Queensland builder-developer MAYD has revealed the first look at its major North Kirra beachfront development, lodging amended plans that reduce the number of apartments and increase the proportion of larger residences.

The project is planned across a substantial 4,742 sqm amalgamated site spanning seven lots at <a href="https://www.apartments.com.au/new-apartments/2-6-pacific-parade-bilinga-qld-4225">2-6 Pacific Parade</a> and 27-33 Golden Four Drive in Bilin​ga, directly opposite Nor​th Kirra Beach.

<a href="https://www.apartments.com.au/developers/mayd-group">MAYD</a> secured the site for $32.5 million in 2025, in what was one of the Gold Coast's largest property transactions of the year.

The development will be delivered across two stages, with the first stage carrying an estimated gross realisation value of around $360 million.

The latest amendments seek to reduce the overall apartment count and shift the project further toward the owner-occupier market, with larger residences designed for buyers wanting considerably more space than traditionally offered in a beachfront apartment.

The residential mix will include townhomes, oversized two-bedroom apartments, substantial three-bedroom residences and four-bedroom homes.

MAYD has appointed Cera Stribley to lead the architecture and interiors, with the Melbourne-based design practice drawing on the beachfront setting through a series of ocean-facing terraces and heavily landscaped balconies.

Strong horizontal forms and curved balconies will define the exterior, with subtropical landscaping integrated throughout the building to soften the built form and increase the connection between the residences and the beachfront.

The project will also include an extensive collection of resident wellness and lifestyle facilities, continuing the broader shift across the Gold Coast's luxury apartment market toward larger homes supported by resort-style amenity.

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MAYD Founder Todd Mould said North Kirra was increasingly appealing to buyers attracted to the more established, lower-density character of the southern Gold Coast.

"North Kirra presents one of the most compelling luxury residential opportunities currently emerging in Australia, combining absolute beachfront with the character and authenticity that buyers are increasingly seeking, and the same sense of tight-knit community that defined Burleigh and Currumbin perhaps 10 or 15 years ago," Mould said.

"With Gold Coast Airport on its doorstep, it also offers a level of accessibility that broadens its appeal across almost every market demographic."

The project comes as the southern Gold Coast continues to attract an increasing share of high-end apartment development and buyer activity.

Kirra in particular has emerged as one of the region's more tightly held beachfront markets, with its relatively low-density character, established surf and hospitality scene and proximity to Gold Coast Airport differentiating it from the higher-density markets further north.

Mould said those characteristics had informed the approach MAYD and Cera Stribley had taken to the project.

"We've worked closely with Cera Stribley to create a vision that is deeply connected to its surroundings," he said.

"Inspired by the coastline itself, the architecture has been shaped around space, privacy and resort-style living, creating a collection of homes that reflects the next generation of luxury on the southern Gold Coast."

MOTIV Managing Director Carly Cottam, who has been appointed to market the project, said buyer attention had continued to move south along the Gold Coast.

"Purchasers who may once have defaulted to Broadbeach, Main Beach or Surfers Paradise are increasingly recognising the value of a genuine beachfront location that offers lower density, strong amenity and a more established sense of community," Cottam said.

"Kirra has a powerful combination of growing demand and genuine scarcity. Beachfront supply is inherently constrained, the area remains relatively low density, and buyers are increasingly placing a premium on locations that feel established, uncrowded and authentic rather than heavily developed."

Cottam said the proximity to Gold Coast Airport was also proving increasingly important for interstate and second-home buyers.

"Being minutes from Gold Coast Airport makes it particularly compelling for interstate buyers, frequent travellers and second-home purchasers who can access an authentic coastal lifestyle almost immediately after stepping off a flight."

The acquisition takes MAYD's active development portfolio to more than $500 million, with the North Kirra project representing one of its largest undertakings to date.

MAYD is targeting an early 2027 launch.

Joel Robinson

First look at MAYD's North Kirra mixed-use precinct

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Castle Hill, the longtime hub of the Hills District, has been one of the major beneficiaries of Sydney's Metro expansion, with improved connectivity helping drive continued population growth, development and buyer demand across the Hills District.

But despite that growth, the suburb has seen relatively few major new apartment projects brought to market over the past 18 months.

Hills District developer Reve Group is looking to fill that gap with <a href="https://www.apartments.com.au/new-apartments/nova-r-ve-castle-hill-2-garthowen-crescent-castle-hill-nsw-2154">Nova Rêve</a>, a major new mixed-use precinct on the corner of Garthowen Crescent and Old Castle Hill Road, a short walk from Castle Hill Metro Station and Castle Towers.

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The project will comprise three residential towers alongside a hotel, restaurants, cafes and a skybar, more than 1,600 sqm of ground-floor retail and almost an acre of landscaped gardens.

It represents the largest project undertaken by Reve Group, the development arm of the Kassis family, which has been building across the Hills District for more than 30 years through Kassis Homes.

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Nova Rêve also represents a significant step up from the family's first apartment development, Grand Rêve, which was delivered nearby on Garthowen Crescent.

Grand Rêve introduced larger, house-like apartment layouts and premium inclusions including Wolf and Sub-Zero appliances to the Castle Hill market.

Nova Rêve takes that approach to a precinct scale, combining the residential component with hospitality, retail and substantial public and resident landscaping.

