Lendlease’s Barangaroo South precinct is officially complete, marking the culmination of a 15-year urban regeneration project that has revitalised Sydney’s harbourfront.&nbsp;

In 2009, the NSW Government’s Barangaroo Delivery Authority appointed <a href="https://www.apartments.com.au/developers/lendlease-development">Lendlease</a> as developer to transform what was once an inaccessible container port on the western edge &nbsp;of Sydney’s CBD into one of the city’s most thriving mixed-use destinations. Today, Barangaroo South is home to more than 1,800 residents, 23,000 workers, 95 retailers and welcomes 33,000 visitors each day. The precinct stands as an international benchmark for large-scale urban regeneration.&nbsp;

International Towers Sydney, the three flagship commercial buildings at the centre of &nbsp;Barangaroo South, together with engineered timber buildings Daramu House and &nbsp;International House, attracted major corporate tenants from the outset, including Westpac, &nbsp;PwC and KPMG, who are still there today. These workplaces remain some of the most &nbsp;sought after in Sydney’s CBD with over 95 per cent occupancy– a testament to the appeal of world-class, modern infrastructure alongside the precinct’s dining and entertainment that &nbsp;are a drawcard for businesses.&nbsp;

One Sydney Harbour, the three luxury residential towers designed by world-renowned architect Renzo Piano, has achieved more than $4 billion in sales since its launch in 2019, while setting new Australia property price records. This includes the three-level penthouse that crowns Residences One which sold for more than $141 million in 2019 – the most expensive individual residential property ever sold in Australia. &nbsp;

[smartcode_project:default project_id=139801 project_image_fid=349150]

Barangaroo South is also Australia’s first mixed-use carbon-neutral development, an accolade achieved through energy-efficient and innovative infrastructure, including a district cooling plant with a harbour water heat rejection system, a recycled water &nbsp;treatment plant, onsite solar and an embedded electricity network.

The precinct has maintained its Climate Active Carbon Neutral certification since 2019, affirming its &nbsp;reputation as the gold standard in large scale, sustainable urban renewal. Additionally, its &nbsp;world leadership status has been validated by the Green Building Council of Australia’s &nbsp;6 Star Green Star Communities recertification (Pilot v.2).

[smartcode_project:default project_id=139801 project_image_fid=349157]

First Nations cultural values were embedded throughout the planning and delivery of the project. The precinct honours Barangaroo, a prominent First Nations woman, through its &nbsp;name. Public art, street names, and design elements across the precinct reflect and &nbsp;celebrate First Nations cultures and connections to Country.&nbsp;

The project's completion positions Barangaroo South as a legacy urban transformation delivered through long-term partnerships and world-leading urban regeneration and placemaking capabilities. &nbsp;

[smartcode_project:default project_id=139801 project_image_fid=349154]

Tony Lombardo, Group CEO Lendlease, said&nbsp;Barangaroo South represents one of the most significant urban regeneration projects in Australia.

"[It] demonstrates what can be achieved through an ambitious vision, innovative placemaking, long-term commitment and strong partnerships. The precinct has changed the face of Sydney's waterfront, established new benchmarks &nbsp;for sustainable development, and provided a model for urban regeneration that continues &nbsp;to inform our approach to creating places that deliver long-lasting value.”&nbsp;

Tom Mackellar, CEO Development Lendlease, said&nbsp;Barangaroo South has reconnected the city to its harbour in a way that seemed unimaginable 15 years ago and turned it into a thriving precinct where people can live, work and gather on the harbour’s edge.&nbsp;

“This precinct is the result of countless contributions, led by the NSW Government who set the ambition, supported by investment partners who believed in Lendlease’s vision, imagined by architects and designers, shaped by consultants and artists, and brought to &nbsp;life by our dedicated construction teams. &nbsp;

“What we’ve created here is more than buildings – it’s the best of placemaking, sustainability, arts and culture and quality design. Barangaroo South has become an integral part of Sydney that will serve our city and economy for generations.”

Staff Writer

Barangaroo South’s 15-year transformation of  Sydney’s waterfront officially complete

CBE Asia Pacific has lodged plans for a prominent corner site in Fitzroy North, with a proposal that integrates state-significant affordable housing alongside heritage adaptation and new retail.

The application covers a consolidated 2,024 sqm parcel at 201–215 Queens Parade and 6–12 Dummett Crescent. The site includes the heritage-listed Former Clifton Motor Hill Garage, fronting Queens Parade, and vacant land to the rear abutting Dummett Crescent.

According to planning documents prepared by proUrban, the proposal seeks approval for a 12-storey residential building comprising 98 apartments, including a component of affordable housing, over a ground floor retail podium integrated within the heritage structure. Approximately 780 sqm of retail space will occupy the ground floor, while residents will have access to over 850 sqm of communal amenity.

The built form presents as two connected volumes: a 12-storey tower addressing Dummett Crescent and a five-storey volume fronting Queens Parade, the latter consistent with a separate Heritage Victoria permit granted in 2023. The tower reaches a maximum height of 38.26 metres, with upper-level setbacks of 14 metres from the western boundary to reduce visual bulk. A 1.5-metre footpath widening is proposed to Dummett Crescent Lane.

Parking is provided across four basement levels, accessed via Dummett Crescent, with a total of 142 car spaces and 143 bicycle spaces.

The architectural response by <a href="https://www.apartments.com.au/architects/cht-architects">CHT Architects</a> is framed by a need to reconcile new density with a sensitive heritage overlay. The Former Clifton Motor Hill Garage, identified as a place of State heritage significance, will retain its key façades, with demolition and reconstruction limited to approved elements.

As noted in the Heritage Impact Assessment, the proposal remains consistent with the Heritage Victoria permit, which allows "partial demolition, reconstruction and new works, involving the construction of a five-storey multi-use development and three basement levels".

Affordable housing has been embedded into the proposal under Clause 53.23, with specific apartment allocations aimed at enhancing housing diversity within the Queens Parade Activity Centre.

