Macquarie York has appointed Roberts Co to as the Early Contractor Involvement (ECI) partner for its upcoming new Surfers Paradise apartment development, Sunset Residence.

Located at 50 Sunset Boulevard, Sunset Residences is a riverfront, design-driven tower set to elevate one of Surfers Paradise’s most rapidly transforming enclaves. The refined scheme, designed by Plus Studio, features 72 luxury residences, enhanced amenity, and improved connectivity to the Nerang &nbsp;River.&nbsp;

As ECI partner, Roberts Co is working closely with Macquarie York and the design team to optimise buildability, program, staging and procurement strategies ahead of construction commencement.&nbsp;

&nbsp;

Macquarie York Director, Roy Skaf, said Roberts Co’s early engagement will help ensure the landmark development realises its full potential.&nbsp;

“Sunset Residences is a signature project for Macquarie York, a chance to define a new level of riverfront living in Surfers Paradise," Skaf said.&nbsp;

&nbsp;

&nbsp;

<img alt="Roberts Co appointed Early Contractor Involvement partner for Macquarie York’s Sunset Residences on the Gold Coast" data-entity-type="file" data-entity-uuid="3dd22a45-168b-4e00-b6d2-4e7310b02084" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/SunsetResidences_Interior.jpg?VersionId=NAWvGq7l6BFB4vvh6u0xXWWISboHTi6q" />

“Partnering with Roberts Co under an ECI arrangement gives us the confidence that design decisions, construction methodology and programming are being rigorously considered from day one. Their collaborative mindset and technical capability are exactly what a project of this quality demands.”&nbsp;

&nbsp;

Construction is expected to commence following completion of the ECI phase and final design resolution.

Sunset Residences is one of three projects Macquarie York has locally. They have Rana Palm Beach, 60 apartments on Twenty Third Avenue, and Azariah, just nine residences on the dress circle Jefferson Lane, also in Palm Beach.

Joel Robinson

Macquarie York appoints Roberts & Co for early works agreement at Sunset Residences

Few developers in South East Queensland have shaped the new development apartment market as profoundly, or as consistently, as Mosaic Property Group. In 2025, the business delivered another very strong year across Brisbane, the Gold Coast, and the Sunshine Coast, building on the foundations of nearly two decades of discipline, long-term thinking, and relentless refinement of its craft.

Their continued success is driven from the top. Founder and Managing Director Brook Monahan, very much credits the success to a workforce of “massive grafters”, and a culture where complacency simply doesn’t exist.

“In every part of our business, we’re constantly pushing to get better” Monahan told <a href="http://apartments.com.au">Apartments.com.au</a>. “We never rest on our laurels.”

The company’s growth continued its upward trajectory, with the developer completing six luxury projects in 2025, representing approximately $850 million in value and delivering 536 new luxury homes. Mosaic also sold over $1.4 billion worth a new luxury apartments at an average price point of $3.41 million in 2025.

Heading into 2026, they have a further five projects under construction and an immediate pipeline across Brisbane and the Gold Coast, representing just shy of $2 billion in value. I spoke with Brook about everything from the evolution of Mosaic’s business to the fundamentals driving the SEQ property market.

<hr />
<h2>A market defined by two forces</h2>

The fundamental drivers of SEQ’s housing dynamics in 2025 are straightforward: a generational transfer of wealth on a scale Australia has never seen, and migration numbers that continue to exceed expectations.

“An enormous amount of wealth will move through the next decade,” Monahan explains. “That wave isn’t going anywhere.” Simultaneously, “you can’t run migration at the numbers we’re seeing, while also having a generational shift of wealth from boomers, and not expect demand to remain strong. People move here, they bring money, they want to buy a home and create a future.”

While top-end product in some pockets has softened from the frenzy of 18 months ago, Monahan believes&nbsp; the wave will remain “pretty strong,” especially for developers with brand trust and a long-term track record.&nbsp;

“The $4 million to $10 million segment remains fairly robust, but buyers are much more educated now than they’ve ever been. They have access to information and they’re smart people. They’re generally not&nbsp; willing to trust a new entrant asking $15 million with no track record.”

This heightened consumer discernment, he notes, is reshaping how premium projects are evaluated by developers.

<hr />
<h2>The problem behind the crisis</h2>

Despite strong demand, SEQ’s housing market remains severely undersupplied. Brisbane needs around 12,000 new homes per year, yet delivered only 4,000 last year. The Gold Coast requires around 6500 but delivered less than half of that. The backlog is massive.

“We’re probably 54,000 homes short in the next five years in Brisbane alone,” Monahan estimates. “Maybe 100,000 across the whole of Queensland.”

The core issue however isn’t planning.&nbsp;

“The planning environment is actually super supportive right now,” he says. “Approvals aren’t the problem. It’s turning approvals into real supply.”

The gap between development approvals and project starts has widened significantly as construction costs escalate, contractors disappear from the market, and inexperienced developers try, and fail, to bring projects to life.

“A development application (DA) is only part of the equation, it means little without the ability to deliver,” he explains. “Many applicants underestimate the complexity involved. It’s not just about securing a site; you need the right formula and all the right ingredients to make it work. Without that, the end result will fall short of expectations and increase the risk of project failure.

The result is market distortion: sites tied up by entrants who lack experience, capital certainty, construction understanding, or a realistic feasibility model. “It’s not good for the industry,” he says. “You get more and more mooted supply but very little real delivery.”

