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 

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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.
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[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Colliers International

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The recent government funding to Sydney’s Walsh Bay has piqued interest in the area, causing demand for commercial property in the area to increase. 
The Berejiklian government has recently approved $100 million worth of funding for the redevelopment of Pier 2/3 at the Walsh Bay precinct.
Funding for the Pier will create some of the country’s most significant art organisations including the Australian Chamber Orchestra, the Australian Theatre for Young People and Bell Shakespeare.
Colliers International have sold two office investments in Walsh Bay over the past six months; Suite 7 and Suite 8, both at 24 Hickson Road, for over $3.3 million combined.
Suite 7 (pictured below) was sold to the Done Group for a rate of $11,638 per square metre, a record rate for Walsh Bay in 2019. 
<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/2019/12/4/suite%207.jpg" alt="">
“The recent government funding for Sydney’s newest art precinct has piqued interest in Walsh Bay and subsequently we are seeing an influx in demand for commercial space,” said Nick Lumley, Investment Services at Colliers International. 
“Investors and creative businesses are recognising the benefit of being close to this precinct and this is reflected in the activity we are seeing in the area.”
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j.ballantyne1990-6AQqhLzZaK

Government funding boosts Walsh Bay investment: Colliers International

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Freehold industrial land in Brisbane’s Australia TradeCoast (ATC) has reached critical shortage with only circa 151 hectare (1 hectare sites or above) identified as vacant and available for industrial development on a freehold basis. 
As per the latest Colliers International research report, this represents less than 25% of the estimated land supply within the ATC precinct over the medium term, and it is located reoutside the Port of Brisbane and the Brisbane Airport. Leasehold land availability, on the other hand, shows relatively good supply of up to 455 hectares over the long term, representing 75% of the land available for industrial development.
“Whilst the Federal and State Governments retain ownership of the land at the Airport and the Port, the leasehold tenure inhibits direct investment by industrial operators or external investment vehicles,” Anthony White, National Director of Industrial at Colliers International said.
“Brisbane Airport Corporation and Port of Brisbane have proved to be highly capable and competitive industrial developers, primarily offering a solution to specific market sectors like corporate occupiers looking at long-term warehousing, container parks and airfreight facilities.
<a href="https://www.propertyobserver.com.au/images/2019/11/27/freehod%201.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/11/27/freehod%201.jpg" alt="">
“Current road and air infrastructure investment of circa $2 billion supports the precinct’s growth potential and would provide a competitive advantage for logistic operators. However, we agree with recent commentary that a dedicated rail connectivity to the precinct will be crucial to take pressure off South East Queensland arterial road networks.
“Currently, it is not viable for the Port operators to utilise inland rail as it stops 38km from the Port. The lack of freehold land opportunities within proximity to this infrastructure does provide another compelling argument for the construction of a dedicated freight rail connection to the Port,” White said. 
<a href="https://www.propertyobserver.com.au/images/2019/11/27/freehold%202.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/11/27/freehold%202.jpg" alt="">
Karina Salas, Research Manager at Colliers International said that based on historical take up rates, the ATC has industrial-zoned land supply (leasehold and freehold) to at least 2033, but it could be extended to approximately 2042. 
“Pinkenba is the main location for future freehold industrial developments in the ATC, with circa 45 hectares of developable industrial-zoned land. Over the next 15 to 24 years, more than 75% of the land available for industrial development would be offered on a leasehold basis.
“In terms of land values, ATC remains the most expensive South East Queensland industrial market, at an average price of $415/sqm as at September this year. Land values are likely to continue to experience moderate to solid growth over the years ahead supported by the forecast population growth in South East Queensland and the limited industrial-zoned land available for future development on a freehold basis.  
“Leasing activity within the precinct is forecast to remain solid, even though ATC is expected to remain the most expensive location for tenants, reporting average prime net face rents of $118/sqm compared to Brisbane offering average prime net face rents in the range of $103 to $111/sqm in different locations,” Salas said.
White also highlighted that occupiers are increasingly looking towards a total cost of occupation model with transport costs being a key driver.
ATC provides great access to major motorways which is key for distribution users, and the Port of Brisbane has always been a hotspot given the massive infrastructure spend over the past decade. Because of this, distribution operators continue to relocate to the precinct as it is a more viable option for them long term.
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Freehold industrial land in ATC reaches critical shortage: Colliers International 