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Reve Group Managing Director Sam Kassis said the project reflected the family's three decades of building in the Hills, which has evolved from trophy homes on quarter-acre blocks to larger-scale apartment development.

"Grand Rêve was our first apartment project here and it showed us what this pocket of Castle Hill could be. Nova Rêve is the refinement of that idea: not just apartments, but a place the whole suburb can use," Kassis said.

A key part of that approach is the hotel, which has been designed to operate as an amenity for the wider Castle Hill community rather than solely hotel guests.

It will include restaurants, cafes, skybars and all-day dining, alongside conference and event facilities catering to business functions, community groups and private events.

At ground level, more than 1,600 sqm of shops and cafes will open onto the surrounding streets and landscaped areas.

Almost an acre of gardens designed by Land and Form Studios will run through the precinct, incorporating pathways, seating, barbecue areas and children's play spaces.

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Reve Group's Romio Georges said creating an active ground plane had been central to the planning of Nova Rêve.

"There are gardens with pathways, barbecues, seating and play areas, shops and cafes opening onto the street, and a hotel with restaurants and a skybar that anyone in Castle Hill can walk into," Georges said.

The project's elevated position on one of Sydney's highest ridgelines will also provide apartments with outlooks toward the Sydney skyline, surrounding parkland and the Blue Mountains.

More than 80 per cent of the apartments will occupy corner positions, with Turner responsible for both the architecture and interiors.

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Nova Rêve arrives as Reve Group bets on Castle Hill's next growth phase

A collection of just 25 large-format apartments and penthouses overlooking Goodwin Park is entering the Coolangatta market, with <a href="https://www.apartments.com.au/new-apartments/marea-residences-coolangatta-27-27a-dixon-street-coolangatta-qld-4225">Maréa Residences</a> combining a low-density, residential-only approach with uninterrupted park and Pacific Ocean outlooks.

Located at 27 Dixon Street, Maréa comprises three and four-bedroom residences alongside a limited number of dual-level penthouses, with the project positioned between Goodwin Park and <a href="https://www.apartments.com.au/developments/coolangatta-qld-4225">Coolangatta</a>’s coastal precinct.

Construction has commenced, with completion currently estimated for late 2027. Three-bedroom residences are priced from $1.8 million.

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The project has been designed around its northern outlook across the park, with the building’s architecture, landscaping and material palette intended to establish a connection with the neighbouring green space. The residences have been configured to maximise natural light and views across Goodwin Park towards the ocean.

Inside, the material palette incorporates timber, stone and brushed brass, complemented by curved detailing and ambient lighting. Kitchens and bathrooms carry the same natural material approach, while residences also include basement parking, storage and lift access.

Maréa’s penthouses are arranged over two levels and include private pools, adding another layer to the project’s focus on larger-format apartment living. Across the development, residences are configured with three or four bedrooms rather than the broader mix of smaller apartment types commonly found in larger projects.

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Resident amenity is concentrated at rooftop level, where landscaped entertaining terraces and pools take advantage of elevated views across Coolangatta and the Pacific Ocean.

The project has so far been particularly well received by local owner-occupiers and downsizers, according to Urban Activation Property Sales and Marketing Director Matt George, with the residential-only format, construction quality and northern park outlook among the features resonating with purchasers.

“The uninterrupted northern aspect overlooking Goodwin Park has been a key point of difference, with buyers attracted to the sense of serenity and open space the park provides, while still enjoying easy access to the ocean and being within walking distance of the lifestyle and amenities Coolangatta has to offer,” George said.

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“The combination of high-quality construction, a residential-only building, park outlook and proximity to the beach has resonated strongly with the local downsizer market.”

The Dixon Street address is within walking distance of Coolangatta Beach and the broader southern Gold Coast coastline, including the surf breaks at Snapper Rocks and Kirra. Coolangatta’s cafés, restaurants and retail are nearby, while Gold Coast Airport is also within close proximity.

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Maréa Residences brings parkside apartments to Coolangatta

Melbourne developer PDG has secured Victorian Government approval for its $1.5 billion Southbank development <a href="https://www.apartments.com.au/new-apartments/the-one-1-queens-bridge-street-southbank-vic-3006">The One</a>, clearing the way for the long-dormant riverfront site opposite Crown to finally be developed.

The Minister for Planning has approved the project at 1-29 Queens Bridge Street, with the Department of Transport and Planning issuing the planning permit following its assessment.

The approval will allow PDG to develop the prominent 5,059 sqm site with a major mixed-use tower comprising premium apartments, including branded residences, a luxury hotel and boutique office space.

PDG acquired the site in late 2024, with its position directly opposite Crown's main entrance and near Melbourne's Arts Precinct making it one of Southbank's most significant remaining development opportunities.

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Designed by COX in collaboration with ODO and PDG, the tower's architecture draws on the movement of the Yarra River, with six vertical pleats running the height of the sculpted facade.

The project will also see the heritage-listed Queens Bridge Hotel restored and incorporated into the development&nbsp;with new hospitality and public uses, including a rooftop venue.

A significant component of The One will be its residential amenity.

More than 5,000 sqm of resident facilities will be delivered across a single level, making it one of the largest consolidated residential amenity offerings proposed in an Australian apartment development.

The planning approval also incorporates a major upgrade of Queensbridge Square, which PDG will deliver in partnership with the City of Melbourne.

