Melbourne developer Spacious Group has completed Voyage Altona, one of the closest new apartment developments to Altona Beach.

Off the plan purchasers have started moving into the 49-apartment project on Pier Street, with the remaining move-in-ready one-, two- and three-bedroom apartments starting from just over $500,000.

Display apartments have now been fitted out, allowing prospective buyers to inspect the completed residences by appointment.

[smartcode_project:default project_id=112195 project_image_fid=372638]

The completed apartments feature open-plan living and dining areas which extend onto private balconies and terraces, while full-height glazing maximises natural light throughout the interiors.&nbsp;

Hybrid timber-look flooring, stone benchtops, Miele appliances, porcelain-tiled bathrooms and generous storage feature throughout the building which also features landscaped communal areas, expansive shared terraces, lift access and secure on-grade parking.

Drawing inspiration from its bayside setting, Voyage adopts a restrained palette of warm neutral tones and textured finishes. Many of the apartments take advantage of views across Port Phillip Bay, while the indoor-outdoor living spaces have been designed to make the most of the coastal outlook.

[smartcode_project:default project_id=112195 project_image_fid=3286]

Voyage was developed to address what Spacious Group identified as an undersupply of higher-quality apartment product in Altona, with a focus on owner-occupiers looking to remain within the bayside community.

"Voyage responds to very strong local buyer demand for quality, owner-occupier-focused product," says Barry Plant Projects Director Jarrod Farey, who has handled sales since the project's launch.

"The project delivers an elevated lifestyle proposition, with its design and quality of finish far exceeding anything previously produced in the area, as well as its proximity to Pier Street Village and the beach."

The majority of purchasers have been local downsizers and owner-occupiers looking to stay within the Altona community but who previously had limited opportunities to buy a brand-new apartment.

[smartcode_project_cta:default project_id=112195]

Joel Robinson

Spacious Group completes Voyage Altona in Altona's beachside precinct

Homecorp has secured approval for a $360 million apartment development at Budds Beach, paving the way for one of the Gold Coast's most amenity-rich residential projects to launch later this year.

Gold Coast City Council has approved Lýon Residences, a 32-level tower that will deliver 178 two and three-bedroom apartments across a prominent corner site at 8-10 Acacia Avenue and 25-27 Oak Avenue.

The approval comes as developers continue to invest in premium lifestyle-driven apartment projects on the Gold Coast, where owner occupiers are increasingly prioritising amenity as much as apartment size and location.

<a href="https://www.apartments.com.au/new-apartments/l-on-residences-25-27-oak-avenue-surfers-paradise-qld-4217">Lýon Residences</a> has been designed around a resort-style wellness offering, headlined by a Moroccan-inspired spa precinct featuring treatment rooms, a Nordic sauna and steam room, hot and cold plunge pools, a soaking pool and a residents-only juice bar.

The rooftop will include a heated infinity pool and spa, residents' lounge with private kitchen and bar, gymnasium, yoga and Pilates studio, outdoor entertaining areas and barbecue facilities overlooking the Surfers Paradise skyline.

<img alt="Lyon" data-entity-type="file" data-entity-uuid="2d3e29af-8793-486e-a684-52cef862241f" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-07-15%20at%204.32.26%E2%80%AFPM.png?VersionId=ayG2zpLf3SS6Zy8XmKDcQods4kVWb0gm" />

Homecorp Founder and CEO Ron Bakir said Budds Beach provided the ideal location for the company's latest luxury apartment project.

"Budds Beach represents one of the most unique and sought-after pockets of the Gold Coast, and Lýon Residences has been designed to reflect that sense of rarity and refinement," Bakir said.

The project arrives as wellness continues to become a defining feature of new residential developments both in Australia and internationally.

The latest Global Wellness Institute figures show wellness real estate remains the fastest-growing segment of the global wellness economy and is forecast to exceed $1.8 trillion by 2030. Australia continues to rank among the world's 15 largest wellness real estate markets, with developers increasingly integrating health, recreation and community facilities into apartment projects.

Queensland is also experiencing strong population growth, with the Gold Coast continuing to outperform many other Australian cities as demand for new housing remains elevated ahead of the 2032 Olympic and Paralympic Games.

Bakir said the project had been designed to respond to that shift in buyer expectations.

"Strong population growth and sustained demand across the Gold Coast continue to highlight the need for well-designed new housing supply. Lýon Residences responds directly to this demand while setting a new benchmark for residential living," he said.

Each apartment has been designed to maximise views across the coastline, the Nerang River and the Gold Coast hinterland.

Located just minutes from Surfers Paradise beach and the Broadwater, the development also offers easy access to the light rail network, Broadbeach and Burleigh Heads.

Early site works are underway, with construction expected to commence later this year.

Homecorp approved for Budds Beach apartment tower, Lýon Residences

New apartment developments with uninterrupted, north-facing views over Perth's Swan River are exceptionally rare.

