Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.

Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;

David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;

“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;

[smartcode_project:default project_id=110291 project_image_fid=302785]

<h2>Affordable product leads, premium demand remains resilient</h2>

Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;

Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;

At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.

Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.

Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;

[smartcode_project:default project_id=148957 project_image_fid=364102]

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.

David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.

“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;

Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.

[smartcode_project:default project_id=108869 project_image_fid=317905]

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;

Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;

However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.

Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;

Joel Robinson

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.

The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.

Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.

“Brisbane was the right step for Sammut,” Sammut said.

“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" />

Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.

The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.

“We are DA approved now which is very exciting,” Sammut said.

“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”

<img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" />

Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.

“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.

The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.

“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”

The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.

The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.

Sammut secures approval for debut Brisbane apartment development in Toowong

Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.

Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.

The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.

“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.

“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.

“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”

The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.

“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”

From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.

“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”

The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.

“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.

Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.

“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.

“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”

The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.

“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.

Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.

&nbsp;

Lanevick to cater for Hunters Hill downsizers with new Gladesville apartment development

Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.

The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.

It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.

With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.

“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.

“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" />

GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.

“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”

Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.

“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.

<img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" />

&nbsp;

One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.

Green praised local policy settings.

“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”

One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.

“The way we will be able to achieve economies of scale is through size,” Green added.

One Living enters Sydney's new apartment market with Northern Beaches site acquisition

It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.

Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.

Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be

"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.

"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."

[smartcode_project:default project_id=134646 project_image_fid=6109]

The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.

The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.

Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.

[smartcode_project:default project_id=134646 project_image_fid=6110]

Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.

The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.

[smartcode_project:default project_id=134646 project_image_fid=6116]

While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.

WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.

With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.

[smartcode_project_cta:default project_id=134646]

WM Residences fills gap in Mordialloc townhouse market

Sydney

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Sydney's price growth continued through December it seems.
Despite all the distractions, the month saw year to date growth <a href="https://www.corelogic.com.au/research/daily-indices" target="_blank">hit 15%</a>.
There's just a few days left before CoreLogic sign off on 2016 data.
Melbourne too finished strongly with price growth, according to the daily index at 13% plus.
The CoreLogic Daily Home Value Index is part of the suite of housing market indices produced by CoreLogic measuring value changes across the Australian housing market.
The CoreLogic Daily Home Value Index aims to measure daily movements in the value of Australian housing markets.
But rather than relying solely on transacted sale prices to provide a measure of housing market conditions, the CoreLogic Daily Home Value Index is based on a ‘hedonic’ methodology.
<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/corelogic-nov.jpg" alt="">
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jchancellor-FAypfDUnLy