<hr />
<h2>Construction realities and the coming resource crunch</h2>

Beyond development capability, SEQ faces macroeconomic pressures. Over $7 billion must be delivered by late 2031 just for Olympics-related obligations. Add $18 billion in hospital and health infrastructure, and the region faces a “resource drain” Monahan believes will reshape delivery timelines and construction pricing for years.

“It will ultimately be great for SEQ for the next 20 years,” he says. “But it puts enormous pressure on an already chronically undersupplied housing market.”

This pressure will inevitably influence pricing. Double-digit growth cannot continue indefinitely, but Monahan sees no path to meaningfully lower construction costs. “It’s impossible to meet demand at a cheaper price point given labour capability and resource competition,” he says.

“Those who can afford it will keep paying more and the rest are fighting to get a foothold. That’s why the market keeps creeping upward.”

<hr />
<h2>Mosaic’s disciplined blueprint: Only A-Grade, iconic, irreplicable</h2>

With a long track record of delivery and in-house construction expertise, Mosaic works backwards from the cost of delivery to determine the right price for a site—a disciplined acquisition model they’ve adhered to from day one.

&nbsp;“We’re never out of the market,” Monahan says. “But we’re extremely disciplined. We don’t buy B+ sites. We won’t buy run-of-the-mill locations. Ever. That’s not our brand and it’s also not economically viable for us in most instances.”

Mosaic’s nine current developments illustrate this discipline:

<ul>
	<li aria-level="1"><a href="https://www.apartments.com.au/new-apartments/lily-by-mosaic-4-rosewood-avenue-broadbeach-qld-4218">Lily</a> and <a href="https://www.apartments.com.au/buildings/marella-146-surf-parade-broadbeach-qld-4218">Marella</a>, Broadbeach: Two 30-storey buildings with permanently protected views over parkland, beach and coastline 
	&nbsp;</li>
	<li aria-level="1"><a href="https://www.apartments.com.au/new-apartments/isabel-by-mosaic-96-the-esplanade-burleigh-heads-qld-4220">Isabel</a> and, <a href="https://www.apartments.com.au/new-apartments/josephine-by-mosaic-166-the-esplanade-burleigh-heads-qld-4220">Jospehine</a>, Burleigh Heads – all “masterpiece” sites on the Esplanade with enduring view corridors of beach, water and coastline in the heart of Burleigh 
	&nbsp;</li>
	<li aria-level="1"><a href="https://www.apartments.com.au/new-apartments/sophia-by-mosaic-1357-gold-coast-highway-palm-beach-qld-4221">Sophia</a>, Palm Beach- directly on the dunes of the most highly sought after stretch of northern Palm Beach beachfront real estate 
	&nbsp;</li>
	<li aria-level="1"><a href="https://www.apartments.com.au/new-apartments/madeline-by-mosaic-22-mary-avenue-broadbeach-qld-4218">Madeline</a>, Broadbeach – “180 degrees beach, water and coastline views, great walk score” 
	&nbsp;</li>
	<li aria-level="1"><a href="https://www.apartments.com.au/new-apartments/the-bedford-by-mosaic-16-30-prospect-street-kangaroo-point-qld-4169">The Bedford</a>, Kangaroo Point – a site Mosaic first identified in 2016. Amazing walk score, views and inner city connectivity 
	&nbsp;</li>
	<li aria-level="1"><a href="https://www.apartments.com.au/new-apartments/the-carter-by-mosaic-77-linton-street-kangaroo-point-qld-4169">The Carter</a>, Kangaroo Point – in between the Gabba and the Kangaroo Point peninsula with amazing walk score and uninterrupted and expansive northern city and river views 
	&nbsp;</li>
	<li aria-level="1">South Brisbane (launching 2026) – core inner-city Brisbane river waterfront site on the northern end of the peninsula with amazing river connection and permanent river and city views, amazing walk score</li>
</ul>

“Nothing we buy is guesswork,” Monahan says. “It’s always an iconic suburb where people genuinely want to live, with strong connections to water, lifestyle, amenity, or permanent view corridors.”

“Mosaic’s two most recent Brisbane acquisitions were several years in the making. The Bedford, launched on the prestigious Kangaroo Point peninsula and achieving 90 per cent sales within months was a site they identified back in 2016. The second, which is the yet to be released at 91 Montague Road in South Brisbane, has been on Mosaic’s radar since 2017.&nbsp;

Arguably one of Brisbane’s last great inner city riverfront sites, it sits within the city’s most dynamic cultural hub, offering unrivalled connectivity, lifestyle, and amenity, and standing as a landmark opportunity to define the next era of riverfront living.

“We know exactly what is and isn’t a Mosaic project. Strategic site selection is the critical foundation of everything we do. We’re always assessing opportunities, but based on our two most recent Brisbane acquisitions, it’s entirely possible that the sites we’re looking at today won’t transact for several years. That discipline is what ensures every project meets our exacting standards.”

<hr />
<h2>The Mosaic engine: Consistency, capability, and relentless execution</h2>

What separates Mosaic in a crowded field is not the ability to attract capital or buy a site, but the ability to deliver highly complex high end buildings, whether that is 37 storeys or 18 storeys, repeatedly and consistently.