"The proposal is generally consistent with the relevant policy objectives and the intent of the Yarra Planning Scheme," proUrban states in its planning assessment, citing its alignment with strategic documents including Plan Melbourne and Victoria’s Housing Statement.

CHT Architects' plans emphasise a tiered design that acknowledges the site's varied interfaces—from the elevated Heidelberg Road ramp reserve to the recently built Clifton Views aged care facility to the north-east.

CBE Asia Pacific has not been previously active in this precinct, but the project joins a wave of higher-density residential proposals along the Queens Parade corridor, spurred by Melbourne’s broader push to increase affordable housing in well-connected inner-urban areas.

The site benefits from direct access to the Queens Parade tram corridor and proximity to Clifton Hill Station (approximately 200 metres), as well as green open spaces including Mayors Park and Raines Reserve. Clifton Hill Primary School and the Queens Parade retail village lie within walking distance.

First look: CBE Asia Pacific plans 100-apartment Jenkin House on Queens Parade, Fitzroy North

ALT Pasta, one of Melbourne’s most beloved inner-city pasta bars, has been confirmed as one of the first tenancies for the highly anticipated <a href="https://www.apartments.com.au/new-apartments/comme-prahran-182-194-commercial-road-prahran-vic-3181">Comme Prahran</a> development, marking an exciting next chapter for the cult favourite as it prepares to expand into the heart of <a href="https://www.apartments.com.au/developments/prahran-vic-3181">Prahran</a>.

Fresh off being named National Best Italian Restaurant at the 2025 Restaurant &amp; Catering Hostplus Awards for Excellence, ALT continues to solidify its reputation as a quietly confident leader in Melbourne’s dining scene. Lauded for its reinterpretation of Italian pasta through a Korean and Japanese lens, the restaurant has grown into a staple since opening three years ago, and its new Prahran outpost will only deepen its local impact.

“From the very beginning, ALT has been about respect - for tradition, for ingredients, and for the process,” shares Mino Han, ALT’s founder, a Korean-Australian chef whose vision is shaped by cultural duality and craftsmanship.&nbsp;

“We’re not trying to reinvent the wheel, just make something beautifully familiar, feel quietly special,” added Han.

[smartcode_project:default project_id=108413 project_image_fid=353585]

Positioned at the entrance to Comme Prahran and directly opposite the iconic Prahran Market, the new venue will celebrate the interplay between casual comfort and elevated detail. Designed in collaboration with Rooftop Architecture, the same team behind ALT’s flagship city location, the space will mirror the neighbourhood’s laid-back energy while staying true to the brand’s understated refinement.

Diners can expect a frequently changing menu that takes advantage of the market’s daily produce, along with set menu offerings exclusive to this location. A distinctive chef’s table and open kitchen format are also in the works, allowing guests to experience ALT’s signature intimacy and transparency in a new light.

ALT Prahran won’t replace the original venue; rather, it complements it.

“Our city site is like our heritage bottle; it’ll age gracefully. Prahran is where we’ll play, explore new ingredients, and bring something special to the community,” Mino notes.

[smartcode_project:default project_id=108413 project_image_fid=353584]

For Comme Prahran, a boutique development by Leeka that blends heritage with multi-dimensional wellness, ALT Pasta’s arrival signals a meaningful addition to its vision of cultural connection, food-first living, and local engagement.

“Being part of Comme is more than just opening a second venue. It’s about contributing to a neighbourhood with character, history, and a strong sense of community. That’s something we deeply relate to,” says Mino.

Sustainability and cultural identity are deeply embedded in the ethos of ALT. From ingredient sourcing to interior design, the new location will reflect both environmental mindfulness and a spirit of inclusion, embodying the values of Melbourne’s diverse, forward-thinking culinary scene.

Comme Prahran is scheduled for completion in late 2027, with ALT Pasta expected to be among the first tenancies to open its doors shortly after.

[smartcode_project_cta:default project_id=108413]

National best Italian restaurant ALT Pasta to open at Comme Prahran, bringing refined familiarity to Melbourne’s culinary heart

National BEST Italian restaurant ALT Pasta to open at Comme Prahran

&nbsp;Boutique development and construction firm Ryser has filed plans for its debut apartment building.

Ryser, founded by Jonthan Ryan and Wil Prosser, has sought to develop <a href="https://www.apartments.com.au/new-apartments/sorelle-4a-fern-place-woollahra-nsw-2025">Sorelle</a>, 28 new apartments at 4a Fern Place, Woollahra.

The&nbsp;750 sqm site on the edge of Bondi Junction falls within the Grafton Precinct Heritage Conservation Area, though it is currently vacant and not identified as a contributory item.&nbsp;

<a href="https://www.apartments.com.au/architects/woods-bagot">Woods Bagot</a> has been commissioned to design Sorelle, creating an eight and a nine-storey building with six apartments dedicated to affordable housing to support essential workers&nbsp;under the NSW Government’s low and mid-rise housing policy.

The dwelling mix includes 12 one-bedroom units, six one-bedroom affordable units, six two-bedroom units, and four three-bedroom residences.<img alt="4A Fern Place, Woollahra." data-entity-type="file" data-entity-uuid="86626941-772d-49c5-8d31-a8e42f44cdcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Fern%20bldg%20st.png?VersionId=tWIzXYX9gD60nP1L3..Z0BFbY5mafb36" />

According to the planning documents submitted to the Woollahra Council, the development responds to the complex interface of heritage fabric and urban infrastructure with two mid-rise residential buildings oriented to the north and designed to capitalise on sweeping views over Sydney Harbour and Bellevue Hill.&nbsp;

“The proposal aims to hero some of the brick detailing of Woollahra, celebrating the existing datums of Fern Place, whilst embracing the strong verticals of the Holy Cross Church and Bondi Junction with a nod to the historic iron works and iron rich soils of the area,” Woods Bagot noted in their Design Report.

