Busy developer Aqualand Prestige has formally taken the next step in its expansion across Sydney's Lower North Shore, lodging a State Significant Development Application (SSDA) for its long-held Archer Street site in Chatswood.

The application covers <a href="https://www.apartments.com.au/new-apartments/51-55-archer-street-chatswood-nsw-2067">51-55 Archer Street</a>, a 1,767 sqm amalgamated site on the eastern edge of the Chatswood CBD, where the developer is seeking approval for a 45-level mixed-use tower delivering 114 apartments, including a significant affordable housing component, alongside retail, commercial space and six basement levels of parking.

The SSDA marks the latest milestone for a project Aqualand has been quietly progressing over the past two years. The developer first secured the site for its Aqualand Prestige platform before undertaking an alternative design excellence process with PTW Architects, ultimately avoiding a formal design competition through the Housing Delivery Authority pathway.

The proposal has evolved considerably from Aqualand's original concept. The revised scheme has been designed around larger owner-occupier product, with an unusually high proportion of three and four-bedroom apartments, targeting the more affluent buyer profile, and downsizer, emerging across the North Shore.

<img alt="Archer St" data-entity-type="file" data-entity-uuid="0171204c-5811-41b5-9b09-2335d1b7c3d0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-22%20at%208.52.48%E2%80%AFAM.png?VersionId=6YTuxfq.puZo7k2wbfgemcO5K3QfXYGQ" />

The 114-apartment mix comprises six studios, 27 one-bedroom apartments, 18 two-bedroom apartments, 50 three-bedroom residences and 13 four-bedroom homes. A quarter of the building will be dedicated to affordable housing, well above the mandated 15 per cent&nbsp;

PTW has structured the building vertically, with affordable housing across levels one to six, premium apartments through levels seven to 31, duplex skyhomes on klevels 32 to 43, a penthouse on level 44, and a rooftop plant level above. Six basement levels will provide resident parking and servicing.

The tower is proposed to reach approximately 154 metres, placing it among a growing collection of residential high-rises transforming Chatswood's skyline.

Rather than competing purely on height, PTW says the design has been driven by creating a slimmer tower capable of delivering significantly larger apartments.

"The primary objective of this project was to create a distinctive building that stands out from the recently approved or built structures in the Chatswood area," the design report states, noting the structural efficiency allows greater investment into apartment quality and resident amenity.

Residents would have access to more than 450 sqm of communal open space including landscaped gardens, swimming pool, rooftop entertaining areas, fitness spaces, community gardens, children's play areas and barbecue facilities.

A major focus of the design has been the public domain.

The ground plane has been opened up through landscaped terraces inspired by Willoughby's sandstone ridges, with native planting, public seating, artwork, retail activation and a series of gathering spaces intended to soften what has traditionally been a hard commercial streetscape.

The landscape strategy references Blue Gum forests once common throughout the area, while incorporating Indigenous storytelling, public art and lighting installations to strengthen the connection to Country.

Chatswood has been one of Sydney's busiest apartment markets over the past 12 months, with a steady pipeline of both new project launches and fresh development applications.

Hyecorp recently launched Celine, a 122-apartment development just along Archer Street, while Changfa and Huirong Group are progressing The Anderson, an 84-apartment project on Anderson Street.

Develotek recently secured approval for a 101-apartment tower on Pacific Highway, while Tian An LFD received the green light for Hammond Greens, its apartment development on the edge of the Chatswood Bowling Club.

Commercial property developer FiveX is also making its move into the residential market. Last month it lodged plans for a 61-storey tower with 490 apartments, which, if approved, would become one of the tallest residential buildings in Chatswood.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-fivex-targets-chatswood-skyline-with-61-storey-tower-after-north-sydney-plans">First look: FiveX targets Chatswood skyline with 61-storey tower after North Sydney plans</a>

Aqualand is also expanding its development pipeline following the launch of its luxury residential brand, Aqualand Prestige. The developer has delivered a string of high-end apartment projects across Sydney's affluent suburbs over the past decade, most recently AURA by Aqualand on Walker Street in North Sydney.

[smartcode_project:default project_id=30959 project_image_fid=292863]

It has since quietly assembled its next wave of projects.

Earlier this year Aqualand launched Boronia in Roseville, a boutique 111-apartment development on Larkin Street. The project is one of the first significant apartment developments to launch in the suburb ahead of what is expected to become one of Sydney's most active new housing precincts under the NSW Government's Low and Mid-Rise Housing reforms, which allow greater density around train stations.

[smartcode_project:default project_id=152095 project_image_fid=373685]

The developer has also lodged plans for a two-tower, 413-apartment development on Herbert Street in nearby St Leonards, further strengthening its presence across the Lower North Shore.

