For the first time in a long time, Australia's inflation story is starting to look more like a landing than a fight.

The latest Consumer Price Index figures from the Australian Bureau of Statistics showed annual inflation eased to four per cent in May, down from 4.2 per cent in April. On the surface, that might not seem like a major move. Inflation remains above the Reserve Bank's target range and some categories continue to record stubborn price growth.

But the significance of this result lies less in where inflation sits today and more in what it means for where interest rates are likely heading next.

The biggest takeaway is that inflation continues to move in the right direction.

Markets had been bracing for another sticky result after a period where progress appeared to stall. Instead, headline inflation came in softer than expected, helped by falling fuel prices and easing transport costs. Annual transport inflation halved from 6.6 per cent in April to 3.3 per cent in May, while automotive fuel prices fell 11.9 per cent during the month following lower oil prices and the impact of reduced fuel excise measures.

While petrol prices don't solve Australia's affordability challenges, they are one of the most visible and immediate costs for consumers. Falling fuel costs feed through the economy quickly, helping ease pressure on household budgets and business operating expenses.

The ABS data also showed headline inflation is now sitting at its lowest annual level in several months, reinforcing the broader trend that price growth is gradually moderating.

That trend is important because it aligns with what many economists and lenders have been saying for the last month.

Prior to this week's inflation data, ANZ, NAB and Commonwealth Bank had all shifted their forecasts, now believing the Reserve Bank had likely reached the peak of the interest rate cycle. Following the May inflation release, ANZ reaffirmed that view.

In its latest economic update, ANZ said it expects quarterly trimmed mean inflation to come in at 3.7 per cent for the June quarter, slightly below the Reserve Bank's forecast of 3.8 per cent. Importantly, the bank said that outcome, when combined with slowing economic activity, "supports our view that the cash rate has peaked".

The Reserve Bank has spent the better part of three years attempting to bring inflation under control through higher interest rates. If Australia's major banks are correct and rates have now peaked, the conversation shifts from how much higher rates could go to when they might begin coming down.

Westpac's caution comes from underlying inflation. The trimmed mean, the measure most closely watched by the Reserve Bank, increased from 3.4 per cent to 3.6 per cent annually. Housing inflation remains elevated at 6.5 per cent, reflecting ongoing increases in rents, electricity costs and new dwelling construction.

Electricity prices remain particularly problematic, rising 21.1 per cent over the past year following the removal of government rebates.

Housing construction costs are also showing signs of renewed pressure. ANZ noted new dwelling costs rose 0.9 per cent in May and are now running at an annualised pace of 8.6 per cent over the past three months. Builders continue to face higher labour, fuel and material costs, a reminder that inflationary pressures have not completely disappeared.

Housing affordability has deteriorated largely because of higher interest rates rather than higher property prices alone. Even modest reductions in mortgage rates would improve borrowing capacity, increase buyer confidence and reduce repayment pressure on existing homeowners.

While August is far from a certainty, the latest inflation result has strengthened the view that the next move in rates is more likely to be down than up. For borrowers, buyers and the development sector, that alone represents a significant shift from the conversation that dominated much of the past two years.

Joel Robinson

The inflation result the property market was waiting for

Commercial property group FiveX is doubling down on its move into the residential space.

The group, founded by Joshua and Marko Berger more than five decades ago, has followed up its plans for a 39-storey tower on North Sydney's Alfred Street with a proposed 61-storey tower in Chatswood.

The new tower at <a href="https://www.apartments.com.au/new-apartments/815-pacific-highway-chatswood-nsw-2067">815 Pacific Highway</a>, which would be one of the tallest proposed in Chatswood in recent years, will comprise 490 apartments, 76 of which will be dedicated affordable housing and managed by Evolve Housing for a minimum of 15 years.