Sydney's annual price growth surpasses 15%: CoreLogic daily index

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Melbourne has narrowly pipped Sydney in 10 year growth for house prices, according to the latest Residex data.
But Sydney comes out on top over the decade for apartment price growth.
In the year to November 2016, Australian dwelling values saw an increase of 4.49%.
"This is above the 3.77% annual growth average since 2009, when Australia felt the effects of the 2008 GFC," said Eliza Owen, the market analyst for Onthehouse.com.au.
However she noted the growth was below the November 2015 figure of 6.63%.
<a href="https://www.propertyobserver.com.au/images/2016/12/23/Table%201.jpg" target="_blank">Click to enlarge</a>
<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/2016/12/23/Table%201.jpg" alt="">
The Residex data indicated the highest growth for the November quarter was in Hobart houses, where the median repeat sale value increased 2.39% in the last 3 months.
Hobart houses also had the strongest growth of the major aggregate markets in 2016, with a 6.01% increase in the year to November.
"While these figures are low relative to the double digit growth seen in 2014-15 (for example Sydney houses increased 15.71% in the year to November 2015), major Australian housing markets are likely to return to norms of single digit dwelling growth as softening economic conditions catch up with dwelling demand," Owen advised.
ACT houses increased in value over the quarter, and displayed a healthy return of 3.32% over the year.
Major Queensland and South Australia markets remained flat over the quarter, though some markets outside of the capital cities pushed up regional growth figures.
Hobart dwelling values were expected to increase over 2016 as those priced out of the Sydney and Melbourne markets looked elsewhere for affordable capital growth strategies.
The latest Residex State Market Report highlighted it was important to keep in mind that Tasmania still has geographical challenges with freight costs and labour force limitations.
"However, interstate migration to the area may increase due to the aforementioned growth factors, which would also bring new skills and services the area.
"Furthermore, as Hobart becomes more expensive due to higher interstate investment, and assuming that demand remains strong in 2017 (which it may not, given recent GDP indicators), spill-over of growth may occur in other parts of the island, such as the second largest city in Tasmania after Hobart - Launceston.
"Launceston has some solid growth fundamentals, including tertiary education institutions, shopping outlets and beautiful historical buildings which promote tourism and dwelling demand for sought-after aesthetics."
Already, 2016 has seen a 4.65% increase in Launceston house values and a 1.68% rise in unit values.
Graph 1 shows the similarity in growth cycles across the two cities, though there was a slight growth divergence between the cities toward the end of 2013.
<a href="https://www.propertyobserver.com.au/images/2016/12/23/Graph%201.jpg" target="_blank">Click to enlarge</a>
<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/2016/12/23/Graph%201.jpg" alt="">
The report noted Melbourne houses and units were also strong performers in the November quarter, with quarterly growth of 2.18% and 1.57% respectively.
Despite persistently high prices, Sydney houses and units were not far behind, increasing 2.18% and 1.30%.
Sydney and Melbourne continued to be popular with investors as well as overseas and interstate migrants over 2016.
According to ABS lending data from October this year, approximately 49% of new loans (excluding those for re-financing) were comprised of investors.
Part of the resurgence in investor activity may be explained by expansionary monetary policy.
In September, Sydney dwellings experienced an uplift in annual capital growth - following the August rate cut decision - while Melbourne growth continued to ease.
However, as the rate of capital gain across Melbourne has typically shown a slight lag on Sydney, Melbourne could also see growth rates pushed up in Q1 2017.
These movements are displayed in Graph 2.
<a href="https://www.propertyobserver.com.au/images/2016/12/23/Graph%202.jpg" target="_blank">Click to enlarge</a>
<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/2016/12/23/Graph%202.jpg" alt="">
 
Given the fragility of the Australian economy in labour and growth figures, a steady cash rate target may be expected over the first quarter of 2017, Eliza Owen tipped.
"Despite low interest rates potentially slowing the downswing in Sydney and Melbourne, a decline in government expenditure and increased mortgage rates for investors from major banks may see a steady reduction in the rate of capital gain in these markets during 2017," she added.
 
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j.ballantyne1990-6AQqhLzZaK

Melbourne pips Sydney in 10 year growth for house prices: Residex

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Coronation Property have appointed the international horticulturalist and landscape designer Jamie Durie to design key elements of the landscape masterplan for the banks of the Georges River on which their mixed-use development, The Paper Mill, sits. 
The Paper Mill residential precinct will include 1,045 apartments across multiple contemporary buildings which will transform the Liverpool region into a ‘river city’ only moments away from Sydney’s new second airport at Badgery’s Creek.
The Georges River landscaping proposal includes a boardwalk along the river bank, with native plant species planted along both sides of the boardwalk.
Coronation Property will fund the $6.5 million landscaping project at no cost to local or state government. 
The boardwalk in Coronation’s SJB designed urban design will connect the riverside precinct to the Liverpool Railway Station via a shared community pathway. 
Jamie Durie’s brief includes designing the precinct’s built form’s connection to the boardwalk which will include a children’s playground, as well as re-landscaping the Light Horse Park on the north and Mill Park to the south of the boardwalk.  
Joe Nahas, the managing director, Coronation Property said there will be 3,000 residents who will have direct access to the river.
"We really want the project to be the catalyst for the revitalisation of Liverpool and its reorientation towards the river.”
<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/2016/10/24/141124%20-%20Shepherd%20St%20-%20CAM03%20-%20FINAL%202000.jpg" alt="">
"The Georges River should be enjoyed by all not only for its natural beauty, but for its rich potential as a vibrant recreational feature." 
<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/2016/10/24/150611%20-%20%20Tower%20View_Extra%20Levels%20-%20Final%205000%20low%20res.jpg" alt="">
Jamie Durie's firm has completed commercial projects across the world including the Victorian Arts Centre precinct, Westmead Children’s Hospital, Sheraton Salobre Golf and Spa Resort and Hayman Island Resort.
“I think Coronation’s plan for the rejuvenation of Georges River is fantastic as it will open up the foreshore by improving public access and will really celebrate the beautiful Georges River in general. 
"There’s really no reason why the Georges River shouldn’t be considered in the same vein as Sydney’s harbour,” said Mr Durie.
<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/2016/10/24/160708%20-%2026%20Shepherd%20St%20-%20V01%20-%20Exterior%20Hero%20-%20Final%202000.jpg" alt="">
Jonathan Knapp, Director of Urban Design, SJB, said the Liverpool City Council has expressed its support of the master-planned community and its plans for the river precinct.
“This is a catalyst development for Liverpool, delivering high quality housing in a location close to transport and in an area identified for high density development." 
The riverside homes have been sold predominantly to owner occupiers and local residents, Mr Nahas noted.
<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/2016/10/24/160708%20-%2026%20Shepherd%20St%20-%20V03%20-%20Boardwalk%20-%20Final%202000.jpg" alt="">
The project will include a new retail precinct comprising approximately 1,400 square metres of premium retail space housed within a converted 19th century heritage warehouse. 
For more information, call Coronation on 1800 768 401.
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Jamie Durie, Coronation Property and City Council join forces to rejuvenate Liverpool