Beyond that, Aqualand remains behind the final stage of Barangaroo, where plans will deliver a five-hectare mixed-use precinct comprising new homes, retail, hospitality and community facilities, alongside a new Metro entrance and more than two hectares of public open space, completing the Barangaroo precinct.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/central-barangaroo-development-takes-big-step-with-concept-proposal-approval">Central Barangaroo development takes big step with concept proposal approval</a>

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-aqualand-joins-st-leonards-apartment-party">First look: Aqualand joins St Leonards apartment party</a> 
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Joel Robinson

First look: Aqualand pushes ahead with Chatswood apartment tower as SSDA lodged for Archer Street

Mass timber is becoming an increasingly popular construction material in apartment developments, but Adelaide developer <a href="https://www.apartments.com.au/developers/otello">Otello</a> is taking the approach a step further.

At its new <a href="https://www.apartments.com.au/new-apartments/flowe-bowden-18-gibson-street-bowden-sa-5007">Flowe Bowden</a> development, the exposed cross-laminated timber (CLT) structure isn't just about reducing the building's environmental footprint. It also forms the foundation of a broader wellness strategy, influencing everything from indoor air quality and natural materials to the way residents move through and experience the building.

The 115-apartment mixed-use development, designed by Melbourne-based architecture practice Fieldwork, will occupy a prominent island site opposite Bowden Village Reserve, combining one, two and three-bedroom apartments with retail and a dedicated wellness destination.

[smartcode_project:default project_id=152022 project_image_fid=375528]

Wellness isn't confined to a gym or shared resident facility at Flowe. Instead, Fieldwork embedded the concept into the building itself.

The development has been split into two residential wings connected by a naturally ventilated central breezeway, replacing traditional enclosed corridors with open-air walkways that improve natural light, encourage cross ventilation and create more opportunities for neighbourly interaction.

"Rather than treating wellness as something that only happens on the ground floor, our response integrates it throughout the building, which led us to ask what it really means to design a healthy building," Fieldwork Director Quino Holland said.

[smartcode_project:default project_id=152022 project_image_fid=375531]

The building's architecture also reflects Bowden's industrial heritage. The lower podium references the area's historic brick and sandstone buildings, while the upper levels transition to exposed CLT, allowing the timber structure to become a defining feature throughout the apartments and shared spaces.

The use of mass timber sits alongside a range of sustainability initiatives, including a fully electric, gas-free design, rooftop solar and a targeted 5 Star Green Star rating.

[smartcode_project:default project_id=152022 project_image_fid=375524]

Inside the residences, the focus remains on natural, durable materials. Blackbutt engineered timber flooring, exposed CLT ceilings, porcelain surfaces and warm timber joinery create a calming interior palette, while low-VOC finishes and responsibly sourced materials have been selected to improve indoor air quality.

Kitchens have been designed as the centrepiece of each apartment, featuring porcelain island benchtops, timber-look cabinetry and brushed steel tapware, with layouts that maximise natural light and ventilation.

[smartcode_project:default project_id=152022 project_image_fid=375530]

The more traditional interpretation of wellness comes in the form of Level Eleven, a two-storey wellness club spanning the ground floor, mezzanine and first floor.

The facility will include a gym, yoga and reformer Pilates studios, Finnish and infrared saunas, magnesium hot and cold plunge pools, and dedicated recovery spaces. Unlike many residential wellness facilities, Level Eleven will also operate commercially, allowing the broader Bowden community to access the venue while giving residents exclusive membership benefits.

The ground floor has also been designed around everyday living. A café overlooking Bowden Village Reserve will activate the street frontage, while a bike workshop with tool storage, co-working space and dog wash has been incorporated to support daily routines and encourage interaction between residents.

"Flowe brings together my two biggest passions, creating places and creating healthier lives," Otello founder Daniel Harris said.

"We wanted to create something Adelaide hasn't seen before, a genuinely healthy building, where the way you live is lifted without even trying."

Flowe is positioned directly opposite Bowden Village Reserve and within walking distance of Bowden Railway Station and the Adelaide Entertainment Centre, placing future residents just minutes from the Adelaide CBD while remaining connected to one of the city's most established urban renewal precincts.

[smartcode_project_cta:default project_id=152022]

Otello launches wellness-focused Flowe Bowden with Adelaide-first mass timber apartment design

Not all apartment amenities are immediately visible.

Swimming pools, gyms, rooftop terraces and residents' lounges have long featured on buyers' wishlists, but as the way Australians live has changed, so too have the features that make apartment living more convenient.

Increasingly, buyers are placing value on the practical aspects of day-to-day life. Fast internet, EV charging, secure bike storage, flexible workspaces and parcel management are becoming just as relevant as lifestyle amenities, reflecting changing habits and expectations.