The project will replace the long-standing Panorama Building, originally known as the BMA Tower, a 14-storey office building completed in 1972 and designed by Hungarian-born architect Hugo Stossel. At the time of its completion, the building was the tallest structure in Chatswood and became a local landmark due to its distinctive curved form and external glass lift.

<img alt="FiveX" data-entity-type="file" data-entity-uuid="956bd299-3864-47a0-8ea6-162b5524c5d8" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-24%20at%201.02.03%E2%80%AFPM.png?VersionId=EWx7teUr7RcYrI9mgRytwppwt5AdUDtb" />

fjcstudio is behind the designs. Its Architectural Design Report argues the ageing commercial building no longer reflects Chatswood's role as one of Sydney's key strategic centres and that the site is ideally positioned to support significantly higher residential density.

"The site is located at the heart of Chatswood, within the TOD accelerated rezoning area that supports higher density development around the new Metro station," the report states.

"The site's role within a walkable 400-metre radius catchment is where housing, employment, retail and community uses are encouraged to cluster in support of transit-oriented living."

<img alt="fjc" data-entity-type="file" data-entity-uuid="8d198f5e-cc71-4175-9357-be6ec7207473" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-24%20at%201.18.27%E2%80%AFPM.png?VersionId=5WUFc3IYBPvhQMBUYLCsjJhzdcVeYodE" />

The proposal has undergone two rounds of review by the NSW State Design Review Panel, with the design evolving through an extensive assessment process focused on design excellence, public realm outcomes, residential amenity and the integration of affordable housing.

fjcstudio says the residential component provides a diverse mix of apartment typologies, supporting a broad demographic and contributing to housing supply in a highly accessible location close to major transport, employment and retail infrastructure.

The application follows FiveX's plans for a 39-storey tower at <a href="https://www.apartments.com.au/new-apartments/275-alfred-street-north-north-sydney-nsw-2060">275 Alfred Street</a>, which it <a href="https://www.apartments.com.au/new-apartments/275-alfred-street-north-north-sydney-nsw-2060">submitted through the same NSW Government pathway</a> in December. That's for 184 apartments.

Recent activity in Chatswood includes Hyecorp launching its Archer Street project, Celine, and Develotek securing approval for a 34-storey tower.

First look: FiveX targets Chatswood skyline with 61-storey tower after North Sydney plans

Bridgewell Capital and SLD Development seem to be bullish on the Killara apartment market, filing plans for a second new development next to the Killara Golf Club.

The new plans are for 79 apartments across an amalgamated 4,989 sqm site on Buckingham Road.&nbsp;The project has been designed by BKA Architecture and is being assessed under the NSW Government's Low and Mid-Rise Housing and Infill Affordable Housing reforms. It is just 300 metres from&nbsp;Killara train station.

The majority of the apartments are three-bedrooms (46), with 23 two-bedroom apartments, seven one-beds, and three four-bedroom apartments. 17 of the apartments&nbsp;are proposed as affordable housing, representing 15 per cent of the project's gross floor area, allowing the development to access additional floor space and height incentives available under the NSW Housing SEPP.

There will be 131 resident and visitor car spaces, and more than&nbsp;1,450 sqm of communal open space. Landscaped areas would account for approximately 45 per cent of the site.

<img alt="Killara" data-entity-type="file" data-entity-uuid="75ef5ef7-a53b-4932-a8f1-38f63169eec9" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-24%20at%2011.04.00%E2%80%AFAM.png?VersionId=d_lG1A1StDaMQilljy25Fr8SF1BnAmKE" />

The site currently contains three detached dwellings and occupies a prominent position on the eastern side of Buckingham Road, with frontage to an area that has already begun transitioning towards higher-density housing. Existing apartment buildings of up to six storeys surround the site, while the Killara Golf Club forms its southern boundary.

The application has been lodged as a State Significant Development due to the affordable housing component and the scale of the project.

According to the design report, the proposal has been shaped by the area's evolving planning framework, which is encouraging greater housing density around transport infrastructure.