<img alt="PDG" data-entity-type="file" data-entity-uuid="73167fcd-1031-4b6f-a408-a064cfe45ed1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-08-27%20at%209.29.17%E2%80%AFAM.png?VersionId=Pf1AEWxw6SNmBqR0zQW5lyEze.MtxgFp" />

The existing square will be revitalised as a new civic and pedestrian space along the Yarra River, strengthening the connection between the project, Southbank and the riverfront.

PDG Founder and Managing Director Vince Giuliano said the approval represented a major milestone for a site which has remained largely underutilised for more than 15 years.

“This is the most significant Planning Permit approval Melbourne has seen in recent years,” Giuliano said.

“For more than 15 years, this site has remained underutilised. This approval enables us to deliver a project that will contribute meaningfully to the revitalisation of Southbank, restore and reactivate an important heritage building, and create a new civic and hospitality destination for Melbourne.”

The latest approval follows an earlier planning permit issued by the City of Melbourne covering demolition works across part of the site at 9-29 Queens Bridge Street. Those demolition and early works are already underway.

PDG has also started generating early interest in the residential component from owner-occupiers ahead of a planned public launch in early 2027.

PDG secures approval for $1.5bn Southbank apartment development, The One

Local developer Harridan is seeking to turn its Woolloongabba apartment project into the first stage of a broader transformation of Burke Street, using a new 16-storey mixed-use building to establish a greener pedestrian connection toward the rapidly evolving Boggo Road transport and knowledge precinct.

The South East Queensland developer has filed plans for 154 apartments on the <a href="https://www.apartments.com.au/new-apartments/4-burke-street-woolloongabba-qld-4102">southern side of Burke Street</a>, where its proposal has been designed alongside a wider vision by LatStudios for the street.

That vision positions the southern side of Burke Street for buildings of 15 storeys and above, while envisaging lower-rise development of up to five storeys on the northern side to transition into Woolloongabba's existing character housing. It also proposes wider pedestrian verges, deep planting, new street trees and upgrades to the pedestrian approach to Boggo Road Station.

The Harridan development itself has been designed by Brisbane-based Arqus Design and will comprise 154 apartments across 16 storeys. The mix is weighted heavily toward two-bedroom apartments, with 121 proposed alongside 10 one-bedroom and 23 three-bedroom residences. There will typically be around 14 units per floor.

A lower-ground car park and three podium levels will accommodate 156 resident parking spaces, along with visitor and commercial parking. There will also be 154 resident bicycle spaces and 40 visitor bicycle parks.

&nbsp;

Harridan is a family-owned developer and part of the Holmwood Highgate Group, with more than three decades of development activity across South East Queensland. Its portfolio spans residential, commercial and industrial property, with current residential projects including Riverbank on Byron in Bulimba, Esperance Residences in Carina and The Precinct at Kinross Road in Thornlands.

Wooloongabba has been popular for apartment developers, particularly since the announcement of the 2032 Summer Olympics games in Brisbane.

While there have been a lot of development applications, it has failed to materialize into real supply.&nbsp;

Sarazin has been the major player in the area. They are under construction at Murcia Residences, on the fringe of East Brisbane and Woolloongabba. They have just launched <a href="https://www.apartments.com.au/new-apartments/the-stanley-residences-woolloongabba-8-trafalgar-street-woolloongabba-qld-4102">The Stanley Residences</a>, in Woolloongabba on Trafalagar Street. They also have Nuage coming soon on the nearby <a href="https://www.apartments.com.au/new-apartments/nuage-woolloongabba-14-wellington-road-woolloongabba-qld-4102">Wellington Road</a>.

First look: Harridan plans Burke Street transformation beside Boggo Road transport hub

Housing Market

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Two official interest rate hikes and a slowdown in the Sydney property market were predicted in 2016 by David and Libby Koch who, when analysing predictions they made 2016, forecasted the property market this year will be 'tricky'.
In their latest column for News.com.au, the pair predicted the Sydney property market will slow in 2017.
"Sydney has slowed without crashing, Melbourne has slowed but still stronger growth than we expected, Hobart was better than we thought as was Canberra," they said.
"Perth was still pretty bad although we thought it would have turned."
In their current predictions for 2017 they noted the cost of money is set to change and the impact of rising interest rates (both official and bank induced) on the back of the US and European trends is hard to predict, but there will be a fallout.
"The expected big increase in new properties coming to market will tip the demand and supply balance more in favour of buyers," they said.
"Overall, the slowdown in property prices will continue for Sydney and Melbourne while Brisbane will take a bit of a hit as well.
"Darwin and Perth property declines look to be bottoming out while Adelaide, Canberra and Hobart will stay positive but flat.
"Up until the September quarter residential property prices rose in Melbourne (+6.9 percent), Hobart (+6.8 percent), Canberra (+5.5 percent), Sydney (+3.2 percent), Adelaide (+3.2 percent) and Brisbane (+3.1 percent), and fell in Darwin (-7.2 percent) and Perth (-4.0 percent).
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jonathanchancellor-7SQnKwU6yx