Online shopping has been one of the biggest drivers of that shift.

Australians spent a record $82.6 billion shopping online in 2025, with almost one in every four retail dollars now spent digitally, making parcel deliveries a routine part of everyday life rather than an occasional convenience.

For apartment residents, however, receiving those deliveries isn't always straightforward.

Without someone home to accept a parcel, deliveries can be redirected to a nearby Post Office, left in building foyers or common areas, or require building management to temporarily store packages. As apartment living continues to grow across Australia's cities, parcel management has become an increasingly important consideration for both residents and developers.

Australia Post's Parcel Locker network is one response to that shift.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/KPZ9j5FRdsQ?si=Qztc1dNP3ZvEIUhb" title="YouTube video player" width="560"></iframe>

Rather than relying on home delivery, eligible parcels can be directed to a nominated Parcel Locker, where they're securely stored until collected. Once a parcel arrives, residents receive a notification through the AusPost app or SMS and can retrieve it using a one-time code or QR code at a time that suits them.

The network has expanded to more than 1,500 locations nationwide, with Parcel Lockers positioned at Post Offices, shopping centres, supermarkets, transport hubs and, increasingly, within or alongside residential developments.

That growing presence reflects a broader change in how apartment buildings are being planned.

Developers are increasingly considering the operational side of apartment living alongside traditional lifestyle amenities. Just as secure mailrooms, bicycle storage and EV charging have become more common inclusions, parcel management is emerging as another feature that supports everyday convenience.

It also helps preserve the arrival experience within a building. Carefully designed lobbies and communal spaces can quickly become cluttered when deliveries accumulate, while secure parcel solutions reduce the likelihood of missed deliveries or parcels being left unattended.

For buyers comparing apartments, these everyday details are becoming part of the decision-making process.

Location, floorplans and finishes remain fundamental, but the features that simplify daily life are carrying greater weight than they once did. As online shopping continues to shape consumer behaviour, secure parcel delivery is increasingly becoming another amenity worth looking for.

Parcel delivery is joining the apartment amenity checklist

Inca Property Group has lodged a State Significant Development Application (SSDA) for Dawn, a 53-apartment oceanfront development overlooking Mona Vale Beach.

The proposal, at 35-39 Darley Street East, would replace an existing 18-apartment strata building with a new owner-occupier-focused development comprising 53 two and three-bedroom apartments, including nine affordable built-to-rent residences delivered under the State's infill affordable housing scheme.

Positioned on a 2,679 sqm elevated site around 280 metres from Mona Vale Beach, the development has been designed to maximise panoramic ocean views while responding to the site's sloping topography.

<a href="https://www.apartments.com.au/developers/inca-property-group">Inca Property Group</a> Managing Director Josh Thompson said the State Significant pathway provided greater certainty for projects of this scale.

"This State Significant pathway gives the team real certainty to progress <a href="https://www.apartments.com.au/new-apartments/dawn-35-39-darley-street-east-mona-vale-nsw-2103">Dawn</a> through to completion," Thompson said.

"It allows us to acquire a one-off site, design it carefully and deliver the right offering for the suburb, assessed by the NSW Government's planning department."

The project is one of the first developments in the area to be assessed under the NSW Government's Low and Mid-Rise Housing policy, with the site sitting on the edge of the policy's designated inner area.

The proposal includes three basement levels providing 124 car spaces, alongside a range of resident amenities including a swimming pool, gym, sauna, wellness facilities and private plunge pools for selected ground-floor and penthouse apartments.

<img alt="Dawn" data-entity-type="file" data-entity-uuid="fc1a1daf-0ce4-4f12-9076-b1fa553c7a91" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-21%20at%208.42.11%E2%80%AFAM.png?VersionId=4GZ9h.gpNkTljbxyAET8Jfhv51XUamDm" />

Thompson said Dawn had been designed specifically for owner-occupiers and downsizers, a buyer profile that has driven demand across Inca's recent Upper North Shore developments.

"The majority of buyers in our recent North Shore projects have been downsizers, and we are learning exactly what this market is looking for. Beyond the location itself, we have included resort-style amenities to deliver a genuine lifestyle offering," Thompson said.

Located within walking distance of Mona Vale Beach, the town centre, Mona Vale Golf Club and the Royal Motor Yacht Club, Dawn represents Inca's first Northern Beaches project following the sell-out of Tara on Park in Waitara and Ellis Residences, currently under construction in St Ives.

Construction will be undertaken by Inca's in-house construction arm, GOP Constructions.

Dawn is the latest major apartment proposal for Mona Vale, with the suburb emerging as one of the key beneficiaries of the NSW Government's new Low and Mid-Rise Housing policy.

