The residential transformation of St Kilda Road is set to continue into with more new apartment plans for the sought-after boulevard.

Wing Tai Asia has lodged plans for a major residential tower at 464-466 St Kilda Road, replacing the former VACC House with an 18-storey mixed-use development designed around a retained heritage podium and a sculpted contemporary tower.

The proposal, prepared under Victoria’s Significant Residential Development with Affordable Housing pathway, would deliver 325 apartments and ground-floor retail across the prominent 4,653 sqm boulevard site in Melbourne’s St Kilda Road North Precinct.

The project centres on the adaptive reuse of the site’s heritage-listed VACC Building, an eight-storey office designed by Bernard Evans that has occupied the address for decades. Planning documents state the development would involve “carefully dismantling and conserving off-site the original metal fabric of the podium visible from St Kilda Road,” before reinstating it as the defining frontage of the new scheme.

Above the restored podium, Wing Tai is proposing a curvilinear residential tower. The scheme includes 172 one-bedroom apartments, 63 two-bedroom apartments, 66 three-bedroom apartments, and 24 four-bedroom apartments, alongside two ground-floor food and beverage tenancies fronting St Kilda Road.

The tower has been designed with substantial articulation and variable setbacks to minimise perceived bulk and maintain view corridors along the boulevard. Urbis, which prepared the planning report, said the design “has been significantly articulated through a curvilinear design” with “an interplay with materials, façade expression and depth” to create visual separation and visual interest.

The proposal also includes 254 basement car spaces, landscaped pedestrian links connecting St Kilda Road and Queens Lane, and a biophilic landscape strategy featuring canopy trees, raised planters, cascading greenery and a glass oculus pool overlooking the eastern frontage.

Planning documents confirm the $270.1 million development will contribute 3 per cent of project costs to the Social Housing Growth Fund as part of the application process.

Wing Tai acquired the St Kilda Road property in 2018 alongside Abacus Property Group for $95.38 million, before later consolidating ownership of the site. The property previously served as the Victorian Automobile Chamber of Commerce headquarters for around 60 years.

The transformation of the St Kilda Rd boulevard is already beginning to materialise, with a number of high-profile projects recently completed, launched, or approaching launch as developers continue to back the long-term appeal of the precinct.

Among the most notable recent completions is Louise by Samuel Property Group, just off the strip on Queens Lane, the same pocket Hirsch &amp; Faigen recently launched The Queensbury. Mirvac is too on the same street with The Albertine, which is approaching completion.

Dexus recently secured approval for its slice of St Kilda Road, while Gurner also has approved plans for the precinct.

Joel Robinson

Wing Tai unveils 325-apartment St Kilda Road tower on former VACC House site

Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

<section data-scroll-anchor="false" data-testid="conversation-turn-6" data-turn="assistant" data-turn-id="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-2" data-turn-id-container="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-2" dir="auto">
<section data-scroll-anchor="false" data-testid="conversation-turn-2" data-turn="assistant" data-turn-id="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" data-turn-id-container="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" dir="auto">
The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
</section>
</section>