"The site sits along a growth area anticipated to undergo transformation in line with broader trends across New South Wales, driven by the implementation of the Low and Mid-Rise and Transport-Oriented Development State Housing Policies," the report states.

"Being within 800 metres walking distance to Killara Train Station, the project seeks to provide high-quality apartments designed for various family sizes, located in a vibrant landscaped setting."

The Upper North Shore suburb has become one of the most closely watched testing grounds for the NSW Government's housing reforms. A number of developers have moved quickly to consolidate sites around railway stations across suburbs including Killara, Lindfield, Gordon and Roseville, where the new planning settings are creating opportunities for apartment developments that would previously have been difficult to achieve.

The likes of Aqualand, Hyecorp, Holdmark and Vermont Property Group have projects in the region.

Bridgewell has several developments in the pipeline. Last September they submitted plans for <a href="https://www.apartments.com.au/news/nsw/bridgewell-capital-seeks-55-apartment-project-in-killara">55 new apartments</a> at&nbsp;23-25 Lorne Avenue in Killara, just the other side of Regimental Park from their new project. In May they filed for <a href="https://www.apartments.com.au/news/nsw/first-look-bridgewell-plots-120-apartments-and-childcare-centre-in-maroubra-town-centre">120 apartments in Maroubra</a>.

&nbsp;

&nbsp;

&nbsp;

First look: Bridgewell, SLD Development double down on Killara Golf Club

Sydney developer&nbsp;<a href="https://www.apartments.com.au/developers/central-element">Central Element</a>&nbsp;is doubling down in Drummoyne, lodging plans for a boutique apartment development on St Georges Crescent, only one-kilometre down the road from its first Drummoyne development, Bianca.

The new project at 15A-21 St Georges Crescent,&nbsp;a&nbsp;1,701sqm north-facing site overlooking Iron Cove, will have 45 apartmnts across 10 levels. Eight of the units will be dedicated to affordable housing.

The site sits within walking distance of Drummoyne Village, Birkenhead Point, ferry services and the Bay Run, and offers harbour views towards the Sydney Harbour Bridge and CBD skyline.

Designed by MHN Design Union, the development will deliver a mix of one, two and three-bedroom apartments, alongside resident amenity including a gym, landscaped communal open space and three levels of basement parking.

The project has been lodged under the NSW Government's Low and Mid-Rise Housing reforms, with Drummoyne Village identified as a town centre capable of accommodating additional housing supply.

Central Element acquired the site earlier this year as part of its continued expansion across Sydney's eastern suburbs, lower north shore and inner west.

The developer's current pipeline includes luxury apartment projects Pearl Bondi and a separate development on Lamrock Avenue in Bondi, a residential project in Barry Street, Neutral Bay, and a mixed-use seniors living community in Greenwich.

Central Element Managing Director Nathan Chivas said the project would address a shortage of new owner-occupier housing opportunities in Drummoyne.

"While we're seeing a significant shift across Canada Bay as major infrastructure investment, population growth and planning reform drive a new chapter for the region, in suburbs like Drummoyne there remains a genuine shortage of new boutique luxury housing opportunities for owner occupiers," Chivas said.

"Sites of this nature are increasingly difficult to secure, particularly those that combine a north-facing aspect with direct water outlook. Our St Georges Crescent project responds directly to the market demand, offering a level of exclusivity, outlook and lifestyle in the highly sought after suburb."

The development application has been lodged with the City of Canada Bay Council, with the project expected to launch to market in early 2027.

&nbsp;

Central Element seeks second Drummoyne apartment development

The NSW Government has unveiled plans that could deliver around 1,300 new homes across Nowra and Kiama, continuing its push to unlock housing in well-located regional centres along the South Coast.

The proposals, now on public exhibition, would pave the way for around 830 homes in Nowra and a further 450 homes in Kiama, while also introducing affordable housing requirements and increased building heights in key locations.