Recognising just how limited those opportunities are, <a href="https://www.apartments.com.au/developers/edge-visionary-living">Edge Visionary Living</a>, one of Perth's most respected builder-developers, targeted <a href="https://www.apartments.com.au/developments/applecross-wa-6153">Applecross</a>, assembling an unrepeatable 6,342 sqm riverfront site on the corner of Moreau Mews and Canning Beach Road to create one of Perth's only new north-facing apartment developments directly overlooking the Swan River.

Today, <a href="https://www.apartments.com.au/buildings/riviere-residences-applecross-59-canning-beach-road-applecross-wa-6153">Rivière Residences</a> offers buyers a unique opportunity to choose between completed residences ready to move into now and off-the-plan homes in the final stage, Rivière West.

[smartcode_project:default project_id=28384 project_image_fid=3823]

Across the completed East and Central buildings, residents are already enjoying the development's luxury amenity, while two of the precinct's hospitality venues are now open.

The completed component of the development gives buyers the advantage of experiencing the finished product firsthand, including its uninterrupted river views, while still having the opportunity to secure a residence in the final stage.

"People are wowed by the view and the quality of the apartments,"&nbsp;Edge Visionary Living Sales Executive, Holly McSweeney, says.

"They're looking for the convenience of lock-and-leave living, but they're not looking to downsize on quality."

[smartcode_project:default project_id=28384 project_image_fid=3826]

The rarity of the development hasn't been lost on prospective buyers, McSweeney says.

For McSweeney, it all comes back to a location that is becoming increasingly difficult to replicate.

"Location, location, location," she says. "We are nestled right on the front of the Swan River. You can never get built out, so wherever you are in Rivière Residences, you've got views of the river forever."

The unique waterfront position has resonated particularly strongly with local downsizers. McSweeney says many buyers are long-time Applecross residents looking to transition from large family homes into a luxury apartment without sacrificing space, quality or the lifestyle they've enjoyed for decades.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" referrerpolicy="strict-origin-when-cross-origin" src="https://www.youtube.com/embed/N_FowNW0wu8?si=vb25XFq1wZ-iufAW" title="YouTube video player" width="560"></iframe>

A major focus for Edge in recent years has been resident amenity. Across its apartment portfolio, from beachfront developments in Scarborough to luxury towers in South Perth, the developer has increasingly invested in the spaces beyond the apartment itself.

The strategy has largely been shaped by downsizer demand. Many buyers are moving from large family homes with swimming pools and established gardens. While they're looking to leave the maintenance behind, they don't want to compromise on lifestyle.

At Rivière, <a href="https://www.apartments.com.au/architects/hillam-architects">Hillam Architects</a> designed the resident facilities as an extension of each apartment. A 25-metre heated swimming pool takes advantage of the north-facing river outlook, complemented by a large gym, sauna and steam rooms, private dining spaces, residents' lounges, a cinema, games room, and dedicated wine and whisky rooms.

[smartcode_project:default project_id=28384 project_image_fid=372542]

The waterfront location has also proved to be a major drawcard. Residents are within walking distance of the Raffles Hotel, South of Perth Yacht Club, the Heathcote Cultural Precinct and the cafés, restaurants and boutiques along Ardross Street.

Beyond the location and amenity, McSweeney says many buyers take confidence from Edge's fully integrated development model.

Having delivered apartments across Perth for decades, Edge now designs, develops and constructs its projects in-house, giving the company greater control over quality, delivery and the finished product.

"What I love is when people walk through their apartment for the first time and say, 'This is better than what we imagined,'" McSweeney says. "We hear that all the time."

Completed apartments in the East and Central buildings are now available to inspect by appointment, while Rivière West, the final stage of the precinct, is expected to be completed in the first quarter of 2027.

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North-facing Swan River views drive demand at Rivière Residences in Applecross

Nearly 60 per cent of apartments at McNab Group's $220 million The Tannery development in Brisbane's West End have sold ahead of the project's public launch, including a suburb-record $2.57 million sale for a two-bedroom apartment.

The early sales campaign has secured buyers for 50 of the project's 87 apartments, highlighting continued demand for larger owner-occupier apartments that combine generous floorplans with premium lifestyle amenities in one of Brisbane's most tightly held inner-city suburbs.

[smartcode_project:default project_id=143337 project_image_fid=374768]

McNab Group Executive Chairman Michael McNab said selling more than half the project before launch reflected changing buyer expectations.

"Selling more than half the project before public sales open tells us buyers are actively seeking apartments that offer something genuinely different," McNab said.

"Today's buyers are looking beyond four walls. They want homes that genuinely enhance the way they live, with spaces that support health, connection and everyday wellbeing."