“These buildings are inherently complex to deliver well,” Monahan says. “It takes a long time to know exactly what the market wants, how to deliver it, how to secure the right contractors and consultants, and how to align the product with what the market is actually willing to pay and can afford.”

With so many contractors exiting the market in recent years, genuine delivery capability has become increasingly rare. Monahan welcomes credible new entrants but cautions that underestimating the complexity of luxury development can lead to poor outcomes.&nbsp;

“It’s easy to assume high-end projects equal high returns, but without the right experience, track record, and capability, it’s a tough road. Attracting capital is one thing—delivering on expectations is another, and when that doesn’t happen, it impacts the entire market.’”

<hr />
<h2>Looking to 2026: A pipeline built on patience and precision</h2>

As 2025 draws to a close, Mosaic stands at the strongest point in its history. Since 2012 alone, the company has completed more than $2 billion in projects and is set to deliver another $2 billion worth of developments, hundreds of luxury apartments, all bearing Mosaic’s hallmark of impeccable delivery.&nbsp;

Next to launch are two standout projects: Josephine, an exclusive collection of just 30 half- and full-floor ultra-luxury residences coming soon to the Burleigh Heads beachfront, and a landmark tower on Montague Road in South Brisbane, comprising 204 apartments in the heart of the city’s cultural hub on the banks of the Brisbane river.

“We never arrive. There’s no finish line for us,” said Monahan. “Our focus is on continuing to evolve in the luxury space, creating incredible, design- and lifestyle-led properties that people love living in and that stand the test of time.” 
&nbsp;

What’s ahead for South East Queensland’s next development wave: Five minutes with Mosaic’s Brook Monahan

Developer Third.i has topped out its luxury Potts Point apartment development, <a href="https://www.apartments.com.au/new-apartments/muse-potts-point-30-34-brougham-street-potts-point-nsw-2011">Muse</a>.

Under construction by Dilcara and expected to complete in mid-2026, Muse comprises just 13 apartments designed by acclaimed architects <a href="https://www.apartments.com.au/architects/wmk-architecture">WMK Architecture</a> and Mathieson. The building’s design celebrates Potts Point’s heritage character while introducing refined modern elements like advanced building technology and private balconies and terraces that offer views of the Sydney city skyline.

[smartcode_project:default project_id=112613 project_image_fid=231687]

Luke Berry, Director &amp; Co-Founder at Thirdi Group, said Muse is a celebration of Potts Point’s unique character and charm.

"With only 13 residences, we’ve created something truly special for those who appreciate exclusivity and design excellence," Berry says"

"The views, the location, and the lifestyle make Muse a rare opportunity in Sydney’s property market. We’re thrilled to see the project take shape and look forward to welcoming our residents in mid-2026.”

[smartcode_project:default project_id=112613 project_image_fid=231686]

Only a limited number of residences remain at Muse.

Third.i recently launched The Rushcutters nearby, also just 13 large-scale apartments. The two-bedroom apartments were all snapped up in double-quick time. The three-bedroom apartments are priced from just under $5 million.

Potts Point has always been popular for apartment living, but given the lack of suitable development sites in the affluent suburb, new apartment developments have been few and far between.

Early next year Ceerose will launch <a href="https://www.apartments.com.au/new-apartments/belgravia-potts-point-117-victoria-street-potts-point-nsw-2011">Belgravia</a>, a mix of two- and three-bedroom apartments on Victoria Street.

[smartcode_project_cta:default project_id=112613]

Staff Writer

Third.i tops out Muse, Potts Point apartments

Buyer interest in Capital Corporation’s <a href="https://www.apartments.com.au/new-apartments/the-residences-at-wahroonga-estate-169-fox-valley-road-wahroonga-nsw-2076">The Residences at Wahroonga Estate</a> has been gaining momentum following the recent groundbreaking and the commencement of construction.

Enquiry data has pointed to a clear theme: larger apartments are leading demand, particularly among downsizers who want to remain on Sydney’s Upper North Shore.

Since June, three-bedroom layouts have attracted the highest level of enquiry. The three-bed, two-bath, two-car apartments priced from $1.69 million generated the most enquiries, the highest of any floorplan, followed by the larger three-bed garden residences which are priced at $2.25 million.

It's been a prevailing theme for Capital Corporation, who, in the early stages of marketing, reacted to buyer feedback to create more three-bedroom apartments.

The numbers echo what <a href="https://www.apartments.com.au/developers/capital-corporation">Capital Corporation</a> has observed since the project’s early stages. Buyers want generous internal space, established amenity and the ability to age in place without leaving the area.&nbsp;

[smartcode_project:default project_id=135247 project_image_fid=284378]

Capital Corporation Managing Director Jim Hunter said this was a major factor in the estate’s momentum, noting that “the combination of premium design, convenience and direct access to Sydney’s leading private hospital has proven to be a major drawcard”.

That connection to health and wellbeing has proven especially influential for older owner-occupiers. Research commissioned by Capital Corporation found that one in three Australians downsizing do so for health-related reasons, with a third specifically seeking proximity to medical facilities.&nbsp;

[smartcode_project:default project_id=135247 project_image_fid=262185]

The buyer profile emerging at <a href="https://www.apartments.com.au/developments/wahroonga-nsw-2076">Wahroonga</a> Estate reflects this shift. Local residents Peter and Corinne Collins, both in their mid-70s, are among those who chose to downsize within the suburb after decades in their family home. They secured a top-floor three-bedroom apartment after queuing on launch day in March, citing the bushland setting, walkability, and peace of mind of being close to medical services as key reasons for their purchase.