[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Apartment Oversupply

<html><body>
Publicity seekers love a bandwagon, preferably one that’s already travelling at a fair pace so that they can just leap on board and be carried along by the existing momentum.
A popular bandwagon to hitch a ride on is the Brisbane inner-city apartment market. Everyone, it seems, has noticed that something is afoot and wants to be the latest and loudest to issue a “warning”.
But the time to be warning about this was about three years ago. And November 2014 was when Property Observer published my column on this subject, the first of several I’ve written about this issue.
Way back then, this is what I wrote on Property Observer:
There will be repercussions from the over-building of apartments in Brisbane …
In Brisbane, as in Melbourne, Sydney, the Gold Coast and other major unit markets, the inspiration for the high level of new building is the Chinese investment market. Everyone is targeting Chinese investors. 
Developers and their marketing stooges don’t care about the vacancy rate figures. That’s someone else’s problem. If they can flog their apartments to Asian buyers, nothing else needs to be considered. 
The people who will feel the most pain in the future will be the investor buyers. High vacancies will push down rents and the returns they will earn from their investment. That in turn will undermine values. 
Others will suffer. Owners of existing properties in or near the inner-city will also find it hard to tenant their properties and will have to cut rents. Their values will fall also. Home-owners in those areas will be equally affected by falling values.
An investor contacted me recently to tell me that he had just read that column, but only after having signed a contract to buy an off-the-plan apartment in the Brisbane inner-city market. Horrified, and after doing further research, they sought to exit the contract.
The big problem for investors like this is that the industry keeps pumping out propaganda which talks up this market and individual high-rise projects - and lots of media outlets keep publishing it.
Back in November 2014, I wrote:
A media release this week was positively gushing in its eulogy of the Brisbane inner-city apartment market. Sales are surging, it said, and the level of new construction in the pipeline was a cause for celebration. The market, apparently, “continues to shine”.
That kind of dishonest press release material is still muddying the waters. The REIQ has been a particular culprit. If the institute can be believed (generally they can’t), vacancies are acceptable, there are lots of buyers and tenants, and all is well in central Brisbane.
But independent sources disagree. Louis Christopher’s SQM Research has vacancies at 5% or higher in the CBD, Fortitude Valley, New Farm, South Brisbane, West End and Woolloongabba. Kangaroo Point is slightly better off, at 4.4%, but that’s still too high.
The key factor is that the situation will worsen as new projects are completed and their apartments are added to the rental pool.
BIS Oxford Economics is the latest to issue a dire warning. It predicts Brisbane’s median unit price will fall 7% between now and 2020. I would suggest the decline will be greater than that.
Research data published recently shows that owners already are losing money on re-sales – and this is reinforced by median price data from CoreLogic. In the past 12 months, median unit prices have dropped 7% in Fortitude Valley, 8% in South Brisbane and 11% in both West End and Woolloongabba.
Fortitude Valley, South Brisbane and West End all have median prices lower than three years ago.
Long-term growth rates in this market are fairly dismal as well. The average annual growth in median prices over the past decade have been 1.4% per year for the CBD, 1.1% for West End and a little over 2% per year for Kangaroo Point, Fortitude Valley and South Brisbane.
Those rather bleak growth rates will fall further as values continue to decline in the wake of the current over-supply.
 
Terry Ryder is the founder of hotspotting.com.au
<a href="https://mailto:ryder@hotspotting.com.au">ryder@hotspotting.com.au</a>
twitter.com/hotspotting
</body></html>

terryryder-YECXbqmri2

Brisbane apartment market warning should have been three years ago: Terry Ryder

<html><body><div id="story-description">
A development site in inner Brisbane on which an apartment tower was planned, is being sold by the mortgagee.
It comes as the city’s oversupply concerns loom large.
The RBA has in recent months voiced its concerns over the apartment oversupply in Brisbane. Thousands of completed apartments are set to hit the market this quarter.
The marketing for <a href="https://www.realcommercial.com.au/property-land+development-qld-woolloongabba-502516766" target="_blank">the 1,012 sqm holding on Carl Street</a> in inner-city Woolloongabba is being handed to Cushman &amp; Wakefield by the lender.
The site is two blocks of three that won development approval from the Brisbane City Council for a 91-apartment tower to be called Dietrich on Carl in 2015, according to The Australian.
Situated in the heart of Woolloongabba, the 91 units were to be spread across 12 levels, with a roof top pool and recreation areas.
Close to transport and shops and with a rich heritage, the property was marketed as offering lifestyle and location benefits that would appeal to both owner/occupier and investor alike.
Unit supply in greater Brisbane is scheduled to grow by 20 per cent over the next two years, with 39,420 apartments and townhouses hitting the market, according to property analytics firm CoreLogic.
With more than 2,200 new apartments remaining for sale, developers are under pressure to settle their stock despite tightened lending conditions for foreigners and investors.
Cushman &amp; Wakefield agent Joe Kennedy said there was reasonable interest in the two sites, which is within Brisbane’s eastern corridor zoned for high-density residential.
“The development site market in Brisbane is not what it was two years ago, with all the doom and gloom, but it is starting to pick up again,” Kennedy said. 
“This is certainly the first (mortgagee-in-possession) site we’ve had. It’s not something I’ve seen a lot of.”
The entire three block site was bought in two purchases for a $5 million total in 2014 by Sandton Pty Ltd, a Canberra company trading as Precision Living. The company could not be reached for comment, according to The Australian.
Developers have deferred around 43 per cent of apartments in major projects across inner Brisbane due to a decline in sales, higher construction prices and tighter lending conditions, a report by Place Advisory’s June Quarter said.
Smaller development sites were still scoring deals, Kennedy said, citing site sales for 12 to 20 units within their office totalling $12 million in the popular western suburb of Indooroopilly.
The oversupply story is true for established Brisbane developers. Metro Property Development last year sold a site on Brunswick Street in Fortitude Valley and Montpelier Road in Bowen Hills for a combined loss of $11.2m.
The company later sold their Manning Street site for $13 million, making a loss of $7 million, to Aria Property Development.
Metro has also put the final two stages of its Central Village apartment complex in Fortitude Valley up for sale through JLL.
</div></body></html>