[smartcode_project:default project_id=143337 project_image_fid=374767]

A key point of difference for the project is the adaptive reuse of the heritage-listed Dixon's Tannery building, which will become The Retreat, a residents-only wellness precinct rather than being redeveloped into additional apartments.

The Retreat will feature a sauna and steam room, hot and cold plunge pools, a commercial-grade gym, Pilates studio, cinema, library, co-working spaces and private dining room. Rooftop amenities will include a swimming pool, landscaped gardens, outdoor entertaining areas and dog-friendly spaces.

[smartcode_project:default project_id=143337 project_image_fid=374760]

Designed by Cottee Parker Architects with interiors by Tom Mark Henry and landscape architecture by Aspect Studios, The Tannery comprises 87 two, three and four-bedroom apartments across 11 levels overlooking the Brisbane River.

Cottee Parker principal Dee Passenger said preserving the original tannery building had been central to the project's design.

"The easy option would have been to maximise the site's development potential with additional apartments. Instead, McNab has chosen to preserve the original tannery as a shared wellness retreat, ensuring this important piece of Brisbane's history remains at the heart of the community."

Passenger said sustainability also played a key role in the design, with materials from the original industrial site salvaged and repurposed throughout the development.

[smartcode_project:default project_id=143337 project_image_fid=374761]

Motiv CEO Carly Cottam said buyers had responded strongly to the combination of larger apartments, wellness facilities and the West End lifestyle.

"We are seeing more buyers looking for homes in the sky that provide the space and functionality of a traditional home, while benefiting from the convenience and lifestyle that apartment living brings," Cottam said.

She said purchasers included both owner occupiers and investors, with demand coming from local buyers as well as interstate purchasers.

Coinciding with the public launch, McNab also announced a partnership with Queensland Ballet, whose neighbouring Thomas Dixon Centre shares historical ties with the original Dixon family.

Located on a 4,465 sqm site at 439 Montague Road, The Tannery overlooks the Brisbane River and is around 10 minutes from the CBD.

Construction is underway, with completion expected in the second half of 2027.

[smartcode_project_cta:default project_id=143337]

More than half of residences sold before public sales as McNab announces significant partnership with Queensland Ballet

McNab's The Tannery nears 60 per cent sold before public release, sets two-bedroom West End record

Iwan Sunito's vision for a landmark mixed-use precinct in Sydney's Inner West has taken a major step forward, with approval granted for the $1.9 billion Five Dock development first unveiled earlier this year.

The approved scheme by <a href="https://www.apartments.com.au/developers/one-global-capital">One Global Capital</a> will deliver an 80,500 sqm mixed-use precinct comprising 840 apartments, integrated hotel accommodation, commercial and retail space, alongside publicly accessible open space designed to create a new destination for the growing suburb.

"This is a significant milestone for One Global Capital and for the future of housing delivery in Sydney," Sunito said.

"The Housing Delivery Authority was established to identify major housing projects capable of delivering meaningful supply more efficiently, and we are delighted that Spencer Street has been recognised as one of those projects.”

He said the declaration reflected the rapid progress achieved since acquiring control of the site.

"In less than seven months we have progressed from taking control of the site to securing entry into one of the NSW Government's most important planning pathways. It reflects the experience of our team, the strength of our consultant group led by Urbis, and our long-term commitment to delivering transformational projects that contribute to Sydney's future."

When the project was revealed earlier this year, Sunito described the opportunity as one of the strongest development sites he had worked on.

"I probably hadn't appreciated the uniqueness of the site until more recently when putting together the concept plans," Sunito said.

"The proximity to the water, and the golf course opposite, is unlike any other part of Parramatta Road. We have a unique position and view corridors over the water that makes this one of the best sites I've worked on."

The development has evolved since its initial announcement, with the approved plans increasing the residential component from the originally proposed 750 apartments to 840 homes while retaining the project's focus on creating an integrated neighbourhood rather than a standalone residential development.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/a-city-within-a-city-iwan-sunito-flags-1-5-billion-mixed-use-precinct-in-five-dock">"A city within a city": Iwan Sunito flags $1.5 billion mixed-use precinct in Five Dock</a>

The precinct will combine apartments with hotel accommodation, commercial workplaces, retail offerings and public spaces, creating a mixed-use environment intended to serve both residents and the broader Five Dock community. The proposal also continues the collaboration between One Global Capital and internationally recognised architect <a href="https://www.apartments.com.au/architects/koichi-takada-architects">Koichi Takada</a>, whose previous work with Sunito includes Infinity, Arc and Skye North Sydney.

Takada previously said the design was driven by a philosophy of integrating nature into the built environment.

"The concept for this development is born from our design approach to naturalising architecture," Takada said.

"The public realm benefits from biophilic design that integrates generous landscaping, and the development is optimised for natural daylight, airflow and water views to foster wellbeing, sustainability and spaces that foster community interaction."

Sunito has consistently described the project as a "city within a city", with a strong emphasis on creating a destination that extends beyond housing.

