<a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> has lodged plans for a $750 million, three-tower mixed-use precinct that would complete the long-running redevelopment of Carlton's former Carlton United Breweries site.

The proposal at <a href="https://www.apartments.com.au/new-apartments/185-195-queensberry-street-carlton-vic-3053">46-78 Bouverie Street and 185-195 Queensberry Street</a> spans a 6,468 sqm site, the last remaining undeveloped parcels within the former brewery's 2007 masterplan.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the development will comprise two purpose-built student accommodation towers and a third build-to-sell apartment tower above a shared commercial podium and basement.

Across the three towers, SP Setia is proposing 606 build-to-sell apartments and 1,499 student accommodation units containing 2,009 beds.

The apartments will sit in the tallest tower, which will rise nearly 200m and 55 storeys. It will become&nbsp;one of the more substantial new build-to-sell apartment projects at the northern edge of Melbourne's CBD.

The apartment mix is weighted toward smaller inner-city product, with 188 studios, 206 one-bedroom apartments, 192 two-bedroom apartments and 20 three-bedroom apartments

<img alt="First look: SP Setia plans three-tower finale for Carlton’s former CUB precinct" data-entity-type="file" data-entity-uuid="8271bc87-1b0a-41b7-ac73-a425ee375261" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/3_2.png?VersionId=G4lw23o90B1boX4k4dj7rdz2ZEajS9wy" />

Part of the precinct will be a large-scale&nbsp;3,684 sqm supermarket and a further 2,198 sqm of speciality retail, creating close to 5,900 sqm of new commercial space within the precinct.

But one of the biggest components of the proposal is what sits between the buildings.

Around 4,650 sqm, or roughly 72 per cent of the site, will be publicly accessible open space, incorporating plazas, pedestrian connections, landscaped laneways and retail spill-out areas.

The ground plane is intended to finally complete pedestrian connections envisaged when the CUB masterplan was first approved nearly two decades ago, stitching together Victoria Street, Queensberry Street, Bouverie Street and Swanston Street through the former brewery precinct.

Urbis said the development would "complete the CUB precinct", with the public realm providing important north-south and east-west connections through what is currently the final undeveloped portion of the masterplanned site.

SP Setia is also exploring a new linear park within the Bouverie Street road reserve, with the concept to be developed further with the City of Melbourne through the planning process.

The proposal is being pursued through the Victorian Government's Development Facilitation Program under Clause 53.23 for significant residential development with affordable housing.

The planning report acknowledges the proposed heights exceed those contemplated under the original Comprehensive Development Plan and masterplan, but argues the built-form context has changed considerably over the past two decades.

Urbis said the three towers would instead create a stepped transition between Carlton and the Hoddle Grid, rising progressively from the 94.1-metre Tower One along the Queensberry Street edge to the 199.44-metre Tower Three closer to the established CBD-scale buildings to the south.

<img alt="SP Setia" data-entity-type="file" data-entity-uuid="e885a07a-592c-40fc-bf82-e6dbaf32da54" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.52.24%E2%80%AFAM.png?VersionId=7s_ErUkSKAdY1mAWp3GRZgMNCGtwhk5m" />

SP Setia plans to deliver the development across three stages.

Stage One would deliver the basement, podium and retail areas for the entire precinct alongside the first student tower. Tower Two would follow in Stage Two, before the 606-apartment Tower Three is delivered as the final stage.

If approved and delivered, the project would close out a redevelopment process that has been underway since the former brewery masterplan was approved in 2007, adding more than 2,600 student beds and apartments to a precinct already home to Swanston Central, the Barak Building, RMIT Design Hub and several large student accommodation developments.

&nbsp;

&nbsp;

Joel Robinson

SP Setia plans three-tower finale for Carlton’s former CUB precinct

Melbourne developer Lowe Living is seeking to add to its growing bayside apartment pipeline, filing plans for a boutique eight-residence development in tightly held Middle Park.

Lowe Living, which has built much of its development portfolio across Melbourne's affluent bayside and south-east suburbs, is behind the plans for the 730 sqm site at <a href="https://www.apartments.com.au/new-apartments/123-125-erskine-street-middle-park-vic-3206">123-125 Erskine Street</a>, just off Armstrong Street and within the Armstrong Street Neighbourhood Activity Centre.

The developer is seeking approval for a five-storey residential building above two basement levels, with just eight large-format apartments and 18 car spaces.

“This is a deliberately very different proposition for us,"&nbsp;Tim Lowe, Co-Founder of Lowe Living, said.

"Eight residences is exceptionally boutique, but that's precisely what this site calls for.

“There is a strong community in Middle Park and the surrounding suburbs who have spent decades building a life here. They no longer want the maintenance of a large period home, but they aren't prepared to compromise on space, quality or location. We think there is a real opportunity to capture that hyper local market. A site like this rarely comes to market.”

<img alt="Lowe " data-entity-type="file" data-entity-uuid="875fe572-0f14-4d90-9e11-55b28dd07731" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.42.49%E2%80%AFAM.png?VersionId=GDNQRv9BfpR9r1zkZ5UDyUM4ZvpIksut" />

The low-density proposal has been designed by Cera Stribley and is being progressed through the Victorian Government's Great Design Fast Track pathway, having already secured eligibility from the Minister for Planning.

The Office of the Victorian Government Architect supported its eligibility after finding the proposal demonstrated consistency with the program's seven design principles, while the project's financial feasibility has also been independently confirmed by Invest Victoria.