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Local buyers in western NSW are looking to expand their land footprints, a new report has found.
According to Colliers International‘s NSW Western Division Grazing Market Update increases in livestock prices and low interest rates have contributed to a 20% increase in land values in the region.
The report indicates that demand is outstripping supply for pastoral grazing land, with interest coming from both family and corporate buyers.
Colliers International’s top factors impacting the NSW pastoral market:
<ul>
<li>Strong commodity prices for mutton, lambs, wool and goats. Meat sheep in particular has transformed profitability within many pastoral operations through improved lambing percentages and strong growth rates. Cattle prices are also relatively firm.</li>
<li>The wool market surged to record highs throughout 2018 and early 2019. More recently however, the market has pulled back but is still considered favorable for wool growers. Offshore demand is the main market driver with demand primarily from China heavily influencing prices.</li>
<li>Australia’s sheep flock numbers are at historical lows as is the national cattle herd size which is still in a rebuilding phase.</li>
<li>A softening Australian Dollar has benefited commodity prices (particularly wool) however this may also increase some input costs such as diesel.</li>
<li>Interest rates are low and stable.</li>
<li>The market’s recognition of lower operating expenses associated with pastoral grazing in comparison with higher rainfall areas (no fertiliser or pasture development and reduced animal health treatments).</li>
</ul>
<a href="https://www.propertyobserver.com.au/images/2019/8/20/nsw%20grazing%201.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/8/20/nsw%20grazing%201.jpg" alt="">
<a href="https://www.propertyobserver.com.au/images/2019/8/20/nsw%20grazing%202.jpg" target="_blank">Click here </a>to enlarge: 
<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/2019/8/20/nsw%20grazing%202.jpg" alt="">
<a href="https://www.propertyobserver.com.au/images/2019/8/20/nsw%20grazing%203.jpg" target="_blank">Click here</a> to enlarge: 
<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/2019/8/20/nsw%20grazing%203.jpg" alt="">
<a href="https://www.propertyobserver.com.au/images/2019/8/20/nsw%20grazing%204.jpg" target="_blank">Click here </a>to enlarge: 
<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/2019/8/20/nsw%20grazing%204.jpg" alt="">
Source: Colliers International 
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Grazing land in western NSW in high demand

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Australia’s hotel sector is entering the era of refurbishment and repositioning as owners identify the need to stay competitive in a changing market. 
According to Colliers International, maintaining facilities to the standards expected by discerning guests and determining how and when to upgrade those facilities is one of the biggest challenges faced by hotel owners. 
“Money never sleeps, and neither do hotels,” Karen Wales, Colliers International Director of Hotels, said.  
“It is a simple fact that eventually every property will need an upgrade but with the opening of more than 15,000 new rooms over the past three years, existing owners will need to consider expediting the renovation cycle to compete with significant new supply. 
“The majority of Australia’s accommodation rooms were built in the 1980s, 1990s and 2000s. The owners of these properties will need to give greater regard to major capital refurbishment plans, particularly if ongoing repairs and maintenance have not been maintained.”
<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/2019/5/14/HOTEL%20.jpg" alt="">
Source: Colliers International 
Nigel Greenaway, Colliers International National Director of Hotels, said.  said owners who carefully considered guests’ needs and used any property upgrade as an opportunity to reposition the asset would ultimately be the ones to get the most out of their renovation and improve the value of their hotel asset in the long-term.
“Capital expenditure can be initiated for many different reasons such as commercial business opportunity, compliance with current legislation (WHS/NCC/DDA), end of life replacement or meeting consumer trends,” Greenaway said. 
“But it should ultimately have the common objectives of maintaining market position and/ or upgrading the hotel business, increasing owners’ return in this highly competitive market with the future long-term goal to increase the real estate value of the property.” 
Greenaway said while a successful hotel refurbishment or renovation came with significant challenges, a major property refresh presented a hotel with the unique opportunity to reposition itself in the market and ultimately support its longer-term revenue goals. 
“Owners that take a considered approach, determining the right time to relaunch renovated rooms while also having the right pricing strategies in place, will ultimately get the most out of their renovation,” he said.
“Refurbishments can include both soft and hard elements, as well as a Return on Investment component.”
Ian Pert, Colliers International National Director of Project Management, said first impressions were of vital importance to helping guests distinguish between hotels or brands.
“The design of a hotel, both interior and exterior, is often the most effective way to make an exceptional first impression,” Pert said.
“Product offerings are also changing as hotels look to satisfy new ways of living and working.
“Current trends include a greater focus on the lobby as a central meeting point and the development of new food and beverage concepts which showcase local produce and meet a growing awareness of health a wellbeing. 
“The hotel sector is also under increasing pressure to reduce its environmental footprint and develop truly sustainable operations. Hotel buildings have significant opportunities to reduce their energy, water consumption and greenhouse gas emissions and we will see this become a key focus as a growing number of owners look to refurbish.”
Pert said refurbishment programs rolled out in the near future would also have a greater focus on technology and distribution.
“Guests have a high expectation when it comes to technology capability, particularly of a high-end hotel,” he said.
“Most guests are self-sufficient, tech-savvy travellers who expect seamless connectivity across platforms and devices. 
“New developments include service automation, mobile device as door key and on-demand technology in relation to smart televisions.”
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Australian hotels enter new era of refurbishment to adapt to changing market: Colliers