"We want to create a development that's not only to be seen, but to be experienced by the whole local community," he said.

The approval comes as Five Dock continues its transformation ahead of the opening of the Sydney Metro West line, with the new Five Dock station set to significantly improve connections between the Inner West, Parramatta and the Sydney CBD.&nbsp;

The precinct will also benefit from its proximity to the Parramatta Road corridor, nearby waterfront parklands and established retail and dining offerings that have made Five Dock one of Sydney's most tightly held Inner West suburbs.

Iwan Sunito secures approval for $1.9 billion Five Dock mixed-use precinct

Hobart

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With Sydney and Melbourne slowing, where do you think the next property hotspot could be? Hobart?
Few analysts would take this suggestion seriously, but researcher John Lindeman has come up with the numbers to back the idea.
"With only 2 percent of the nation’s population, a sluggish economy, high unemployment and social issues, especially in the northern cites. Yet look at what took place back in 2004, after the last big housing boom in Sydney and Melbourne had cooled down."
"Where did all the investors go to buy? In Hobart, and according to official ABS housing data, house prices there jumped by 50 percent in one year." 
<a href="/images/2016/05/27/Hobart.png" target="_blank">Click to enlarge</a>
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John Lindeman says that Hobart’s median house price in 2003 was just one third that of Sydney, but after the boom year, it had risen to half. And where is it right now? Back to one third of Sydney’s median house price again. 
"Of course, history doesn’t repeat itself, because the conditions are always different, but there is another way to check the potential for a Hobart housing boom, and that is by using our patented predictive methodology, which enables us to produce these pie charts showing the type of house market in each of Tasmania’s suburbs and towns a year ago, right now and the predicted change over the next year."
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<div><a href="/images/2016/05/27/Screen%20Shot%202016-05-27%20at%2011.03.16%20AM.png" target="_blank">Click to enlarge</a></div>
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The legend indicates what the colour of each type of market means, with prices rising strongly in a “boom” market, falling heavily in a “stressed” market, and the other types performing in between these extremes, so that a “neutral” market indicates no price change.
The pie charts tell an interesting story – they reveal that one year ago, a third of Tasmania’s suburbs and towns had seller or boom types of markets and this has now grown to more than half, but even more significantly, the number of suburbs with growth is expected to include two thirds of the total during the forecast period, and one third will be boom markets.
Most of the current and predicted boom markets are in Hobart, and even though Launceston is not showing any signs of growth potential as yet, rises in price are expected to extend there as well over the next year or two. Hobart has a shortage of housing, it’s a city which is attractive and affordable for retirees and offers positive cash flow opportunities to investors. Ten years of little to no growth are set to end as mainland investors turn their sights to Tasmania.
Simon Pressley of <a href="https://www.propertyology.com.au/">www.propertyology.com.au</a> is also betting on Hobart. “If we draw a line in the sand right now and cast our minds forward three years, of Australia’s eight capital city property markets my money is on Hobart being Australia’s best performer!" 
"While other so-called experts were berating Tasmania’s basket-case economy, Propertyology gave Hobart our official green-light back in April 2014," he adds.
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Hobart could be the next property hotspot: John Lindeman 

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An 1830's Georgian property in Hobart has fetched $7.8 million at auction, well above the reserve price, through Knight Frank.
The three-story sandstone property at 21-23 Salamanca Place is close to Hobart’s popular Salamanca Markets, as well as the upcoming Parliament Square, currently in development, which is set to become the heart of Hobart.
“The Hobart investment market is as strong as we have experienced historically... yields are now breaking below six per cent consistently, with this property receiving the lowest yield on record to our knowledge for an investment property in Tasmania," said Scott Newton, chief executive officer, Knight Frank Tasmania.
Total net annual rent is estimated at $271,206, and the yield works out to be 3.47 percent.
The ground floor is tenanted by Irish Murphy’s tavern, with the upper two levels consisting of renovated offices. On the third floor is the ‘Salamanca Loft’, a refurbished two-bedroom unit featuring painted sandstone walls, two skylights in the lounge and a glass atrium. The apartment is utilised to accommodate tourists.
"Irish Murphy's" tenancy lease runs until July 2019 with a further five-year option. Current rent is $213,932 plus GST, plus outgoings. Parliament Square will comprise a mix of office, hotel and retail spaces, with heritage buildings surrounding it expected to be restored. This will only add to value for 21-23 Salamanca Place.
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Georgian Hobart tavern sells for $7.8 million at auction