The project is targeting the downsizer market, with the planning documents describing the homes as larger-format residences and noting the two penthouses could otherwise have been configured as four separate apartments.

<img alt="Lowe 2" data-entity-type="file" data-entity-uuid="60ab0987-2da6-4175-adac-315dcf6053c6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.43.15%E2%80%AFAM.png?VersionId=bOCPH0B2MFwlmaRW.TTCF9TzyifgVoQI" />

The site has dual frontage to Erskine Street and Canterbury Place and currently comprises a collection of commercial buildings used as offices, including a former heritage bakehouse, a former stable, a later gabled addition and a central courtyard.

It sits within the Commercial 1 Zone and the Armstrong Street Commercial Precinct heritage overlay, with the existing property classified as a contributory heritage place.

Heritage has subsequently played a significant role in Cera Stribley's design.

The front section of the former bakehouse facing Erskine Street will be retained, including its return walls, street-facing hipped roof and chimneys, while the Erskine Street façade and part of the western return wall of the former stable will also be incorporated into the new development.

Levels four and five will be set back five metres from the retained stable façade, while bricks removed through demolition are proposed to be salvaged and reused within the new building where possible.

<img alt="Lowe 3" data-entity-type="file" data-entity-uuid="e97927a9-a2de-4a0f-83b6-65451238abfa" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-21%20at%208.43.06%E2%80%AFAM.png?VersionId=VR44AChLrX9q1XPB9GvVQV.ALXXbe4gC" />

Rather than presenting as a single five-storey building to Erskine Street, Cera Stribley has broken the development into a series of distinct forms.

A three-storey infill element will sit between the retained bakehouse and stable façades, with the upper levels recessed behind the heritage fabric. Canterbury Place will similarly feature two three-storey podium forms, separated by a central pedestrian accessway, before the upper two levels step back from the street.

A pedestrian through-link will run through the centre of the project between Erskine Street and Canterbury Place, creating entrances from both sides of the site and introducing landscaping and communal areas through the ground plane.

Landscape architect Acre has designed planting across the ground level, private terraces and upper levels, including a feature canopy tree at level three and integrated planting and arbours across the level four terraces. Five existing Erskine Street trees are proposed to be retained.

Sustainability is also a significant component of the Great Design Fast Track application. The apartments are targeting an average eight-star NatHERS rating, with no residence below 6.5 stars, while the project has achieved a 75 per cent BESS score. Seven of the eight apartments are designed for cross-ventilation, with the remaining residence using mechanically assisted natural ventilation.

The plans also incorporate an 8kWp rooftop solar system, a 5,000-litre rainwater tank and infrastructure allowing future electric vehicle charging for every residence.

Lowe has a strong portfolio across Melbourne's blue-chip suburbs. They recently launched <a href="https://www.apartments.com.au/new-apartments/jardin-house-by-lowe-living-camberwell-335-camberwell-road-camberwell-vic-3124">Jardin House by Lowe Living</a> in Camberwell, their first development in the Stonnington LGA.

Lowe Living unveils Middle Park apartment development

Article summary

<ul data-end="888" data-start="289">
	<li data-end="442" data-section-id="8tsh6o" data-start="289">DVB Projects is preparing to launch its second Gold Coast apartment development, with demolition now underway at 137 Old Burleigh Road, Broadbeach.</li>
	<li data-end="573" data-section-id="1nyxl3e" data-start="443">The 34-level tower will comprise just 49 ultra-luxury residences, including half-floor, full-floor and penthouse apartments.</li>
	<li data-end="717" data-section-id="oiyimj" data-start="574">The launch follows strong demand at DVB's nearby Sea Glass project, which is more than 50 per cent sold and currently under construction.</li>
	<li data-end="888" data-section-id="epk9o9" data-start="718">The development adds to the transformation of Old Burleigh Road, with premium beachfront apartment projects continuing to reshape the tightly held Broadbeach strip.</li>
</ul>

<a href="https://www.apartments.com.au/developers/dvb-projects">DVB Projects</a> is preparing to launch its second Gold Coast apartment development, with demolition now underway on the Broadbeach site as the Sydney developer moves closer to bringing the ultra-luxury project to market.

The 34-level tower at <a href="https://www.apartments.com.au/new-apartments/137-old-burleigh-road-broadbeach-qld-4218">137 Old Burleigh Road</a> will comprise just 49 residences, ranging from half-floor apartments through to full-floor homes and a penthouse. The launch follows the strong sales performance of DVB's nearby Sea Glass development. More than half of the apartments at Sea Glass, on the other side of Broadbeach, have been snapped up, well ahead of its late 2027 completion

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="2944b4be-c84e-4b54-8dc1-c712e76704c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E02_Exterior_Street%20Level%20Entrance.jpg?VersionId=YoNig7pRdrE3HCue7sUj78LzJteeQf3H" />

The start of demolition at 137 Old Burleigh Road signals DVB Projects’ underlying confidence in the Gold Coast’s luxury beachside apartment sector.

“We see the Gold Coast as one of the most compelling lifestyle markets in Australia, particularly at the premium end where demand continues to deepen,” said Dean Brown, Managing Director of DVB.&nbsp;

“This project has been carefully designed to respond to that demand - delivering large-format residences with a level of quality, privacy and amenity that is still relatively rare in the apartment market on the beachside."

Brown says the site itself is "exceptional."