j.ballantyne1990-6AQqhLzZaK

Mortgagee Brisbane development site on the market

<html><body>
The chief executive of development and construction group John Holland, Joe Barr, says there is a massive oversupply of apartments in some areas.
"I think in some areas there is massive oversupply [of apartments] and that is going to be problematic for values," Mr Barr told The Australian Financial Review.
"Most of the economic commentary on that is fairly on the money."
"You look at the amount and sustainability of the demand supply equation in some areas and there are so many apartments. How do you differentiate yourself?"
"[The market] has got to come off and I think most of the mainstream media has got the commentary going."
Mr Barr warned that the constant roll out of apartments without proper infrastructure was dangerous.
"Apartments need to be integrated with public transport and a good community- you can't create a void of just mass residential without the community," he said.
"The Metro [in Sydney] is a gamechanger. It is a no brainer to take cars off the road and volumes of people into town. We want to make the most of this infrastructure boom - it is a huge opportunity to change the shape of cities."
He noted that the Chinese parent company's approach to developing thousands of apartments in China was to ensure there was plenty of infrastructure supporting new development.
</body></html>

Massive apartment oversupply warning comes from John Holland boss

<html><body>
The most popular property options available within the Melbourne CBD and inner city for first home buyers are apartments, according to HTW’s Month in Review: March 2017. 
But the valuation firm says the expected oversupply of city apartments and lack of capital growth can mean "they are not a wise long term investment."
“Apartments can appeal to disenchanted first home buyers who can’t afford an inner city dwelling but want the inner city lifestyle,” the report says.
“Inner city apartments can be desirable to young home owners as location means minimal travelling to work or social events and they often have common facilities such as gymnasiums, pools and saunas which are an incentive for lifestyle.”
The First Home Owners Grant of $10,000 offered by the Victorian government make off the plan apartment purchases appealing to first home buyers, HTW suggests.
“In the Melbourne CBD, $500,000 can get you a two bedroom, one bathroom apartment with a basement car space which would appear to be an affordable purchase point for most first home buyers,” it says.
A one bedroom apartment at <a href="https://www.realestate.com.au/property-apartment-vic-melbourne-124950238" target="_blank">1805/27 Little Collins Street</a>, Melbourne (above) has been listed for between $390,000 to $410,000.
Similarly a two bedroom apartment at <a href="https://www.realestate.com.au/property-apartment-vic-melbourne-124673078" target="_blank">2006/280 Spencer Street</a>, Melbourne (below) has been listed for $550,000.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/03/10/2006_280%20Spencer%20Street.jpg" alt="">
</body></html>

jonathanchancellor-7SQnKwU6yx

HTW warns first home buyers inner Melbourne apartments are not a wise investment

<html><body>
Brisbane’s first home buyers should be very wary of off-the-plan developments, according to HTW’s Month in Review: March 2017. 
The valuation firm says an overabundance of stock make them a poor investment considering current market conditions.
“If you’re an entry-level investor looking to be part of Brissie, then you’re probably considering units and townhouses at the moment – but as we’ve been warning for some time now, be careful!” the report says.
“Off-the-plan investor stock that has limited appeal to owner occupiers is at oversupply and the potential for capital gain is limited.”
New units in large inner city developments be available at a more achievable price, but given current and proposed supply there is significant risk of a softening in values, the firm says.
“Also avoid units and townhouses that are selling at a premium price point throughout the Ipswich area.”
</body></html>

Stay clear of Brisbane off-the-plan, HTW warns first home buyers

<html><body>
In a break from previous years’ advice, HTW is advising first home buyers in Brisbane to also be careful when buying well located second hand units, according to its February 2017 update.
The valuation firm says this type of stock in the Queensland capital usually offers an affordable option in a great location, and despite moderate capital gains, good tenant demand ensures mortgage servicing with little stress.
“There is, however, a very real oversupply risk looming for investor units in our city as new stock struggles to find demand,” the firms says.
“This is having a negative flow on to our traditionally solid second-hand unit market.
“If you buy investor-grade unit stock in particular – new or old – please tread with caution in 2017.” 
A two bedroom unit at <a href="https://www.realestate.com.au/property-apartment-qld-brisbane+city-124514982" target="_blank">43/82 Boundary Street</a>, Brisbane City (above) has been listed for $659,000.
Similarly a two bedroom unit at <a href="https://www.realestate.com.au/property-unit-qld-brisbane+city-124529122" target="_blank">96/26 Felix Street</a>, Brisbane City (below) has been listed for over $535,000.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/02/20/96_26%20Felix%20Street.jpg" alt="">
</body></html>