“Being able to walk everywhere, including to the hospital if we need to, really gave us peace of mind,” Corinne told Apartments.com.au.

Read more: <a href="https://www.apartments.com.au/news/nsw/from-family-home-to-bushland-retreat-why-peter-and-corinne-chose-the-residences-at-wahroonga-estate">From family home to bushland retreat: Why Peter and Corinne chose The Residences at Wahroonga Estate</a>

[smartcode_project:default project_id=135247 project_image_fid=3629]

Architecture firm <a href="https://www.apartments.com.au/architects/group-gsa">Group GSA</a>&nbsp;are behind the design at The Residences at Wahroonga Estate. There are 128 one-, two-, and three-bedroom apartments, complete with interiors&nbsp;by <a href="https://www.apartments.com.au/interior-designers/coco-republic-interior-design">Coco Republic</a>. Floor-to-ceiling glass maximises views of the bushland ridgeline, while on-site amenity includes a residents’ lounge, pet-friendly Green Spine, BBQ pavilion and direct access to Coups Creek bushland and walking tracks.

Gold Star iCIRT-rated builder&nbsp;<a href="https://www.apartments.com.au/builders/dasco-australia">DASCO</a>&nbsp;was&nbsp;appointed earlier this year to deliver The Residences at Wahroonga Estate. They are expected to complete the building in late 2027, with residents to move in shortly after.

[smartcode_project_cta:default project_id=135247]

Downsizer demand continues to shape The Residences at Wahroonga Estate

With Brisbane’s housing market soaring and home ownership becoming increasingly out of reach for many buyers, townhouses have emerged as the new urban dream, offering private, low-maintenance retreats complete with pools, parklands, and lifestyle amenities.

As Brisbane faces a growing shortage of quality new residential offerings, <a href="https://www.apartments.com.au/developers/honeycombes-property-group">Honeycombes Property Group</a> has released to the market Songbird Terraces, a boutique development of just 34 terrace homes in the heart of the leafy residential enclave of Oxley.

Offering a more affordable option to the white picket fence house, buyers can purchase a brand new architecturally designed three bedroom terrace home overlooking park and bushland with a communal heated pool, BBQ terrace, private parklands and an on-site café, while being just minutes from <a href="https://www.apartments.com.au/developments/oxley-qld-4075">Oxley</a>’s village centre, train station, and a range of schools and amenities.

[smartcode_project:default project_id=149443 project_image_fid=5241]

Each of the spacious three bedroom plus multi purpose room or four bedroom townhomes feature premium finishes, landscaped courtyards, designer kitchens, two-car accommodation, and optional upgrades for tailored living.

Honeycombes Property Group Managing Director Peter Honeycombe said with completion anticipated in early 2027, this was an incredibly rare chance to buy a fixed-price, brand-new, off the plan home in one of Brisbane’s most tightly held and liveable suburbs, without the stress of auctions and chaotic open homes.

“With prices starting from $1.195 million, <a href="https://www.apartments.com.au/new-townhouses/songbird-terraces-oxley-10-honeyeater-circuit-oxley-qld-4075">Songbird Terraces</a> are designed for owner occupiers seeking space, style and lifestyle, without the maintenance,” Honeycombe said.

“Surrounded by natural bushland and close to manicured parks, walking trails, boutique shops, cafes, cinemas and golf courses, Oxley continues to stand out as one of Brisbane’s most liveable suburbs.”

[smartcode_project:default project_id=149443 project_image_fid=355541]

<a href="https://www.apartments.com.au/project-marketer/colliers">Colliers</a> Residential Director Andrew Scriven said with a limited number of homes available, Songbird Terraces was attracting strong interest from families, upsizers, first home buyers and downsizers looking for quality, location and long-term value.&nbsp;

“Demand is high, supply is low, and the market is crying out for high-quality homes in established well connected areas like Oxley,” Scriven said.

“What was once seen as a compromise between a house and an apartment a townhouse has now become a lifestyle choice, more and more homebuyers are shifting their focus from traditional detached houses to modern, low-maintenance townhouses that offer greater value and convenience.

“As the city’s population grows and urban sprawl becomes less sustainable, Brisbane’s townhouse market is set to expand even further.&nbsp;

“There’s definitely a panic from buyers who’ve been pushed out of the house market but still want to stay in well-connected suburbs with great schools and amenities, they are worried they will miss out as property prices continually rise.”

[smartcode_project:default project_id=149443 project_image_fid=5238]

After eight years of calling Australia home, Agnes Skoraczewska and Matt Biskupski decided it was finally time to take the next step and purchase a home of their own. With property prices continuing to climb, the couple didn’t want to wait any longer and secured a three-bedroom plus multi purpose room townhouse at Songbird Terraces, locking in a fixed price ahead of their move in 2027.

“The truth is, we didn’t want to wait any longer,” Biskupski said. “Seeing what was happening in the market, we realised now was the right time to buy. It gives us peace of mind knowing we no longer have to worry about renting.”

When they discovered Songbird Terraces, the decision came easily.

“The area is lovely and quiet, yet still so close to the city, it’s the perfect balance for work and life,” Skoraczewska said. “It’s a place where we can recharge our batteries while staying connected to everything we need.”

