National diversified developer Fortis has officially launched Crest &amp; Walker, its latest Brisbane apartment development, with construction now underway on the 20-storey Newstead project.

Award-winning builder BINAH has commenced construction on the Bureau^Proberts-designed building, which will deliver a limited collection of 65 two and three-bedroom apartments on Kyabra Street.

[smartcode_project:default project_id=145922 project_image_fid=373556]

The project marks Fortis' fourth active residential development in Brisbane, following River House, which is nearing completion, alongside projects in New Farm and Hamilton as the national developer continues to expand its South East Queensland pipeline.

Fortis General Manager – Development Queensland Dan Boman said Crest &amp; Walker reflects the developer's long-term commitment to delivering design-led residential projects in Brisbane's established inner-city suburbs.

"We're proud to be strengthening our presence in Brisbane with Crest &amp; Walker, particularly in such a sought-after lifestyle destination as Newstead," Boman said.

"Every Fortis project is shaped by its context, and we approach each one with the respect and care it deserves.

"Our focus is always on creating places that feel connected to their neighbourhood and elevate the everyday experience for residents. Newstead continues to evolve as one of Brisbane's most sought-after urban communities, and Crest &amp; Walker reflects our ambition to contribute meaningfully to that story."

[smartcode_project:default project_id=145922 project_image_fid=373559]

Positioned between Gasworks Plaza and James Street, <a href="https://www.apartments.com.au/new-apartments/crest-walker-newstead-12-kyabra-street-newstead-qld-4006">Crest &amp; Walker</a> has been designed as a boutique residential address offering privacy and generous living spaces within one of Brisbane's most established lifestyle precincts.

The building features a contemporary brick podium softened by integrated landscaping, while the upper levels are characterised by restrained architecture and enduring materiality. Interiors have been designed to maximise natural light, acoustic performance and long-term liveability.

[smartcode_project:default project_id=145922 project_image_fid=373583]

Residences comprise spacious two and three-bedroom floorplans, with two-bedroom apartments priced from $1.55 million and three-bedroom, half-floor residences from $3.95 million.

Residents will have access to a wellness-focused rooftop featuring a swimming pool, sauna, steam room, landscaped dining spaces and outdoor lounge areas overlooking Newstead and the Brisbane CBD.

[smartcode_project:default project_id=145922 project_image_fid=373571]

Sales are being managed by Slaite Projects, with Fortis expecting strong demand from owner-occupiers seeking a high-quality, design-focused apartment in one of Brisbane's most tightly held inner-city suburbs.

Completion of Crest &amp; Walker is slated for late 2028.

[smartcode_project_cta:default project_id=145922]

Joel Robinson

Fortis expands Brisbane pipeline with launch of Crest & Walker in Newstead

The enormity of delivering a true skyscraper in Australia's new development market is often overlooked.

It has taken the best part of a decade since plans for Chevron One were first unveiled, but the 52-storey tower is now complete, with residents collecting their keys and moving into what has become one of the Gold Coast's most recognisable new landmarks.

Rising 127 metres above Chevron Island, Chevron One stands almost twice as high as any other building on the island. Its scale places it alongside the trio of towers at Jewel, arguably the last truly significant addition to the central Gold Coast skyline when they were completed around six years ago.

While there are several developments underway around a similar height to Chevron One, they are more concentrated within clusters of the highest towers in the city. The fact Chevron One sits within a developing precinct, looking back at the other high-rise developments in Surfers Paradise and Broadbeach, makes it a different proposition altogether. It will certainly become a reference point on the Gold Coast skyline.

[smartcode_project:default project_id=6515 project_image_fid=68833]

Developer Bensons Property Group is behind the 52-storey tower, which has just shy of 250 apartments, along with an exhaustive list of resident amenity spread across what is the largest development site ever assembled on Chevron Island.

The tower has been the talk of the town for years, says Ray White Projects Gold Coast agent Caitlin Rosenboom, who is selling the remaining apartments.

"People have been watching Chevron One go up for years," Rosenboom says, adding that many prospective buyers have been surprised by the scale of the views once they step inside.

"It's only when they walk through a completed apartment that they truly understand the position of the building," Rosenboom says.

"The views are jaw-dropping. Whether you're looking east over the ocean, across Surfers Paradise, along the river systems or out to the hinterland, every level offers something different but equally impressive."