The larger of the two proposals is centred on Nowra, where the NSW Government is seeking to rezone land within the Mandalay and Riverfront precincts.

The Mandalay sub-precinct, located close to Shoalhaven Memorial Hospital, Nowra Library and the city's aquatic centre, could accommodate around 530 new homes. Around 30 per cent of housing delivered on Homes NSW-owned land would be dedicated to social and affordable housing, equating to roughly 100 homes. Building heights would increase from the current two-storey limit to between three and six storeys.

A separate rezoning proposal for the Nowra Riverfront Precinct would unlock a further 377 homes while creating stronger connections between the Shoalhaven River and the CBD. The plans include building heights ranging from five to 12 storeys, floor space ratios of up to 2:1 and a requirement for two per cent affordable housing.

Together, the two proposals would deliver more than 900 homes across the broader Nowra area, reinforcing the city's role as one of regional NSW's key growth centres.

The housing push builds on previous infrastructure commitments in the Shoalhaven, including government funding aimed at supporting thousands of future homes in West Nowra through upgrades to water and wastewater infrastructure.

Further north, the NSW Government is also progressing plans for the former Kiama Depot site, a two-hectare parcel near Kiama's town centre.

The rezoning proposal would transform the former industrial site into a residential community capable of delivering up to 450 homes. Buildings would range between six and eight storeys, with at least 10 per cent of homes allocated as affordable housing. The proposal also includes approximately 600 parking spaces and improved walking and cycling connections.

Planning Minister Paul Scully said the proposals are designed to increase housing supply in locations close to jobs, transport and services.

"For too long, families have struggled to find somewhere to live, and activating underutilised sites allows us to deliver the new homes these families need," Scully said.

"The Minns Labor Government is getting on with the job of unlocking well-located sites close to transport, jobs, and town centres and building the homes our communities need.

"These rezonings are about removing barriers to housing delivery and making sure land is put to better use so more people can find a place to call home within the communities they choose."

The latest rezonings form part of the Minns Government's broader strategy to accelerate housing delivery across NSW, particularly in established centres where existing infrastructure can support additional population growth.

Community consultation on the proposals is now underway, with feedback set to inform the final planning controls before the rezonings are determined.

Around 1,300 new homes earmarked for Nowra and Kiama as NSW Government pushes housing supply

Silk Lane

Brisbane&rsquo;s legendary cricket ground, The Gabba, will be the global centrepiece of the 2032 Olympic Games and some homeowners are set to have the best seats in the house.

Silk Lane, the&nbsp;Woolloongabba apartment development&nbsp;to be developed by Southlake Group and Sarazin, is set to be built overlooking the iconic stadium.

The ground-breaking precinct, the second of three exciting stages, will boast the city&rsquo;s first and only rooftop &lsquo;Skystand&rsquo;, offering an unobstructed, birds-eye view into The Gabba stadium.

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The 306 one, two and three-bedroom apartments have been designed by&nbsp;Nettletontribe&nbsp;Architects and start from just $449,000.

The development will feature a rooftop infinity pool with views across Brisbane, and ground-level commercial spaces.

Located at 8-12 Trafalgar Street, Silk will be positioned just 350 metres from the future Cross River Rail station, just one stop to Albert Street.

Over the next decade, a rush of global infrastructure investment is set to transform Brisbane into a new world city.

The Gabba is the jewel in the city&rsquo;s Olympic crown, with the stadium undergoing a $1 billion rebuild increasing capacity to 50,000 spectators.

It will host the opening and closing ceremonies, as well as the track and field events.

[smartcode_project:default project_id=107345 project_image_fid=172025]

The 2032 Brisbane Olympics will not only deliver an economic boost to trade and tourism but is set to have a big impact on the local property market, according to PRD Research chief economist, Dr Diaswati Mardiasmo.

Mardiasmo predicted this month that Brisbane&rsquo;s median house price could increase to $1.7 million by 2023, 2.5 times its current median of $674,738.