HTW warns Brisbane first time buyers against second hand units

<html><body>
The oversupply of units caused by diminishing yields and possible increased borrower costs could be a major factor for the Sydney unit market, according to HTW's February 2017 update.
The valuation firm noted minor price declines in 2016.
It said Waterloo’s median price fell 0.3% after three years of double digit growth, according to data from pricefinder. com.au.
"This decrease in the median price in developments in the Waterloo area such as Rosebery and Zetland are from a lack of quality and size in each individual unit," HTW's report suggested.
"As these areas are highly driven by investors, the changes the Australian Prudential Regulation Authority (APRA) made to investor borrowing in 2016 will continue to slow the investor market," it forecast.
The APRA changes slowed investment in these areas more than a highly owner occupied market, such as the detached housing market in the $1.5 million to $3 million price point.
HTW predict strong growth for the detached housing market as high demand and low stock drive the market upwards and push affordable housing further out of reach within this region. It expects the $1.5 million to $3 million detached housing market to remain strong with the continued issue of limited supply throughout all suburbs in the inner west.
The report says the firm is seeing many up-sizers active in this price range, especially families who want to remain within the inner west. Traditionally these up-sizers would relocate to further out suburbs that represented far better value.
"However, these suburbs are now matching price points to the inner west suburbs closer to the CBD mainly due to now been linked by improved infrastructure such as the Inner West Light Rail.
"Purchasers may get slightly more land by up-sizing to these suburbs, but the gap seems to have closed over the past few years."
Burwood, Strathfield and Homebush are on HTW’s watch list for 2017 as unit oversupply and more development proposals are predicted.
It has seen longer selling periods in some of these completed new unit complexes compared to 12 months earlier.
"There also tends to be a trend towards the construction of smaller, low quality units which heightens the already talked about concerns in this new unit market sector."
An oversupply of units in certain inner city suburbs represents the greatest threat to Sydney property investors, according to HTW's February 2017 update. However, the general overview is rosy.
The firm says it has noticed a number of valuations for new units upon settlement not meeting their off the plan prices when purchased during stronger market conditions. It says this is more commonly in some second tier suburbs in western Sydney and additionally in some pockets of the northern suburbs particularly with concentrated new stock and a distinct difference in value ranges between the new and original older style unit prices.
Whilst mostly occurring for overseas buyers, this could trigger a flow of sales post settlement due to difficulties obtaining finance and rental yields not meeting expectations to service mortgage repayments thanks to high investor participation, HTW say.
The areas with the lowest predicted growth for the inner city are where there may be an oversupply of new units around the city fringe areas, as it appears there will be less demand and more supply in these areas so more completion for the purchaser dollar. Developments that have been completed to cash in on demand will fall short in quality and therefore appeal to both owner occupiers and potential tenants.
Other areas we believe are at risk of oversupply or heavily investor led include Wentworth Point, Carlingford, Epping, Olympic Park, Macquarie Park and Parramatta. The supply of new units in these areas is well above long-term averages.
On average, HTW considers that 2017 will see a steady growth across all areas with buyer confidence generally high. The areas it will be watching with the most growth potential appear to be the $2 million plus price bracket which in some pockets will represent land value and opportunity to develop or value add and in some will be properties with a high standard of finish and high appeal to just unpack the family bags.
</body></html>

Burwood on oversupply watchlist as APRA changes to slow investors in Sydney: HTW

<html><body><div class="page" title="Page 11">
<div class="layoutArea">
<div class="column">
The 2016 December quarter showed lower conditions for residential construction nationwide according to the latest NAB Quarterly Business Survey.
The survey said this downturn may reflect concerns relating to costs and apartment oversupply.
"Business conditions for the construction industry took a step back in the December quarter, driven by a deterioration in non-residential building – which had previously been surprisingly strong," it said.
"Conditions elsewhere in the construction sub-industries were relatively steady, but continue to show somewhat weaker-than-expected conditions for residential construction – perhaps reflecting concerns about costs and an oversupply of apartments.
"As expected, engineering construction conditions remain weak, in line with falling mining investment, although the trend has been positive – the commodity price rally may have also contributed to improvements in confidence for the sub-sector."
</div>
</div>
<div class="layoutArea">
<div class="column">
<a href="https://www.propertyobserver.com.au/images/2017/02/09/Screen%20Shot%202017-02-09%20at%2011.20.24%20AM.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/02/09/Screen%20Shot%202017-02-09%20at%2011.20.24%20AM.png" alt="">
</div>
</div>
</div></body></html>

Apartment Oversupply

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News

Apartment Oversupply

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

Developments

New apartments

New townhouses

News