[smartcode_project:default project_id=6515 project_image_fid=360215]

One of Chevron One's defining advantages is its location on the eastern side of Chevron Island on Stanhill Drive, a position which protects the views forever.

"There's only one row of houses between Chevron One and the water, and the height restrictions along the river means views from Chevron One can never be built out,"&nbsp;Rosenboom says.

While new apartment developments continue to emerge across the Gold Coast, Rosenboom says opportunities to secure a completed apartment with this level of outlook are becoming increasingly rare.

"The size of the site is something that would be incredibly difficult to replicate today," she says.

"That's allowed Chevron One to deliver the sort of amenity, open space and resident facilities that very few projects can offer. There are not many completed apartment buildings on the Gold Coast right now that can compete with the combination of scale, quality and amenity."

[smartcode_project:default project_id=6515 project_image_fid=68839]

There's around 2,000 sqm of amenity solely for the use of residents of Chevron One. Club One features a uniquely shaped swimming pool that mirrors the footprint of the building itself, set within a extensively landscaped gardens. There's also an indoor pool and spa, a fully equipped gym with a Pilates room, a yoga garden, a bookable private dining area and lounge that can host up to 30 people, and a 24-hour concierge service.

As for the buyers, Rosenboom is fielding enquiry from everywhere: Sydneysiders and Melburnians looking at the new and off-the-plan market following the changes in the Federal Budget, as well as those looking to relocate, through to South East Queenslanders seeking either a permanent home or a weekender bolthole.

"The Gold Coast lifestyle continues to resonate with people relocating from the southern states, and when they see the views and the quality of what's been delivered at Chevron One, it becomes very easy for them to understand the appeal," Rosenboom says.

A diverse mix of one, two and three-bedroom apartments remain available, with each offering "something a little different", be it the orientation and views, configuration, or level, to suit a wide variety of buyers.

The remaining apartments are ready to inspect in person, by appointment.

[smartcode_project_cta:default project_id=6515]

A decade in the making: Residents to move into Chevron One as construction wraps up

A general rule of thumb in new apartment developments is that the penthouses get the rooftop.

It's a formula that's become commonplace across Australia's apartment market. Residents might have access to a pool, gym or barbecue facilities on a dedicated lower level, but the most desirable outdoor spaces are typically reserved for the highest-priced homes at the top of the building.

<a href="https://www.apartments.com.au/developers/sherpa-property-group">Sherpa Property Group</a> has taken the opposite approach.

Rather than dedicating the rooftop to a handful of buyers, the Gold Coast developer has made it the centrepiece of its Flourish collection, creating expansive shared spaces from the best vantage point in the building.

The philosophy has reached its most ambitious expression at <a href="https://www.apartments.com.au/new-apartments/flourish-soleira-palm-beach-1150-1160-gold-coast-highway-palm-beach-qld-4221">Flourish Soleira</a> in Palm Beach, where two rooftop precincts connected by a skybridge will deliver one of the most extensive lifestyle offerings seen in a residential apartment project on the Gold Coast.

[smartcode_project:default project_id=150017 project_image_fid=374053]

"We're seeing a clear move toward developments that offer more than just an apartment," Sherpa Group founder Christie Leet said.

"People want spaces that support how they actually live, whether that's working from home, staying active, or spending time with family and friends.

"That's where amenity becomes critical. It's not just about what's included, but how those spaces are designed to be used every day."

[smartcode_project:default project_id=150017 project_image_fid=374052]

The breadth of amenity has already attracted buyers across multiple demographics. Younger first home buyers have been drawn to Soleira's one-bedroom apartments, a product rarely delivered in Palm Beach, while families have responded to practical inclusions such as the shallow children's pool adjoining the main lap pool and the extensive communal recreation areas.

Instead of a single rooftop, Soleira delivers two distinct lifestyle zones.

[smartcode_project:default project_id=150017 project_image_fid=372547]

The southern rooftop has been dedicated to wellness, featuring a gym, yoga and Pilates studio, work-from-home facilities, a wellness centre, spa, and hot and cold plunge pools.

The northern rooftop focuses on recreation and entertaining, incorporating a heated resort-style pool, private dining rooms, pizza ovens, barbecues, a golf simulator, children's recreation areas, and what is expected to be the Gold Coast's first rooftop basketball court, which will also double as a squash court.

[smartcode_project:default project_id=150017 project_image_fid=374054]

Beyond the rooftops, Soleira will introduce 1,500 sqm of curated retail beneath the towers, creating one of Palm Beach's first genuinely mixed-use lifestyle precincts where cafés, restaurants and convenience retail become part of residents' everyday lives.