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The latest Housing Monitor results for Metropolitan Sydney indicate that housing completions have dropped to only 53 per cent of those that receive planning approval, according to the Urban Taskforce.
“The September update of the Department of Planning’s Housing Monitor for Greater Sydney indicates that over the last 12 months there were 30,319 housing completions compared to 57,073 approvals.” says Urban Taskforce CEO Chris Johnson.
“Only 53 per cent of the approvals seem to be converting to actual completions.”
“There will be a time lag between the approval stage and the completion stage for housing but when the five year average is taken into account there does seem to be a Sydney problem.
The 5 year average for completions as a percentage of approvals is 58 per cent so clearly nearly half of the approvals do not proceed.”
“The Urban Taskforce believes a significant part of the low conversion rate is because of excessive conditions, referrals and levies that are required with the approval that make projects unfeasible to be realised.
"Often conditions require significant upgradings of local roads, referrals to State Government agencies that require payment for works and an increasing number of affordable housing levies.
“Our main concern is that the conversion rate from approvals to completions seems to be going down with this years rate of only 53 per cent compared to the 5 year average of 58%.”
“There is a trend towards larger sized apartment projects with 71 percent of completions for Sydney this year being for apartments and 65 percent of these are for projects of 50 or more housing units with most of these having over 100 units.”
“The State Government tends to focus on approvals for housing performance but the real focus must be on the number of new homes completed.
Sydney needs an average of 36,300 new homes each year for 20 years.
"In boom times like we have now this should be over 40,000 yet the current yearly figure is only 30,319 new homes.
"To get another 10,000 homes built each year in Sydney we need to convert 70 per cent of approvals rather than the current 53 per cent but adding more taxes and levies is likely to drive the conversion rate down rather than up.
“A significant concern with the number of conditions on approvals is that the the banks are not lending on the basis of these extra costs so this is reducing the supply of housing in Metro Sydney with the inevitable consequence that housing costs go up making affordability even harder for first home buyers."
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Only 53% of approved apartments and houses actually getting built across Sydney 

