Removing non-essential vehicle trips can free up space to make streets safer and more efficient. It also improves access for emergency vehicles, on-road public transport and deliveries.
Rethinking transport priorities
The draft strategy represents a call for action to overcome unsustainable transport practices. For Melbourne to thrive, the transport priorities need to be rearranged to meet travel demand, emissions targets and citizens’ changing needs.
In adopting this approach, the strategy reflects the changing landscape and emerging trends of urban mobility, as well as community expectations.
<img src="https://images.theconversation.com/files/272653/original/file-20190505-103068-t7wyc4.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="">
The changing landscape of urban mobility. <a class="source" href="https://www2.theiet.org/resources/books/transport/lowcarbmob.cfm" target="_blank">Low Carbon Mobility for Future Cities: Principles and Applications</a>, Author provided
The draft strategy gives priority to policy solutions that will improve liveability and promote a safe and healthy city. These focus on active modes of transport, integrating transport and land use, investments in pedestrian-oriented initiatives, optimising use of scarce space and encouraging public transport.
The strategy also looks to overcome barriers to urban innovation. It points to the need for more agile regulation to support emerging modes of travel such as <a href="https://theconversation.com/the-problem-isnt-dockless-share-bikes-its-the-lack-of-bike-parking-102985" target="_blank">dockless bikes</a> and <a href="https://theconversation.com/banning-tiny-vehicles-would-deny-us-smarter-ways-to-get-around-our-cities-113111" target="_blank">e-scooters</a>.
What’s the next step?
Councillors will consider the draft strategy at a <a href="https://www.melbourne.vic.gov.au/about-council/committees-meetings/meeting-archive/pages/Future-Melbourne-Committee-7-May-2019.aspx" target="_blank">Future Melbourne Committee meeting today</a>. If endorsed, it will be released for further public consultation and feedback for six weeks.
The strategy will require a shift in travel behaviour. Whether the public embraces or objects to the new policy directions remains to be seen. The details will be critical.
Many would be excited by this vision and would want certain policies rolled out today, not by 2030. Others might be sceptical and some would still want to drive into the inner city, even if other attractive travel options are made available.
If well executed and implemented, the strategy’s proposals will improve liveability and access to the city. Together with some state government projects, such as <a href="https://metrotunnel.vic.gov.au/about-the-project" target="_blank">Melbourne Metro</a>, these policies will help to modernise the city’s infrastructure to meet the needs for smart and sustainable growth and jobs.<img src="https://counter.theconversation.com/content/116518/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;">
Hussein Dia, Professor of Future Urban Mobility, Swinburne University of Technology
This article is republished from <a href="http://theconversation.com" target="_blank">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/move-away-from-a-car-dominated-city-looks-radical-but-its-a-sensible-plan-for-a-liveable-future-116518" target="_blank">original article</a>.
</body></html>

Move away from a car-dominated city looks radical but it’s a sensible plan for a liveable future