Sherpa has also retained management rights across the development, allowing it to oversee the long-term operation of the building through a 24-hour concierge model. The developer is also exploring additional revenue streams within the precinct aimed at helping offset ongoing body corporate costs for residents.

[smartcode_project:default project_id=150017 project_image_fid=370962]

While Soleira is the largest project Sherpa has delivered, the rooftop-first philosophy has been evolving for several years.

It began with <a href="https://www.apartments.com.au/new-apartments/amargo-6-12-sixth-avenue-palm-beach-qld-4221">Flourish Amargo</a>, the first project released under the Flourish brand. Rather than competing at the ultra-luxury end of the market with oversized half-floor and full-floor residences, Sherpa focused on creating lifestyle-driven apartments supported by resort-style shared spaces.

Amargo introduced more than 800 sqm of rooftop amenity, combining wellness facilities, heated pools, entertaining areas, cabanas, pizza ovens and private dining spaces into what was designed as an extension of residents' homes rather than a facility used only occasionally.

[smartcode_project:default project_id=146527 project_image_fid=366550]

That approach continued with Flourish Oasis, where the same amenity-led philosophy was refined into a more boutique development. Strong demand from Sherpa's growing VIP database saw much of the project sold before it reached the broader market, reinforcing buyer appetite for apartment communities centred around shared lifestyle experiences.

Flourish Amargo is slated for completion mid-way-through next year, with Oasis to be delivered by late 2027. Flourish Soleira is expected to complete in 2030.

[smartcode_project_cta:default project_id=150017]

Sherpa takes amenity to the sky as Flourish Soleira captures booming Palm Beach demand

As apartment living continues to evolve across Sydney's growth corridors, the quality and distribution of shared spaces is increasingly shaping how residents experience home. Rather than functioning as add-ons, amenities are being embedded into the daily rhythm of a building, supporting everything from quiet retreat to social interaction, often within a single vertical community.

At <a href="https://www.apartments.com.au/new-apartments/aeris-melrose-park-nursery-street-melrose-park-nsw-2114">Aeris</a> in Melrose Park, this approach is resolved through a layered amenity offering that unfolds from ground level through to its upper podium. Developed by <a href="https://www.apartments.com.au/developers/sekisui-house-australia">Sekisui House Australia</a> in partnership with Hankyu Hanshin Properties, the project introduces 468 apartments across two towers and a mid-rise building, positioned at the highest point of the broader masterplan.

[smartcode_project:default project_id=426 project_image_fid=359199]

The amenity experience begins at street level, where two courtyards sit within a landscaped setting that connects residents to the wider network of parks and green spaces. These green spaces are not isolated pockets but part of a wider pedestrian network that links Aeris to the surrounding <a href="https://www.apartments.com.au/developments/melrose-park-nsw-2114">Melrose Park</a> precinct, including Central Park, future schools, and the Town Centre opening in July 2026. The result is a transition that moves from public to private without abrupt boundaries, allowing residents to pass through shaded, tree-lined environments before reaching the building itself.

Moving upward, the focus shifts to the level five podium, where the primary communal facilities are concentrated. This space brings together a 16-metre swimming pool, outdoor seating areas, and a communal BBQ zone arranged to take advantage of elevated outlooks. Seating is positioned beneath pergolas, creating pockets of shade that extend the usability of the space throughout the day. The pool edge aligns with views toward the wider district, reinforcing the sense of elevation that defines the project’s positioning.

In the adjacent building, this is complemented by quieter, more contemplative spaces, including an outdoor cinema set within the same level. Positioned to operate primarily in the evening, it introduces a different tempo to the shared environment, shifting from daytime activity to after-hours use without requiring separate zones.

[smartcode_project:default project_id=426 project_image_fid=360299]

The podium also accommodates an intimate private resident gym. Located on the lower levels, it gives residents convenient access to fitness facilities without leaving the building.

Above, the elevated podium sky deck extends the amenity offering, providing additional open-air spaces with elevated outlooks across the surrounding landscape. While more restrained in program, this upper level reinforces the project’s vertical progression, from ground-level greenery to elevated outlook, allowing residents to move between distinct spatial conditions within a single address.