"Old Burleigh Road is one of the most tightly held beachfront strips, and opportunities to deliver a project of this scale and calibre in this location are extremely limited.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="398f377a-c037-455e-9250-0c5e0d84c35b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/I12_FF%20Balcony.jpg?VersionId=NwOiRWGMubR1c8wthuEfggklcja7al9." />

The project will comprise 40 half-floor residences of approximately 260 sqm, alongside eight full-floor residences spanning around 524 sqm.

A single penthouse will crown the building, featuring a private pool, barbecue area, indoor gym and dedicated entertaining spaces.

Residents will have access to a resort-style suite of amenities, including a 20-metre pool with daybeds, a gymnasium, hot and cold plunge pools, a sauna, and private residents’ lounge and dining facilities.

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="d1642bb0-9a66-4427-a022-dfc0988c6287" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/A02_Pool%20to%20View.jpg?VersionId=c0IXPyn_Gp_Kn3XCwzMrqIVkAdCEwVXP" />

Sales agent Todd Matheson, of <a href="https://www.apartments.com.au/project-marketer/pezet-matheson">Pezet Matheson</a>, which is marketing both 137 Old Burleigh Road and Sea Glass, said 137 Old Burleigh Road would address a clear gap in the market for genuine luxury products.

“There are very few opportunities on the Gold Coast where buyers can secure a residence of this size and quality in a new building,” Matheson said.

“What we’re seeing is a growing cohort of downsizers and interstate buyers who still want space - they’re not willing to compromise on living area, entertaining or finishes.

“This project has been designed with that buyer in mind. It offers the scale of a home, combined with the convenience and security of apartment living, in one of the coast’s most desirable positions.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="59aae0ca-5639-4320-8aca-d0bf60f48e43" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E01_Exterior%20Hero.jpg?VersionId=DS8Zfy2WtgUEtdfe0TEUuf1W1GfcZq8S" />

Located on a 1,156 sqm site one block from the beachfront, the development will replace an ageing walk-up building and is expected to contribute to the ongoing transformation of the Old Burleigh Road strip into one of the Gold Coast’s most prestigious residential corridors.

With the development moving into the delivery phase, 137 Old Burleigh Road is slated to hit the market later this year.

[smartcode_project_cta:default project_id=145141]

DVB Projects to launch second Broadbeach apartment tower as demolition commences

<a data-end="327" data-is-only-node="" data-start="250" href="https://www.apartments.com.au/developers/norus-projects" rel="noopener" target="_new">Norus Developments</a> has lodged plans for a new apartment development in Clayton that would add further momentum to the suburb's emerging Green Street corridor.

Plans have been lodged for the consolidated site at <a href="https://www.apartments.com.au/new-apartments/1359-1365-centre-road-clayton-vic-3168">1359-1365 Centre Road</a>, where Norus is seeking approval for 218 apartments across a 12-storey apartment building designed by <a href="https://www.apartments.com.au/architects/life-architecture-and-urban-design">Life Architecture</a>.

The proposal sits within the Clayton Major Activity Centre at the threshold of the planned Green Street corridor, a landscaped pedestrian connection intended to improve links through the precinct towards Clayton Railway Station.

The development would replace the site's existing collection of low-scale residential and commercial buildings with a single consolidated building, introducing significantly greater housing density to this part of Centre Road.

A retail tenancy is proposed at ground level to activate the Centre Road frontage, accompanied by transparent street interfaces and landscaping intended to create a more pedestrian-focused edge to the development.

<img alt="First look: Norus Developments plans landscape-led apartment project for Clayton’s emerging Green Street" data-entity-type="file" data-entity-uuid="0a5a763a-d9e9-4253-af2f-88008de27ebf" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Clayton%20a.png?VersionId=S2WJJbat1XVkZwB9SnYtygirXgWHiklX" />

The building has been designed with stepped massing and upper-level setbacks to manage its transition towards surrounding residential properties. The planning report describes the approach as one that integrates the building into the landscape rather than treating landscaping as a secondary element.

"A strong landscape and public realm strategy underpins the proposal," Urbis states in the planning report.

"Public benefits include an affordable housing contribution, a new pocket park, generous landscaped setbacks, deep soil planting and integrated Water Sensitive Urban Design."

The report adds that these elements are intended to create "a permeable, pedestrian-focused ground plane that enhances walkability, supports urban cooling and reinforces the emerging Green Street character."

Biophilic and passive design principles extend through the residential levels, with planting, daylight, natural ventilation and views towards landscaped areas forming part of the amenity strategy.

Parking would be concentrated away from the public realm, with 145 car spaces proposed from the rear laneway rather than dominating the Centre Road frontage.

The proposal follows an extensive pre-application process with the City of Monash. Three formal meetings were held between the project team and Council from December 2025 to March 2026, with the scheme evolving through several concept iterations before the current design was lodged.

The project arrives as Clayton prepares for substantial change around its established activity centre and the wider Suburban Rail Loop precinct. Its position on Centre Road places the development within an existing concentration of shops, services and public transport, while the Green Street connection is intended to strengthen pedestrian access towards Clayton Railway Station.

First look: Norus plans landscape-led apartment project for Clayton’s emerging Green Street

<a href="https://www.apartments.com.au/developers/gardner-vaughan-group">Gardner Vaughan Group</a> has officially commenced construction on Bronze on Chevron, celebrating the sod turning of its first-ever Gold Coast development and marking a significant milestone in the company's continued expansion across South East Queensland.&nbsp;

Following the successful delivery of premium residential developments throughout Brisbane and the Sunshine Coast, <a href="https://www.apartments.com.au/new-apartments/bronze-on-chevron-8-mawarra-street-chevron-island-qld-4217">Bronze on Chevron</a> represents Gardner Vaughan Group's entry into the Gold Coast market. Bronze will deliver 119 one, two, three and four-bedroom apartments above two ground-level retail tenancies.