[smartcode_project:default project_id=149443 project_image_fid=5237]

For Agnes and Matt, buying off the plan offered the ideal solution, the confidence of securing their dream home at today’s prices, and the excitement of planning for the future in a community that perfectly fits their lifestyle.

As the final residential precinct within the Songbird Oxley master plan, Songbird Terraces will continue to breathe new life into the area and help create a suburb destination rich in lifestyle amenity.

Colliers Residential Director Lily O'Connell said Songbird is positioned to take full advantage of elevated north and east-facing parkland views, the homes feature low-maintenance design and high energy efficiency to reduce ongoing costs while enhancing everyday comfort.

“And with an array of layouts, catering to a diverse range of lifestyles this is an offering for all,” O'Connell said.

“This is the final release in a masterplanned community that’s become one of Oxley’s most desirable addresses, offering a last chance to enter this community where opportunities are few and far between.”

The homes will be delivered by Clearcon Builders, specialists in premium townhome construction. They will commence construction before Christmas, and is aiming to complete the development in early 2027.

<h2>Songbird Terraces Snapshot</h2>

<ul>
	<li>34 architecturally designed 3 bedroom + multi-purpose room terrace homes.</li>
	<li>An array of layouts, catering to a diverse range of lifestyles.</li>
	<li>Perfectly positioned to take advantage of north and east views over park and bushland.</li>
	<li>A multi-purpose room, which can serve as a second living area, teen retreat, study or fourth bedroom.</li>
	<li>Designer kitchens featuring high quality engineered stone benchtops and European appliances.</li>
	<li>Spacious outdoor living areas and landscaped courtyards perfect for alfresco dining.</li>
	<li>Generous internal and external spaces, designed to take advantage of views overlooking park and bushland.</li>
	<li>Low maintenance, energy efficient &amp; two car accommodation.</li>
	<li>Access to a heated resort-style pool, outdoor entertaining terrace and beautifully landscaped gardens and park.</li>
</ul>

[smartcode_project_cta:default project_id=149443]

Songbird Terraces offer 34 architect-designed townhomes in private enclave, surrounded by bushland, parks and resort style amenity

Townhouse living, Brisbane’s new affordable urban dream?

Franchise

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7-Eleven and its franchisees have been granted conditional interim authorisation to discuss potential temporary store closures or reduced trading hours in light of reduced customer demand because of COVID-19 restrictions.
7-Eleven owns and operates stores in competition with its franchisees in some areas and therefore discussions and agreements between them risk breaching the competition laws.
“We recognise that 7-Eleven and its franchisees are facing difficult trading conditions due to the COVID-19 pandemic, and believe this co-operation could help the network and individual stores to remain viable,” ACCC Chair Rod Sims said.
“Importantly, franchisees are not required to temporarily close or reduce their store hours if they do not wish to. Our decision to grant interim authorisation does not force franchisees to agree to the terms offered by 7-Eleven.”
Franchisees that agree to close temporarily will receive an ex-gratia payment from 7-Eleven to cover certain unavoidable operational costs. For franchisees that agree to reduce their hours, the minimum guaranteed income that the franchisee receives from 7-Eleven would be pro-rata adjusted to reflect the temporary reduction in trading hours.
“Franchisees are strongly encouraged to seek independent legal and financial advice when considering whether to adopt these temporary measures,” Mr Sims said.
Interim authorisation is subject to a condition that requires 7-Eleven to notify the ACCC of arrangements reached with franchisees to provide some ACCC oversight.
“We are going to closely monitor the effect of these arrangements and when it is appropriate for this authorisation to be revoked,” Mr Sims said.
Having granted interim authorisation for the arrangements, the ACCC will seek feedback on 7-Eleven’s application for authorisation. 
Details on how to make a submission and more information, including the ACCC’s interim authorisation decision, is available at <a href="https://www.accc.gov.au/public-registers/authorisations-and-notifications-registers/authorisations-register/7-eleven-stores-pty-limited" target="_blank">7-Eleven Stores Pty Limited</a>.
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j.ballantyne1990-6AQqhLzZaK