David Koch says residential property will be 'tricky' in 2017 

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Houses in Sydney are in a rising market among those in Canberra, Adelaide, Bathurst and Tamworth, according to Herron Todd White's Property Clock for December. 
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Sydney and Melbourne houses were at peak pricing in November.
In their latest report HTW state after a sustained period of strong growth, the final quarter of 2015 saw a softening residential market across many parts of the nation, with this trend expected to continue throughout Sydney in 2016.
"Despite those expectations, the market continued to see price growth throughout 2016, with double digit growth in a number of suburbs for both houses and units," HTW said.
"Auction clearance rates have recovered since the beginning of the year and are now consistently above 70 percent and 80 percent. 
"Some areas such as the inner west and eastern suburbs have had clearance rates regularly above 90 percent. 
"A major reason behind the increase in clearance rates and sale prices has been the reduced number of properties on the market and majority of properties going to auction rather than private treaty. The usual boom in the number of transactions taking place in spring has failed to live up to past experience.
"Agents have been unable to obtain the same amount of stock compared to 2015. This has caused congestion amongst competing buyers and agents are taking advantage of this. We have seen properties advertised with a price guide only to see prices jump further as they get closer to auction. Sometimes these properties are sold prior to auction for unjustifiable prices."
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The Sutherland Shire suburbs such as Gymea, Kirrawee and Miranda have been strong performers in the housing market according to HTW with Gymea has having growth rates of 10.3 percent in 2016, Kirrawee 4.5 percent and Miranda 7.3 percent (pricefinder.com.au).
The report said while these growth figures are not huge compared to 2015, these suburbs have performed stronger than others.
"A trophy house built in 2012 at 18 June Place, Gymea fetched $2.185 million and a house built in 2015 at 24 Rutherford Avenue, Burraneer sold for $3.3 million... these house sales are showing the strength of the market for quality properties.
"The suburbs which did not perform in 2016 are Engadine, Menai, Bangor and Alfords Point coming back around 2.2 percent (pricefinder.com. au).
"Suburbs such as Monterey and San Souci have seen houses under performing. Monterey house growth was 20.8 percent in 2015 compared to just 8.8 percent in 2016 and Sans Souci was 23.1 percent in 2015 compared to 9.1 percent in 2016. 
"On the eastern beaches, the suburb of North Bondi has been performing well with growth of 22.4 percent in 2016 and a median house price of $2.5 million compared to 2015 which was 13.1 percent growth and a median house price of $2.287 million.
"Lastly the popular city fringe suburb of Paddington has seen growth of 16 percent with a median house price of $2.03 million. The strong performance is an indication that the market has caught up from previous years as in 2015 the growth was 8.7 percent and median house price was $1.75 million and in 2014, growth was 3.8 percent and median house price was $1.61 million (pricefinder.com.au)."
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Sydney houses still a rising market: December 2016 HTW Property Clock

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The detached housing market has pushed New South Wales to a greater lead over Victoria in the HIA Housing Scorecard.
The scorecard ranks each states and territories on the performance of their respective housing market.
Shane Garrett, HIA senior economist, said the large states dominate the top rankings in the latest HIA Housing Scorecard, with NSW extending its lead in first place thanks to a remarkable performance on the detached house side.
“In second place on the HIA Housing Scorecard, Victoria was particularly strong for home renovations activity but also did well on the detached housing side.
“In this edition of the HIA Housing Scorecard, Queensland grabbed the bronze medal with a solid showing on the multi-unit side. 
“Outside of the Top Three, South Australia and the ACT occupied the mid-table positions. Western Australia, the Northern Territory and Tasmania are all neck-and-neck with declining market momentum on the HIA Housing Scorecard. 
“Probably the starkest result from today’s HIA Housing Scorecard concerns the volume of First Home Buyer loans, which have fallen well below their long-term average in each state and territory. The obstacles to housing affordability for first home buyers merit a national-led response."
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NSW tops latest HIA Housing Scorecard, first home buyer loans fall

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GUEST OBSERVER
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Overall lending conditions in the housing market have firmed as a result of the RBA’s policy easing in 2016. 
The strengthening in conditions, however, is primarily being driver by the investor segment. Lending to investors has accelerated over the past five months which coincides with the rate cuts of May and August. 
On the other hand, lending to owner-occupiers (O-Os) has been trending down as declining affordability bites. This leads up to conclude that investors are behind the recent acceleration in property prices in Sydney and Melbourne. 
O-Os: Lending growth to O-Os continues to ease. The 0.8 percent fall in the value of lending (excl refinancing) means that lending has fallen in two of the past three months. By number, there was a 1.6 percent increase in loans to O-Os over September. But the number of loans is 3.7 percent lower through the year.
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The average new loan size for an O-O edged higher in September and has been trending upwards over the past five months – consistent with firmer dwelling prices. 
Investors: Lending to investors has picked up since the RBA resumed cutting rates in May. Today’s ABS ‘flow’ data is consistent with the RBA’s ‘stock’ data which shows that the May and August rate cuts had a stimulatory impact on the housing market. As borrowing and deposit rates come down the rental yield on property becomes more attractive. As a result, lending to investors has lifted. 
We have argued for a while now that the RBA is underestimating the impact that policy easing is having on the housing market. From our vantage point activity in the housing market remains firm, as evidenced by strong auction clearance rates, rising dwelling prices and firm credit growth. We acknowledge that the volume of transactions and number of listings is lower than a year ago. 
But in our view that is not reflective of a lack of demand but rather less supply. It partly reflects high transaction cost in the property market which reduce liquidity. These transaction costs (largely stamp duty) rise when property prices increase. 
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Construction: Total lending for dwelling-related construction rose by 1.7 percent in September and is 6.1 percent higher through the year. This is consistent with the trend in residential building approvals. The approvals cycle looks to have peaked, however, and we expect lending for dwelling construction to ease in coming months. Lending for alterations and additions rose by 5.4 percent over the month and is up by 4.1 percent over the year. This is consistent with other indicators that show renovation activity is lifting. 
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States: The data on O-Os by State showed that annual growth in the number of loans was strongest in SA, Tas, and QLD. Loan growth lifted over the month in NSW and Vic but remains down in annual terms. An update on lending to investors by State will be in next Monday’s Lending Finance release. 
First home buyers: The number of loans to first home buyers decreased by 7.5 percent over the year to September. First home buyer accounted for just 13.1 percent of all dwellings financed over the month. 
Gareth Aird is economist at Commonwealth Bank and can be contacted <a href="https://www.propertyobserver.com.au/https://au.linkedin.com/pub/gareth-aird/14/790/905" target="_blank">here</a>.
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FHB numbers decrease as lending to investors continues to accelerate