&nbsp;

Only three car parking spaces are proposed, alongside 33 bicycle bays, in a move that leverages the site's proximity to Bondi Junction train station, just 400 metres away.

Architecturally, the material palette incorporates Corten steel and face brickwork to reference the site’s industrial past and local geological character. Landscaping features include a communal garden bridging the two buildings at ground level, landscaped setbacks to protect visual privacy, and a small corner park intended to soften the public interface.

<img alt="4A Fern Place, Woollahra." data-entity-type="file" data-entity-uuid="f71766d6-aa14-44df-9bc5-42f91890fd4a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Fern%20bldg%20rear.png?VersionId=uh7u1rJ6NJF5OqyRs9iNJcy6R9ssgaXU" />

Ryser said Sorelle "brings together the best of both worlds, the intimacy of village life with the amenity and luxury of modern design."

The developer said the project marks the first of three developments they will be announcing shortly, a key step in their&nbsp;evolution as a builder-developer delivering meaningful, high quality urban outcomes across Sydney.

The expectation is the Woollahra LGA will become popular for developers with the signal from the NSW Government they will deliver&nbsp;<a href="https://www.apartments.com.au/developments/sydney-nsw" target="">Sydney</a>’s first new heavy rail station in more than a decade – enabling up to 10,000 new homes by rezoning land around&nbsp;<a href="https://www.apartments.com.au/developments/woollahra-nsw-2025" target="">Woollahra</a>&nbsp;and&nbsp;<a href="https://www.apartments.com.au/developments/edgecliff-nsw-2027" target="">Edgecliff</a>&nbsp;stations.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/next-stop-woollahra-train-station-delivering-up-to-10-000-new-homes-in-the-heart-of-sydney">Next stop Woollahra train station - delivering up to 10,000 new homes in the heart of Sydney&nbsp;</a>

Joel Robinson

First look: Ryser plans two apartment buildings on Woollahra, Bondi Junction border

ASX-listed developer <a href="https://www.apartments.com.au/developers/cedar-woods" target="">Cedar Woods</a> didn’t miss a beat when the opportunity arose to acquire a prime residential development site in one of Perth’s most popular suburbs. In 2019, the developer secured the former Wembley TAFE site, a 1.4-hectare parcel perfectly positioned on the western edge of <a href="https://www.apartments.com.au/developments/subiaco-wa-6008" target="">Subiaco</a>’s vibrant centre.

The first stage, <a href="https://www.apartments.com.au/new-apartments/incontro-subiaco-133-salvado-road-subiaco-wa-6008">Incontro Townhomes</a>, delivered 41 contemporary homes that embrace the suburb’s unique blend of nature and urban energy. Now, Incontro Apartments continues that story, offering a collection of new residences in a market limited with new residential stock. The rarity of a development in such a prime pocket hasn't been lost on buyers, with more than 60 per cent already sold in the early stages of construction.

[smartcode_project:default project_id=108869 project_image_fid=317909]

Set on the tree-lined Bishop Street, in a quiet pocket within Western Subiaco, Incontro Apartments offers convenient access to several lush parks and recreation spots.&nbsp;

Within the estate is Incontro’s Little Green, a linear park that connects the Incontro townhome precinct with the future apartment building. This peaceful stretch of landscaped parkland features shaded seating and communal spaces for residents to relax and interact close to home.&nbsp;

Less than 400 metres away is find Henderson Park, a perfect spot for morning walks, weekend picnics or casual exercise. Neighbouring Henderson Park is Mabel Talbot Park, home to Jolimont Lake and a playground, while just a little further lies Pat Goodridge Park, offering a large sports field and another playground.&nbsp;

[smartcode_project:default project_id=108869 project_image_fid=325604]

For something closer to home, Subiaco Common provides a peaceful green retreat right on your doorstep - ideal for reading under the trees, walking the dog or relaxing with friends.

Beyond the parks and open spaces, Incontro residents are just moments from everything that makes Subiaco such an enviable place to live.&nbsp;

Down the road is Bishop Street Café, a local favourite for a morning caffeine fix. Subiaco’s Rokeby Road and Hay Street are lined with retailers, cafés, vibrant bars and some of Perth’s most loved dining spots, from long lunches at Refuge Small Bar or Juanita’s, to weekend brunch at Community Coffee Co. or Boucla Café. Add to that a strong sense of local community, regular markets, and the energy of Subiaco Square, and it’s easy to see why Subiaco continues to be one of Perth’s most liveable and in-demand suburbs.

[smartcode_project:default project_id=108869 project_image_fid=325605]

Construction of Incontro Apartments is now underway by <a href="https://www.apartments.com.au/builders/emco-building">EMCO Building</a>. With completion expected in mid-2027, buyers have the chance to join a thriving Subiaco community in the not-too-distant future. &nbsp;

One-bedroom apartments are now sold out, with only a selection of two-bedroom apartments and just three three-bedroom residences remaining. Each features generous layouts, stylish finishes and private balconies to enjoy the leafy outlook that makes this Subiaco address so special. Prices start from $925,000*.