7-Eleven and franchisees authorised to co-operate on store opening times: ACCC

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Accusations from Mortgage Choice franchisees accusing the aggregator of running a harsh business model and remuneration structure have triggered a promise to change its remuneration model.
Mortgage Choice released an announcement on the ASX yesterday in response to an investigation by Fairfax Media and ABC’s 7.30. The investigation had been looming for some time among tweets as franchisees readied to set up a fund to take legal action.
Towards the end of last year they agreed to commit $200,000, but put this on hold after Mortgage Choice said it would review the structure.
The media report outlined how the broker previously employed an up-front commission model and changed this to a performance-based model based on loan targets in the wake of the 2007-2008 Global Financial Crisis. 
But it never changing back to the original structure once the crisis had passed.
The recently appointed Mortgage Choice chief executive Susan Mitchell admitted the model was “outdated.”
In the ASX statement from company secretary David Hoskins, Mortgage Choice advised it would be working closely with franchisees about a more “competitive remuneration model”.
The statement said the purpose of this would be to “increase franchisee remuneration and reduce franchisee income volatility to allow them to grow their business and assist more customers with their home loan needs”.
CEO of Mortgage Choice, Susan Mitchell, said she anticipated the changes would support the long term sustainable growth of Mortgage Choice.
“We want to continue to help Australians with their financial services needs for many years to come and having thriving, growing franchisees that have the confidence to invest in their business is critical to achieving this.”
Mortgage Choice expects to finalise a new remuneration model in this coming July and implement an opt-in basis across the network in August.
Documents suggest almost half of Mortgage Choice’s franchisees were considering legal action to get a better and fairer remuneration scheme.
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Mortgage Choice saw its shares plunge 40 per cent on Tuesday after Fairfax and the ABC reported 173 of its franchisees were considering a fighting fund to take on the home loan giant. Shares were up 1 percent in Wednesday morning trade.
<a href="http://www.abc.net.au/7.30/" target="_blank" title="www.abc.net.au">On ABC’s 7.30</a>, a number of struggling Mortgage Choice franchisees spoke about having to sell their houses because of their financial struggles brought on by the business.
Franchisees are reportedly being pressured to sign $1.5 million in loans per month, much higher than the national average of any other company.
If brokers fail to meet that target, Mortgage Choice takes a greater section of the franchisee’s profit.
Melbourne franchisee Russell Chellew told the program he’s become physically sick since owning his own Mortgage Choice franchise.
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Mortgage Choices advised shareholder that change in the remuneration model does not affect the FY2018 cash result.
"Market updates will include guidance on a one off adjustment to the FY2018 IFRS result based on the change in the average payout rate to franchisees once this is known."
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Mortgage Choice moves quickly to quell franchisee revolt 

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The Better Homes and Gardens Real Estate brand is set to enter the Australian real estate market after a master franchise agreement was completed between the Realogy Holdings Corporation and CT Investment Holdings Pty Ltd.
CT Investment Holdings chairman and owner is Charles Tarbey, who is also the chairman and owner of Century 21 Australasia.
It operates in around 40 states across the USA.
It is not the first time the publishing/real estate linkage has been tried in Australia as Belle magazine teamed up with a property syndicate to launch the Belle property group, which has had erratic progress following its 2000 launch headed by former politician John Hewson, estate agent Chris Meehan and Peter Hocking.
Supported by Better Homes and Gardens magazine, the company will provide lifestyle, styling, renovating and gardening content, as well as traditional real estate sales and leasing services.
The Better Homes and Gardens magazine’s multi-media lifestyle brand print edition is read by nearly 40 million people per month in the US and Australia.
In Australia, Better Homes and Gardens magazine boasts a cross-platform reach of more than 3.5 million people across print, digital and social, with Better Homes and Gardens being the most read magazine in Australia.  
Sherry Chris, the global President and CEO of Better Homes and Gardens Real Estate, said the announcement marks a "momentous point in Better Homes and Gardens Real Estate’s strategic growth story."
“Better Homes and Gardens’ lifestyle magazine brand has an unparalleled scope and reputation in Australia, as it does in the United States.  These benefits pave a path of competitive advantage for the Better Homes and Gardens Real Estate brand as it launches in Australia and New Zealand, and there is no better person to oversee the brand’s strategic growth and development than Charles, a seasoned and respected leader in the real estate market.”
There has been strong interest in the Better Homes and Gardens Real Estate opportunity in Australia and New Zealand.
Tarbey said that the Better Homes and Gardens Real Estate brand will have a very different offering than other real estate brands throughout Australia and New Zealand and likely appeal to a very unique demographic.
“The franchisees affiliated with the new business will not only offer traditional real estate services but also what I would describe as a ‘complete lifestyle experience’, that leverages lifestyle content that complements and relates to Better Homes and Gardens magazine.
“Whether it is helping people prepare a home for sale or assisting them in their search for a new home, the Better Homes and Gardens Real Estate brand will enter Australia and New Zealand markets with an exclusive offering.
"This offering, combined with the power of the media brand and the experienced real estate practitioners we expect to attract, gives us a high degree of confidence that the Better Homes and Gardens Real Estate brand will succeed in real estate like it has in so many other domains,” said Charles Tarbey.
The Editor in Chief of Better Homes and Gardens magazine in Australia, Julia Zaetta, welcomed the news.
“We are very excited to have the Better Homes and Gardens Real Estate brand in Australia. Better Homes and Gardens’ magazine media brand is a large, much loved and highly trusted multi-platform offering and it is great news that the real estate brand is expanding.
“We are thrilled our wide audience will now be able to enjoy real estate services as they undertake some of the most important activities of their lives: buying, selling and renting their home.” 
Julia Zaetta paid $1.45 million for her Neutral Bay unit in 2016.
The growing Better Homes and Gardens Real Estate network includes more than 11,500 affiliated sales associates and hundreds of offices serving home buyers and sellers across the United States and Canada, Jamaica and the Bahamas.
It is expected that the first Better Homes and Gardens Real Estate offices will open their doors in Australia towards the end of 2018 and in New Zealand in 2020.
 