This distribution of amenities reflects a deliberate response to how residents use space across the day. Sekisui House Australia Sales and Marketing Director Peter Kalaf points to the role these shared areas play in shaping buyer demand. Aeris has been conceived as more than a collection of apartments, with the podium pool, gym and outdoor cinema forming part of a broader lifestyle offering that extends the home beyond each individual residence.

[smartcode_project:default project_id=426 project_image_fid=360300]

What distinguishes Aeris is not the inclusion of these elements individually, but how they are arranged in relation to one another. Active, social, and passive spaces are layered vertically rather than separated, allowing residents to choose between them without leaving the building or moving far from their apartment. This proximity supports both routine use, such as a morning swim or evening workout, and more occasional gatherings, whether around the BBQ area or within the cinema setting.

The amenity design also sits within a broader framework of connectivity across Melrose Park. The Melrose Park Town Centre, anchored by Coles and Dan Murphys, features a mix of retail, dining, health and lifestyle offerings, bringing everyday convenience closer to residents. By the end of the year, more than five hectares of parks and open space, equivalent to around seven football fields of green space on residents' doorstep, will further enhance the precinct, allowing the internal facilities at Aeris to operate as an extension of the wider neighbourhood rather than a substitute for it.

Construction at Aeris continues to gather momentum, with ground floor slabs expected to be completed in late 2026 before the first sections of the buildings begin to rise above ground.

[smartcode_project_cta:default project_id=426]

Elevated amenity anchors daily life at Aeris, Melrose Park

Repeat buyers are one of the strongest measures of confidence in any apartment development.

At <a href="https://www.apartments.com.au/new-apartments/era-newcastle-west-124-126-bull-street-newcastle-west-nsw-2302">ERA</a> in Newcastle West, some purchasers are returning to <a href="https://www.apartments.com.au/developers/gwh">GWH</a> after living at the developer's One Apartments. Their decision to purchase again was driven by the quality of life they found after moving into their first GWH home.

Keith Wilton had spent years living in a house in East Maitland before deciding it was time for a change. Apartment living had always been on his radar, but he was selective about what he wanted.

<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/FH_1EzB-1vs?si=XScVlP1ERsTDJoME" title="YouTube video player" width="560"></iframe>

"I had some boxes I wanted to tick," he says.

Keith points to the open-plan design, generous outdoor areas and considered inclusions as key reasons One Apartments worked for him.

“One of those things was a nice indoor open plan area, but also I wanted a nice outdoor open area that I could entertain on in summer or Christmases or birthdays,” he says.

He also found value in the smaller details, from integrated appliances to shared resident spaces including the pool, cinema and rooftop areas.

[smartcode_project:default project_id=135096 project_image_fid=356818]

After comparing several developments, he chose One Apartments because of GWH's longstanding local reputation and his own experience working with the developer on a commercial project more than a decade earlier.

"I knew that they were local, that the quality of the build was going to be up there. I'd looked at other apartment complexes around and close by, and I just knew that here was a better decision location wise."

Today, Keith says the move has completely changed how he experiences Newcastle.

"I enjoy living in this location because it's more of a lifestyle change. That Newcastle city living where you can walk to restaurants and bars and even beaches and parks and even shopping across the road."

[smartcode_project:default project_id=135096 project_image_fid=356828]

Beyond the location, he says it's the sense of community that has surprised him most.

"Everyone loves living here because they chose to live here, but everyone looks out for each other. It's a real great community feel here."

For Aimee and Lyle Goodman, the journey started almost by chance.

<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/tsioMLcnjas?si=zq-ys3JuWpfa5hFv" title="YouTube video player" width="560"></iframe>

The couple happened to be having coffee in Newcastle when they noticed the site where One Apartments was about to begin construction.

"We were aware GWH was planning a development," Aimee says. "We made one phone call and things moved pretty quickly after that."

As busy business owners, they initially thought apartment living would simply reduce the maintenance that came with larger homes. Instead, it fundamentally changed how they spent time together.

"We actually catch up more as a family now," Aimee says.

"We've had homes with big yards and lots of space, but everyone ended up in different rooms. Here we'll have dinner together, the kids can play, and we spend far more quality time together."

[smartcode_project:default project_id=135096 project_image_fid=356829]

Lyle says their confidence came from GWH's reputation within Newcastle's building industry.

"I know people who've worked across different apartment projects, and whenever GWH came up the feedback was always the same. They're rock solid. They're quality."

That confidence only grew throughout the buying process.

"One of the things that really impressed us with GWH was the whole process, was the communication," Lyle says. "It was consistent, it was regular, there was no problem if we had some weird questions, there was no problems in getting answers."