[smartcode_project_cta:default project_id=108869]

Over 60 per cent sold as Incontro Apartments captures Subiaco’s leafy appeal

Oversupply

pwargent-M4siyDbqQY

Does Australia have a greater housing oversupply than the US? Pete Wargent

<html><body>
Forecaster BIS Shrapnel this week used apartment oversupply as part of the justification for predicting (minor) price decline in some of our major cities over the next three years.
While I certainly share their concerns about over-building of high-rise apartments, I don’t agree that this means prices generally will fall in those cities.
Does a unit over-supply in inner-city Adelaide or Brisbane prevent house prices from growing in housing markets in the middle-ring and outer suburbs?
On the Gold Coast, past oversupply has resulted in key locations like Surfers Paradise having pricing levels lower than 10 years ago. But it hasn’t prevented inland housing suburbs from delivering price growth averaging 4-5 percent per year over the past decade.
So I expect price growth in housing markets in Brisbane, Adelaide, Canberra and Hobart – as well as the Gold Coast – regardless of the over-supply issue in the high-rise areas of those cities. I’m not expecting much from Sydney or Melbourne in the next few years, because those markets have passed their peaks and sales levels have fallen away dramatically, leading to price stagnation or minor decline.
The unit oversupply is a separate issue – and a serious one. It’s significant that lenders are including high-rise areas on blacklists, that developers are deferring planned projects and that vacancy rates are rising in key areas.
This week I updated vacancy rates for Brisbane inner-city suburbs for a seminar presentation. There has been a market blow-out in vacancies in all six suburbs I reference in that presentation. Most now have vacancies in the 5-6 percent range, according to SQM Research figures. 
In the space of three months, the vacancy rate for the Brisbane CBD has increased from 4.4 percent to 5 percent, while Woolloongabba is up from 4.8 to 5.5 percent and New Farm has increased from 5.3 to 6.1 percent.
These statistics will worsen as projects now under construction are completed and their apartments join the rental pool – because very few of the sales are being made to owner-occupiers.
Apartment markets with current or looming surpluses of stock make up half of the 10 markets highlighted in my No Go Zones report (the only half being regional areas impacted by the resources sector).
This really is one of the core issues facing the property industry. While the developer lobby keeps running the party line about dwelling shortages – despite two years of record building approvals pumped up by apartment projects – the big issue is the opposite problem of surplus.
It’s inevitable that, in some markets, vacancies will rise, rents will fall and values will be impacted.
As BIS Shrapnel senior director Angie Zigomanis says: “Nearly all capital cities are building apartments at record rates on the back of the recent strength in investor demand. As these projects are progressively completed, it is likely that there will not be enough tenants in a number of cities to support rents and consequently values upon completion.”
I’m amazed at how many people are still buying apartments in Surfers Paradise, inner-city Melbourne and inner-city Brisbane, and by the number of new projects seeking approval in oversupplied markets like Perth, Brisbane and Melbourne.
Across the key high-rise suburbs of the Gold Coast, Melbourne and Brisbane, 8,242 people have bought apartments in the past 12 months, including 1,588 in Surfers Paradise and 1,501 in the Melbourne CBD. 
Do these people not read? Don’t they have access to the Internet? The warnings from analysts, commentators, lenders and the Reserve Bank over the past 12-18 months add up to a deafening roar.
If you’re ignoring all that and still buying high-rise units off-the-plan in these markets - or if you’re oblivious to it because you haven’t done even the most basic research - you deserve to lose money.
 
Terry Ryder is the founder of hotspotting.com.au
<a href="mailto:hotspotting@gmail.com">hotspotting@gmail.com</a>
twitter.com/hotspotting
 
</body></html>

terryryder-YECXbqmri2

Apartment over-building doesn't mean prices will fall: Terry Ryder

<html><body>
EXPERT OBSERVER
The narrative of over-supply and under-performance in Brisbane units has dominated conversations around south-east Queensland property for almost 5 years.
At January 2020, Brisbane unit values remain 11.5% below their 2010 peak to be at similar levels to 2007. But the latest data on property values, construction and population growth suggest that the story is changing. It is worth noting that over-supply is very much a unit-centric story. H
ouses across Brisbane have actually seen quite strong capital growth returns in the past few years, except for a brief, cyclical downturn over part of 2019. In the previous trough-to-trough cycle that lasted between 2012 and 2019, annual house value growth outperformed unit growth by an average of 290 basis points.
This is larger than usual discrepancies, and is above the series average difference of 130 basis points. In other words, the past cycle saw units significantly ‘under-perform’ relative to housing stock in Brisbane. The rolling annual growth figure shows that unit values have largely declined since July 2016
2016 was a time when units were being built across Brisbane at an unprecedented level. ABS completion data suggests 21,342 units were completed, against a historic average of 11,585 per year. In the December 2016 quarter, the number of unit completions even eclipsed the number of houses delivered across the state.
It is difficult to understand the exact impact this supply has on the Brisbane unit market, given that ABS completions data is currently unavailable beyond a state level on a quarterly basis. However, cross-referencing the approvals dataset with the ABS data by region series, suggests about 75% of state-wide unit construction was centred within the Greater Brisbane metropolitan region.
The time series suggests that the lag between approvals and completions varies from about 1-2 years.
Since 2015, unit approvals have been moderating in response to subdued capital growth performance. The latest quarter of data shows approvals are 46% below the decade average of approvals. This means the delivery of new units across Queensland is likely to be subdued over 2020.
CoreLogic project data suggests unit completions across Brisbane over 2020 will average about 4,000 per quarter, reflecting the long-term average. But supply is only one side of the story. Looking at how population growth has tracked relative to unit completions brings further clarity to value declines in units over 2016.
The figure below shows ‘housing demand’ relative to completions across Queensland. Housing demand represents the number of dwellings needed to accommodate additions to population at each quarter, divided by household density of 2.6. The housing demand is presented as a rolling annual average.
Future housing demand is also estimated based on the Queensland government ‘median’ scenario of population projections, suggesting about 8,000 dwellings are required to house the growing population each quarter to June 2021.
<img src="https://www.urban.com.au/images/2020/2/20/Brisbane%20Oversupply.JPG" alt="">
There has been a convergence between the number of dwellings required and supplied since the start of 2018. With approvals data suggesting a decline in construction, and steady estimates of population growth, Queensland dwellings may fall into undersupply in the year ahead.
Rental yields are also well above the capital city average at 5.3% gross, meaning there could also soon be a turning point in investor demand. However, one unknown in this analysis would be projects that have stalled due to falling unit values in the past few years. If these re-commence, added supply could once again weigh down growth.
The turnaround in the supply-demand dynamic is already being seen in unit values. Since bottoming out in June 2019, CoreLogic indices show the Brisbane unit market has recovered 2.2%.
This fits in with a more broad-based recovery, as reductions in the cash rate have reduced the cost of servicing debt, and increased incentive to purchase property.
ELIZA OWEN is the Head of Research for Australia at CoreLogic
</body></html>