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The most recent Statement on Monetary Policy (SOMP) suggested that several housing market indicators have eased.  
If the Reserve Bank of Australia (RBA) is more relaxed, then that's generally good news for homeowners.
There have also been loads of macro and share market analysts calling the peak of 'the market', whatever that means, but then again they do that every year, so I don't pay any attention to those. 
Certainly, the RBA's private sector credit growth figures show that housing credit is growing less quickly than it was. 
That said, housing credit is still growing at a sprightly enough +6.4 percent, and recent months have shown that investors are well and truly on the march again.  
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 <img src="/images/2016/11/08/RBA2.jpg" alt=""> <div>Another issue with the theme of slowing credit growth is that the figures cannot easily account for debt relating to off-the-plan purchases which have yet to settle.</div>
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<div>And there are lots of these!</div>
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<div>The figures to the end of June showed that there were more than 212,000 dwellings under construction, including about 150,000 units, apartments, and townhouses.</div>
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 <div class="separator">Without knowing how many of these dwellings have been bought by non-residents and how many are off-the-plan purchases it's impossible to say what the impact on credit growth will be for certain, but it may be non-trivial.</div>
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<div class="separator">Of course, there are about 9.75 million dwellings in Australia it's certainly not the RBA's job to set monetary policy for every housing market sector in Australia. </div>
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<div class="separator">However, another sticking point for the 'easing' theory is that inner Sydney's housing markets aren't easing.</div>
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<div class="separator">A simple look through the weekend's auction results tells you that prices have jumped again in recent weeks.</div>
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<div class="separator">Having copped oodles of stick for reporting double digit price growth in Sydney, CoreLogic may yet prove to be ahead of the pack, and see the other data providers follow suit. </div>
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<div class="separator">The eastern suburbs market is insanely strong (Paddington, Surry Hills, Bondi), suburbs on the city fringe to the inner west are clearly smoking records when viewed through a hedonic pricing lens, and the harbour city's lower north shore is on fire. </div>
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<div class="separator">Meanwhile, the northern beaches are probably the hottest suburbs of the lot.</div>
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<div class="separator">I don't really have the time or inclination to follow the suburbs further out too closely, so can't really comment with any authority on that.</div>
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<div class="separator">The high volume of apartments under construction will have an impact eventually, although mostly these are pre-sold. </div>
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<div class="separator">I also note in passing that Sydney's median auction price last week was $1,337,000. </div>
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<div class="separator">It's never been higher.</div>
 <div class="separator"><a href="/images/2016/11/08/RBA3.jpg" target="_blank">Click to enlarge</a></div>
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PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>. 
His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.
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pwargent-M4siyDbqQY