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Despite periodic warnings from the Reserve Bank about crazy prices, the Sydney market place has just had a year that no-one foresaw in terms of continued strong price growth.
But Brian White, chairman of real estate agency Ray White, says that homeowners’ and buyers’ sensitivity to interest rates remained "acute."
Any talk of rising interest rates dampens buyer enthusiasm across the Sydney property market.
And when rates do actually rise, the doubts set in further as buyers pause putting their hand too deep into their pockets. And often not buying at all.
It was no surprise that the tail end of 2016's auctions has seen a seasonal turn in the pitch as the last minute boost in numbers hits the market.
Clearance rates that were in the 80s, now into the mid-70 as many buyers turned off - perhaps to come back next year.
The recent auction market fatique also had much to do with interest rate headlines.
Ever since the Trump triumph in the United State in early November, its been subject to much speculation.
And the past fortnight has seen the big banks make early adjustments, to fixed rates more so than the more popular variable home loans. 
The Commonwealth Bank, the country’s biggest lender lifted the rate of its popular 3-year fixed rate by 0.20 percentage points to 4.24 percent.
It also lifted its longer-term 5-year fixed rate by 0.60 percentage points to 4.74 percent.
CBA was following Westpac with a RateCity.com.au analysis showing a further 20 lenders had lifted rates 268 fixed products since November 1.  
Peter Arnold, data insights director at RateCity.com.au said fixed rates are based on market expectations of future rates and "are the best indicator that we’ve got that a variable rate hike on the way.".
“Previously, banks were betting on lower rates in the future but we’re seeing those expectations change by the day."
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All the recent talk and then movements will dictate the direction of house price growth in 2017, having already started to dampened the market.
There are two substantive price forecasts out for 2017. 
Housing price growth of between 5 and 6 percent is expected for 2017 for detached houses is tipped by Paul Bloxham, the HSBC chief economist.
He expects Sydney apartment prices to track at a slower pace than detached houses at between 0 and 4 percent.
Bloxham noted what he called a substantial 66 percent ramp-up in housing prices in Sydney since mid-2012.
He added some of the price growth was at a "worrisome pace" of Sydney price growth, particularly in 2014 and 2015.
But following a tightening in prudential settings starting in late 2014, housing price growth had slowd from double-digit growth last year to high single-digit rates this year.
The other forecast came from SQM's Louis Christopher who has more often got it right than wrong.
He suggests the Reserve Bank of Australia will need the Australian Prudential Regulation Authority to reign in home lending once again, or lift interest rates, or do both to avert a dangerous housing bubble.
Christopher suggested a scenario house prices in Sydney could rise between 11 and 16 percent given a combination of factors including loose monetary policy, strong population growth and booming local economies.
The early November forecast assumed a stable interest rate environment, a stable exchange rate and no further home lending restrictions by APRA.
A rate rise by the RBA of 25bps would curtail the rising Sydney market to beween 8 and 13 percent for the year.
The article first appeared in the Saturday Telegraph
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What will happen to Sydney prices in 2017?

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The number of total listings in Sydney has declined compared with this time last year, according to CoreLogic’s latest weekly report.
The property data firm says that the number of total listings in Sydney has declined by 10 percent to 21,470.
This is despite the number of new listings increasing by 5 percent over the past 12 months.
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Brisbane has the highest increase of total listings having an increase of 14 percent compared to Hobart decline of 31 percent.
Canberra’s number of new listings over the past 12 months has increased by 19 percent, the highest out of all the capital cities.
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Sydney's total listings decline by 12 percent from 12 months ago: CoreLogic

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Houses in Sydney are in a rising market among those in Canberra, Adelaide, Bathurst and Tamworth, according to Herron Todd White's Property Clock for December. 
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Sydney and Melbourne houses were at peak pricing in November.
In their latest report HTW state after a sustained period of strong growth, the final quarter of 2015 saw a softening residential market across many parts of the nation, with this trend expected to continue throughout Sydney in 2016.
"Despite those expectations, the market continued to see price growth throughout 2016, with double digit growth in a number of suburbs for both houses and units," HTW said.
"Auction clearance rates have recovered since the beginning of the year and are now consistently above 70 percent and 80 percent. 
"Some areas such as the inner west and eastern suburbs have had clearance rates regularly above 90 percent. 
"A major reason behind the increase in clearance rates and sale prices has been the reduced number of properties on the market and majority of properties going to auction rather than private treaty. The usual boom in the number of transactions taking place in spring has failed to live up to past experience.
"Agents have been unable to obtain the same amount of stock compared to 2015. This has caused congestion amongst competing buyers and agents are taking advantage of this. We have seen properties advertised with a price guide only to see prices jump further as they get closer to auction. Sometimes these properties are sold prior to auction for unjustifiable prices."
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The Sutherland Shire suburbs such as Gymea, Kirrawee and Miranda have been strong performers in the housing market according to HTW with Gymea has having growth rates of 10.3 percent in 2016, Kirrawee 4.5 percent and Miranda 7.3 percent (pricefinder.com.au).
The report said while these growth figures are not huge compared to 2015, these suburbs have performed stronger than others.
"A trophy house built in 2012 at 18 June Place, Gymea fetched $2.185 million and a house built in 2015 at 24 Rutherford Avenue, Burraneer sold for $3.3 million... these house sales are showing the strength of the market for quality properties.
"The suburbs which did not perform in 2016 are Engadine, Menai, Bangor and Alfords Point coming back around 2.2 percent (pricefinder.com. au).
"Suburbs such as Monterey and San Souci have seen houses under performing. Monterey house growth was 20.8 percent in 2015 compared to just 8.8 percent in 2016 and Sans Souci was 23.1 percent in 2015 compared to 9.1 percent in 2016. 
"On the eastern beaches, the suburb of North Bondi has been performing well with growth of 22.4 percent in 2016 and a median house price of $2.5 million compared to 2015 which was 13.1 percent growth and a median house price of $2.287 million.
"Lastly the popular city fringe suburb of Paddington has seen growth of 16 percent with a median house price of $2.03 million. The strong performance is an indication that the market has caught up from previous years as in 2015 the growth was 8.7 percent and median house price was $1.75 million and in 2014, growth was 3.8 percent and median house price was $1.61 million (pricefinder.com.au)."
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Sydney houses still a rising market: December 2016 HTW Property Clock