With major projects including Woolloongabba&rsquo;s new Cross River Rail station, Brisbane Metro and Queen&rsquo;s Wharf completed by 2032, it is no doubt that Silk Lane residents will reap the benefits.

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Around The Gabba, a new pedestrian plaza will link the stadium to the new transport stations.

&ldquo;For local sports, the promise of new and revitalised Olympic venues is a game-changer, encouraging families and junior athletes into sporting endeavours and creating potential future champions competing at a home Olympics&rdquo;, the project marketing reads.

This landmark sporting and cultural hub will write a new chapter in Woolloongabba&rsquo;s rich story.

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Residents can surround themselves with grand panoramas of the Brisbane city skyline on your private residents&#39; rooftop with views across the river and a front-row seat to every game at the Gabba.

The building&rsquo;s architectural fa&ccedil;ade draws inspiration from the angular shapes of metal structure incorporated in the neighbouring stadium.

Silk Lane is expected to reach completion in mid-2024.

[smartcode_project_cta: project_id=107345]

Brisbane’s legendary cricket ground, The Gabba, will be the global centrepiece of the 2032 Olympic Games and some homeowners are set to have the best seats in the house

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Silk One, Woolloongabba's front row apartments to the 2032 Olympics

Accompanying the rush of global infrastructure investment set to transform Brisbane in the decade leading up to the Olympics, Silk Lane is among&nbsp;the new residential&nbsp;developments in Brisbane to secure a wave of renewed interest.

Comprising 306 one, two and three-bedroom apartments, Silk Lane delivers a luxury living experience that rises amongst Brisbane&rsquo;s legendary cricket ground, &lsquo;The Gabba&rsquo;.

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Delivered by Sarazin, each residence is designed as an urban sanctuary, set high above the buzz of the surrounding precinct.

Silk One takes centre stage among&nbsp;the legendary Brisbane cricket ground, &lsquo;The Gabba&rsquo;, and boasts stunning views of the Brisbane River, CBD skyline and beyond.[smartcode_project:default project_id=107345 project_image_fid=172024]

Urban takes a look at two feature floorplans available to discerning buyers.

1. East No.12

<img alt="" height="1042" src="https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/screen_shot_2021-08-26_at_1.01.26_am.png" width="784" />

The floorplan East No.12 has two bedrooms, one tucked away off the kitchen and dining area, with the master positioned at the front of the apartment off the living space.

That curved bedroom, with its own ensuite, will have full floor-to-ceiling glass windows with views across Brisbane.

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The apartment, designed by Nettleton Tribe Architects, features generous living spaces,&nbsp;a balcony, built-in robes, laundry room and study space.

2. West No.8

<img alt="" height="1050" src="https://s3-ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/pictures/article-images/screen_shot_2021-08-26_at_1.01.33_am.png" width="966" />

The larger two-bedroom floorplan is West No.8, which comes with two bedrooms, two bathrooms and a multi-purpose room.

West No.8 is a more rectangular apartment and features a&nbsp;unique cube style crown and a lighter colour scheme.

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&ldquo;Living here is living Brisbane,&rdquo; developer Sarazin say. It&rsquo;s a rare and inspirational blend of serenity and exhilaration.

City and Gabba views are on offer from&nbsp;the balcony or the communal rooftop areas.

[smartcode_project_cta: project_id=107345]

A relaxed sense of luxury fills every space, with tonal finishes and complimentary textures that create a luxurious hotel ambience

Inside the two-bedroom Silk Lane apartments in Woolloongabba, home of the 2032 Olympics

An inner-city residential suburb, transport hub, industrial precinct, and world-famous sporting ground, Woolloongabba is many things rolled into one.

It has a long history of occupation and development, but is now poised for new prominence as an Olympic destination in 2032.

And to take advantage of the future infrastructure is Silk Lane, the apartment development that will rise high above The Gabba, the hub of the Olympic Ganes.

