ASX-listed developer Cedar Woods is progressing its plans for its Southbank arts precinct site.&nbsp;

The developer has filed plans, which are now with the&nbsp;Department of Transport and Planning, for a new 20-level tower at&nbsp;<a href="https://www.apartments.com.au/new-apartments/141-151-sturt-street-southbank-vic-3006">141–151 Sturt Street</a>, a 2,718 sqm block opposite the Habitat Filter sculpture.

The proposal seeks to demolish the two-level&nbsp;commercial building, including a small supermarket and medical tenancies, and create a new building with 180 apartments and a focus on an&nbsp;active public realm and arts integration.

&nbsp;

<img alt="Southbank site" data-entity-type="file" data-entity-uuid="76a72db6-91ef-43ae-827d-a9cfa72893d2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Site.png?VersionId=DZgtB4K6BswVh0QtCs3iLjXaLp0CbcEb" />

&nbsp;

There will be a full mix of apartment configurations, including 28 studio apartments, 16 one-bedroom, 104 two-bedroom, and 32 three-bedroom units.

Retail, creative arts, and residential amenity functions are integrated across the lower levels. A food and drink tenancy is planned to front Dodds Street, while a retail tenancy fronting Sturt Street will be accessed via an elevated walkway. The first floor includes a substantial 734 sqm creative arts space, envisioned to support Melbourne’s growing cultural and digital industries.

Architecture firm <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a> has put together the plans. In their&nbsp;Urban Design Report they highlighted the project’s ambition to embed itself within Southbank’s evolving cultural fabric.

A central feature of the design is a through-block link connecting Sturt and Dodds Streets, landscaped with native plantings and embedded with universal access ramps.

“The ramp has been thoughtfully integrated as the primary access point, ensuring universal accessibility for all users,” the report noted, with the link offering “a direct response to the urban planning scheme of creating more green spaces within our communities”.

<img alt="Southbank podium" data-entity-type="file" data-entity-uuid="4d24b1b2-d69c-4a11-a11d-ec6df432221c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/podium.png?VersionId=geWoJyZDmPSLODZ_.PNJ0LvpOmyyCdpo" />

The building’s podium form responds to the mandatory height limits along Dodds Street and maintains a fine-grain interface to adjoining developments. Above the podium, the tower is articulated with recessed balconies and a focus on views toward the CBD and surrounding arts institutions. A communal rooftop recreation deck and indoor lounge are positioned on level four, adjoining seven apartments and providing over 900 sqm of resident amenity space.

Vehicle access and loading will be provided via Dodds Street, with 155 resident car spaces located across two basement levels and the first three above-ground floors. Bicycle storage is more generous, with 226 spaces distributed across resident, staff and visitor needs.

Rothelowman describes the architecture as “humanist,” with ground-level interfaces designed to encourage social interaction and provide a dignified entry for both residents and passers-by. “All street interfaces are crafted to invite and nurture human connections,” the design report states. “The façade transitions to a human scale, providing an approachable and engaging streetscape”.

Cedar Woods, while well-known for its large communities it develops outside of Australia's capital cities, they have recently developed in Melbourne's inner-ring before. They are approaching completion at <a href="https://www.apartments.com.au/new-townhouses/88-leveson-north-melbourne-88-leveson-street-north-melbourne-vic-3051">88 Leveson</a>, just 15 townhouses in the heart of North Melbourne.

Joel Robinson

Cedar Woods progresses with new apartment plans in Southbank arts precinct

Brisbane developers Core Property Partners and Vector Property Australia has teamed up for Brisbane's newest apartment development.

The duo identified <a href="https://www.apartments.com.au/developments/east-brisbane-qld-4169">East Brisbane</a> as their preferred suburb, on the fringe of the Gabba Precinct, where they've just revealed BANKSII, 72 apartments opposite Raymond Park.

[smartcode_project:default project_id=136432 project_image_fid=5481]

The one-, two-, and three-bedroom apartments will sit in a glass-wrapped building that will also feature a rooftop with an&nbsp;infinity-edge pool, a BBQ area and alfresco dining spaces, sun lounges, and a sauna, as well as a resident-only gym and a ground-floor cafe.

Rhett Williams, Director of Vector Property Australia, said the project will lift the quality of the East Brisbane community and set a new benchmark.

"In Brisbane’s current property landscape, <a href="https://www.apartments.com.au/new-apartments/banksii-east-brisbane-169-wellington-road-east-brisbane-qld-4169">BANKSII</a> stands out through its emphasis on lifestyle-oriented living, connectivity and sophisticated design," Williams says.