Housing market indicators have eased

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With housing affordability now front and centre, it will be a very interesting meeting next week when the Housing Ministers meet to explain what they are doing to address these anomalies to the Treasurer Scott Morrison.
In NSW for example ,there are two very big property elephants about to enter the room in November and December that most don’t know about and they will have massive impacts in the clear majority of Sydney suburbs.
The first are the unprecedented reforms to strata laws which commence on November 30, 2016. Presently with strata properties a developer can’t acquire the entire block without the owners being in 100 per cent agreement, but from November 30, the 100 per cent has been reduced to 75 per cent. Now most who live in a house may well say – no big deal there. There is much, much more that home owners need to know, as property developers will start cherry-picking older style small strata blocks with the view to developing the entire site and they will be much higher than what is there now.
In late 2015, the Baird Government set up what is known today, as the Greater Sydney Commission (GSC), headed by Lucy Turnbull who has been tasked with delivering 680,000 new homes by 2031. Local councils have no say in what the GSC approve as they determine what was previously known as Local Environmental Plan (LEP) and Business Control Plan (BCP).Your traditional local council today, merely collects rates, issues parking fines, mows lawns and trims trees, the local planning side of the equation now rests with the GSC.
In December, the GSC will announce nine corridors across Sydney which have been approved for high – density developments. I’m told the nearest to me will be North Sydney/Crows Nest to get the ball rolling and the GSC is smart in that it won’t announce areas that are presently identified as no – go – zones with the lenders.
Now 680,000 new homes are clearly the biggest roll – out in NSW history where every suburb will have a role to play in some shape or form. This would explain why the NSW Government has just rubber stamped a $2 billion allocation to construct the much-awaited tunnel from the northern beaches to the Sydney CBD. Along all the major roads you can expect high-rise where previously local councils have protected historical architectural building merit, although that now appears to have been lost with the forming of the GSC.
Whilst it would be fair and reasonable to suggest that the major roads are the perfect fit for new high density developments I am much more concerned about the property developers cherry – picking the smaller apartment blocks as these are located off the main roads. You don’t change strata ownership laws where a block only requires 75 per cent approval now to sell to developers – for good reason without an explanation – which has not been forthcoming. These significant changes could see property developers running amok in suburbs across Sydney as the ownership ratio reduction reeks of property developers lobbying to get this through to make the acquisition process much easier.
The unknown part of this is that nobody (aside from developers and the GSC) know just how much of the air space above the current roof lines they will be permitted to subdivide?
Of course, the NSW Government is the major winner here as they will collect billions of dollars in stamp duty and land tax on a scale never seen before. This also all but guarantees a strong economy for NSW for quite some considerable time to come so that needs to be given fair consideration also.
The days of a single property owner holding out against a property developer are soon to be over for some of 2,000,000 people in NSW who reside in an apartment. We need to focus on the 680,000 new homes so allow me to put that into perspective – over the next 24 months approximately 230,000 brand new apartments in Sydney, Melbourne and Brisbane will be completed so that 230,000 is approximately just one third of what Sydney needs to produce over the coming 15 years.
This will affect everyone in NSW with Sydney copping the brunt of this building bonanza. So, when Scott Morrison meets with the Housing Ministers next week no doubt he will be smiling along with every property developer in NSW.
Keep an eye out for the GSC announcement in December which should be made public on Christmas eve or sometime after Christmas and before New Year’s Eve – as we all know how Governments work when it comes to handling and announcing such sensitive matters.
MOSMAN – 2088 Number of houses on the market this time last year – 75 Number of houses on the market last week – 63 Number of houses on the market this week – 59 Number of apartments on the market this time last year – 60 Number of apartments on the market last week – 47 Number of apartments on the market this week – 45
CREMORNE – 2090 Number of houses on the market this time last year – 6 Number of houses on the market last week – 9 Number of houses on the market this week – 7 Number of apartments on the market this time last year – 17 Number of apartments on the market last week – 23 Number of apartments on the market this week – 21
NEUTRAL BAY – 2089 Number of houses on the market this time last year – 6 Number of houses on the market last week – 8 Number of houses on the market this week – 5 Number of apartments on the market this time last year – 30 Number of apartments on the market last week – 23 Number of apartments on the market this week – 26
ROBERT SIMEON is a director of <a href="https://www.rwm.com.au/" target="_blank" title="RWM" rel="nofollow">Richardson Wrench Mosman and Neutral Bay</a> and has been selling residential real estate in Sydney since 1985. 
He has also been writing real estate blog <a href="https://www.rwm.com.au/news/" target="_blank" title="Virtual Realty News" rel="nofollow">Virtual Realty News</a> since 2000.
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robertsimeon-hRNTwJyXkQ

Sydney has a new property face – you’ll be either happy or angry

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GUEST OBSERVER<img src="file:///page1image20256" alt="page1image20256" width="100.920000" height="0.959990"><img src="file:///page1image20680" alt="page1image20680" width="0.959990" height="0.959990"><img src="file:///page1image20840" alt="page1image20840" width="143.210000" height="0.959990"><img src="file:///page1image21000" alt="page1image21000" width="289.249990" height="0.959990"><img src="file:///page1image21760" alt="page1image21760" width="143.930000" height="0.959990">
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Total private credit posted another solid result in September, led by expansion in the housing sector. Of note is the pickup in investor credit, where growth has been accelerating over the past six months. 
Click to enlarge
<img src="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.29.21%20AM.png" alt="">
Combined with strength in other indicators, this suggests the housing market remains in good shape.
Housing credit expanded a steady 0.5 percent m/m in September, in line with the trend so far this year. Investor credit rose a solid 0.6% reflecting the recent strength in investor finance approvals after last year’s regulatory-induced slowdown.
<a href="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.31.06%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.31.06%20AM.png" alt="">
This is the strongest growth for the segment since August 2015, and provides further evidence (along with the recent pickup in house prices and auction results) that sentiment in the housing market remains positive.
<a href="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.32.09%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.32.09%20AM.png" alt="">
Business credit posted a mild increase in September, but growth continues to slow. This is in line with the ongoing slowdown in new finance approvals (Figure 2), and is likely to remain the case in coming months. Meanwhile, personal credit contracted for the 10th month in succession, and now sits 1.3 percent lower than a year ago.
<a href="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.33.34%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/11/01/Screen%20Shot%202016-11-01%20at%209.33.34%20AM.png" alt="">
Although consumer confidence sits at elevated levels and household consumption is still ticking along, individuals appear cautious of taking on new (non-housing related) debt. 
Felicity Emmett co-head of Australian economics, ANZ Research and can be contacted <a href="https://www.anz.com/corporate/research/" target="_blank">here</a>.
Daniel Gradwell is economist, ANZ and can be contacted <a href="https://www.anz.com/corporate/research/" target="_blank">here</a>.
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jchancellor-FAypfDUnLy