New developer One Living, led by industry veteran Joseph Scuderi, recently secured a site on Mona Vale Road, on the border of Mona Vale and Pymble, where it is planning around 140 apartments.

IPM is also planning its third project in Mona Vale, significantly increasing the scale of its previous developments with an 82-apartment proposal at <a href="https://www.apartments.com.au/new-apartments/159-167-darley-street-west-mona-vale-nsw-2103">159-167 Darley Street West</a>, opposite Bayview Golf Course and less than 800 metres from Mona Vale town centre.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/one-living-enters-sydneys-new-apartment-market-with-northern-beaches-site-acquisition">One Living enters Sydney's new apartment market with Northern Beaches site acquisition</a>

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-ipm-plans-third-mona-vale-project">First look: IPM plans third Mona Vale project</a>

First look: Inca eyes Mona Vale with State Significant DA for Dawn apartments

Seasoned Victorian apartment developer <a href="https://www.apartments.com.au/developers/central-equity">Central Equity</a> has logged more than $400 million in sales in its luxury apartment project Palmera Residences at Northcliffe on the Gold Coast.&nbsp;

Central Equity Director Karl Kutner said the sales result reflected a combination of location, product quality and delivery certainty with the project already under construction by building powerhouse Multiplex.&nbsp;

"Surpassing $400 million in sales since launch is a significant milestone and an outstanding endorsement of <a href="https://www.apartments.com.au/new-apartments/palmera-residences-gold-coast-18-garfield-terrace-surfers-paradise-qld-4217">Palmera Residences</a>,” he said.&nbsp;

"We believe one of the key reasons for this strong result is the confidence purchasers have in knowing the project is under construction with Multiplex. Buyers are increasingly looking for certainty. They want to know that the project they commit to today will be delivered by an experienced team with a proven track record."&nbsp;

[smartcode_project:default project_id=108274 project_image_fid=365782]

Kutner said it was clear there was still high demand for luxury projects that offered certainty of delivery.&nbsp;

“We are in a market where many residential developments have faced delays due to rising construction costs, labour shortages and financing challenges,” said Kutner.&nbsp;

"But having construction underway has provided our buyers with resounding confidence backed by more than 40 years of development delivery by Central Equity combined with construction by one of Australia's most respected construction companies."&nbsp;

[smartcode_project:default project_id=108274 project_image_fid=365785]

Central Equity is one of Australia's most experienced privately-owned property developers. Over more than four decades, the company has delivered in excess of 85 residential developments including 10,000 apartments and many thousands of stand alone homes.&nbsp;

Located on Garfield Terrace at Northcliffe, between Surfers Paradise and Broadbeach, Palmera Residences occupies one of the Gold Coast's most sought after beachside locations. The development has been designed to appeal to owner occupiers seeking premium residences that combine generous living spaces and resort style amenities.&nbsp;

Palmera Residences will feature an exceptional collection of resort style amenities, including two swimming pools: a generously sized family pool with safe shallow zones for relaxed recreation, and a 20 metre lap pool positioned to maximise all day sunlight.&nbsp;

Residents will also enjoy exclusive access to wellness and recreational facilities including a magnesium pool, sauna, yoga studio, expansive fitted gymnasium, resident lounge, outdoor BBQ’s&nbsp;and indoor and outdoor dining areas, together with a dedicated concierge and luxurious hotel inspired entrance foyer.&nbsp;

[smartcode_project:default project_id=108274 project_image_fid=365767]

A unique feature at Palmera Residences has been designed to enhance the Gold Coast lifestyle which includes both indoor and outdoor gymnasium facilities, together with thoughtfully designed indoor and outdoor dining and entertaining areas. A corner café has also been incorporated to provide residents with a destination for their everyday needs.&nbsp;

Kutner said buyer demand had been broad based with purchasers attracted from interstate as well as throughout South East Queensland.&nbsp;

"We're seeing strong interest from owner occupiers, lifestyle buyers and people relocating to the Gold Coast. Many purchasers have been searching for a premium beachside residence where quality, design and delivery are equally important."&nbsp;

[smartcode_project:default project_id=108274 project_image_fid=365771]

Kutner said the sales milestone was an important achievement, but the focus remained firmly on delivering an exceptional development.&nbsp;

"While reaching $400 million in sales is an important milestone, our priority remains delivering a project that exceeds purchaser expectations,” he said.&nbsp;

"Palmera Residences has been designed to become one of the Gold Coast's landmark residential addresses, and we look forward to welcoming our purchasers to their new homes."&nbsp;

There are a limited number of residences remaining in selected configurations with pricing from $2,950,000 to $8,950,000. Palmera Residences is also crowned by expansive penthouses with wrap around views.