 
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jchancellor-FAypfDUnLy

New belle of the property ball...Better Homes and Gardens brand comes to real estate in Australia

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<img src="https://counter.theconversation.edu.au/content/81261/count.gif?distributor=republish-lightbox-advanced" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
Some franchisees of hardware chain Mitre 10 are calling for an end to “company-owned” stores. These are stores owned and run by Metcash, which owns the Mitre 10 brand and is a supplier to the franchisees.
But research shows that brands with a mixture of franchised and company-owned stores are not only more profitable but also more valuable than brands that are purely franchised. Company-owned stores are a win-win for franchisees and franchisors.
As we have seen with the likes of McDonald’s and Bob Jane T-Marts, company-owned stores have various functions. They may be “flagship” stores in prominent locations, making them a marketing tool. They can also be places for experimentation with new products, technologies, store concepts, and prices.
Some franchisors have also used company-owned stores as mini-warehouses to supply other stores within a trade area. Finally, company-owned stores expand the network, lowering costs for the whole franchise and acting as a barrier to entry for competitors.
The benefits of all these measures are not always obvious or measurable by franchisees. For example, the average franchisee won’t appreciate the research and development costs incurred by a company store for a new training program or product. Franchisees only see the final result.
Tensions between franchisees and franchisors
There can be a legitimate tension between franchised and company-owned stores. For instance, company-owned stores may have greater access to resources such as local area advertising and staff training, preferential pricing and access to stock, and even favourable trading terms.
This can be unsettling for franchisees who feel they are not only competing against other brands but also their own. This is called “encroachment” and can damage the brand in the long run.
In a case between McDonald’s and a franchisee, the Victorian Supreme Court found that McDonald’s could open new stores even if they potentially impact the existing franchisee. Opening new stores creates a barrier to entry for competitors, increases sales, and thereby lowers the costs of products for both franchisees and company-owned stores. This shows that even an action that may appear harmful can have wider benefits.
The huge difference in business models between franchisors and franchisees can also be a source of tension.
Franchisees are retailers. They need to buy the products they are selling as cheaply as possible while incurring the least amount of cost. In doing so they will maximise their retail profit. On the other hand, franchisors are like a wholesaler. They rely on the profit they make from selling products to franchisees. So franchisors can afford to lose money in company-owned stores, making up the difference by selling products wholesale to franchisees.
A happy medium
But as the research clearly shows, for franchisees the benefit from company-owned stores - from marketing, research and development, and training - outweighs the negatives. Nevertheless, some things should change to keep the peace.
For starters, every company-owned store should operate like a franchise. Franchisees have been found to perform better than company-owned stores. Franchisees have skin in the game and are motivated by the bottom line of their stores.
What this means in practice is that all stores should make the same contributions to a marketing fund, buy products at the same price, and observe the same retail pricing structure. Company stores should have the same relative local advertising budget as franchisees, have the same stock-holding requirement (quantity and range), and company store managers should face the same performance criteria as franchisees.
Company stores might not perform as well at the bottom line, but overall they add value to both franchisors and franchisees.
<a href="https://theconversation.com/profiles/lorelle-frazer-189491" target="_blank">Lorelle Frazer </a>is Professor and Director, Franchising Centre, Griffith University.
<a href="https://theconversation.com/profiles/maurice-roussety-320016" target="_blank">Maurice Roussety </a>is Lecturer- Franchising and Marketing, Griffith University.
Both are authors for <a href="https://theconversation.com/au" target="_blank">The Conversation</a>.
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Both franchisees and franchisors benefit from company-owned stores

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Cleaning franchise group James’ Homes Services are launching a commercial cleaning arm in October targeting high rise offices and apartments, hotels, schools and aged facilities.
Mike Dowling, CEO and master franchise owner said more than $25 billion worth of commercial property changed hands each year creating enormous demand, particularly for end of lease and ongoing cleaning services. 
 “There is a major gap in the market and I believe James’ Commercial can fill it, and fill it well,” he said.
  “We are excited to be expanding into the commercial arena.
 “Commercial cleaning often means bigger jobs and can frequently be done after hours so there is huge scope for new franchisees interested in working flexible hours and taking on staff.  
"James’ Commercial will take on long-term contracts as well as one-off jobs.
  Mr Dowling purchased the master franchise in October 2015, throwing the business a financial lifeline.  
He said his ambition is to build the group and to make it the best in the business.
"I want to leave a positive mark on the industry and to see all of our franchisees succeed because when they do well, we do well also," he said.
 “It is a very different company today which is a direct reflection of the way we operate and the values we bring to the market. At James’, we care about people and we really understand our market.
"Cleaning is all about service so we work closely with our franchisees to ensure our customers have an exceptional experience.
 “It is this personalised approach that makes us stand out and we will be extending the same attention and support to our new commercial clients.  
“James’ Home Services is going from strength to strength and that is a reflection of the culture as well as the many new processes and procedures we have put in place to support our franchisees and deliver excellent service to our customers.  
<a href="https://www.jameshomeservices.com.au/" target="_blank">James’ Home Services</a> provides a wide range of cleaning and maintenance services from interior and exterior cleaning to mobile pet grooming and has operations throughout Queensland, Western Australia, Victoria, Australian Capital Territory and New South Wales.
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jonathanchancellor-7SQnKwU6yx

James’ Homes Services to launch commercial cleaning arm

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The Australian Financial Review has obtained a leaked letter highlighting the concerns of franchisees at the listed real estate group McGrath.
The March letter was sent to management outlining a range of concerns about the outlook for the company.
The group of 13 McGrath franchisees said they were supporters of management, but warned of the need for investment in customer management software.
They complained of an increase in franchise fees despite head office running a poorly performing system.
They also complained that the brand's marketing "needs to show understanding for different markets and adapt much quicker."
It suggested the franchise services team lacked autonomy to make decisions, leaving simple requests taking "over two weeks and more difficult ones six months or more."
They asked for an overhaul of the recently relaunched company website which is viewed by users as pretty but disfunctional.
The letter preceded the appointment by the ASX-listed company of former Chandler Macleod boss Cameron Judson as its joint chief executive in July, alongside founder John McGrath.
John McGrath stepped down as chief executive last week, assuming the role of executive director. 
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McGrath offices complain about website relaunch