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Tasmanian house sales cooled off during the March 2016 quarter however the unit market has taken up the slack according to the REIT.
Unit sales during the quarter are up 17.3 percent with the North West increasing 40 percent month on month and Hobart up 31.9 percent month on month.
Hobart’s median house price fell $5,000 to $385,000. Launceston was down $4,000 to $286,000 and the North West Coast down $25,000 to $235,000. 
The state median price for homes is $315,000.
REIT President Tony Collidge said a monthly breakdown of sales shows momentum had returned to the market at the end of March after a sluggish January/February. 
"If we exclude the December 2015 results, our March quarter 2016 was the highest performing quarter over the past two and a half years," he said.
"Whilst 41 suburbs or towns currently experience their highest median price ever, more than 163 areas are still at prices below 2008 levels.
"We have an affordable market with a capacity for growth. I remain confident that the future of real estate in Tasmania is optimistic and positive.”
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Tasmanian house sales down for March quarter, units up: REIT

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Some 8.8 percent of Hobart homes resold over the December 2015 quarter were at a loss which was the lowest proportion for the city since December 2011.
Across the council areas, Derwent Valley (20 percent), Brighton (19.6 percent) and Clarence (11.6 percent) had the highest proportion of loss-making resales over the quarter. The proportion of loss-making resales was lowest in Kingborough (1.8 percent), Hobart (4.9 percent) and Sorrel (8.3 percent) council areas.
<a href="/images/2016/03/30/Screen%20Shot%202016-03-30%20at%203.30.32%20PM.png" target="_blank">Click to enlarge</a>
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Hobart's loss making resales felt most in Derwent Valley, Brighton: CoreLogic Pain & Gain

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The Hobart housing market has been the nation’s weakest performing capital city housing market for more than a decade.
There are now signs that the Hobart (and Tasmania’s) housing market may be in line for a steady improvement.
<a href="/images/2016/04/27/Chart-1-2-580x208.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-1-2-580x208.jpg" alt="">
Over the 12 months to March 2016, home values in Hobart have increased by 4.8 percent while over the past two years values are only 4.5 percent higher highlighting that the value growth performance has been much stronger over the past year relative to the previous year.
The above chart shows the annual change in home values across all capital cities, with Hobart and the combined capital cities highlighted and the other cities in grey.  Although Hobart values have increased over the past year, the recent rise must be put in context, over the past decade home values in Hobart have increased at an annual rate of 1.5 percent with values falling at an annual rate of -0.7 percent over the past five years.  Hobart’s decade growth performance is well behind Perth which has recorded the second lowest annual rate of growth over the period at 3.1 percent.
<a href="/images/2016/04/27/Chart-2-2-580x207.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-2-2-580x207.jpg" alt="">
It is interesting to look at the performance of the Hobart housing market in context with the performance of the Melbourne market. The previous chart shows that in 2003 and 2004 home value growth in Hobart surged. The rate of growth reached a peak of 57.9 percent annual growth in November 2003 and very shortly thereafter the growth performance in Hobart stalled and has been limited ever since.
The surge in Hobart dwellings came following a surge in Melbourne home values and at a similar time to which the rate of growth in Melbourne values began to slow.  Ever since the end of the last surge in home values in Hobart, Melbourne has recorded strong rises in home values while growth in Hobart has been minimal.
Melbourne has obviously recently seen a large surge in home values meaning that many home owners have substantial levels of equity in their property. Investment in the Tasmanian housing market which offers much lower home values and superior yields may be looking attractive for those in Melbourne looking for a lifestyle investment.
<a href="/images/2016/04/27/Chart-3-2-580x207.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-3-2-580x207.jpg" alt="">
While value growth in Hobart is picking up, transaction volumes are relatively steady from where they were at the end of last year and virtually unchanged from a year ago.  In comparison, most other capital city housing markets are actually recording fewer property transactions than they were a year ago.
<a href="/images/2016/04/27/Chart-4-2-580x206.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-4-2-580x206.jpg" alt="">
Looking at the current market, listings provides one of the best guides about the balance between buyers and sellers.  As listings move lower, buyers have less choice and vendors can be less flexible on their price expectations which can push values higher.  Over the 28 days to 17 April 2016 there were 376 newly advertised properties added to the Hobart housing market and 2,189 total property listings. 
New listings are 1.3 percent higher than they were a year ago and fairly flat over recent weeks.  Meanwhile, total listings are -26.2 percent lower than they were a year ago and as the table shows they are trending lower.  In fact, the number of listings is at its lowest level since October 2010.  With new listings slightly higher than a year ago and total listing much lower it suggests that there is limited new supply coming to the market with increasing demand which is causing total listing volumes to trend much lower.
<a href="/images/2016/04/27/Chart-5-2-580x210.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-5-2-580x210.jpg" alt="">
One of the main drivers of the surge in Hobart home values in 2003 and 2004 was the positive migration trends for Tasmania.  The above table shows that in 2003 and early 2004 both net overseas and net interstate migration were positive.  The chart also shows that typically there is an outflow of residents of Tasmania to other states and territories while net overseas migration is usually positive.  Over the past few quarters, for the first time in a number of years, net interstate migration to Tasmania has been positive.  It is still early days but should this trend continue over the coming quarters it could be a positive for the Tasmania housing market.
<a href="/images/2016/04/27/Chart-6-1-580x208.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-6-1-580x208.jpg" alt="">
People will generally only move to a new region if they are reasonably comfortable that they can find employment.  The unemployment rate in Tasmania has ticked up over recent months and job creation has slowed which may act as a deterrent to make the move to a market like Hobart.  However, if we look at 2003 and 2004 when home values were surging and migration to Tasmania was quite strong, job creation was stronger although the unemployment rate was in the high 6% to low 7% range compared to a similar 6.9% currently.  Keep in mind that some people will move to Tasmania and Hobart as a lifestyle choice so they may be able to do their current job remotely or may commute back to the mainland a few days a week / each month.  Furthermore, a proportion of people that move interstate would be retirees and therefore their decision is not reliant upon securing employment.
<a href="/images/2016/04/27/Chart-7-1-580x213.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/27/Chart-7-1-580x213.jpg" alt="">
Tourism is likely to be a growing source of employment for those living in Tasmania.  According to data from Tourism Research Australia, international visitor numbers to Tasmania increased by 19.6 percent in 2015 and have increased by 53 percent over the past five years. Meanwhile, domestic overnight trips to Tasmania increased by 17.3 percent in 2015 and have increased by 40 percent over the past five years.  Should the ramp-up in tourism continue it will create even more employment opportunities in the local economy.
When you look at the housing and economic indicators for Hobart it looks like the market is well positioned to see an increase in the rate of housing demand and subsequently home values over the coming year.  Of course Hobart also has the advantage of being a substantially more affordable housing market than all of the other capital cities.  Any of these indicators could change and most importantly if job creation picked up pace and the unemployment rate fell it would provide further positives for the local market.  Nevertheless, it looks as if the fundamentals are in place for a long-awaited improvement in value growth for the Hobart housing market.
 Cameron Kusher is research analyst for CoreLogic RP Data. You can contact him <a href="https://blog.corelogic.com.au/about/">here</a>.
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Hobart's time to shine: Cameron Kusher