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In Brisbane the permanent plantings and viticulture sectors are the stand out performers in Australian agribusiness industry, with large transactions occurring in 2018 across macadamias, citrus, avocados, almonds and vineyard sectors, according to Colliers International.
The latest Colliers International Agribusiness Research and Forecast Report found, water pricing and water tradability is enabling these sectors to continue to be developed even during the severe drought event.
Rawdon Briggs, Head of Agribusiness, Transaction Services at Colliers International said, “looking forward, agribusiness property values will hold firm in well recognised regions, despite the climatic challenges impacting on cashflows and cash reserves. This drought event has had higher commodity prices than we have seen in previous events over the past four decades."
“It shows in the resilience of the market data. The weaker AUD and free trade agreements are supporting export activity, partially offsetting the downside risks. Australian agricultural trade surplus has grown sharply for the past decade and will continue trending upwards. Agribusinesses is now a standalone asset class and will continue to attract investment from offshore and high net worth groups adding capital."
“Colliers International track completed land deals above $5 million across Australia, with this data showing increased sales numbers YoY to 2018, as the neighbour to neighbour market kicked into gear fuelled by lower cost of debt and higher commodity prices resulting in 254 deals and $3.34 billion in sales in 2018."
Mr Briggs added, "this calculation does not include three large deals executed in 2018, which have now settled in Q1 2019. If these had settled as planned in 2018, Australia would’ve surpassed the peak capital investment high of $3.45 billion and 242 deals completed in 2016.”
The report found that one of the best performers over the last year has been the Macadamia sector with land prices increasing and a steady nut supply. 
Colliers predict that established macadamia orchard demand will remain strong in 2019 and 2020. 
According to Colliers experts the Australian wine industry is approaching a point where demand will outstrip supply. This has translated into significantly higher volumes of property transactions.
Tim Altschwager, National Director, Agribusiness, Transaction Services at Colliers International said buyer enquiry has focussed on vineyards offering scale and efficiency or premium quality fruit. “Larger producers are also offering three and five-year grape supply agreements to secure supply and mitigate rising fruit prices.
“We observe continuing interest from overseas investors in Australian wine industry assets, particularly for premium assets, on the back of continued growth in the value of wine exports. Proven domestic industry operators are increasingly active.
“We expect this will increase competition for credentialed assets. Generally, less favourable growing conditions in South Eastern Australia will lead to a smaller 2019 wine grape crop compared to 2018. This will increase demand for wine grapes and place upward pressure on fruit prices and vineyard values,” stated Mr Altschwager.
Over the last 12 months, ground water prices in the Lower Murray (NSW), Murrumbidgee (NSW) and Katunga (VIC) have seen a sharp appreciation nearly doubling in market value.
Mr Nick Cranna, National Director, Agribusiness, Valuation &amp; Advisory Services said, "we anticipate that water entitlement prices will gradually rise in 2019 although it is difficult to see another year of strong capital appreciation as was experienced in 2018."
“In the unlikely scenario we receive normal inflows into the Southern Murray Darling Basin over the winter months we still believe this will have little bearing on water investors buy mandates into 2019 and 2020,” concluded Mr Cranna.
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Australian agribusinesses remain resilient: Colliers International