pchatterjee-seVgoiQgz5

Is Brisbane still oversupplied? CoreLogic's Eliza Owen

<html><body>
An undisclosed major bank has a blacklist of 6700 apartment projects across Australia.
The projects are where buyers are either refused loans or are offered reduced loan to value ratios (LVR).
The list has been obtained by The Australian Financial Review from the mortgage broker, Home Loan Experts. The newspaper article only pinpointed a handful of effected projects.
<div>
<div>
It reveals projects where buyers have either been denied loans or offered less funding are 19 Larkin Street in Camperdown in inner-city Sydney, Finbar's Aire apartments in West Perth and Meriton's developments on Main Beach on the Gold Coast and 1 Janoa Place in Chiswick, inner west Sydney.
Sydney-based Home Loan Experts noted "blacklisted" projects vary across the banks. 
Areas which are consistently "blacklisted" however include Wolli Creek and Zetland (above) in inner south Sydney and the Brisbane CBD given a potential oversupply of new units or the bank reaching maximum exposure of loans on a project, managing director Otto Dargan said. 
Earlier this year RiskWise declare Zetland as the riskiest off the plan suburb in 2018.
No Lending (Exposure Reached)
19 Larkin Street, Camperdown, NSW;
58 Cairds Avenue, Bankstown, NSW;
23 Mcintyre Street, Gordon, NSW;
10 Rosamond Road, Footscray, VIC.
Restricted Lending
29 Woodroffe Avenue, Main Beach, QLD, Maximum LVR: 70%; 
1 Janoa Place, Chiswick, NSW, Maximum LVR: 80%; 
Cromwell Road, South Yarra, VIC, LVR: 80%; 
275-277 The Esplanade, Cairns North, QLD, LVR: 70%; 
36 Griffith Street, New Farm, QLD, LVR: 90%; 
659 Murray Street, West Perth, QLD, LVR: 80%
</div>
<div>A dense project is usually one which has more than 30 apartments, Dargan said.</div>
<div>
Serviced apartments or converted hotels are always considered as high-risk lending.
Assisting borrowers who have been rejected by banks is now a constant challenge, Dargan added.
</div>
</div>
</body></html>

jchancellor-FAypfDUnLy

Wolli Creek and Zetland apartment projects on "bank's blacklist" 

<html><body>
EXPERT OBSERVATION
Skilled job vacancies advertisements rose for an 18th consecutive month according to the Department of Employment, for the first time since March 2011. 
There was quite a jump in the month too, from 184,000 to 189,000, with the trend result now +34% higher (or +47,400 advertisements) than the October 2013 nadir. 
<img src="https://2.bp.blogspot.com/-wACLnNcO25o/WtayckwYfTI/AAAAAAAApcs/NAfKDJ132Uk4Xc5RIzsU6j4V8F11bgsrACLcBGAs/s640/B1.jpg" width="640" height="374" data-original-height="803" data-original-width="1369">
Conditions improved everywhere, especially Western Australia, although South Australia was the notable laggard, with only a small annual change in vacancies. 
Things are certainly looking up, slowly but surely, and when the economy improves often so too does immigration rise.
Indeed, the number of permanent and long term arrivals hit the highest ever level in February 2018 at 105,630, in turn sending the annual total to a record high of 788,260.
If you've ever wondered why Melbourne's supposed oversupply of housing never materialised, here's why.
<img src="https://4.bp.blogspot.com/-mlLxLHUvi3w/WtaybzH43kI/AAAAAAAApco/HmjblYeLJrIEUgLPlTys3ev-gY9FUkryQCLcBGAs/s640/A1.jpg" width="640" height="392" data-original-height="826" data-original-width="1348">
February also played host to a tourism bonanza in honour of Chinese Lunar New Year, with a record 226,900 Chinese arrivals in the month.
<img src="https://2.bp.blogspot.com/-hUpl_MJtO1Y/Wtaycs4gKVI/AAAAAAAApcw/0dl1EY2hoNYX9IHzKotD0Fi2b1jmheH3QCLcBGAs/s640/A2.jpg" width="640" height="406" data-original-height="823" data-original-width="1292">
Including arrivals from Hong Kong there were more than ¼ million visitors in just 28 days.
Unprecedented. 
With 1.4 million short-term visitors over the year to February it's no surprise that China grabs the tourism headlines, though there were also record arrivals from other countries, including India at 311,500. 
<img src="https://4.bp.blogspot.com/-IrLBHimJPGk/Wta1mkKqYzI/AAAAAAAApdQ/g4mNZRNIIbchfD7OO2gbjLq_qT7iWpkCgCLcBGAs/s640/STAs.jpg" width="640" height="378" data-original-height="830" data-original-width="1404">
February is also a key intake month for international students, and education arrivals were also extremely high at 111,500, although this was just a notch below the record high for a month set in February 2017.
Annual arrivals were above 564,000, but these numbers need to be treated with a little care due to double-counting. 
<img src="https://1.bp.blogspot.com/-LY3iAQhR8ik/Wta2MZB6NVI/AAAAAAAApdY/UXhrF7oggZEDKbqNggnxpR3KXSo_FeQOgCLcBGAs/s640/Education.jpg" width="640" height="396" data-original-height="825" data-original-width="1331">
Lots of moving parts here, but the big picture is very strong demographic flows, especially into Sydney and Melbourne, coupled with booming tourism for Australia. A heady combination. 
</body></html>