[smartcode_project:default project_id=107520 project_image_fid=367193]

The recent sod turning ceremony was attended by Deputy Mayor Mark Hammel, President of the Surfers Paradise Surf Life Saving Club, Cassandra Sedgman, project consultants, purchasers, project partners and invited guests to celebrate the commencement of construction.&nbsp;

Gardner Vaughan Group Chief Executive Officer Simon Betteridge said Bronze on Chevron represented an exciting new chapter for the business.&nbsp;

"We've spent almost four decades building homes that respond to the way people want to live, and we're excited to bring that experience to <a href="https://www.apartments.com.au/developments/chevron-island-qld-4217">Chevron Island</a>," Betteridge said.

"Bronze on Chevron is particularly significant because it marks Gardner Vaughan Group's first development on the Gold Coast following many successful projects across Brisbane and the Sunshine Coast."

[smartcode_project:default project_id=107520 project_image_fid=367183]

Betteridge said the ground breaking is a proud moment for the&nbsp;team and their purchasers, who can now see their future homes beginning to take shape.&nbsp;

"As both developer and builder, we're able to oversee every aspect of the project from design through to construction, ensuring the quality and attention to detail Gardner Vaughan Group has become renowned for."&nbsp;

Designed by acclaimed architectural practice <a href="https://www.apartments.com.au/architects/cottee-parker-architects">Cottee Parker</a>, Bronze on Chevron has been thoughtfully designed to complement Chevron Island's evolving streetscape while embracing its relaxed coastal lifestyle.

The development will offer generous residences with refined interiors, premium finishes and resort-style amenities, with completion anticipated in early 2029.&nbsp;

[smartcode_project_cta:default project_id=107520]

The development will offer generous residences with refined interiors, premium finishes and resort-style amenities, with completion anticipated in early 2029

Gardner Vaughan Group breaks ground on first Gold Coast development, Bronze on Chevron

Asic

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ASIC has disqualified Nathan Tinkler, Donna Dennis and Troy Palmer from managing companies for between three and four years for multiple serious failures in their duty as directors.
Tinkler's three-years and nine-months disqualification follows the appointment of liquidators to 11 companies he managed:
<ul>
<li>Ocean Street Holdings Pty Ltd</li>
<li>Tinkler Group Pty Ltd</li>
<li>Tinkler Group Holdings Administration</li>
<li>Monegeetta Holdings Pty Ltd</li>
<li>Patinack Farm Holdings No 4 Pty Ltd</li>
<li>Patinack Farm Holdings No 8 Pty Ltd</li>
<li>Thoroughbred Administration Pty Ltd</li>
<li>Aston Metals Limited</li>
<li>Patinack Farm Administration Pty Ltd</li>
<li>Mulsanne Resources Pty Ltd</li>
<li>Supercar International Holdings Ltd</li>
</ul>
Dennis' three-year disqualification follows the appointment of liquidators to nine companies she managed:
<ul>
<li>Ocean Street Holdings Pty Ltd</li>
<li>Thoroughbred Administration Pty Ltd</li>
<li>Hunter Sports Special Events Pty Ltd</li>
<li>Tinkler Group Pty Ltd</li>
<li>Tinkler Group Holdings Administration Pty Ltd</li>
<li>Monegeetta Holdings Pty Ltd</li>
<li>Patinack Farm Holdings No 4 Pty Ltd</li>
<li>Patinack Farm Holdings No 8 Pty Ltd</li>
<li>Newcastle Jets Football Operations Pty Ltd</li>
</ul>
Palmer's three-years and nine-months disqualification follows the appointment of liquidators to nine companies he managed:
<ul>
<li>Thoroughbred Administration Pty Ltd</li>
<li>Newcastle Jets Football Operations Pty Ltd</li>
<li>Ocean Street Holdings Pty Ltd</li>
<li>Aston Metals Limited</li>
<li>Patinack Farm Administration Pty Ltd</li>
<li>Mulsanne Resources Pty Ltd</li>
<li>Supercar International Holdings Ltd</li>
<li>The Supercar Club Pty Ltd</li>
<li>TSCCF Pty Ltd</li>
</ul>
As a result of information contained in reports provided by the liquidators of the failed companies, ASIC was concerned Tinkler, Dennis and Palmer had:
<ul>
<li>failed to prevent the companies from trading while insolvent;</li>
<li>failed to ensure the companies paid their taxes;</li>
<li>failed to discharge their duties as a director; and</li>
<li>allowed one of the companies to deliberately operate at a loss.</li>
</ul>
Tinkler and Palmer were each disqualified from managing companies for three years and nine months, effective from 18 May 2017 and 12 May respsectively. Ms Dennis has been disqualified from managing corporations for three years, effective from 22 May 2017.
ASIC Commissioner John Price said the disqualifications imposed on these directors should highlight the consequences that can follow when companies are poorly managed.
"ASIC will seek to hold company directors accountable if they systemically fail to discharge their obligations when managing companies."
Section 206F of the Corporations Act allows ASIC to disqualify a person from managing corporations for up to five years if, within a seven-year period, the person was an officer of two or more companies, and those companies were wound up and a liquidator provides a report to ASIC about the company’s inability to pay its debts.
ASIC also maintains a public register of banned and disqualified persons that provides information about people who have been:
<ul>
<li>disqualified from involvement in the management of a corporation;</li>
<li>disqualified from auditing self-managed superannuation funds (SMSFs); or</li>
<li>disqualified from practising in the financial services of credit industry.</li>
</ul>
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j.ballantyne1990-6AQqhLzZaK