[smartcode_project:default project_id=135096 project_image_fid=351104]

Aimee says one moment stood out.

"The project actually finished on time. We realised we needed to hurry up and sell our house because everything was happening exactly when they said it would."

The positive experience at One Apartments ultimately gave all three buyers the confidence to purchase again with GWH, this time at ERA.

Their confidence reflects what many buyers are seeking in today's apartment market. Location remains important, but so too does certainty around delivery, quality and long-term liveability.

[smartcode_project:default project_id=135096 project_image_fid=356822]

ERA builds on those foundations with 280 one, two and three-bedroom apartments across two landmark towers in <a href="https://www.apartments.com.au/developments/newcastle-west-nsw-2302">Newcastle West</a>.&nbsp;

Designed by <a href="https://www.apartments.com.au/architects/fk-australia">Fender Katsalidis</a>, the project will include more than 2,000 square metres of resident amenities, including a resort-style pool, gym, sauna, private cinema and rooftop entertaining spaces overlooking the harbour and coastline.&nbsp;

The development is also within walking distance of the Newcastle Interchange, Honeysuckle, Darby Street, the harbour foreshore, restaurants, retail and the city’s beaches, continuing the walkable lifestyle that existing GWH buyers say has transformed how they live.

[smartcode_project:default project_id=135096 project_image_fid=356826]

For Keith, the appeal remains straightforward.

"You feel at home even before you've moved into your home."

For Aimee, the change is measured in time.

“I just felt like I had more time,” she says.

[smartcode_project:default project_id=135096 project_image_fid=351102]

Construction at ERA is now underway, with more than half of the residences already sold and limited two and three-bedroom apartments remaining in the East Tower release. Priced from $980,000 for two-bedroom residences and $1.46 million for three-bedroom residences, buyers can secure an apartment with a 10 per cent deposit, with premium homes offering ocean views from Level 8 and harbour views from Level 10.

ERA is also backed by Resilience Insurance's 10-year Latent Defects Insurance policy, providing protection against structural or waterproofing defects for 10 years after completion. The project is anticipated to be completed in early 2028.

[smartcode_project_cta:default project_id=135096]

From ONE to ERA: Why buyers are choosing GWH again in Newcastle West

<html><body>
Former NAB branch manager Mathew Alwan has pleaded guilty in the Local Court of NSW to one count of ‘intention to defraud by false or misleading statement’, an offence under the NSW Crimes Act.
An ASIC investigation found that between 23 October 2013 and 19 September 2015 Alwan dishonestly made false and misleading statements to NAB in relation to 24 home loan applications.
Alwan told the bank that a NAB introducer had referred the 24 borrowers under the loan applications to NAB when he knew that this was not true.
The NAB introducer he claimed had assisted in the loan application was Mr Alwan’s uncle, operating under the business name ‘Suit Club’.
As a result of the fraud, NAB paid Suit Club $56,995 in commissions.
Alwan will be back before the Court on 1 October 2019 for sentence.
Since 2000, NAB operated a ‘spot and refer’ Introducer Program which allowed third party ‘introducers’ registered with NAB to refer the name and contact details of potential borrowers to the bank. If the borrower subsequently took out a loan with NAB, the introducer would receive a percentage of the loan amount as a commission. Between 2013 to 2016, NAB’s Introducer Program generated $24 billion dollars’ worth of loans.
In February 2016, NAB breach reported to ASIC that it had uncovered several of its bankers, including Mr Alwan, were engaged in fraudulent misconduct in Greater Western Sydney. This misconduct was later featured in the first case study before the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.
On 25 March 2019, NAB announced that it will be terminating the Introducer Program on 1 October 2019.
In October 2018, ASIC permanently banned Mr Alwan from engaging in credit activities and providing financial services as a result of this conduct.
</body></html>