Why Melbourne's supposed oversupply of housing never materialised: Pete Wargent

<html><body><div class="page" title="Page 1">
<div class="section">
<div class="section">
<div class="layoutArea">
<div class="column">
Despite strengthening underlying demand from the perspective of people wanting to occupy apartments in the Inner Brisbane Apartment (IBA) area, record levels of new apartment completions have tipped the market into oversupply. This has placed downwards pressure on rents and prices. This paper profiles indicators relating to demand, supply, rents and prices.
</div>
</div>
<div class="layoutArea">
<div class="column">
<div class="page" title="Page 1">
<div class="section">
<div class="section">
<div class="layoutArea">
<div class="column">
Development in Inner Brisbane occurs mainly in large scale and high rise projects in the following locations:
</div>
</div>
</div>
<div class="section">
<div class="layoutArea">
<div class="column">
<ul>
<li>
CBD/Spring Hill 
</li>
<li>
Inner East 
</li>
<li>
Inner North 
</li>
<li>
West End 
</li>
<li>
Toowong 
</li>
<li>
Woolloongabba 
</li>
</ul>
</div>
</div>
</div>
<div class="section">Click here <a href="https://www.propertyobserver.com.au/images/2018/4/5/IBA1.jpg" target="_blank">to enlarge.</a>
</div>
<div class="section"> </div>
<div class="section">
<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/2018/4/5/IBA1.jpg" alt=""> </div>
</div>
</div>
<div class="page" title="Page 1">
<div class="section">
<div class="section">
<div class="layoutArea">
<div class="column">
APARTMENT PROFILE 
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
According to recently released 2016 Census data, private rental apartments accounted for 56% of the total apartment stock in the IBA area. This was considerably higher than the 33% share in the Greater Brisbane region. This highlights a strong preference for investors to purchase apartments in the IBA. The share of private rental stock has also increased from the 54% recorded in the 2011 Census. Owner occupied dwellings formed 27% of IBA area stock, with a slightly greater share of these having a mortgage (being purchased).
Conversely, a significantly higher 59% of Greater Brisbane dwellings were owner occupied. Unoccupied dwellings—properties that are second homes or kept empty as a speculative investment—comprised 17% of total apartment stock across the IBA area, compared to 8% across Greater Brisbane. The increased number of unoccupied dwellings is reflective of the rising level of overseas demand, with many of these properties not entering the private rental market.
Click here <a href="https://www.propertyobserver.com.au/images/2018/4/5/iba2.jpg" target="_blank">to enlarge</a>
<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/2018/4/5/iba2.jpg" alt="">
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
DEMAND PROFILE 
The age profile of IBA apartment residents indicate that people first rent when moving into the IBA area, with 60% of rental households at the 2016 Census consisting of occupants aged 20 to 34 years old. If people remain in, or move into, the IBA area beyond 34 years of age, there is a far higher propensity to purchase an apartment.
<div class="page" title="Page 1">
<div class="section">
<div class="layoutArea">
<div class="column">
Households with a mortgage were mostly younger, with 52% of these apartment occupants aged 30 to 54 years old. Whilst within fully owned apartments in the IBA area, the demographic was much older, with 68% of occupants in these apartments aged 50 years old and over. 
</div>
</div>
</div>
</div>
Click here <a href="https://www.propertyobserver.com.au/images/2018/4/5/iba3.jpg" target="_blank">to enlarge</a>
<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/2018/4/5/iba3.jpg" alt="">
<div class="page" title="Page 2">
<div class="section">
<div class="layoutArea">
<div class="column">
SUPPLY PIPELINE 
Sustained demand for apartment stock within the IBA area, with moderate growth from 2013 onwards can be attributed to attractive yields, low or volatile returns for other investments and low interest rates. The rise in off–the–plan sales allowed a greater number of projects to reach sufficient pre–commitment levels to obtain finance and begin construction. As a result, the IBA area has experienced a surge in apartment completions, with a record number of completions occurring each year in 2014/15, 2015/16 and 2016/17. Last year 5,700 apartments were completed, while in 2017/18 we estimate that approximately 8,300 apartments will be completed; a new record annual level of apartment completions. As a result, vacancy rates in Inner Brisbane have been rising and were 4% in December quarter 2017. 
</div>
</div>
</div>
</div>
Click here <a href="https://www.propertyobserver.com.au/images/2018/4/5/supply1.jpg" target="_blank">to enlarge</a>
<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/2018/4/5/supply1.jpg" alt="">
<div class="page" title="Page 2">
<div class="section">
<div class="layoutArea">
<div class="column">
Falling rents and price growth has led to a softening in investor demand. Coupled with restrictions on interest only loans (a mainstay of investors) and the Queensland government introducing a stamp duty surcharge for overseas investors, we expect to see significantly fewer projects being able to achieve the pre-sales requirements for projects to commence. Sharply rising construction costs have also meant that developer’s margins have been eroded, impacting the next round of projects, particularly if there is a slump in prices making planned projects no longer viable.
Click here <a href="https://www.propertyobserver.com.au/images/2018/4/5/supply2.jpg" target="_blank">to enlarge</a>
<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/2018/4/5/supply2.jpg" alt="">
 
A marked trend through 2017/18 has been for developers to abandon or defer projects still in the planning stage. Across the IBA area, 52 projects amounting to well over 10,000 apartments were abandoned or deferred. Some investor demand for IBA apartment stock may be supported by its relative affordability in comparison to equivalent apartment stock in Melbourne and Sydney, although this is unlikely to absorb substantial new apartments stock while the market is in oversupply. 
IBA area completions are expected to fall slightly in 2018/19 and are then expected to revert closer to the longer term average of around the 2,000 completions per annum. Of all IBA precincts, the West End, CBD and the Inner North will see the highest number of apartments come to market. This will be followed by Toowong and Woolloongabba, with a relatively small number of apartments to come online in the Inner East and Hamilton precincts. 
 