Nathan Tinkler, Donna Dennis and Troy Palmer banned by ASIC from managing companies

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Former Provident Capital director Michael O’Sullivan has lost his appeal against his disqualification, with the Administrative Appeals Tribunal (AAT) saying that he showed no “genuine contrition for his conduct or genuine insight into his corporate failures”.
The AAT upheld ASIC's decision that O’Sullivan be disqualified from managing corporations for five years and from providing financial services for seven years.
The AAT qualified the five-year disqualification decision by permitting O'Sullivan to remain as a director of three private companies, provided that those companies only involve activities relating to his immediate family.
The AAT said: “The behaviour of Mr O'Sullivan has fallen below the standard that is expected and required of a public company director.” 
The AAT found his behaviour “involved either a subconscious or at times an attempt to camouflage or massage critical information and to even completely prevent that information from being disclosed on a timely basis”.
The AAT highlighted that “deficient disclosure [of information] was designed to obfuscate the real position” and that this behaviour “put at risk the funds of certain third party investors who were largely being kept in the dark about the precarious nature” of one of Provident's largest loans.
ASIC's commissioner John Price welcomed the AAT finding, saying: “ASIC is committed to taking action against directors who fail to exercise care and diligence in the management of company assets. 
“ASIC's powers to disqualify directors of failed companies and to ban individuals from providing financial services are important preventative measures to safeguard the public interest.”
O'Sullivan had previously been granted a stay of the disqualification order, pending the AAT's review of ASIC's decision.
He has 28 days to appeal this decision to the Federal Court.
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jonathanchancellor-7SQnKwU6yx

Michael O'Sullivan loses appeal against ASIC ban following Provident Capital collapse

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ASIC has updated the Regulatory Guide 140 Strata schemes and management rights schemes (RG 140). 
This update follows ASIC issuing two legislative instruments in September 2016 to replace several class orders that dealt with relief for property, strata and management rights schemes.
The legislative instruments are the ASIC Corporations (Serviced apartment and like schemes) Instrument 2016/869 and the ASIC Corporations (Property Rental Schemes) Instrument 2016/870 (the Legislative Instruments). 
The Legislative Instruments replaced the ASIC class orders listed below that were due to expire under the Legislation Act 2003:
<ul class="ul1">
<li class="li1">Class Order [CO 99/463] Serviced strata scheme valuations</li>
<li class="li1">Class Order [CO 02/185] Sale of strata units for $500,000 or more</li>
<li class="li1">Class Order [CO 02/245] Closed schemes</li>
<li class="li1">Class Order [CO 02/303] Management rights schemes—amendment;</li>
<li class="li1">Class Orders [CO 02/304] Management rights schemes</li>
<li class="li1">Class Order [CO 02/305] Management rights schemes</li>
<li class="li1">Class Order [CO 07/189] Management rights schemes where the strata unit cannot be used as a residence</li>
<li class="li1">Class Order [CO 02/183] Small Property Syndicates, and</li>
<li class="li1">Class Order [CO 02/182] Real Property Rental Schemes.</li>
</ul>
RG 140 explains the key terms of the relief under the Legislative Instruments. In broad terms, the Legislative Instruments provide relief to various arrangements involving real property from the managed investment provisions, the Australian financial services licensing provisions, the product disclosure provisions and hawking provisions of the Corporations Act 2001 (the Act).
In addition, RG 140 provides general explanations of how the provisions of the Act relating to managed investment schemes apply to arrangements involving real property, including under strata or community title and certain freehold titles or leasehold interests, referred to in RG 140 as strata schemes. 
RG 140 explains the concepts of strata schemes, serviced strata schemes and management rights schemes and whether these types of arrangements may fall within the definition of a managed investment scheme under the Act. RG 140 also explains the obligations of operators and promoters for the various types of arrangements.
To download the Regulatory Guide 140 Strata schemes and management rights schemes (RG 140) <a href="https://asic.gov.au/regulatory-resources/find-a-document/regulatory-guides/rg-140-strata-schemes-and-management-rights-schemes/" target="_blank">click here</a>.
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ASIC updates guidance for strata schemes and management rights schemes

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Mr Michael Samra, a former mortgage broker, has pleaded guilty to six charges of deception totalling $1.902 million in the Adelaide District Court.
The charges relate to allegations that between 13 January 2009 and 30 July 2009, Mr Samra deceived investors into lending money to him and his company, ALC Group Pty Ltd. Mr Samra told investors that their money would be on-lent to builders and property developers, when in fact the monies were paid substantially to other investors as repayments of interest and principal.
Mr Samra pleaded guilty on 30 March 2017. His bail was revoked and he was remanded in custody. The matter will return to court on 11 May 2017 for sentencing submissions.
The matter is being prosecuted by the Commonwealth Director of Public Prosecutions. 
Background
The Norwood-based, ALC Group Pty Ltd, collapsed in 2009 with liabilities of approximately $40 million.
ASIC investigations found that approximately $66 million came into the ALC Group Pty Ltd bank account over a seven month period with the majority of funds paid to investors.
Twelve charges were laid in 2015 for 12 counts of deception totalling over $12 million. Mr Samra has pleaded guilty to six charges and the remaining six charges have been discontinued.
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Former company director pleads guilty to deception