Australian housing credit still rising, led by investors: ANZ

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GUEST OBSERVER
Residex has issued its latest non-revised growth in median values chart.
These figures suggest the Australian house market grew 1.63 percent in the September quarter.
Growth was driven almost entirely by a strong surge of 1.63 percent in the month of September, off the back of a slight decline in August. Annual performance of Australian houses was 3.31 percent, as opposed to 7.2 percent in the previous year.
Similarly, the median non-revised unit value across Australia experienced 1.27 percent growth in the September quarter, with 1.17 percent growth in the month of September alone.
Unit values across Australia increased 3.96 percent.
Table 1: September 2016 Median Value Index
<a href="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%208.57.50%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%208.57.50%20AM.png" alt="">
 
Source: Residex
While the monthly figures are relatively volatile, annual growth shows a more distinct trend. Graph 1 plots historical annual growth rates for the median Australian house and unit values.
Graph 1: Residex Non-Revised Median Values – Historical Growth of Australian Houses and Units
<a href="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%208.59.01%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%208.59.01%20AM.png" alt="">
Source: Residex
Graph 1 suggests that the aggregated housing market peaked in 2014, though it has since had a very slow decline relative to past growth cycles. Growth in dwelling markets is likely to have been sustained by the four cash rate cuts that have taken place since the peak of the most recent cycle.
Country NSW houses had the highest value growth in the year to September at 7.41% in capital gains. This figure was down on the previous year’s growth of 9.94%, suggesting that regional NSW is now following the downswing in the Sydney market.
Spillover into the regional NSW market was expected as those who were priced out of Sydney during the recent housing boom (in which the median Sydney dwelling grew 33% between 2013 and 2016) sought more affordable properties in which to live or invest.
Regional areas of NSW also currently provide higher rental yields for investors. Residex median rent estimates remained virtually unchanged in Australian houses and units. The strongest surge in rents was in ACT units and Hobart and Tasmanian houses, while resource market rents continued to decline. The overall subdued growth in rents is likely due to an increase in investor activity, which has potentially increased the stock of rental properties.
Graph 2 displays the annual change in dollar values of rents for the past 10 years, alongside ABS dollar values of loans taken out by investors at each month. From 2013, the uptick in investor lending seemed to have a more dramatic impact on units. The second surge from late 2015 is also likely to dampen rent growth in units.
Graph 2: Annual Change in Residex Median Rent vs ABS Dollar Value of Investor Loans
<a href="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%209.00.06%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%209.00.06%20AM.png" alt="">
Source: Residex
Given that most Australian markets follow the Sydney growth cycle at a lag, it is tempting to aggregate our markets and say that Australia as a whole is well into the downswing phase of the growth cycle, and some moderate adjustments may be expected over the course of 2017.
However, Australia’s smaller, resource based markets were thrown into a correction following resource price shocks. They cannot be amassed with the rest of Australia’s housing market movements, and it is increasingly difficult to place them in traditional economic cycles.
The energy commodity price index surmises dramatic movements in what makes up approximately 30% of Australian exports: a 70% decline between June 2014 and January 2016, followed by a 41% recovery between the beginning of 2016 and September.
Graph 3 plots the monthly commodity price index changes against monthly trend capital growth in Perth and Darwin non-revised median values. The commodity price index seems to have a lead lag effect on growth, particularly in Darwin where the dwelling market is small, reducing the severity of declines.
Graph 3: Commodity Price Index versus Monthly Trend Growth in Perth and Darwin
<a href="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%209.01.09%20AM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/31/Screen%20Shot%202016-10-31%20at%209.01.09%20AM.png" alt="">
 
Source: Residex
Unfortunately, these commodity price increases are not representative of a cyclical recovery in resources, but was more likely the result of severe weather conditions in China which temporarily limited the supply of coal and steel, structural limits to coal supply in Australia, and OPEC negotiations which saw a spike in the price of oil. While this may temporarily restore confidence in resource dwelling markets, Perth and Darwin are still in a correction period.
With 1.3 percent inflation at the September quarter up slightly from the 1% in the previous quarter, the RBA may have room to leave rates on hold. A steady cash rate in the current climate is likely to see a steady fall in growth rates across Australian dwelling markets, with small, niche markets such as Hobart offering promising fundamentals for nearer term growth.
Eliza Owen is the market analyst for Onthehouse.com.au. She can be contacted <a href="https://www.onthehouse.com.au/" target="_blank">here.</a>
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Australian house market grew 1.63 percent in September quarter: Eliza Owen