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<div>GUEST OBSERVER</div>
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<div>If you ask anyone where to find Sydney's true Chinatown, they will tell you "Haymarket." They will be wrong.</div>
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<div>The location of Chinatown has implications for property markets and real estate development. Anyone who invests in real estate should know where these active participants in the housing market prefer to live and work. </div>
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<div>It's true that Haymarket used to be Sydney's main Chinatown. It's full of tall buildings and places to buy Asian food, drink, and trinkets. Sydney's real Chinatown, though, has moved up to the Upper North Shore -- that group of suburbs located between Hornsby and Chatswood, mostly in Ku-ring-gai and Hornsby Shire councils.</div>
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<div>Chatswood alone has four times the population of Haymarket ––at more than 20,000 people. Forty-seven percent of Chatswood residents are foreign born.</div>
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<div>It's no surprise that Chinatown has moved from Haymarket to the Upper North Shore. It has happened before. Sydney's first Chinatown, or "Chinese Quarter" as it was then known, was located in the Rocks from about the 1850s. </div>
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<div>What has turned the Upper North Shore into Sydney's real Chinatown?</div>
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<div>Juwai.com's Chinese buyer survey reveals that education motivates 44.6 percent of Chinese buyers in the area. The schools, proximity to ethnic services and retail outlets in Chatswood and quick train connection to the city all make the Upper North Shore a magnet for Chinese families.</div>
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<div>You might be surprised to know that just 27.7 percent of Chinese Upper North Shore purchasing inquiries are motivated by investment goals, meaning nearly three-quarters are owner-occupiers.</div>
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<div>In 2016, the suburb of Wahroonga has been the fastest gainer with Chinese buyers, with 56 percent more inquiries in the third quarter than in the second.</div>
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<div>One other thing you notice about the new Chinatown of Sydney's Upper North Shore is that it's not all cheap apartments and starter homes. Quite the opposite, in fact.</div>
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<div>These suburbs are known as some of the best in Sydney, and there are many premium buyers. Nearly half of all area inquiries are for properties with at least four bedrooms.</div>
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<div>What is the future for real estate in Sydney's new Chinatown? </div>
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<div>For one, don't expect prices to fall much. High prices will continue so long as people like living there as much as they now do. Families who love their suburb don't sell their home unless they have to. That's one reason there are about 20% fewer auctions in the area than there were this time last year.</div>
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<div>We also expect the buyer makeup to remain relatively unchanged. Looking at Chinese-background buyers, in particular, almost all are Australian legal permanent residents or Australian citizens. You don’t have as many Chinese flying in from places like Shanghai to buy here.</div>
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<div>Another reason we expect to see a floor under prices is the area's high quality, renewed housing stock. The land in the Upper North Shore is often more valuable than the house sitting on it. After buying, the majority of new owners invest in renovating, expanding and even replacing the older homes. This investment will help maintain or even push up prices when these properties go back on the market in the future.</div>
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<div>Agent James Pratt, who is director of auctions for Raine &amp; Horne and James Pratt Auctions, told me that on Provincial Road in Lindfield, Houses No. 32 and 36 recently fetched more than $3 million at auction. In previous years, he said, they would have obtained a lower price.</div>
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<div>“It used to be that any property over the $2 million mark would have fewer registered bidders than a $700,000 unit, but it’s been the opposite this year, with 12 to 15 people registered at most houses," he said. </div>
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<div>"Fifteen registered is traditionally seen in highly sought-after entry-priced units."</div>
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<div>Gavin Norris is head of Australia for Juwai.com, the No. 1 Chinese international property portal and can be contacted <a href="https://list.juwai.com" target="_blank">here</a>.</div>
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Where is Sydney's real Chinatown? Juwai.com's Gavin Norris