[smartcode_project:default project_id=136432 project_image_fid=5479]

The 10-level building has been designed by MAS Architecture. Their designs were inspired by the native Banksia flower, with the architecture and interiors reflecting the organic symmetry of its namesake flora. MAS has interpreted this throughout the building’s curved form, façade detailing and interior palette.&nbsp;

The building’s flowing geometry and natural tones are complemented by large balconies and floor-to-ceiling glazing, maximising cross-breezes, daylight and views over the city, parklands and river.

“Having a strong narrative for a building helps us architecturally,” MAS noted. "We can choose colours that come off that species of flowers. The trunk and the trees and the flower elements all are now visible in our joinery on the inside and in our architectural finishes on the outside."

[smartcode_project:default project_id=136432 project_image_fid=5485]

Apartments will feature timber floors, soft porcelain tiles, brushed bronze fittings, and stone benchtops with warm veining.&nbsp;

Kitchens feature premium SMEG appliances and generous storage, while bathrooms have been designed as calming retreats with curved cabinetry and twin sinks in the master ensuites.

The building will feature a suite of rooftop and wellness amenities. Residents will have access to an infinity-edge pool, BBQ and alfresco dining areas, sun lounges and a rooftop sauna.&nbsp;

A residents-only gym will be located on the podium level, while a ground-floor café and landscaped laneway will further activate the site and improve neighbourhood connectivity.

[smartcode_project:default project_id=136432 project_image_fid=5488]

BANKSII will rise from a prime Wellington Road site, with the building oriented to overlook the adjacent Raymond Park and take in extensive city views. It is also on the doorstep of key&nbsp;lifestyle infrastructure, including the future Kangaroo Point Green Bridge, The Gabba stadium, and the planned Brisbane Live arena.&nbsp;

Public transport options, including ferry, bus and rail - including the future Cross River Rail Woolloongabba station - are all nearby, supporting a car-optional lifestyle just minutes from the CBD.

Williams said the team spent over a year searching for the ideal site before securing this location.

"We were attracted to <a href="https://www.apartments.com.au/developments/east-brisbane-qld-4169">East Brisbane</a> as it is a vibrant and growing community that offers a perfect balance of urban convenience and natural beauty with the parklands and river on our doorstep.”

The project is part of the broader Woolloongabba Games precinct, which is undergoing significant investment in the lead-up to the 2032 Brisbane Olympics. This urban renewal, coupled with infrastructure upgrades, is expected to enhance long-term liveability and capital growth in the area.

Given the wide max of configurations, BANKSII is expected to suit everyone from first home buyers and investors to families and downsizers.

[smartcode_project_cta:default project_id=136432]

BANKSII sales launch in booming East Brisbane apartment market

The Minns Labor Government will deliver Sydney’s first new heavy rail station in more than a decade – enabling up to 10,000 new homes by rezoning land around Woollahra and Edgecliff stations, right next to the CBD, to tackle the housing crisis and rebalance growth across the city.

Recent reports by the NSW Productivity Commission have warned that Sydney is losing twice as many young people as it is gaining, while also finding that Woollahra is the most feasible Local Government Area (LGA) in New South Wales to build new housing.

Despite this, housing approvals in Woollahra consistently lag well behind other LGAs, and the population has declined by 11 per cent over the past 50 years while Greater Sydney as a whole has grown by 74 per cent.

The new station that will be an eight-minute trip from Sydney CBD, will be located on the Eastern Suburbs train line in Woollahra, where a station build was started in the 1970s but never completed.

To enable the delivery of new homes the NSW Government will lead a rezoning of Woollahra and Edgecliff stations similar to other state led rezonings to allow additional homes to be built around the stations.

Affordable housing will also make up a proportion of development on the site with the final amount of affordable housing required, to be determined as part of the rezoning process.

The area surrounding the new station is within walking distance of major green and recreational space including Cooper, Trumper, Rushcutters Bay and Centennial Parks.

The Eastern Suburbs train line between Bondi Junction and Sydney CBD also has the lowest passenger usage rates during the AM peak of any line on the Sydney network, with only 43 per cent of operating capacity during the AM peak currently being utilised by passengers.

Sydney Water and Infrastructure NSW have confirmed there is capacity in the water and wastewater systems to accommodate the proposed 10,000 dwellings without major upgrades.

The rezoning is expected to take around two years and will further support the Government’s housing targets that rebalance the delivery of new homes around existing infrastructure.

&nbsp;

&nbsp;

Next stop Woollahra train station - delivering up to 10,000 new homes in the heart of Sydney

<section data-element_type="section" data-id="b086848">
Fresh off completing its mixed-use Malvern project Malvern Collective, Kokoda Property Group has acquired a prime site on Richmond's Bridge Road.