</div>
</div>
</div>
</div>
 
 
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div>
</div></body></html>

jonathanchancellor-7SQnKwU6yx

Demand, oversupply, rents and prices of inner Brisbane apartments: BIS

<html><body>
The Bank of Queensland chairman Roger Davis has indicated he remained wary about the Brisbane apartment market.
Speaking at the bank’s annual general meeting on Thursday, Davis said cooling markets on the east coast of Australia were being watched closely.
“BOQ takes some comfort from moderating east coast housing prices and risk conditions, especially in Sydney, and sees no evidence of any systemic weakness in its housing portfolio or substantive increases in its mortgage arrears,” Davis said.
“We do remain wary of conditions in the residential apartment market, especially in Brisbane, where the RBA is warning that this financial year is “crunch time” given the oversupply, low rental increases, tightening credit conditions and ongoing targeted macroprudential regulations,” Domain Media reported.
REIQ chief executive Antonia Mercorella said the bank’s warning to shareholders was fair, but said the medium to long term outlook was much more positive.
“We’ve been dealing with concerns about the oversupply for the past two years,” she said.
“There’s really no evidence at the moment there’s a great cause for alarm. From our perspective, it’s better to take a long term view of the issue."
</body></html>

j.ballantyne1990-6AQqhLzZaK

Bank of Queensland remains wary of Brisbane apartment market 

<html><body>
The attention on Brisbane apartment oversupply has been on the newly completed off the plan settlements.
But many established apartments in Brisbane's inner city suburb of Fortitude Valley have quietly notched up resales below their previous sales prices.
Here's a list of some apartments that Property Observer has spotted selling below their first sale prices:
1) <a href="https://www.realestate.com.au/property/unit-509-25-connor-st-fortitude-valley-qld-4006" target="_blank">509/25 Connor Street</a> Fortitude Valley, QLD, 4006
The one-bedroom apartment in the M&amp;A apartment block (above) sold for $320,000 in January 2017, well below its last sold price of $359,660 in 2013, according to CoreLogic RP Data.
It was on the market for 71 days, and was offered for $339,000 earlier in 2016 as well, when it was advertised as the “best deal in Fortitude Valley”.
It was listed for renting for $380 per week in August 2015 and then again a year later in September 2016 for $395 per week.
2) <a href="https://www.realestate.com.au/sold/property-unit-qld-fortitude+valley-124571858" target="_blank">504/25 Connor Street</a>, Fortitude Valley, Qld 4006
This two-bedroom apartment with an area of 74 sqm sold for $425,000 in April 2017 after being on the market for 74 days.
It sold below its previous sale price of $492,000 in 2015. The apartment first sold for $519,000 in 2013, when it was built, CoreLogic RP Data shows.
3) <a href="https://www.realestate.com.au/sold/property-apartment-qld-fortitude+valley-122526038" target="_blank">306/25 Connor Street</a> Fortitude Valley, QLD, 4006
This one-bedroom apartment close to the CBD spanning 61 sqm sold for $315,000 in March 2017, according to CoreLogic RP Data. The apartment was on the market for 337 days.
According to its advert, Ray White agent said it was returning $395 per week.
It previously sold for $371,000.
4) <a href="https://www.realestate.com.au/property-apartment-qld-fortitude+valley-125515742" target="_blank">305/25 Connor Street</a> Fortitude Valley, QLD, 4006
Another one-bedroom unit in the same apartment development - right next door - sold below its previous price.
The latest sale in August 2017 fetched $298,000, well below its previous sale in 2010 at $361,000, CoreLogic RP Data shows.
It was on the market for 188 days.
The unit was advertised for rent at $370 per week.
5) <a href="https://www.realestate.com.au/sold/property-apartment-qld-fortitude+valley-125980430" target="_blank">212/25 Connor Street</a> Fortitude Valley, QLD, 4006
This two-bedroom unit, built in 2013, sold recently for $370,000 after being on the market for just 12 days. However, the sale price was well below its initial sold price of $499,000, CoreLogic RP Data shows.
Even rents have fallen. First advertised for rent in February 2016 for $495 per week, the asking rate was dropped to $480 within a week and earlier this year it was advertised for $450 per week.
6) <a href="https://www.realestate.com.au/property/unit-1016-8-church-st-fortitude-valley-qld-4006" target="_blank">1016/8 Church Street</a> Fortitude Valley, QLD, 4006
This two-bedroom unit in Mosaic Apartments last changed hands for $425,000 in November 2107.
The unit dropped significantly in price from its previous sale in 2012 when it fetched $542,225, CoreLogic RP Data shows.
Asking rents have fallen too from $500 per week in 2015 to $440 by April 2017.
7) <a href="https://www.realestate.com.au/property/unit-5-125-robertson-st-fortitude-valley-qld-4006" target="_blank">5/125 Robertson Street</a> Fortitude Valley, QLD, 4006
This two-bedroom apartment was built in 2000 fetched $400,000 at its recent sale in July 2017, just marginally above its previous selling price of $394,000 in 2010, according to CoreLogic RP Data.
The unit fetched $305,000 in 2006.
It was last advertised for rent at $400 per week. Asking rents have, however, been falling. It was on the market for $475 per week rent previously in 2010.
8) 10/53 Warry Street Fortitude Valley, QLD, 4006
This two-bedroom unit sold for $319,000 in July 2017. Curiously, it sold for $318,000 earlier this year in January. But overall, it has appreciated from its sale in 1998 for $115,000, CoreLogic RP Data shows.
It was last advertised for rent at $380 per week.
 