Woolloongabba however was not always the melting pot that it is today.

University of Queensland associate professor in history, Geoff Ginn, shares the history of the suburb.

<h2>A Meeting Place</h2>

Before the onset of British colonial development in the 1820s, the Aboriginal people of the Turrbal and Jagara clans knew the place as Woolloon Capemm meaning &lsquo;place of whirling water&rsquo;, a name that reflected the abundant waterholes, swamps and creeks in the area, said associate professor Geoff Ginn.

Ceremonial places included a bora ground on top of Woolloongabba Hill, at the site now occupied by Holy Trinity Church in Hawthorne Street, and two &lsquo;pullen pullen&rsquo; grounds for ceremonial fighting nearby.

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&ldquo;In 1824, the founding of the Moreton Bay penal settlement heralded the beginning of the European presence in Queensland and the displacement of the First Australians in the area&rdquo;, Ginn continued.

In an attempt to achieve self-sufficiency, convicts in the fledgling settlement cleared and cultivated the south bank of the Brisbane River.

Known as &lsquo;One Mile Swamp&rsquo;, this area had isolated houses and farm dwellings in the 1840s through to the 1850s, when allotments were surveyed and sold.

<figure><img alt="" class="image-article-full-width-580px" height="375" src="/s3/files/styles/article_full_width_580px/public/pictures/article-images/screen_shot_2021-08-26_at_12.54.37_am.png?itok=gP2p_Jns" title="Woolloongabba Fiveways traffic in 1955" width="580" />

<figcaption>Woolloongabba Fiveways traffic in 1955</figcaption>
</figure>

As the European settlement of Brisbane gathered pace in the 1860s-1880s, most of the southerly traffic from Ipswich Road and Logan Road converged at the site, at the intersection with Stanley Street and Main Street through Kangaroo Point to create the famous &lsquo;Gabba Fiveways&rsquo;.

&ldquo;It wasn&rsquo;t until the 1870s that the name of Woolloongabba was officially used.&rdquo;

A tram service drawn by horses was active after 1885, with electric trams after 1897. After 1895, these brought crowds to football and cricket matches at the recreation reserve later named the Brisbane Cricket Ground.

A major railway station and goods yard appeared at the site and the surrounding industrial areas as streets rapidly filled up with workers cottages and small timber &lsquo;Queenslanders&rsquo;.

A few local landmarks from this period included Woolloongabba Post Office, the Princess Theatre and many hotels in prominent positions at road intersections.

&ldquo;There were also churches and other centres associated with distinct immigrant communities such as the Deutscher Turnverein (now German Club) established in the mid-1880s, the nearby Russian Orthodox Church&rdquo;, Ginn said.

<figure><img alt="" class="image-article-full-width-580px" height="377" src="/s3/files/styles/article_full_width_580px/public/pictures/article-images/screen_shot_2021-08-26_at_12.54.44_am.png?itok=a71ZJC_1" title="International cricket match at the Gabba in 1931" width="580" />

<figcaption>International cricket match at the Gabba in 1931</figcaption>
</figure>

By this time, with vehicles, trams, and trains filling its streets and footpaths crowded with shoppers and workers, Woolloongabba had assumed its modern form.

<h2>Local Amenities</h2>

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Now an energetic place of work, transport, leisure and community, Silk Lane residents are offered convenient local amenities that dot the suburb.

The apartments are in close proximity to Queensland University of Technology and Torrens University, as well as secondary schools including Anglican Church Grammar School and St Laurence&rsquo;s College.

Other local amenities include the soon-to-be-completed Cross River Rail station, The Gabba, Gabba Central shopping centre, Deshon Street Park and Brisbane City Indoor Sports centre.

[smartcode_project_cta: project_id=107345]

University of Queensland associate professor in history, Geoff Ginn, shares the history of the Brisbane suburb

Silk Lane

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