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Stockdale &amp; Leggo has got expansionary plans with NSW agents and offices being approached by its chief, Peter Thomas.
It has been a major force in Victorian real estate since 1936.
With its strongest presence by far in Victoria, its 90 offices span the CBD, metropolitan areas and regional centres.  
<img src="/images/2016/07/27/Screen%20Shot%202016-07-27%20at%2010.53.26%20AM.png" alt="">
Stockdale &amp; Leggo have expanded beyond Victoria, to have offices in New South Wales, Northern Territory and Queensland.
It has recently employed Andrew Lane, as its NSW Franchise and Business Development Manager to further grow into NSW beyond its current Albury and Corowa offices.
Andrew, who went to school in the Albury district, has had over 20 years in the industry with the last seven being in similar corporate roles at Raine &amp; Horne and The Professionals.
"His experience and dedication will ensure Stockdale &amp; Leggo NSW offers not only an alternative when thinking about your future, but ensures it becomes your number one choice," Peter Thomas said.
"We’re constantly on the hunt for eager, ambitious operators keen to succeed alongside us," he said.
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Stockdale and Leggo want NSW offices

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The One Agency Real Estate group, which helps agents set up their own agency for a fee without the traditional franchise model, is targeting 160 offices by end-June, placing it within the top 10 networks in Australia.
It has more than 120 offices across Australia and New Zealand since opening its doors in 2008, with another 20+ businesses scheduled to open their doors before the end of March.
Founder &amp; CEO Paul Davies launched the business model after more than 30 years as a real estate business owner, across both franchise and independent agencies.
“In the real estate industry it’s almost impossible, as an independent agency, to compete with the big franchises in your local marketplace,” said Davies. “But buying into an established franchise is both constraining and costly, so I set out to create a model that helped business owners to keep as much of their profit in their own back pocket and one that allows them to choose how they operate and grow.”
Members of the group have the flexibility to promote their brand with less restrictions than a traditional franchise. 
“The modern world of real estate is forever evolving and One Agency is at the forefront of that evolution which is why I chose to join the group,” says Grant Baker, from One Agency Noosa in QLD, member since 2013. “The business model is perfectly geared towards the self-motivated agent wanting to achieve personal success and retain all the profits of their labour.”
“The whole process, including the initial discussions, the changeover and the ongoing support, reinforces our thoughts that One Agency is the place to be,” says Stephen Johnston, ex-major franchisee, now an owner of One Agency Dunedin in NZ.
“I had a 23 year association with LJ Hooker brand and in April 2014 we made the leap to join One Agency after careful consideration and research into the One Agency Brand. We have saved a lot of money in franchise fees and have the ability to do business in a more flexible manner, no fees on the rent-roll is a great bonus,” says Andrew Johns, the owner of One Agency South. “The transition has been great and the support from the team at One Agency operations team has been efficient, friendly and impressive.”
“When we were setting up in business, we were approached by some big name franchises and the set up costs were horrific,” says Michael Lister from One Agency The Forest in the Sydney suburb of Frenchs Forest, operating since 2010. “We figured ‘why are we going to work so hard for somebody else’s benefit?’ and so we decided to go with the One Agency model which suited us much better and allowed us to steer our own ship.”
According to a recent REB Employer of Choice Report, 65.4 per cent of respondents identified culture as their main motivation for joining their current network or company.
“We attract very motivated agents, some are new to business ownership and others who are already experienced and bring their established franchise agency to us, often because the costs of a traditional franchise suck up their profits. Our members are also able to react far more autonomously and make changes to suit their business in a far more nimble way, without having to jump through the restrictive hoops that a traditional franchise demands.”
Davies says One Agency is growing organically, and not through acquisitions. 
“We don’t use our cheque book to buy members, like some franchises do, and have no financial interest or partnerships with any of our members businesses. They pay us a one off membership fee and then a low monthly fee, regardless of their commission and in return we offer great branding, marketing tools, systems and a supportive culture.”
Despite such rapid growth, the group retains a boutique feel, yet offers the strength of an international brand, he says. 
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One Agency targets 160 franchises by end-June through its new business model

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Adrian Lane-Mullins is the incoming chairman of the RE/MAX Australia and New Zealand Board of Directors replacing the late Phil Kirby who stepped down in the past year due to health concerns.
The managing director Michael Davoren was interim chairman.
Lane-Mullins’ is managing director of Customercorp P/L Business Consultancy, a company he began 16 years ago.
Its client list includes RACQ-GIO Insurance Ltd and QBE Insurance Ltd.
RE/MAX managing director Michael Davoren said the board intentionally chose an independent chairman from outside the real estate industry.
Lane-Mullins sat in three board meetings before taking up the chair this month learning the complexities of real estate franchising.
RE/MAX was founded in 1973 by Dave and Gail Liniger, with 100,000 agents and more than 6600 offices provide RE/MAX globally across reach of 100 countries. 
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