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GUEST OBSERVER
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The latest figures from the Australian Bureau of Statistics (ABS) for dwelling approvals show a slow down for NSW particularly for apartments and proposed extra costs could slow housing production even more.
Apartment approvals have dropped by 12% between July and October 2016.
The high point of 4,105 new apartments approved in NSW in July 2016 has dropped to 3,620 in October which is a significant decrease. Housing approvals have also fallen but not by the same amount with all homes dropping from 6,500 in July 2016 to 5,945 by trend in October 2016.
There are a number of signals from the NSW Government that are likely to add more costs to developing apartments and houses and this will add uncertainty to those investing in new housing. The release of the District Plans by the Greater Sydney Commission has highlighted a number of new levies to housing.
An affordable housing levy of up to 10 percent is now proposed in the District Plans as well as statements about Value Capture levies. On top of this the NSW Minister for Planning is encouraging changes to Negative Gearing that would reduce the investment interest in new homes that are needed for the rental market and potential changes to the BASIX sustainability program could lead to additional building costs.
There will be an uncertain environment over the next 12 months as the very broad District Plans are discussed leaving confusion over just which planning rules apply. The council elections at the end of 2017 for amalgamated councils could put decision making on hold.
All of this uncertainty is in the context of an increased number of new homes needed in Sydney yet the uncertainty is likely to slow production down. The Department of Planning has indicated that an average of 36,250 new homes are needed over the next 20 years but the highest production has been 30,000 for the last financial year. The government’s high growth scenario would require 41,500 homes a year.
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Clearly for Sydney the NSW Government must be encouraging an increase in housing supply of around 10,000 more than is currently occurring but the uncertainty over the District Plans, Affordable Housing levies, Value Capture levies, Council Amalgamations and potential changes to BASIX will slow housing supply down.
What is needed is policies that stimulate more housing production like the Urban Taskforce proposal for 4,000 affordable homes a year rather than a raft of new levies, taxes and an uncertain planning environment. The current slow down on housing approvals should be seen as an early warning that support for housing production is needed.
Chris Johnson is chief executive officer of property development industry group Urban Taskforce and can be contacted <a href="https://www.urbantaskforce.com.au/index.php?option=com_content&amp;view=article&amp;id=97&amp;Itemid=126#.Vdaart55dFI" target="_blank">here</a>.
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Apartment approvals slow in Sydney as more costs are imposed