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ASIC has announced a targeted industry surveillance to examine whether lenders and mortgage brokers are inappropriately recommending more expensive interest-only loans.
With many lenders, including major lenders, charging higher interest rates for interest-only loans compared with principal-and-interest loans, lenders and brokers must ensure that consumers are not provided with unsuitable interest-only loans.　
ASIC announced that eight major lenders will provide remediation to consumers who suffer financial difficulty as a result of shortcomings in past lending practices. 
ASIC will shortly commence a surveillance to identify lenders and mortgage brokers who are recommending high numbers of more expensive interest-only loans.
Data will be gathered using ASIC's compulsory information-gathering powers from large banks, other banks, mutual banks and non-bank lenders. 　
In an environment where many interest-only loans are now clearly more expensive than principal-and-interest loans, lenders and mortgage brokers must carefully consider the implications of providing borrowers with interest-only loans. While interest-only loans may be a reasonable option for some borrowers, for the vast majority of owner-occupiers in particular, an interest-only loan will not make sense.　
In 2015, ASIC conducted a review of how lenders provide interest-only home loans. ASIC found that lenders were not properly inquiring into a consumer's actual living expenses when assessing their capacity to make repayments. ASIC's review led to industry-wide improvements by lenders: see 15-220MR Lenders to improve standards following interest-only loan review.　
As part of today's announcement, eight lenders examined by ASIC have improved their practices for enquiring about expenses to determine the consumer's financial situation and capacity to make repayments. Rather than obtaining a single monthly living expense figure and then relying on a benchmark figure to assess suitability, borrowers' actual figures for different categories of living expenses (e.g. food, transport, insurance, entertainment) will now be obtained. This will provide lenders with a better understanding of consumers' expenses. 　
In addition to typical hardship processes, lenders will individually review cases where consumers suffer financial difficulty in repaying their home loans, and determine whether they have been impacted by shortcomings in past lending practices. Where appropriate, consumers will be provided with tailored remediation, which may include refunds of fees or interest. 　
As interest rates are currently at record lows, and were falling in the lead up to 2015 and during 2016, ASIC does not expect lenders to identify high numbers of consumers who are now experiencing financial difficulty due to past lending decisions. Nevertheless, these additional actions will ensure that consumers are not disadvantaged.　
To ensure that these remediation programs are operating effectively, ASIC is requiring lenders to audit their processes. 　
ASIC Deputy Chairman Peter Kell said, 'Home loans are the biggest financial commitment most people will ever make. In assessing whether borrowers can meet loan repayments without substantial hardship in the short and longer term, it is important that lenders can collect and rely on information which provides an accurate view of the consumer's financial situation. This is especially the case when interest rates are at record low levels'. 　
'Lenders and mortgage brokers must also ensure that consumers are being provided with the home loan product that meets their needs. Lenders and mortgage brokers need to think twice before recommending that a consumer obtain a more expensive interest-only loan'.
In 2015, ASIC reviewed interest-only loans provided by 11 home lenders, and issued REP 445 Review of interest-only home loans (Refer:REP 445) in 2015, which made a number of recommendations for home lenders to comply with their responsible lending obligations (Refer:15-297MR).　
In REP 445, ASIC gave guidance on how lenders can make proper inquiries into a borrower's actual expenses. 　
ASIC's monitoring of lenders’ home lending practices continues. ASIC will carry out further reviews to ensure that industry standards are improved where necessary. ASIC will also take enforcement action as appropriate.　
Any consumer with concerns about their ability to make home loan repayments should contact their lender in the first instance. Consumers can also access free external dispute resolution, through either the Financial Ombudsman Service (FOS) or Credit and Investments Ombudsman (CIO).　
The eight lenders are: 　
<ul>
<li>Australia and New Zealand Banking Group Limited　</li>
<li>Bendigo and Adelaide Bank Limited　</li>
<li>Commonwealth Bank of Australia 　</li>
<li>Firstmac Limited　</li>
<li>ING Bank (Australia) Limited 　</li>
<li>Macquarie Bank Limited　</li>
<li>National Australia Bank Limited　</li>
<li>Pepper Group Limited.</li>
</ul>
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jchancellor-FAypfDUnLy