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Buyers purchasing in suburbs further afield from city centres are attracted to these outlying suburbs by either the availability of affordable vacant land on which to build their own dwelling, larger lifestyle blocks, infrastructure that provides employment opportunities or geographical features that provide water or mountain views, according to valuation firm Herron Todd White's property clock for April 2016.
Hobart, the capital city, was at the start of recovery phase in HTW's property clock for both houses and units.
<a href="/images/2016/04/15/Screen%20Shot%202016-04-15%20at%201.34.54%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/04/15/Screen%20Shot%202016-04-15%20at%201.34.54%20PM.png" alt="">
Suburbs on the southern outskirts of Hobart that offer such features include Kingston and Blackman’s Bay which are both in the fast growing Kingborough municipality. While residents of Kingston and Blackman’s Bay have longer commutes to the city, Kingston is a fast growing, well serviced suburb located on the southern outlet between Hobart and the Huon Valley. Kingston contains the main commercial shopping centre within this municipal area while Blackman’s Bay offers water frontage.
Just under $1 million in Kingston will buy you a character, four-bedroom, two-bathroom home with in-ground heated pool on 4,000 square metres of land. For those with smaller pockets a three-bedroom, two-bathroom home on just under 1,000 square metres can be purchased from around $380,000.
Brighton, a north-western suburb of Hobart, is approximately 27 kilometres from the centre and is an affordable suburb with vacant land sale prices starting from $87,500. A four-bedroom, two-bathroom, established modern home on acreage can be purchased in Brighton from around $495,000.
Reported gross yields for investors in Tassie’s south for residential property range from 3.9% to 5.5% with vacancy rates of 2.8%.
In Tasmania’s north, Perth, a Launceston satellite village approximately 18 kilometres from the city has been popular with first home buyers due to the affordability of vacant land, especially those who took advantage of the first home builder’s boost grant which at its peak made $30,000 available to eligible buyers. Recent vacant land sales in Perth range from $70,000 to $105,000.
For fringe dwellers who desire larger parcels of land, the suburbs of Riverside, Legana and St Leonards deliver on this need.
St. Leonards is an established suburb to the south- east of Launceston’s centre and offers a variety of property types with a more recent residential development offering larger lifestyle blocks. An older style, 210 square metre residential property with a land parcel of just over two hectares recently sold in St Leonards for $420,000.
Recent sales of vacant land over one hectare were purchased from between $160,000 and $200,000.
Pockets of Riverside and Legana have water views as they are located alongside the Tamar River to Launceston’s north-west. Both of these suburbs contain good facilities including shopping centres, schools and child care facilities.
An older style, four-bedroom, three-bathroom home on just under two hectares with river views in Riverside recently sold for $625,000. A similarly aged, slightly smaller home in Legana on just under half a hectare with an impressive heated indoor pool recently sold for $565,000. A recent vacant land sale in Legana for a parcel of 2,000 square metres achieved $159,500.
Other northern fringe suburbs or satellite towns such as Rocherlea, Ravenswood and George Town have limited investor appeal. Homes in these suburbs can be purchased for less than $100,000. While some investors may achieve good gross returns in these suburbs they should consider that returns are offset by limited capital growth potential in these less sought after suburbs.
 