jrobinson-rf4aSBido9

Former NAB home loan branch manager pleads guilty to intention to defraud

<html><body>
The NAB has advised its mortgage delinquencies are on the rise.
<div class="page" title="Page 2">
<div class="section">
<div class="layoutArea">
<div class="column">
The ratio of 90+ days past due and gross impaired assets to gross loans and acceptances increased from 0.79% to 0.85%, largely due to rising Australian mortgage delinquencies, it advised today.
The bank said asset quality overall remained broadly sound.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/8/14/NAB%20arrears%20rise.jpg" alt="">
The acting chief Philip Chronican released its third quarter trading update this morning, reporting unaudited statutory net profits of A$1.70bn, and A$1.65bn in unaudited cash earnings – a 1% increase year-over-year.
Revenue also increased, as NAB continues to see robust growth in (SME) small business lending.
But Chronican noted there was a "backdrop of a challenging operating environment, including subdued home lending growth.
He advised the bank's 3Q19 performance compared with the 1H19 quarterly average was "solid," with revenue increasing and costs flat.
<div title="Page 1">
<div>
<div>
<div>
Its seen a 27% reduction in over-the-counter transactions and an 18% reduction in call centre volumes.
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</body></html>

j.ballantyne1990-6AQqhLzZaK

NAB mortgage delinquencies on the rise

<html><body>
NAB made changes to its home loan serviceability assessment policy, dropping its interest-rate floor to 5.5 per cent and increasing its interest-rate buffer to 2.5 per cent.
The changes are effective for all new home loan applications from 5 August.
The changes came after APRA revised its home-lending guidance, abolishing the 7 per cent interest-rate floor for mortgage assessments and raising the buffer rate to 2.5 per cent.
It is the last of the Big Four to tweak its serviceability policy with the other three announcing revisions and cuts earlier in July.
NAB has matched ANZ’s rate floor of 5.5 per cent.
They beat out their Big Four peers CBA and Westpac, who dropped their floor rates to 5.75 per cent.
<a href="/news/westpac-immediately-relaxes-serviceability-conditions-on-low-risk-owner-occupier-home-loans">Westpac was the first of the Big four</a> to make the cut.
All four increased the buffer rate to 2.5 per cent.
<a href="/expert-insights/finance/macquarie-bank-cuts-interest-rate-floor-2-per-cent-cba-unmoved">Macquarie</a> currently has the lowest interest rate floor at 5.3 per cent.
</body></html>

NAB last of the Big Four to cut interest rate floor

<html><body>
EXPERT OBSERVER
The business conditions index decreased 3pts to +1 in 2019 Q2 continuing the downtrend since early 2018 and is now just below average.
Business confidence rose sharply, lifting to +6 index points after a 0 index point reading in Q1. 
The down trend in conditions continued in Q2 2019, and for the first time since 2014 the quarterly survey has now shown a below average readying.
The decline in conditions suggests the business sector has lost significant momentum over the past year and that we are unlikely to see a substantial pickup in growth in the Q2 national accounts.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%20table%20.jpg" target="_blank">Click here </a>to enlarge:
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%20table%20.jpg" alt="">
 
Source: NAB
The strong lift in confidence appears to be related to the outcome of the Federal election, with the bulk of the survey conducted post election day and also around the time of firming expectations of rate cuts.
Based on the June Monthly Business survey we already know this effect was short-lived with confidence pulling back.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%201.jpg" target="_blank">Click here </a>to enlarge: 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%201.jpg" alt="">
 
Source: NAB
The decline in conditions has been broad-based over the past year, with all industries seeing a decline and the slowdown evident across all states. 
Mining continues to see the most favourable conditions, while retail and property are now weakest.
Across the states, NSW and VIC are only just positive, while the other mainland states are at the threshold of improving versus deteriorating.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%202.jpg" target="_blank">Click here</a> to enlarge: 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%202.jpg" alt="">
 
Source: NAB
Unfortunately, there is evidence of a softening in activity almost everywhere. All industries have weakened and the pull-back is evident in all states. 
Given the current focus on labour market developments for the future path of monetary policy, the slowing growth momentum and softness in leading indicators of employment warrant close watching.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%203.jpg" target="_blank">Click here</a> to enlarge: 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%203.jpg" alt="">
 