ASIC look at lending of eight major lenders

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ASIC has updated legislation surrounding time-sharing schemes, remaking the class orders due to expire on 1 April 2017 and 1 October 2017.
ASIC said the new instrument follows a public consultation in November 2016.
"In Consultation Paper 272 Remaking ASIC Class Orders on time-sharing schemes (CP 272), ASIC sought feedback in relation to our review of [CO 00/2460], [CO 02/237], [CO 02/315] and [CO 03/104] and our proposals in relation to the current policy settings for time-sharing schemes," ASIC said.
"The new legislation, ASIC Corporations (Time-sharing Schemes) Instrument 2017/272 is now a single new instrument [CO 00/2460] Time-sharing schemes—property valuations, [CO 02/315] Time-sharing schemes—use of loose-leaf price list and [CO 03/104] Relief facilitating the acquisition and sale of forfeited interests in registered time-sharing schemes without substantive change; and provides transitional relief for existing operators relying on [CO 02/237] Time-sharing schemes—operation of rental pool.
"We received eight submissions in response to CP 272. The submissions generally supported our proposals to continue the relief under [CO 00/2460], [CO 02/315] and [CO 03/104].
We also received feedback that supported our proposal to provide transitional relief to existing operators relying on [CO 02/237] and to consider any new applications for similar relief on a case-by-case basis.
"However, we received divergent feedback on many proposals in CP 272, such as the introduction of a new oral advice requirement and new fee disclosure regime.
An area of significant contention was the current cooling-off regime and whether changes are required to the timeframe of the cooling-off periods or the opt-out model.
"In light of the divergent feedback receivedand the upcoming sunsetting deadline of 1 April 2017 for most of the time-sharing class orders, we have decided on a phased approach to our review of the current policy settings for time-sharing schemes.
This approach will allow us to provide certainty to operators and customers of time-sharing schemes while we undertake further consultation to ensure proposals to change the current policy settings are given proper consideration."
Phase 1 – Release of the new instrument
"As phase one, we have released the new legislative instrument, which remakes the sunsetting time-sharing class orders [CO 00/2460], [CO 02/237] and [CO 03/104] in substantially the same form and provides transitional relief to existing operators relying on [CO 02/237] by the sunsetting deadline of 1 April 2017," ASIC said.
"This will maintain the status quo while we undertake further consultation on proposals outlined in CP 272. We will consider any more substantive changes that are required to the relief as part of our work in phase two.
"A feedback report on responses to CP 272 will also be released shortly."
Phase 2 - Our more substantive changes
"Phase two will involve the implementation of our more substantive changes to the current policy settings,after we have undertakenfurther consultation on the feedback received in response to CP 272. In April 2017, we will be contacting parties who provided responses to CP 272 to discuss their feedback," ASIC said.
Under the Legislation Act 2003, all class orders sunset after a specified period of time (mostly ten years) unless we take action to exempt or preserve them. This ensures that legislative instruments like class orders are kept up to date and only remain in force while they are fit for purpose and relevant.
All government organisations are responsible for considering whether the legislative instruments they have made that are due to sunset will be relevant after their sunset date.
The new legislation is available here <a href="https://www.legislation.gov.au/current/F2017L00315" target="_blank">ASIC Corporations (Time-sharing Schemes) Instrument 2017/272</a>.
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ASIC updates time-sharing legislation

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Nearly $30 million was paid to 1,347 customers who suffered losses after they were misled by financial advisers, while the securities watchdog banned 26 advisers for misconduct as of December 2016. 
These are the findings from a review by the Australian Securities and Investment Commission of how Australia's largest financial advice firms have dealt with past poor advice and non­-compliant advisers, including how these firms have dealt with affected customers. 
The review, which forms part of ASIC’s broader Wealth Management Project, was focussed on the conduct of the financial advice arms of AMP, ANZ, CBA, NAB and Westpac.
ASIC deputy chairman Peter Kell said the report, “sets out the significant work that has been done by the major financial advice institutions to implement large­-scale review and remediation programs to identify and remediate customers impacted by poor advice given in the past”. 
The review looked at: 
<ul>
<li>how the firms identified and dealt with non­compliant conduct by their advisers between 1 January 2009 and 30 June 2015</li>
<li>the development and implementation by the firms of large­-scale review and remediation frameworks to remediate customers impacted by non­compliant advice, and </li>
<li>the processes used to monitor and supervise the firms' advisers, focussing on background and reference ­checking, the adviser audit process and use of data analytics. </li>
</ul>
ASIC Report 515 Financial advice: Review of how large institutions oversee their advisers (REP 515) covers the key findings of this review.
He said that while financial advice institutions had done much to improve their practices and compliance, more work was needed to re­build consumer trust in the financial advice industry.
ASIC has identified a number of areas of concern where further improvements need to be made, including: 
<ul>
<li>failure to notify ASIC about serious non­compliance concerns regarding adviser conduct</li>
<li>significant delays between the institution first becoming aware of the misconduct and reporting it to ASIC</li>
<li>inadequate background and reference-­checking processes, and</li>
<li>inadequate audit processes to assess whether the advice complied with the 'best interest' duty and other obligations. </li>
</ul>
“It is critical that customers are able to get financial advice they can trust. ASIC expects internal processes to support core values of putting the customer first and where there are failings, for advice firms to act quickly to provide a response in the interests of their customers. This is a message for both large and small advice firms,” Kell said. 
“Strengthening breach reporting requirements will be an important issue in the current review of ASIC's enforcement powers announced by Government in October 2016,” he said. 
The Australian Bankers' Association's recently announced a Reference Checking and Information Sharing Protocol, that takes a more rigorous approach to checking and provision of adviser references. Financial institutions regularly use data analytics now to detect irregularities early and take action.
 
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ASIC says $30 million paid to customers misled by wrong advice in its review of financial institutions