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Hobart's fringes Kingston and Blackman's Bay offer affordability, good lifestyle: HTW

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Hobart's commercial market is witnessing a number of hotel developments, including a 296-room project by Singapore-based Fragrance Group.
Describing the commercial market in the Tasmanian city as “selectively robust”, Raine &amp; Horne Commercial co-principal Leslie Simpson says there is "strong demand for some categories of commercial property and limited interest for other assets, which is probably similar to other cities around Australia”. 
Self-managed super funds are driving exceptional demand for passive investment stock, adds Simpson.
“These investors are happy to acquire assets that reflect yields below historic benchmarks for the Greater Hobart area,” he said. “Many will accept these returns based on the justification that they are still better than bank account earnings. However, this purchaser type is highly risk averse, with interest quickly diminishing if not supported by a strong lease covenant”.
According to Leslie, the more traditional investors in the Hobart market are still seeking higher, more traditional yields, often leaving a gap between vendor expectations and market interest for secondary investment stock with short term leases.
Retail, industrial and visitor accommodation properties are attracting significantly more interest than other forms of commercial real estate, according to Leslie.
“Tasmania’s impressive recent growth in both domestic and international visitor numbers has seen very strong market interest in visitor accommodation, particularly from Asian interests.
“We currently have three new hotels under construction in the Hobart CBD, and there are another four hotels either proposed or with permits subject to appeal."
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Hobart commercial market is selectively strong: Raine & Horne

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Hobart's Theatre Royal Hotel, one of the oldest pubs in Australia, has been bought by the University of Tasmania for $1.7 million.
The university snapped up the two-storey hotel, built in 1834 by Peter Degraves, founder of Cascade Brewery last week at Knight Frank auction.
The pub is next to the Theatre Royal and on the other side, the university has a $90 million arts hub.
In central Hobart is a 400-bed student accommodation facility on Melville Street, part of the development strategy by vice-chancellor Professor Peter Rathjen to immerse the university into the daily life of the city.
"In the great university cities of the world, the campus is right in the heart of city, providing life, energy and character," Professor Rathjen told AFR Weekend.
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Hobart's Cascade Theatre Royal Hotel sells to Tasmania Uni