[smartcode_project_cta:default project_id=108274]

Construction certainty and strong buyer demand drive major sales result for luxury Gold Coast development

Palmera Residences fly out the door as sales pass $400 million

Shopping Centres

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Changes in consumer spending patterns since 2007 appear to have hurt retailers, such as department stores, apparel and discretionary retailing, according to Savills research.
The Australian Sub Regional Shopping Centres report says consumer spending has impacted tenants in regional and some sub regional shopping centres though some sub regional shopping centres have been immune from this.
The ABS turnover statistics in the accompanying table show strong growth over a long period in most of the retail categories found at a sub regional shopping centre. Supermarkets have been enjoying strong turnover growth as have their associated liquor stores.
Discount department stores dealing in electronics, household goods including furniture and discount clothing have also enjoyed strong turnover growth. Associated specialty stores such as a chemist, a take away food store, a bakery, a newsagent and other local service providers such as a dry cleaner may be found in the tenancy mix.
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The structural issues facing retail are more formidable but not insurmountable. Savills expects the retail sector to evolve to take advantage of the structural issues rather than be over-run by them.
The ageing of the population will continue to create challenges for retailers as they jockey for the dollars of retirees. Retirees can be expected to prefer services over goods and will not necessarily continue to dwell in their traditional catchment areas.
Internet retailing has already changed the face of retailing for certain categories of goods and will no doubt continue to evolve and challenge more categories over time. New business models are establishing themselves.  
 
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prateek24-ezbwHMbNAk

Consumer spending habits and their impact on sub-regional shopping centres

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Neighbourhood shopping centre deals across Australia were recorded at $1.2 billion for the 12 months to June 2016, down from $2.6 billion in the previous year, according to recent research by Savills.
A neighbourhood shopping centre is generally defined in the industry as a local shopping centre comprising a supermarket and up to 35 specialty shops. The total gross lettable area of retail floorspace will typically be less than 10,000 square metres.
The sales figure was also own on the five-year average of $1.4 billion. 
In the year to June 2016, 56 neighbourhood shopping centres were sold against 91 the previous year and this is commensurate with the five-year average of 60 sales per annum. 
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There are several factors at work in the capital markets which are having an impact on asset prices. 
First, there is an abundance of debt and equity available to purchase prime commercial assets on current metrics; second, the pricing of debt and equity domestically, $500 and especially overseas, continues to fall; third, investment fundamentals are sound with no oversupply, little vacancy and good rental growth; and, finally, catchment area fundamentals remain appealing with strong population growth, low unemployment and stable Australian Retail to rising household incomes. 
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Institutions remained active in the investment market for the 12 months ended June 2016, purchasing 39 percent of all neighbourhood shopping centres sold.
Private investors continue to pursue neighbourhood shopping but are now being outpriced by institutions. Also of particular note is the emergence of foreign investors purchasing 29 percent of neighbourhood shopping centres sold.
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jonathanchancellor-7SQnKwU6yx

Neighbourhood shopping centre deals down sharply in year to June 2016: Savills

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

The ‘Aldification’ of Woolworths is destroying its value

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Retail and residential property took the headlines last week with several of the big participants in those sectors reporting their results for 2015.
Major shopping centre owners said sales conditions for their malls were improving, but still challenging, while property values were rising due to investor demand for income-producing assets.
Charter Hall Retail REIT, which owns small and neighbourhood shopping centres, lifted its statutory profit by more than 90% to $162.5 million driven by increases in the value of its shopping centre properties.
“Ongoing investor interest in this asset class has resulted in yields for high quality assets tightening sharply over the past 12 months and as such we are expecting to see growth in the value of the REIT’s portfolio over the 2016 financial year,” chief executive Scott Dundas said.
The REIT’s operating profit was up 5.2% to $110.8 million.
Federation Centres, which merged with Novion Property Group in June to form a $22 billion REIT, reported a $675.1 million statutory profit for the 2015 financial year, and underlying earnings of $683.1 million, up 6.2%.
Comparable specialty store sales were up 3.3%, an improvement on the 2.4% sales growth the previous year. Comparable net property income growth was 2.5%, up from 1.2%.
However, the REIT’s leasing results were weaker with negative 2.2% leasing spreads across the combined portfolio, worse than the negative 1.5% spreads achieved in 2014.
The relatively mature Novion Property Group assets dragged on that result, with negative 4.7% spreads. Managers of the Federation Centres properties were able to improve leasing spreads by 3.2% by changing tenant mixes.
The group recently replaced Federation’s chief executive Steven Sewell, who had been set to head the combined group, with Novion’s head Angus McNaughton.
McNaughton said the sector was slowly improving but expected consumer sentiment to fluctuate.
Shopping Centres Australiasia Property Group worked hard on its specialty store leasing through 2015, with a project targeted at improving occupancy rates. It spent $9.6 million on incentives such as assistance with fitouts for tenants.
“During FY15 we had 50 specialty tenant renewals, and an average rental uplift of 7.3% was achieved,” chief executive Anthony Mellowes said. “This is a positive start to our first rent renewal cycle which will continue through FY16 to FY20.”
Specialty stores in SCA’s centres lifted sales by 5.6%.
Stockland Property Group, which derives about 60% of its earnings from retail property, reported earnings in that division were up 4.2%.
Its shopping centres achieved their strongest specialty store growth in four years, rising 7%. Food catering and fast casual dining, communication technology, services, homewares and apparel were the best performing categories.
Residential
Many investors were more interested in Stockland’s residential division, with the group being one of Australia’s largest home builders.
Profits in that area were up 73.5% to $166 million.
Residential developers have used reporting season as a platform to call for discussion on topics such as the undersupply of homes in Australia and stamp duty. They have cautioned regulators not to go too far with moves to slow the housing market, which they say is varied across the country.
AV Jennings chief executive Peter Summers said stamp duty was holding up construction and adding to housing costs. That group reported before-tax profits were up 78.3% to $48.2 million, with improving housing markets lifting revenue by 26.9% to $317.9 million.
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zfielding-GvX3Uq9KTa