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Following an ASIC investigation, Cymon Fontaine has been sentenced to four years' imprisonment in the Southport District Court for seven charges of fraud. 
Mr Fontaine pleaded guilty to defrauding six clients for a total of $105,910.10 and caused a loss of $4500 to another client.
Between 28 June 2011 and 1 July 2013, Mr Fontaine was an authorised representative and Corporate Upgrades Consultant for Wyndham Vacation Resorts South Pacific Limited (Wyndham), a financial services company selling time share interests in resorts and hotels.
Between April 2013 and October 2013, Mr Fontaine exploited the credibility and contacts gained from his position as a Corporate Upgrades Consultant to contact existing clients.
He then offered to assist them with upgrades and the purchase of secondhand credits at a cheaper rate than that being offered by Wyndham.
Mr Fontaine used these funds for his own purposes, never purchasing the agreed secondhand credits for the clients.
Once discovered, Wyndham terminated Mr Fontaine's employment on 1 July 2013. However, Mr Fontaine continued to defraud some clients after his employment was terminated.
ASIC Deputy Chair Peter Kell said, “This kind of dishonesty is not tolerated by ASIC or the community.”
This matter was prosecuted by the Commonwealth Director of Public Prosecutions.
Mr Fontaine was charged under sections 408C(1)(d) and 408C(1)(e) of the Criminal Code 1899 (Qld).
Wyndham is a developer and marketer of flexible, points-based holiday ownership products.
Clients buy into different levels of memberships with Wyndham by buying 'points' or 'credits' from Wyndham.
Depending on a client's level of membership (determined by the number of credits the client has) they are allowed different levels of privileges and benefits, including using their credits to stay at Wyndham's resorts and hotels or partner resorts or hotels.
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Former Wyndham Vacation Resorts consultant jailed for defrauding clients

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ASIC has today commenced civil penalty proceedings in the Federal Court against Westpac Banking Corporation for a number of contraventions of the responsible lending provisions of National Consumer Credit Protection Act 2009 (Cth) (the National Credit Act).
ASIC alleges that in the period between December 2011 and March 2015 Westpac failed to properly assess whether borrowers could meet their repayment obligations before entering into home loan contracts.
Specifically, ASIC alleges that Westpac:
<ul>
<li>used a benchmark instead of the actual expenses declared by borrowers in assessing their ability to repay the loan</li>
<li>approved loans where a proper assessment of a borrower's ability to repay the loan would have shown a monthly deficit</li>
<li>for home loans with an interest-only period, Westpac failed to have regard to the higher repayments at the end of the interest-only period when assessing the borrowers' ability to repay.</li>
</ul>
The National Credit Act provides consumer protections to ensure that credit providers make reasonable inquiries about a borrower's financial situation and assess whether a loan contract will be unsuitable for the borrowers.
The first hearing for the proceedings will be on 21 March 2017 at 9.30am in the Federal Court in Sydney.
 
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ASIC announces civil penalty proceedings against Westpac

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Leaseback property deals, often targeted towards self-managed superannuation funds (SMSFs), are under the securities regulator’s review. 
 
The deals typically involve buying a residential investment property — house or apartment — with guaranteed tenancies that promise returns of around six percent, well above bank deposit rates or inflation numbers, according to a report in the Australian Financial Review.
 
The new owners lease back the properties to the developer who then acts as a landlord or engages a third party to rent and manage the property. Usually, these contracts are around three to five years and promise generous returns for the length of the contract.
 
Demand for the deals is growing among retirees looking for a regular, above-inflation income from the rent as well as the prospect of capital growth, the AFR reported.
 
The Australian Securities and Investments Commission stepped in to investigate because it wants property investors to fully understand their financial risks and responsibilities.
 
ASIC deputy chairman Peter Kell was cited in the report as saying that the watchdog is monitoring promoters of the schemes as part of a broader nationwide review of property spruiking and real estate deals on offer to SMSF investors.
 
"If these deals are done through self managed super, then it falls into the category of advice," Kell says.
 
Typically it involves the buyer of a property entering a leasing agreement with the seller. Yields are usually around three to four times the inflation rate of 2 per cent, or double returns on most fixed-rate deposit accounts.
 
The term is often three years but there is usually an option to extend the lease by six months for a maximum of two to three times.
 
But promises of such guaranteed rental returns are sometimes used by developers to lure investors to a weak market or masking an overpriced offer, warns a post on hotspotting.com.au.
 
“Developers offer them when they're struggling to sell apartments at the prices they want,” the post says. 
 
Recent prosecutions of spruikers are reassuring the regulator it has the legal power to close down unfair property-linked investment deals, despite it not being directly responsible for real estate.
 
"Get any deal reviewed by a lawyer and financial adviser before committing," said Anthea Digiaris, an associate with legal firm Slater and Gordon Lawyers, about the need for doing your own due diligence, the report said.
 
But Daren McDonald, a partner with management and property consultancy ShineWing, told the AFR that lease backs are common in commercial and retail sectors and can also work well for a short-term investor who enjoys the higher yield before moving into the property.
 
But Ben Kingsley, chair of industry lobby group Property Investment Professionals of Australia, echoes the advice from Hotspotting and warns investors to be careful.
 
"Times are tough for many developers because deals are not coming through. Rental deals are regularly offered by selling agents whose interest is to get a deal done for the developer, not look after the buyers' interests," says Kingsley.
 
The onus is on the developer to find the tenant.
 
"If they can't find a tenant, then the extra costs caused by no rental income will come from their margins. That means any rental guarantee will be included in the price the buyer pays."
 
Those considering a deal should answer these questions before completing a deal:
 
•Has the value of the property been inflated to cover the high yield?
 
•Do banks and other lenders impose tougher conditions around lease-back deals, such as stricter terms on interest rates, ability to repay, loan to value ratios?
 
•Who pays for property servicing contracts, body corporate fees, insurance, rates and maintenance during the lease?
 
•What happens at the end of the lease? Can the lease be extended? Who is responsible for restoring the property to its original condition?
 
•What happens if there is a contract breach by a tenant or the developer? Is there a structure to resolve disputes?
 
•Is there demand for this type of property?
 
•What rent can you achieve at the end of the developer's lease?
 
•Will the value of the property decline if the original lease no longer exists?
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