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Office values will continue to grow in 2019 following another record year which saw investment in Australian office assets surpass the $20 billion mark for the first time, according to Colliers International’s latest report
In their new Capital Markets Office Investment Review they found, more than $21.9 billion worth of office assets changed hands nation-wide in 2018. 
It's first time that sales volumes have breached the $20 billion mark and the fifth year in a row that sale volumes have been higher than $15 billion.
It is an 15% increase on 2017 investment levels and an 84% increase on the 10-year average. 
Domestic purchasers were the most active in the market, purchasing 51% of all assets by total dollar volume, despite the largest single transaction – Oxford Properties’ buyout of the Investa Office Fund for $3.4 billion in December 2018 – being to a Canadian buyer. 
The report found "institutional investors dominated both selling and buying activity, buying 77% and selling 69% of the total transaction value. Private investors were net sellers of $1.77 billion."
John Marasco, Colliers International Managing Director of Capital Markets, said, "continued strong demand in Sydney and Melbourne, coupled with improving demand fundamentals in Perth, Adelaide and Brisbane, means that we expect ongoing yield compression and rental growth will be the driver for office capital value growth across most markets in 2019."
“We now have $260 billion worth of major transport infrastructure projects under construction or planned across 315 projects in Australia, up from $211 billion across 260 projects only three years ago. This spend is in response to the strong population growth, and will further boost property markets for years to come."
Anneke Thompson, Colliers International National Director of Research, said all markets recorded capital rate compression in 2018, with an average of 20 basis points of prime grade compression recorded across CBD office markets. 
“As at December 2018, we have recorded a remarkable 27 consecutive quarters of cap rate compression, with this compression cycle starting in June 2012."
“What is also notable is in 2018 we recorded the lowest level of compression since mid-2014, indicating that this cycle is nearing its end.” 
 
According to the report, employment gains are getting stronger. 
“The drop in vacancy in Australian office markets, from 9.6% in January 2018 to 8.5% in January 2019, has been a function of both reducing supply and solid demand. There is now 100,000sqm less office space in Australian markets than there was two years ago,” Ms Thompson said. 
“Compare this against a solid jobs market over the same time period – the seasonally adjusted Australian unemployment rate has dropped from 5.8% in December 2016, to 5% in December 2018, which represents an additional 682,000 persons employed – and the supply demand imbalance starts to become clear.” 
“While certain markets, such as Sydney and Melbourne CBD and Metro office markets, still offer investors the opportunity for good income growth over the next two years, the yield compression cycle is seen to be nearing its trough,” Mr Marasco said.
“Vacancy continues to decline in Brisbane and Perth, and the Adelaide CBD in particular saw a record ten CBD sales over $20million in 2018, totalling $902million. Yields in Adelaide remain higher than the east coast markets which has seen significant compression over the past few years. The Adelaide market is expected to remain strong, driven by rental growth, falling vacancies, decreasing incentives and all-time high business sentiment."
“Mergers and Acquisitions was a theme in 2018 and we believe will continue into 2019."
The report found 2019 would also be characterised by the rise of alternative lenders and “borrowing outside the framework”. 
“For office assets or funding requirements that don’t sit neatly within major bank criteria, alternative lenders, such as offshore banks, sovereign wealth funds, family offices, fixed income specialists, life insurance companies and debt funds, are most certainly open for business,” Mr Marasco said. 
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Australian office investment passes $20 billion for first time ever

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Colliers International has sold two DA approved sites at Hemmant to a Brisbane developer for $5 million.
Estates Co. purchased the two sites, totalling 2.23ha.
The new owner has obtained development approval for 36 home sites ranging from 400sqm to 600sqm.
The sites at 261 &amp; 273 Hemmant-Tingalpa Road are within 10km of the Brisbane CBD and within close proximity to the Port of Brisbane employment hub 
They previously had acquired 30 Oswald St, Hemmant around 12 months ago for $4.715 million for a total of 68 residential lots.
<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/2019/1/22/4.%20Capture%20-%204th%20photo.jpg" alt="">
Estates Co. has developed other infill projects in the surrounding area.
These sites as the last available flood free land in the area.
"There are other sites in the area, but they are badly affected by flood or environmental issues," Jason Dao, at Colliers International said. 
“The business recognises the keenness of homeowners to live and work near the city while being surrounded with other key amenities such as shopping centres, train station, schools and parks,” he said.
Both projects will be developed in the first quarter of 2019.
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Estates Co. plans for 36 home sites in Hemmant