Fluctuating consumer sentiment prompts erratic REIT retail leasing results

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Melbourne's retail core has seen a notable resurgence of late, with the significant redevelopments of Myer, David Jones, The Emporium, The Strand and GPO. The currently under construction St. Collins Lane project will see additional shoppers returning to the CBD area in a big way.

While the big brands provide incentive enough for shoppers to swarm the CBD, shoppers and people are also drawn in by the experience gained by visiting Melbourne's laneway and coffee culture which provides an altogether different vibe compared to the traditional mall. What is so great about shopping in Melbourne heart is that shortly enough any individual could will be able to walk from Flinders Street through to Lonsdale Street on this 'retail/social/cultural highway' of sorts.

Think of it as another north-south aligned Elizabeth Street or Russell Street, the major difference being of course that it's a pedestrian thoroughfare full of character - of what makes Melbourne great!

The following photo tour sees me exploring Melbourne's laneways within the retail core of the city, beginning at Degraves Street, walking through Centre Place whilst the Block Arcade and Royal Arcade follow. Exploring the multiple laneways along Little Collins Street, Postal Lane to Little Bourke Street, with Melbourne Central and Little Lonsdale Street rounding out the tour. Please enjoy.
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melbournee12

Exploring Melbourne's retail and laneway spine

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Like it or loathe it, Chadstone Shopping Centre is about to enter another expansionary phase which will further solidify its position as Australia's largest. Beyond the planned push to over 215,000 square metres of leasable space, the headline construction note within the upcoming phase will be the delivery of premium office tower fronting Dandenong Road.

With near 16,000 square metres of office space expected, the soon to be under construction commercial building will in due course be joined by an additional tower containing 190 hotel suites. Both towers were covered in a <a href="/news/chadstones-twin-towers-sharpen-up" target="_blank">previous Urban.com.au article</a>.

<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/Image3_10_0.jpg" rel="gallery-all" title="Hotel and commercial towers side by side. Image © Bates Smart"><img alt="" class="image-article-full-width-580px" height="387" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/Image3_10_0.jpg?itok=ZGbjPIn5" title="Hotel and commercial towers side by side. Image © Bates Smart" width="580"></a>

The office tower is included within Stage 38 and according to website <a href="http://www.estimateone.com/" target="_blank">EstimateOne</a> also includes the following:

Early Works

<ul>
<li>Bulk excavation and site retention of the new car park located under the office tower</li>
	<li>Underpinning of the existing Myer car park</li>
</ul>
Stage One Works (Separable Portions apply)

<ul>
<li>New Myer car park deck</li>
	<li>Pedestrian link</li>
	<li>New bus interchange</li>
	<li>Road works to Eastern Road</li>
	<li>New signage gantries to Eastern Road</li>
	<li>Road works to Princes Highway</li>
	<li>Commercial in-ground carparking and ramping</li>
	<li>Office tower excluding tenant fitout</li>
	<li>Landscaping</li>
	<li>Screeding over future site for Hotel</li>
</ul>
<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/Image10_10.jpg" rel="gallery-all" title="Image © chadstoneshopping.com.au"><img alt="" class="image-article-full-width-580px" height="241" src="/sites/urbanmelbourne.info/files/styles/article_full_width_580px/public/pictures/article-images/Image10_10.jpg?itok=1Yt7GCoI" title="Image © chadstoneshopping.com.au" width="580"></a>

In addition, Stage 40 which centres around an expanded retail offering is also out to construction tender. According to the <a href="http://www.chadstoneshopping.com.au/chadstonedevelopment/chadstone_capital.htm" target="_blank">official website</a>, "The new development proposal represents an investment of over $500 million by its owners, creating significant employment throughout the economy for the broader community (2,700 direct jobs during construction and 2,200 ongoing)."