They are planning a mid-rise residential development with&nbsp;integrated wellness amenities and a vibrant ground-floor retail and dining offering.

The site, at&nbsp;487–495 Bridge Road, spans&nbsp;1,650 sqm with 50 metres of dual frontage across Bridge Road and Palmer Street. It is currently leased to Adairs, and has a large retail building and 20 onsite car parks.
</section>

<section data-element_type="section" data-id="534a164">
Kokoda Property Group’s acquisition forms part of a broader phase of growth in Melbourne, building on momentum from the completion of Malvern Collective and the recent purchase of a Burnley Street site for the developer’s first commercial project.&nbsp;

Mark Stevens, Kokoda Property Group’s Founder and Managing Director, said that the company’s Bridge Road site acquisition signals confidence in a city that is re-accelerating.

“Melbourne is regaining momentum,"&nbsp;Stevens said.

"After a cautious period post-COVID, we’re seeing buyer sentiment stabilise and capital leaning back into well-located, quality projects. Victoria now benefits from deep builder capacity and competitive delivery pricing, creating a rare opportunity to bring design-led inner-city developments to market without compromising on craftsmanship.

“Richmond ticks all the boxes for us – connectivity, culture and everyday amenity – making Bridge Road the perfect address for an amenity-rich, multi-use development."

<img alt="Kokoda" data-entity-type="file" data-entity-uuid="9a8de51d-8092-480a-8b7e-e081816692c2" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-08-29%20at%208.54.27%E2%80%AFAM.png?VersionId=VRHpV5.6beOu2cieKHWrw3ErMPuVOAuj" />

Envisioned as an “urban lantern” the building will bring a distinctive new presence to Bridge Road with a sculptural retail frontage, designed to honour the street’s heritage character while contributing to its renewal.

Stevens said the acquisition reflects the developer’s commitment to design-led addresses in Melbourne’s inner city.

“Drawing on Richmond’s rich heritage and dynamic character, we’ve envisioned a contemporary building that respects the past while elevating the way people live today. With dual frontages, curated ground-floor spaces, and a focus on wellness, this project will contribute to the neighbourhood’s evolution, appealing to both downsizers and a new generation of professionals.”

Kokoda Property will now progress concept design ahead of a future planning process.
</section>

Mark Stevens, Kokoda Property Group’s Founder and Managing Director, said that the company’s Bridge Road site acquisition signals confidence in a city that is re-accelerating

First look: Kokoda secures Richmond site for new apartment development

Gold Coast developer Drew Group is fast approaching sell-out at its Main Beach apartment development, Lagoon Main Beach.

In the last nine months, Drew Group and sales partner Pezet Matheson have secured 31 sales totalling over $75 million, as the two-tower development advances towards completion under the expert eye of Hutchinson Builders.

“Today's buyers are more discerning than ever," Drew Group Managing Director Jon Drew says.

"It's essential to provide something truly unique that sets a development apart, and we believe Lagoon has achieved just that."

[smartcode_project:default project_id=108747 project_image_fid=193023]

Just over 50 per cent of recent&nbsp;sales have been to local buyers, reflecting the deep trust and connection within the Gold Coast community that Drew Group has developed over the years.

Demand has been particularly robust at the top end, with two of the three exclusive penthouses already sold, alongside five sub-penthouses. Only seven apartments remain in Lagoon's Signature Series — one&nbsp;penthouse and six sub-penthouses.

[smartcode_project:default project_id=108747 project_image_fid=284864]

Drew Group has also removed the much-maligned sunset clause from all contracts at Lagoon. The sunset clause — although rarely invoked, yet on occasion known to have been — allows developers to take back contracts on apartments should the building not be completed within the timeframe specified in the contract.

Pezet Matheson Co-Director Jayde Pezet says the fact Lagoon is&nbsp;within a year of completion, and has no sunset clause in contracts, provides certainty to buyers.

"This is paramount in the current market," Pezet says.

Drew Group has committed to providing the highest level of security inclusions — none more impressive than the Ubiquity Access Control System, a cutting-edge facial recognition technology that is one of the most state-of-the-art keyless entry systems on the market.

[smartcode_project:default project_id=108747 project_image_fid=190743]

One of the biggest drawcards to Lagoon has been the size of the apartments.

"It is unlikely that any future new development in Main Beach will be able to offer such spacious living at this price point," Drew says.

"Today's buyers are more discerning than ever, carefully evaluating amenities like gyms, spas, workspaces, and beach lockers, along with quality finishes. It's essential to provide something truly unique that sets a development apart, and we believe Lagoon has achieved just that."