<h2 id="expandedAddress_icons"> </h2>
</body></html>

Up to $120,000 cheaper: eight loss making established apartment resales in Fortitude Valley 

<html><body><div class="page" title="Page 1">
<div class="layoutArea">
<div class="column">
The academic report by researchers from the Australian National University (ANU) that outlines the potential over supply of housing in Sydney misunderstands the strong swing to inner city urban living, says the Urban Taskforce. 
The academic report by Australian National University researchers Cukko Joseph and Ben Phillips seems to be based on search algorithms rather than the reality of the market place.
The researchers utilise the search algorithm Newton-Raphsin in the Gregwt SAS Code in their 22 page report to conclude that there is a major oversupply of new homes in Australian cities but NSW government data indicates an undersupply.
The ANU report focusses on a supposed over supply of 5,900 new homes in Inner Sydney but rents are still high in this region indicating an undersupply. The NSW Government predictions are that 40,000 new homes are required each year for Metropolitan Sydney for 20 years yet we are currently only at 35,000 new homes a year.
The Sydney inner city housing market is being driven by a swing to urban living where young couples and older downsizers are looking for a cosmopolitan urban lifestyle that is close to amenities and public transport. Predictions on housing demand must understand this change in living preferences that is quite different to a few decades ago.
The study does acknowledge that its methodology does not account for real demand for new housing. A ‘real demand’ analysis would incorporate consumer preferences and other economic drivers, such as interest rates or employment’. The study also admits there are limitations in its analysis – in terms of its conceptual basis and the data it relies upon. It also states that the study ‘does not conclude that people’s housing needs are being met’.
While all research reports are useful, inputs into the current discussion on housing supply and demand must be balanced with the extensive demographic research undertaken by government agencies.
Our concern with the ANU statements is that they could encourage governments at state and local level to put a brake on housing supply by adding further levies and by slowing down planning approvals. The end product would be to dramatically reduce supply and so drive up the price of housing creating affordability problems.
The Urban Taskforce urges governments at all levels to reduce levies on new housing and to simplify the planning system so that affordable housing can be delivered for those keen to own their own home as well as for those that prefer to rent.
CHRIS JOHNSON is chief executive officer of property development industry group Urban Taskforce and can be contacted <a href="https://www.urbantaskforce.com.au/index.php?option=com_content&amp;view=article&amp;id=97&amp;Itemid=126#.Vdaart55dFI" target="_blank">here</a>.
</div>
</div>
</div></body></html>

cjohnson-8xfqfuuCSq

ANU predictions of housing over supply in Sydney misunderstanding the swing to urban living

<html><body>
<div class="cq-article-content-paras section">
Apartment purchases in more than 100 Brisbane suburbs, circulated on a confidential list, will face new lending restrictions from next Monday from the home town lender, Suncorp.
The list covers 39 Brisbane postcodes.
Under Suncorp's new rules, it will no longer accept investment loan applications for apartments where the buyer does not have a minimum deposit of 20 percent or more.
The exceptions are existing home loan applications and those received before Friday.
"Our settings have been adjusted for postcodes based on recent weakness in the investment unit market in Brisbane, with evidence of a reduction in prices," a Suncorp Bank spokesman said.
4000 Inner Brisbane City
4005 New Farm; Tenneriffe
4006 Fortitude Valley; Bowen Hills; Newstead; Herston
4007 Ascot; Hamilton
4009 Eagle Farm
4010 Albion
4011 Clayfield; Hendra
4012 Nundah; Toombul, Wavell Heights
4013 Northgate
4029 Royal Brisbane Hospital
4030 Kalinga; Lutwyche; Windsor; Wooloowin
4031 Gordon Park; Kedron
4032 Chermside
4051 Alderly; Enoggera; Gaythorne; Grange; Newmarket; Wilston
4053 Brookside Everton Park; Everton Hills, McDowall; Mitchelton; Stafford
4054 Arana Hills, Keperra
4059 Kelvin Grove; Red Hill
4060 Ashgrove
4061 The Gap
4064 Paddington; Milton
4065 Bardon
4066 Toowong; Auchenflower; Mount CootTha
4067 St Lucia
4068 Chelmer; Indooroopilly; Taringa 
4072 University of Qld
4075 Graceville; Corinda; Sherwood; Oxley
4101 Highgate Hill; South Brisbane; West End
4102 Dutton Park; Woolloongabba
4103 Annerley; Fairfield; Fairfield Gardens
4104 Yeronga
4105 Moorooka; Tennyson; Yeerongpilly
4120 Greenslopes; Stones Corner
4121 Holland Park; Wellers Hill; Tarragindi
4122 Mansfield; Mount Gravatt; Wishart
4152 Camp Hill; Carina; Carindale
4169 East Brisbane, Kangaroo Point
4170 Cannon Hill; Morningside; Norman Park; Seven Hills
4171 Balmoral; Bulimba; Hawthorne
4172 Murarrie 
 
The Australian Financial Review who obtained the list reports developers, such as Consolidated Properties, claim Brisbane has been cruelled by restrictions on financing set up to ease speculative apartment buying in Melbourne and Sydney.
Suncorp is a Brisbane based top 20 ASX-listed company with $97 billion in assets which employs 13,400 people and serves close to nine million customers across Australia and New Zealand. 
It commenced business in 1916 as the State Accident Insurance Office. 
The RBA has repeatedly warned buyers of the likely oversupply in Brisbane apartments.
Last week the bank noted to date, the adjustment in the Brisbane apartment market has not resulted in significant stress.
"Settlement failures appear to have remained in line with historical norms, although the peak of new supply is yet to come.
"Some developers, however, report that tighter financing conditions are contributing to delays in the settlement of off-the-plan purchases, as valuations below the purchase price reduce the amount banks will lend.
"In liaison, industry participants and banks express confidence that the Brisbane market will continue to absorb the new supply despite tighter financing conditions for buyers.
"Continued weakness in rents, and so rental income, remains a debt-servicing risk for investors," the RBA said. 
</div>
<div>
 
</div>
</body></html>

Oversupply

Editor's Picks

Have something to contribute?

The latest real estate & off the plan properties & news, delivered to your inbox.

Developments

New apartments

New townhouses

News

The latest real estate & off the plan properties & news, delivered to your inbox.

Oversupply

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

The latest real estate & off the plan properties & news, delivered to your inbox.

Developments

New apartments

New townhouses

News

The latest real estate & off the plan properties & news, delivered to your inbox.