Currently six major builders are in the running, although Probuild may have the upper hand given they have delivered a variety of expansion projects for the centre over a 15 year period.
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silvermb

Chadstone Capital moves to construction

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... and that's the problem.
Melbourne was very good at locating shopping centres away from rail lines and stations when they were first proposed, and we're paying for it now.  Well at least, the good 'burghers of Chadstone, who live opposite or in the immediate vicinity of the shopping centre that bears the same name, are.
In our <a href="http://urbanmelbourne.info/development/2013/04/16/chadstones-twin-towers-sharpen-up#content">piece</a> yesterday on the updated proposals for a Hotel and Office at Chadstone Shopping Centre, Mark posted images from Atomic 3D and Bates Smart that act as a perfect example of  how utterly auto-centric these “activity” centres are. Have a look at the Dandenong Road vista – shopping centres have always been internally focused and Chadstone is no exception – however the new proposal has solidified this internal mentality by only providing a barely windowed facade at ground level, completely cut off from the footpath.
There’s absolutely zero active frontage and it's dominated by vehicular access paths.  Some effort in opening the proposed section of the site to Dandenong Road may have been been a good sign of things to come; nevertheless we're stuck with the ode to auto-centric suburbia that Chadstone and other centres are synonymous with.
Sure, Dandenong Road is a major arterial and not the most pedestrian friendly environment comes to mind of but Chadstone could do so much better.  If we accept shopping centres are going to become legitimate multi-use activity centres in the decades to come, we must correct the past mistakes of not integrating them with high capacity mass public transport routes, reject dumb design that turns its back on the street and start opening them up to their surrounds.
Chadstone’s public transport is currently riding on the back of the humble bus.  At present the best train + bus option is to take a train to Oakleigh and then swap to the 802, 900 or 902, or walk from Hughesdale Station.  The buses are timetabled for 9 minutes between Oakleigh and Chadstone SC, but as we all know that is susceptible to Warrigal Road and Middle Road traffic. PTV’s site states there’s a 4-5 combined frequency across the aforementioned routes - excellent service compared to other routes around the metropolitan area.
It is interesting to see the bus bay has been placed closer to the Dandenong Road entry for Chadstone in yesterday’s piece by Mark.  Buses – from Oakleigh – will be able to avoid all the Monash FWY-bound traffic on Middle Road and turn left at Dandenong Road from Warrigal Rd and then right turn almost directly into the bus station.  This should improve reliability and potentially shave a minute or two off the timetable.
But going by how quickly Chadstone expands and its popularity citywide – good marketing will do that – at what point do we say: enough is enough, bite the bullet and start providing alternative high-capacity access?
As I alluded to a few weeks ago, one of the biggest elephants in the room with regards to the Rowville Rail Study was the ignoring of Chadstone and more recently with the release of the PTV Heavy Rail plan, the Rowville line is completely dependent on the Metro Tunnel.
Rowville study Mark II (as the first one outlined further investigation must be carried out on the city side of Huntingdale) should focus on studying the benefits of removing the Rowville line’s dependency on the Metro Tunnel and as an alternative, study how the Burnley group of lines could work in Rowville’s favour.
We now know that PTV sees the eventual quadruplication of Burnley to Camberwell, but before we get to that – lets look at how Rowville can assume the operation of Alamein with a terminus at Camberwell – at least for the first stage.
We know that there is some spectre of hope for a Rowville rail line eventually, so lets take that for granted. 
From Huntingdale another track pair could be built alongside the existing corridor to Oakleigh, with a 1-2km tunnel built from Oakleigh underneath Dandenong Road and adjacent to Chadstone SC to the old Outer Circle Rail alignment just south of Waverley Road.  From there a line could transition to an elevated structure with a station at East Malvern, and then traverse the Monash Freeway and Gardiner’s Creek valley (where the old trestle bridge from the outer ciricle line did 100 years ago) and then use the old alignment to south of Alamein.
The existing Alamein line would require grade separation at Riversdale Rd and Prospect Hill Rd offering an opportunity to delete Willison Station as Willison and Riversdale stations are 300m from one another. Entries to the newly grade separated Riversdale station located to the south of Riversdale road could eaasily cater for the loss of Willison and reposition the new Riversdale station to cater for both catchments.  Click <a href="https://maps.google.com.au/maps/ms?msid=211205020527797360410.0004da78fe6cb979be7b7&amp;msa=0&amp;ll=-37.876208,145.082788&amp;spn=0.054538,0.132093" target="_blank">here</a> to see full map.
<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/chad_line_1.jpg" rel="gallery-all"><img alt="" class="image-article-full-width-702px" src="http://urbanmelbourne.info/sites/urbanmelbourne.info/files/styles/article_full_width_702px/public/pictures/article-images/chad_line_1.jpg?itok=PBMS-dXu" typeof="foaf:Image"></a>
PTV similarly wouldn't need to create expensive and longer stations on the Rowville line - as the Alamein and Camberwell-City sections are not mooted to get the same upgrades as the Dandenong corridor.  And as a start, off-peak 10 minute services moving to 7-8 minutes in peak would interface with all the activity centres and the 3 primary lines this Camberwell-Rowville shuttle would intersect.
Creating this line will not only provide a one-stop rail journey for the East and South East of Melbourne to Chadstone, it will start linking the region’s other activity centres (Monash/Mulgrave, Camberwell and Glenferrie), provide numerous more non-car Public Transport options for those who live or work in the east and also add heavy rail network redundancy to all Eastern and South Eastern lines.  
Rowville Mark II needs to look at how linking Alamein and Oakleigh via Chadstone could impact the economic case for the Rowville rail line and it should similarly probe Gandel/CFS on their thoughts on potentially going into a PPP - i.e Gandel/CFS pay for the Chadstone station allowing them to fully integrate it into the centre in return for being allowed to expand the use of the land - residential apartments and more commercial above the shopping centre below.
It’s clear that Gandel and CFS have their eyes on diversifying the land use at Chadstone Shopping Centre, and in order to make it work let's integrate it so as to start linking even more eastern suburbs activity centres at the same time.
 