Source: NAB
In the quarter, current and expected employment measures all deteriorated – though all remain above average.
The share of firms reporting difficulty in finding suitable labour as a constraint on output ticked up in the quarter, and is elevated, but below pre-GFC levels. Over the past year, this measure has tracked broadly side-ways.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%204.jpg" target="_blank">Click here </a>to enlarge: 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%204.jpg" alt="">
Source: NAB
Overall, it appears that while there is some tightness in some sectoral labour markets (e.g. mining) it is not yet tight enough nor broadly enough based to see significant nationwide wage rises. 
For now, the survey suggests ongoing employment growth but given the recent trends in the forward-looking measures, we will continue to watch closely. Our worry is that the slowdown in activity may translate into a more substantial weakening in labour demand.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%205.jpg" target="_blank">Click here</a> to enlarge: 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%205.jpg" alt="">
Source: NAB
Overall, price and wage measures in the survey continued to suggest weak inflationary pressures in the economy.
Output prices growth edged lower in the quarter and input prices growth and the wage bill tracked sideways – all at a low level.
Declining capacity utilisation and weak surveyed price measures suggest that inflation outcomes are likely to be meek for some time.
The impact of labour demand on wage growth will remain an important dynamic in this sense – with slack already evident in the labour market, any weakening in labour demand could well see further action from the RBA on rates to bolster the economy.
<a href="https://www.propertyobserver.com.au/images/2019/7/18/nab%206.jpg" target="_blank">Click here </a>to enlarge: 
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/18/nab%206.jpg" alt="">
 
Source: NAB
ALAN OSTER is NAB's Chief Economist.
</body></html>

Business sector losing momentum with quick turnaround unlikely: NAB's Alan Oster

<html><body>
Veteran banking executive Ross McEwan — who turned around Royal Bank of Scotland in the wake of the global financial crisis — has been appointed new chief executive of the National Australia Bank.
He was most recently CEO of Royal Bank of Scotland, before that he was an executive at CBA.
The announcement comes five months after NAB's former CEO Andrew Thorburn resigned in the wake of the banking royal commission
McEwan won't commence work with NAB until his current obligations at RBS are completed, no later than April 2020.
The former head of retail banking at the Commonwealth Bank is a New Zealand-born banking heavyweight.
National Australia Bank acting chief executive Phil Chronican, who succeeds Dr Ken Henry as chairman in November this year, praised Mr McEwan's long-standing knowledge of Australian banking.
"Ross McEwan is the ideal leader for NAB as we seek to transform our operations and culture firmly around leading customer service, experience and products," Mr Chronican said in a statement to the stock exchange.
"Ross brings a compelling range of experience across finance, insurance and investment with a track record of delivering important and practical improvements for customers.
Mr McEwan had announced his resignation from RBS in April 2019.
The British Government still owns 62 per cent of RBS, although it plans to sell that stake by 2024.
</body></html>

NAB announce new CEO Ross McEwan

<html><body>
The NAB have forecast an upcoming stabilization in the housing market, but suggest a flat market in the near future.
"NAB's view is that prices will stabilise in the near term, and remain broadly flat over the next year or so," the big four bank advised.
They had previously expected further falls of around five percent in Sydney and Melbourne.
NAB expect both Sydney and Melbourne to see little change in 2020. They forecast total house price declines of 4.4% over 2019 in Sydney and 5.1% in Melbourne.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/17/NAB%20House%20Price%20Forecasts.jpg" alt="">
Peak to trough losses in Sydney looks to be around 15% and Melbourne around 11%.
Hobart is forecast to be the strongest performer in 2019 and 2020.
NAB forecast it will be the only capital city with house price growth next year.
The NAB Residential Property Survey for Q2 2019 saw an increase in market sentiment following the federal election.
The seven point jump took the NAB Residential Property Index to a 12 month high, although it still sits in the negative.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/7/17/NAB%20Residential%20Property%20Index.jpg" alt="">
Future expectations improved sharply.
"The average survey expectation now is for basically flat national house prices in the next 12 months, reversing expectations for further declines in the last survey," NAB suggested. 
NAB are the second big four bank to amend their house price forecast following a slowing in house price declines.
ANZ <a href="/news/anz-sees-bottoming-of-the-housing-market-in-coming-months">amended their forecast</a>, however suggested, after the imminent bottoming of the market, there will be growth in the bank end of 2019 and prices will jump around three percent over 2020.
</body></html>

NAB forecast flat property prices in Sydney and Melbourne

<html><body>
The NAB have changed their forecast for the next official interest rate cut, bringing it forward from August to July
"We do not see a need for the Board to wait," NAB economists said.
They cited RBA Governor Philip Lowe's recent speech at CEDA where he said we're not making any in roads.
“The most recent data – including the GDP and labour market data – do not suggest we are making any inroads into the economy’s spare capacity ... [and] it is not unrealistic to expect a further reduction in the cash rate as the Board seeks to wind back spare capacity ... and deliver inflation outcomes in line with the medium-term target.”
The NAB say they see a strong case for the Reserve Bank to do even more on policy and expect another cut to 0.75% in November.
"The Governor is still making the case that lower rates are directed at reducing spare capacity in the labour market rather than responding to deterioration in the economy," NAB said.
"We disagree, believing there is a more pressing need to deliver stimulus given the economy has lost some momentum and reflecting our weaker economic outlook.
"In brief, the RBA is behind the curve and needs to catch up quickly."
 