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Penthouses in the new Cirrus development in Canberra’s Belconnen have sold out.
There will be eight penthouses at the 167 Emu Bank project and they will range from 200 to 300 square metres.
The project is expected to be completed in mid-2020.
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Colliers International Project Marketing Executive, Grace Wang said that the penthouses benefited from north facing views, outdoor terraces, spa-like bathrooms and a town centre location.
 “It has been painstakingly designed so every apartment faces north, which in our city is the perfect orientation for sunlight and warmth, and looks out toward Lake Ginninderra,” Wang said.
“Each apartment has been designed with attention to detail, such as custom joinery, and share beautiful public spaces inspired by resort amenities including a pool and gym floor and grand entrance lobbies.
“The quality and thought that has gone into the Cirrus penthouses reflects that of the whole development.
“They have expansive outdoor spaces flowing from the living areas where views of the lake and lush surrounds can be enjoyed, at least three bathrooms and bedrooms, and floor to ceiling windows, all perched atop one of Belconnen’s tallest residential buildings.”
Colliers International Project Marketing Executive, Richard Moses said the project has attracted downsizers from nearby suburbs as well as couples and families.
“Proximity to Emu Bank, lake walking paths, and the popular Belconnen Shopping Centre as well as the fact residents won’t even have to leave the building to access fine restaurants and commercial spaces on the ground floor, all make Cirrus a development to be excited about,” Moses said.
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Penthouses at Cirrus in Canberra's Belconnen sell out

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Australia remains a favoured hotel investment market due to its economic performance, stability, transparency and governance, Gus Moors, Colliers International’s Head of Hotels, says.
“With more than $1 billion worth of hotel assets currently being marketed or in play, we expect transaction activity to increase in FYE2019.”
Colliers International’s Capital Markets Hotel Investment Review found Australian hotel transaction activity slowed in FYE2018, with volumes easing to $1.34billion after a record three years.
Deal flow increased, however, with 35 transactions above $10 million concluding throughout the year. This compares to 30 transactions in FYE2017. In New South Wales, $350 million worth of hotel assets changed hands, followed by Queensland ($347 million) and Victoria ($343 million).
Australian investors accounted for 63.7% of asset trades in FYE2018, considerably higher than the 16.5% recorded in FYE2017.
Investors from Mainland China fell behind the rest of Asia as one of the more dominant sources of inbound capital, accounting for only 1% of transactions over the year, as capital restrictions continued to bite.
“This trend is likely to continue, with South East Asian investors dominating the offshore investment landscape driven by renewed interest in diversification, both in terms of location and product,” Mr Moors said. “
Colliers International found that for the first time for more than a decade, the number of rooms opening throughout the year surpassed the number traded with investors focused on the development of new rooms.
In FYE2018, almost 6,500 new rooms came on line in the ten major markets with an estimated value of more than $2 billion.
Colliers International estimates there is a weighted accommodation pipeline of around 27,000 rooms across Australia, with almost half of these new rooms currently under construction and 7,000 rooms proposed.
These are thought likely to commence construction in the next six months or are government mandated projects.
“All markets, except for Darwin and the Gold Coast, are seeing an accelerated pipeline with openings expected to peak in 2019 and 2020,” Ms Wales said.
“Development activity is greatest in Hobart, Melbourne, Adelaide and Perth with increases set to expand the existing supply base by more than one third.”
Mr Moors said tourism was becoming increasingly important as Australia transitions to a more diversified service-based economy, and had the potential to be Australia’s fastest growing industry.
“Globally, travel continues to take a larger share of consumer spending and visitor expenditure in Australia is projected to continue to grow at a strong rate,” he said.
“The influence of demographics presents new opportunities for the hotel sector, as developers and brands seek to remain ahead of the curve in catering to both established and emerging generations of corporate employees and leisure travelers.
He concluded by noting, "strong growth in inbound tourism, particularly from China, increased leisure travel by wealthy retiring baby boomers and catering to Millennials as the largest segment of the workforce are all factors which investors should consider over the coming year.”
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Investment in Australian hotels on the rise in 2018: Colliers International

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Colliers International (SA) will be closing its residential sales division.
It comes after two key staff left suddenly to set up on their own firm.
James Young, chief executive with Colliers (SA) said the departure of Nick Pelvay and James Polacek was disappointing.
“We won’t be moving forward with residential,” he told the local paper.
“We backed a team in, gave them 100% support and invested a lot of time and effort. I felt it was the right team. We will be closing residential down for the time being. Unfortunately they have decided that life on their own is more to their liking.”
Pelvay advised he'd have retained the contracts for the projects at East End Living and The Adelaidean.
"There are also a couple more to be announced,” Pelvay said.
The new sales company is to be called ‘Projected’ .
Construction at The Adelaidean on Frome Street will begin next month while the demolition at the East End Living site at 293 Pirie St begins this week.
Mid-year a sub-penthouse apartment at The Adelaidean sold off the plan for more than $3 million.
The apartment, designed by architects Brown Falconer, is the amalgamation of two apartments on sub-penthouse level 34, and measures more than 300 square metres.
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