 
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Alastair Taylor

All roads lead to Chadstone

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During 2011 Chadstone Shopping Centre owners Gandel Group and CFS Retail Property Trust disclosed their intentions to expand Chadstone with the addition of two towers facing Princes Highway. The initial scheme called for towers up to 14 levels, though as time passed the proposals were refined to the point where by mid last year visualisation firm <a href="http://www.atomic3d.com.au/" target="_blank">Atomic 3D</a> carried the render below on their website.
<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/Image9_2.jpg" rel="gallery-all" title="Chadstone Corporate © Atomic 3D"><img alt="" class="image-article-full-width-702px" src="http://urbanmelbourne.info/sites/urbanmelbourne.info/files/styles/article_full_width_702px/public/pictures/article-images/Image9_2.jpg?itok=chOAxFls" title="Chadstone Corporate © Atomic 3D" typeof="Image"></a>
Gaining approval from both Stonnington City Council and Planning Minister Guy late last year, the scheme has been further refined with project architects Bates Smart adding more visual character to the project.
When realised, the western hotel tower will hold 190 rooms over 10 levels plus ground floor facilities reaching an overall height of 44 metres whilst rooms will range in size between 28sqm and 32sqm. The eastern office building will hold 15,788sqm of lettable space over nine dedicated ofice levels plus ground floor facilites and reach a height of 45.3 metres.
Whilst the office tower seems for the most unchanged, both the podium structure and hotel have gained a new look. The hotel's facade will be a mixture of double glazed glass broken by vertical bands of white alternating ceramic frit.
Further the glassed podium is now covered by a vertical blade screen as seen below. A new semi-enclosed elevated glass pedestrian walk will also be constructed linking the new buildings to the existing shopping centre.
<a class="colorbox colorbox-insert-image" href="https://res.cloudinary.com/dz9xllyip/image/fetch/q_auto:good/https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/Image5_6.jpg" rel="gallery-all"><img alt="" class="image-article-full-width-702px" src="http://urbanmelbourne.info/sites/urbanmelbourne.info/files/styles/article_full_width_702px/public/pictures/article-images/Image5_6.jpg?itok=kQLlVHKo" typeof="Image"></a>
While endorsed plans indicate 507 additional car parking spaces will be added via three levels under the towers, a Herald Sun article from last year suggests that upon completion car <a href="http://www.heraldsun.com.au/news/victoria/m-expansion-of-chadstone-shopping-centre-approved-despite-traffic-fears/story-e6frf7kx-1226513984649" target="_blank">parking spaces will near 11000</a> throughout the whole complex.
I'm all for a developments such as this which intensifies an already highly used activity node and centralises large scale development, but the question remains - Is Chadstone too car dependant and are current public transport links sufficient enough to turn a suburban shopping centre into a true activity centre?
Alastair will address Chadstone's transport issues tomorrow, but for today find below more images from both <a href="http://www.atomic3d.com.au/" target="_blank">Atomic 3D</a> and Bates Smart of Chadstone's foray info the commercial and hotel markets.
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