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A race for space is underway in Sydney’s office market, with limited supply and strengthening tenant demand pushing rental growth to a two decade high.
CBRE’s new Australian Office MarketView report highlights that Sydney’s CBD office market is on track to record its third consecutive quarter of growth and its strongest year in more than two decades.
In the three months to September 2016, prime rents lifted by 2%, while secondary rents increased by 8.3% - putting Sydney on track to match or exceed rental growth pre-GFC and its highest level of rental growth in more than 20 years.
CBRE advisory and transactions – office, regional director, Andrew Tracey, said Sydney CBD remained Australia’s most competitive office market – as demonstrated by the strong gains in rental growth year on year.
“The Sydney CBD remains fiercely competitive, underpinned by a real shortage of quality A and B grade alternatives and strong rental growth,” Tracey said.
“The fact that Sydney remains tightly held due to redevelopment of assets into alternative uses also continues to support rental growth.”
The report shows Melbourne was the only other office market nationally to record growth during the quarter, with prime rents lifting 0.5% in the period and 4.2% year to date in the Victorian capital. Meanwhile, secondary rents grew by 1.2% and 3.5% in the same time frame.
Tracey said Melbourne’s office market had witnessed rental growth off the back of strong employment levels and space absorption of 121,291 square metres in 2015.
“Rental growth in Melbourne has been assisted by withdrawal and sale of non-core secondary assets for future residential development site use and real growth in business,” Tracey said.
“This is combined with the attractiveness of continued relative rental affordability compared to alternative markets, with the city seeing the highest annual net absorption average nationally over the past 10 years.”
Vacancy rates in Melbourne’s office CBD currently sit at 7.0%, however this is expected to rise to 8.0% by the end of 2016 with the completion of new supply.
CBRE's associate director - research, Felice Spark, said vacancy was expected to contract however off the back of strong tenant demand.
“Looking ahead, Melbourne is forecast to see healthy levels of demand in the medium term, which will see vacancy ease to sub 6% by 2019. This in turn will see a continued outlook of rental growth,” Spark said.
The report highlights that almost four years of yield compression has pushed Sydney’s CBRE office yields to a historical, pre-GFC low – with potential to fall further.
In Q3, Sydney CBD core prime office yields reached a nine-year low of 5.2%, while secondary yields are 20 basis points off their pre-GFC low of 5.9%. 
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<li>Sydney</li>
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Sydney’s investment fundamentals remain compelling, with vacancy currently at 5.6% and expected to fall to 3.3% by 2018.
In tandem, prime growth is running at a 23% annual rate, which will further underpin growth in the market.
Spark said the strong rent growth could provide another leg to yield compression in Sydney.
“This, however, may be tempered by the mood in global property markets should interest rates tighten in the US and other countries over the course of the next year,” she said.
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<li>Melbourne</li>
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Despite falling vacancy in Melbourne’s CBD office market over the past six months, vacancy is expected to rise to 8% over the remainder of the year – driven by the completion of 110,000 square metres at Walker Corporation’s Collins Square development in Docklands.
With only 8,000 square metres of new supply due in the second half of 2017, vacancy is expected to return to circa 7% levels by the second half of 2017.
Further yield compression was witnessed in Q3, with prime yields now sitting at an indicative 5.6% and secondary yields at 6.2%.
Spark said there was growing sentiment among investors that yields were likely to stay lower for longer.
“Buyers who had previously held off purchasing under the assumption that we were at the peak of the cycle are re-emerging,” she explained.
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<li>Brisbane</li>
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Brisbane’s CBD office market is showing some signs of improvement, with net absorption returning to positive take-up in the six months to June this year.
This activity has been largely driven by state government expansion, a modest number of tenant relocations from the near city to the CBD and the steady filling of backfill space created by tenant moves to 480 Queen Street.
Yields remain firm off the back of strong demand from offshore investors for prime assets. The looming sales of Green Square South Tower and 324 Queen Street are expected to highlight the ongoing influence of offshore capital in the market.
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<li>Perth</li>
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A shift is underway in Perth’s office leasing market, with a rise in the number of tenants relocating from fringe and suburban locations – something not seen since before the mining boom.
While rents continued to decline over the quarter, the rate of contraction appears to be slowing.
Prime rents fell just 0.4% during the quarter, while secondary rents fell 1.2% during the same period. By comparison, incentives remained unchanged at 47.5%.
Office vacancy increased from 16.6% to 21.8% in the 12 months to June 2016.
Spark expects the second half of 2016 represents the peak of the vacancy cycle.
“A positive for Perth’s CBD office market is that the major supply shock has now passed,” Spark explained.
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<li>Adelaide</li>
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Challenging demand conditions, as well as the completion of two major office refurbishments, saw office vacancy rise to 15.8% in July 2016 – the highest level in 15 years.
Rising vacancy has underpinned a decline in rents, with prime rates down 5.1% year on year and secondary rents down 4.4%.
Spark said despite the softer occupier conditions, investor demand for assets remained strong.
“Over the past 12 months, prime yields have sharpened to 7.2%, while secondary yields remained steady at 8.9%,” she said. “The past several years have seen greater yield compression for prime grade stock as investors seek out higher performing assets which carry lower vacancy risk.”
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