 
 
</body></html>

NAB bring forecast forward, now predict RBA cut in July

<html><body>
The NAB have changed their cash rate forecast call to include an extra cut in late 2019.
They now believe the official cash rate from the RBA will drop to 0.75%, scheduling in another rate cut in November, following a cut in August.
"While heavily data dependent, we have tentatively placed the cut in November," NAB senior economist Alan Oster said.
"We also think that lower interest rates will be supported by fiscal stimulus later this year."
The view joins that of Westpac's Bill Evans, who penned in <a href="/expert-insights/finance/westpac-tips-interest-rate-cuts-in-both-june-and-august-bill-evans">two rate cuts in June and August</a> before adding November to their <a href="/news/rba-to-halve-the-cash-rate-by-november-bill-evans">cut forecast</a>.
Before June's rate cut, NAB said that the at the next three RBA meetings there will be a <a href="/expert-insights/finance/next-three-rba-meetings-are-live-for-a-possible-rate-cut-nab">real possibility for three cuts</a>.
The RBA <a href="/expert-insights/finance/rba-cut-official-cash-rate-to-a-historic-low-1-25-at-june-2019-meeting">cut the cash rate</a> at the June meeting for the first time in nearly three years to a historic low 1.25%.
Oster said they can't predict whether the next cut will be in July or August.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/6/14/NAB-Forecasts.jpg" alt="">
"On the question of a July or August cut that is very hard – and to a large extent is less relevant for the economic outlook," Oster noted.
"On the one hand given a starting point problem (i.e. the economy is weaker than the RBA expected and continues to lose momentum) the RBA should probably get on with the cutting cycle. 
"On the other hand, there does seem to have been a post- election boost to confidence and it is too early to assess if that has flowed into activity in any sustained way. 
"Also back to back cuts could send a strong signal that the economy has bigger problems than we thought.  On balance we have opted to stay with our August cut forecast – but would not at all be surprised by a July move. 
Oster said that the possibility of alternative monetary action in early 2020 can not be ruled out.
"The forecast of a larger reduction in interest rates reflects our judgment that the economy is losing momentum and is weaker than reflected in the Reserve Bank’s recently downgraded near-term growth outlook," Oster suggested.
"The loss of momentum is apparent in private demand, which has barely grown over the past year, and more timely indicators, such as the NAB business survey and internal data, which point to a weaker labour market and entrenched weakness in spending.   
"The Reserve Bank Board said when cutting rates earlier this month that the lower cash rate would help make further inroads into spare capacity and “achieve more assured progress towards the inflation target”, with Governor Lowe emphasising that the cut did not reflect a weaker outlook for the economy. 
 
 
</body></html>

NAB add extra cut forecast in November to take rate down to 0.75%

<html><body>
NAB has announced they will reduce all standard variable rate (SVR) home loans by 0.25% per annum, in line with the RBA announcement.
As a result the bank’s SVR will be the lowest it has been in more than 40 years.
Mike Baird, Chief Customer Officer – Consumer Banking said, “we strongly believe reducing rates is the right thing to do by our customers and reflects our focus on earning trust in the community and rewarding our loyal existing customers."
“This will save owner-occupier customers making principal and interest repayments on a $400,000 home loan about $62 per month or $744 per year, which will provide more money in household budgets for other expenses at a time when cost of living remains challenging,” Mr Baird added.
NAB will reduce all standard variable rate home loans by 0.25% per annum, making it their lowest rates they've offered in more than 40 years.
<img src="https://www.urban.com.au/images/2019/6/4/NAB%20new%20rates.JPG" alt="">
(Source: NAB)
NAB are the third of the Big Four banks to reduce rates following the announcement and the second to reduce rates at an equal amount to that of the full RBA rate shift <a href="/news/cba-announce-full-rate-cut-after-june-rba-meeting">as CBA did</a>.
ANZ, the first of the Big Four <a href="/expert-insights/finance/anz-first-to-pass-on-part-of-june-2019-rba-rate-cut">to announce rate reductions</a>, will only reduce SVR loans by 0.18 basis points.
 
</body></html>

Nab

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News

Nab