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GUEST OBSERVER
The CoreLogic RP Data Home Value Index of capital city home prices rose by 0.5 percent in February after a 0.9 percent lift in January. Home prices were up by 7.6 per cent over the year to February.
Dwelling prices rose in six of the eight capital cities in February.
The Performance of Manufacturing index rose by 2 points to 53.5 in February – a near six year high. A reading above 50.0 indicates that the sector is expanding. Production, new orders and exports lifted in February
The economic data continues to surprise on a positive note. The manufacturing sector is now expanding at the fast pace in almost six years. And when it comes to home prices it is a case of modest strength – but more encouragingly price growth is more spread out and not just Sydney and Melbourne centric.
Dwelling prices rose in six of the eight capital cities. But the lift in home prices in Hobart, Adelaide and Brisbane was the icing on the cake. In fact home prices in Hobart have now lifted by 8.5 per cent in the past three months. It seems investors and home buyers are shifting away from the traditional growth markets of Sydney and
Melbourne and looking for more attractively-priced property in other cities.
It is still early days but the perfect outcome would be if the majority of regional areas recorded a lift in dwelling values. The “Rest of State” price index lifted by 0.6 per cent in February, although annual growth is still subdued at 2.2 per cent. This highlights the issues facing policymakers in attempting to manage a very diverse housing market. What we would expect to see is the lift in capital city house prices continues to filter out across the regional towns over the next 12-24 months.
The consolidation in home prices is unlikely to see home building dry up. There is a record pipeline of dwelling approvals that suggest a lot of building work will take place over the next two years - supportive of a lift in activity levels over the medium term.
The rebalancing effect across the economy continues to take place. Manufacturing activity has now expanded for eight consecutive months – marking the longest streak in ten years. More importantly the sub-indices like, production, new orders and exports, are showing a credible lift. No doubt the weaker Australian dollar will continue to support the sector. In addition low resource prices – particularly for oil - are keeping down input costs and also providing a boost to the sector.
<a href="/images/2016/03/Screen%20Shot%202016-03-01%20at%2011.50.38%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/03/Screen%20Shot%202016-03-01%20at%2011.50.38%20AM.png" alt="" width="814" height="591">
The latest data should ensure that the Reserve Bank continues to remain on the interest rate sidelines. If a rate cut was to take place it would be as a result of a downturn in the global economy rather than domestic economic conditions.
What do the figures show?
Home prices
The CoreLogic RP Data Hedonic Australian Home Value index of capital city home prices rose by 0.5 percent in February after a 0.9 per cent lift in January. Home prices were up by 7.6 per cent over the year to February.
House prices rose by 0.6 percent in February while apartment prices fell by 0.1 percent. House prices were up 7.8 percent on a year ago and apartments were up by 6.2 percent.
The average Australian capital city house price (median price based on settled sales over quarter) was $572,000 and the average unit price was $480,000.
Dwelling prices rose in six of the eight capital cities in February: Hobart (up 2.9 percent), Adelaide (up 1.9 percent, Brisbane (up 0.8 percent), Sydney (up 0.5 percent), Darwin (up 0.4 percent) and Melbourne (up 0.3 percent). Prices fell most in Perth (down 1.1 percent), followed by Canberra (down 0.2 percent).
Home prices were higher than a year ago in six of the eight capital cities. Prices rose most in Melbourne (up 11.1 percent), followed by Sydney (up 9.5 percent), Hobart (up 6.2 percent), Brisbane (up 5.5 percent), Canberra (up 4.5 percent) and Adelaide (up 2.8 percent). Prices fell in Perth (down 3.1 percent), and Darwin (down 2.9 percent).
Total returns on capital city dwellings in the year to February rose by 11.5 per cent with houses up 11.6 percent on a year earlier and units up 10.9 per cent.
 Performance of Manufacturing
The Performance of Manufacturing index rose by 2 points to 53.5 in February – its highest level since July 2010.
AIG notes “February was the eighth consecutive month in which the Australian PMI has been above 50 points (net expansion). This is the longest continuous run of expansion since 2006.”
Across the sub-indices; production (60.1 points), new orders (52.4 points), stocks (52.5 points), deliveries (53.5 points) exports (53.7 points) and sales (53.0 points) were positive in February. Employment (47.4 points), remained in contraction.
What is the importance of the economic data?
The CoreLogic RP Data Hedonic Australian Home Value Index is based on Australia’s biggest property database. Unlike the ABS Index, which excludes terraces, semi-detached homes and apartments, the CoreLogic-RP Data Hedonic Index includes all properties. Home prices are an important driver of wealth and spending.
The Australian Industry Group and PricewaterhouseCoopers compile the  Performance of Manufacturing Index (PMI) each month. The Australian PMI is the Australian equivalent of the US ISM manufacturing gauge. The PMI is one of the timeliest economic indicators released in Australia. The PMI is useful not just in showing how the manufacturing sector is performing but in providing some sense about where it is heading. The key ‘forward looking’ components are orders and employment.
What are the implications for interest rates and investors?
Sydney and Melbourne drove the gains in home prices in 2015. But the two largest cities are likely to come back to the pack over 2016. Overall, we expect returns on home prices across Australia to lift by around 7 per cent in 2016. CommSec expects no change to rates over 2016.
Savanth Sebastian is an economist for <a href="https://www.commsec.com.au/" target="_blank">CommSec</a>
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Regional towns to get boost, as Hobart leads higher home prices: Savanth Sebastian

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Theatre Royal Hotel in Hobart, originally built in 1834, is up for sale by tender under instructions from as receivers.
In its current state, the hotel at <a href="https://www.realcommercial.com.au/property-hotel+leisure-tas-hobart-501812270" target="_blank">31 Campbell Street</a> is a modern property adjacent to Theatre Royal, a historic venue for the performing arts, and opposite the Royal Hobart Hospital.
This area of the Hobart CBD is known as the "Wapping Precinct" and has seen residential units come up in recent years. The hospital is undergoing a $565-million upgrade.
The hotel has a floor area of 500 square metre and includes a public bar, atrium bar, dining room seating 90, function room, commercial kitchen, seven accommodation rooms and a managers residence (10 rooms in all).
Built in 1834 by Peter DeGraves (founder of Cascade Brewery), this two-storey complex is one of the oldest hotels in Australia.
Degraves (1778–1852) was an engineer who also studied architecture, and paid for the entire construction of Theatre Royal (1837) and remained its owner until his death, says the University of Tasmania website <a href="https://www.utas.edu.au" target="_blank">here</a>.
The zoning also allows for other uses such as apartments, retail, offices, education centre, childcare, visitor accommodation, shops etc.
An accommodation property in Hobart, which receives more than 70 percent of all visitors to Tasmania, is a good bet. The number of visitors to Tasmania exceeded 1.1 million for the 12 months to March 2015.
The property is being marketed by John Blacklow of Knight Frank and tenders close tomorrow, on February 11.
The hotel freehold last traded for $1.56 million in 2007, twice what was paid in 2002. 
 
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