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Sydney has lived with an affordability ratio in the high range for a decade and a half, without dire things happening, Phil Ruthven, the founder of IBISWorld recently noted.
Ruthven, recognised as one of Australia’s foremost business strategists and futurists, agreed that Sydney prices seem to be well over trend compared with Melbourne.
He concludes that although the Sydney economy and that of NSW are doing well - "indeed the best in the nation" - that it may not protect it from a dwelling price correction in the year or so ahead, or a longish period of prices flat-lining until incomes catch up to restore equanimity.
He told readers of <a href="https://cuffelinks.com.au/" target="_blank">CuffeLinks</a> website that Australia’s economy is not threatened by its world-leading dwelling prices.
Sydney has "lived with an affordability ratio in the high range (3½-4 times household incomes) for a decade and a half, without dire things happening."
"Yes, Australia’s household debt (mainly mortgage debt) as a share of GDP is one of the highest in the world, but manageable.
"And our corporate and government debt as a share of GDP are among the lowest, if not actually the lowest.
"Overall, we are not living too far above our means compared with most other developed nations."
But he signals Sydney as the stand-out loner among our capital cities.
<a href="/images/2016/10/20/PR-Figure5-211016-768x559.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/20/PR-Figure5-211016-768x559.png" alt="">
Sydney is the odd-one-out given its prices are so far ahead of the second priciest market Melbourne. The two charts below suggest the degree to which Sydney prices seem to be well over trend compared with Melbourne.
<a href="/images/2016/10/20/PR-Figure6-211016-768x573.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/20/PR-Figure6-211016-768x573.png" alt="">
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<img src="/images/2016/10/20/PR-Figure7-211016-768x573.png" alt="">
He noted the difference was even more marked when comparing just apartments.
<a href="/images/2016/10/28/PR-Figure1-211016-768x534.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/28/PR-Figure1-211016-768x534.png" alt="">
But he noted Sydney had been under-supplied for nearly a decade, whereas Melbourne had gone into overdrive, leaving Sydney over the past year a sellers-market (prices over-trend by 12-13%) and Melbourne the opposite: a buyers-market, with prices 7-8% under-trend.
He concluded that the indications are that price growth is abating as we head into 2017. 
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j.ballantyne1990-6AQqhLzZaK

Futurist Phil Ruthven on whether the housing market is in bubble territory

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By the end of the June 2016 quarter, there were 212,036 houses and units under construction nationally, consisting of 61,350 houses and 150,686 units; the number of houses under construction fell -3.6 percent and there were -2.1 percent fewer units under construction, according to CoreLogic's latest monthly market report.
The data also showed that although the number of houses and units under construction is lower, historically, they remain at exceptionally high levels.
An analysis of the ABS completion and commencement data by CoreLogic research analyst Cameron Kusher shows that more dwellings were completed over the June 2016 quarter than were completed.
June quarter activity snapshot:
• 29,866 houses and 22,680 units commenced construction compared to 32,207 houses completed and 25,893 units completed.
• The number of houses commenced rose 18.0% over the quarter while unit commencements were down -29.2% and at their lowest level since the December 2014 quarter.
• Quarterly completions totalled 32,207 houses and 25,893 units were completed representing quarterly increases of 39.2% and 71.3% respectively.
<a href="/images/2016/10/13/Quarterly%20number%20of%20houses%20and%20units%20under%20construction%20National.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/13/Quarterly%20number%20of%20houses%20and%20units%20under%20construction%20National.jpg" alt="">
According to Mr Kusher it was the highest number of unit completions on record over the quarter and 22.1% higher than the previous record high.
He said, “While the data shows rising completions, and given the large pipeline of dwellings under construction, we should expect quite high volumes of completions over the coming quarters.”
“At the end of the June 2016 quarter there was also a record-high number of dwellings which had been approved for construction but hadn’t yet commenced. Nationally, 39,359 dwellings were approved but not commenced, up 15.6% from the previous quarter. This is split between 9,185 houses and a record-high 29,713 units which had yet to commence. Over the past few years there has been a steady upswing in the number of units approved for construction but not commenced and we anticipate that this trend will continue.”
Focusing on state and territory data on houses and units under construction clearly shows where supply of new housing has ramped- up.
The 61,350 houses currently under construction were split between: 16,861 in NSW, 18,861 in Vic, 9,062 in Qld, 4,516 in SA, 9,826 in WA, 1,289 in Tas, 325 in NT and 611 in ACT. The number of houses under construction was lower over the quarter in NSW, Vic, WA, Tas and NT and higher elsewhere. In WA the number of houses under construction is at its lowest level since September 2012 and in NT they are at their lowest level since June 2013.
<a href="/images/2016/10/13/House%20construction.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/13/House%20construction.jpg" alt="">
The split across the states and territories for the 150,686 units under construction at the end of June 2016 was: 55,682 in NSW, 46,676 in Vic, 31,070 in Qld, 3,386 in SA, 8,396 in WA, 335 in Tas, 751 in NT and 4,390inACT. Qld, SA and ACT were the only states and territories to have a greater number of units under construction over the quarter.
Qld currently has a record-high number of units under construction while in WA units under construction were at their lowest level since June 2014, in Tas they were at their lowest level since March 2014, in NT they were at their lowest level since September 2011 and in ACT they were at their highest level since September 2012.
<a href="/images/2016/10/13/Units%20construction.jpg" target="_blank">Click to enlarge</a>
<img src="/images/2016/10/13/Units%20construction.jpg" alt="">
 Mr Kusher said, “Although commencements and the number of houses and units under construction were lower over the June quarter they still remain at high levels on an historic basis.”
“With a significant amount of housing due to be built over the coming years however, we anticipate that the trend towards a lower proportion of approved stock reaching commencement to continue as a mature construction phase makes it more difficult for developers to achieve sufficient presales to progress to construction.
“Furthermore, a number of these approved developments are probably being shopped for sale and therefore won’t necessarily be constructed during this current phase.”
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