<html><body>
The Melbourne accommodation market continues to enjoy buoyancy, according to HTL Property’s latest report.
The research showed strong increases in visitor numbers, aided by attraction to the city via its many international and local sporting events, together with world-class conference facilities, has kept occupancy levels high, and in turn, ADR and RevPAR continue to be elevated.
“Victoria is a highly sought-after accommodation market to invest in, driven by its variety of visitors,” said HTL Property’s Head of Research Vanessa Rader.
“Strong international visitors dominated by the family market enjoy the Melbourne CBD location; while domestic visitors like to travel further out of town in order to explore the natural wonders, as well as the wine regions.
“Melbourne has done much to promote its town and attract visitors; as evidenced by the various sporting events regularly held, together with the growing arts scene the city's attraction as a conference destination, has kept occupancy high and ADR competitive.
“This market has seen some new supply added and will continue to do so over the next few years, which we anticipate will keep these indicators stable.
“While investors (notably offshore buyers) will continue to aggressively contest these assets, keeping investment yields some of the lowest in the country.”
<a href="https://www.propertyobserver.com.au/images/2019/5/7/mel%201.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/5/7/mel%201.jpg" alt="">   HTL Property Director of Asia Pacific Region Andrew Joliffe said demand for accommodation assets remained high, however limited quality stock available to the market had resulted in 2018 recording a record low in sales volumes.
“Sales turnover for 2018 has exceeded $400 million, which is approximately 40% down on 2017 results; and well behind the highs achieved in 2015,” Joliffe said.   “The sale of Pullman on the Park in mid-2018 propping up these volumes, selling for $156 million to iProsperity Group, on a reported yield of 5.50%.   “With Melbourne CBD and surrounds enjoying strong visitor demand, regional activity has historically been limited, typically recorded at less than 5% of the total volume of sales.   “CBD assets continue to be in strong demand, with overseas buyers vying for these assets; the Quincy Hotel (under construction) being the only city hotel selling in 2018 to InterGlobe out of India for $91.3 million, (representing close to $380,000 per room).”
<a href="https://www.propertyobserver.com.au/images/2019/5/7/mel%202.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/5/7/mel%202.jpg" alt="">   Jolliffe said interest in accommodation hotel assets across Australia was high, particularly by overseas investors.   “This is at its highest in Melbourne given the strong international visitor numbers as well as domestic visitor attraction; keeping investment yields some of the lowest in Australia,” he said.   “Currently, Victorian yields range from 4.30% to 7.75% with an average of 5.50%, which has compressed by 210 basis points in the last five years   “Offshore activity is high with buyers hotly contesting CBD and suburban assets within a short proximity of the city centre.”
Joliffe said Victoria was the second most visited state in Australia by international visitors behind NSW, while domestic visitors choose Victoria behind NSW and Queensland.   “Tourism forecasts highlight these higher international visitor nights in 2017/2018, reaching 76,629 representing a 7.13% increase over the last year, whereas domestic visitor nights of 65,994 represented just 0.67% improvement,” he said.   “Looking ahead, international visitor nights are forecast to grow on average 7.16% per annum over the next five years, while domestic nights projections are for 2.51% annual growth over the same period.”   Joliffe said recent data from STR illustrated that the Melbourne Accommodation market has been trending slightly behind prior years, albeit ADR had remained steady.   “New stock additions to the market has kept competition high, and put pressure on the occupancy levels and RevPAR,” he said   “The accommodation market is cyclical with the various trends obvious across the Melbourne market.
“High occupancy is enjoyed during three periods throughout the year, February–March, July–August and October–November.   “Most recent data for February 2019 highlights peak occupancy of 89.1% a new monthly high, with ADR recorded at $197.74.”
<a href="https://www.propertyobserver.com.au/images/2019/5/7/mel%203.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/5/7/mel%203.jpg" alt="">
<a href="https://www.propertyobserver.com.au/images/2019/5/7/mel%204.jpg" target="_blank">Click here</a> to enlarge: 
 
<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/2019/5/7/mel%204.jpg" alt="">
</body></html>

Melbourne accommodation market remains buoyant: HTL Property

<html><body>
Dexus, Australia's biggest office landlord, has purchased 80 Collins precinct, a commercial and hotel development for $1.5 billion.
The 80 Collins precinct is a large-scale site located in the Eastern Core of Melbourne’s CBD.
The precinct comprises 105,000 square metres of Net Lettable Area across an existing 47 level A-grade office tower, a new 35 level premium office tower, a new retail podium with 21 tenancies and a new 255 room boutique hotel.
New components of the 80 Collins precinct are currently being developed, with completion slated for 2020.
Dexus chief executive Darren Steinberg said the sale was completed on a passing yield of about 5.3 per cent and will be accretive to the 2020 financial year results.
<div class="ymInT noPrint">
<div class="_1665V undefined">
"This is right on our strategy and will provide an excellent return to Dexus shareholders in the future," Mr Steinberg said.
</div>
<div class="_1665V undefined">
"We are playing to our strengths and we see strong demand in the Melbourne office market."
With this acquisition Dexus will own or manage circa 20% of the total office stock (by area) in the Eastern Core post the acquisition of the 80 Collins precinct and the development of the neighbouring Dexus owned 52 and 60 Collins Street.
</div>
</div>
 
</body></html>

Melbourne

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News

Melbourne

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

Developments

New apartments

New townhouses

News