Lagoon is set to complete construction in mid-2026.

[smartcode_project_cta:default project_id=108747]

Lagoon Main Beach approaches sell-out as local buyers drive $75m in sales

Property Forecast 2020

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EXPERT OBSERVER
Most talking heads, when asked to predict the coming year in real estate, look at the recent past and extrapolate that to the near future. So most commentators have been predicting the recent past. And therefore 2020 is all about Sydney and Melbourne.
More thoughtful forecasters have suggested the growth spurt in the biggest cities in late 2019 will not translate into another price boom in 2020. Some, including Westpac, expect relatively moderate growth in Melbourne and Sydney, with Brisbane leading on price escalation.
Very few ever discuss regional markets – which is unfortunate, because that’s where investors will find some of the best options for 2020, if it occurs to them to look beyond the big cities.
In NSW, I would suggest the best possibilities will be found outside of Sydney. And those who undertake research beyond absorbing headlines and sound bites will be surprised to find the best performers recently have been regional.
When Sydney was going through its post-boom correction in 2018 and the first half of 2019, regional areas of NSW were a notable contrast. Locations throughout the state continued to show growth in sales activity and prices.
The regions outside of Sydney have many examples of win-win-win situation provided by regional centres: affordable buy-in prices, much better rental yields than the big cities and good prospects for steady growth.
Many of these have long-term growth rates (the average annual increase in median house prices over 10 years) of 6% , 7% or more.
Regional centres with those kinds of strong long-term growth rates include Orange, Dubbo, Goulburn, Bowral, Mitttagong, Wyong, Terrigal and many others.
Goulburn near Canberra and Wyong on the Central Coast both have long-term capital growth rates of 7% per year while Bowral in the Southern Highlands averages close to 8% per year, which is competitive with anywhere in Australia.
Many locations throughout Regional NSW have recorded double-digit growth in their median house prices over the past 12 months.
These growth markets are spread widely across the state. Kingscliff in the north near the Queensland border, has risen 12% in the past year and now has a median house price above $1 million. Nearby Tweed Heads has grown its median house price 11% to $790,000.
In the far south of the state, Lake Albert (which is part of the Wagga Wagga market) has risen 13% to $400,000. Another sector of the Wagga market, Tatton, has grown 14% to $556,000, while central Wagga Wagga increased 9%.
Suffolk Park, which is part of the high-profile Byron Bay market, has increased 12% to reach $1.17 million.
Jindabyne in the Snowy River region has delivered a 14% rise in its median house price to reach $715,000, while Gulgong in the Mid Western Region is up 14% to $330,000. Gloucester in the Mid Coast region has increased 17% to $315,000.
Other locations in Regional NSW to record annual growth in the 7% to 10% range include Bathurst, Broken Hill, Cooma, Cootamundra, Cowra, Griffith, Maclean, Merimbula, Mudgee, Singleton, Tumut and Kempsey.
This strong price performance has occurred at a time when the Sydney market has generally been struggling for growth (prior to the revival in prices which occurred in latter part of 2019).
It provides compelling evidence that investors can find good investments with appealing prospects for long-term growth in regional areas.
TERRY RYDER is the founder of hotspotting.com.au ryder@hotspotting.com.au twitter.com/hotspotting
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terryryder-YECXbqmri2

Look beyond Sydney for NSW real estate in 2020: Hotspotting's Terry Ryder

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EXPERT OBSERVER
Canberra is set for its strongest growth market in years, following a recent surge in demand in the housing markets across the national capital.
Our latest analysis of sales activity and prices shows that the number of suburbs with rising demand is the highest in the five years we have been conducting our quarterly surveys.
Our two previous reports both found 18 suburbs with rising demand, but this new survey has identified 32 growth suburbs. The previous best was the 26 growth suburbs in the Autumn 2019 survey.
Our research also reveals good price performance, with two-thirds of Canberra suburbs delivering growth in their median house prices in the past 12months. Of the 41 Canberra suburbs with growing house prices, 24 have increased more than 5% in annual terms.
This reinforces a point I regularly make: that the generalised price data published in mainstream media (one figure to describe an entire city market) often fails to tell the full story. In the case of Canberra, most suburbs are achieving price growth well above the generalised figures quoted by research firms (mostly 3-4% for Canberra in the past year).
The overall outcome is a departure from the usual status of the national capital’s real estate market, which is one of steady, consistent performance. The surge in the number of locations where sales activity is rising suggests 2020 will be a year of above-average price performance.
Canberra’s property market continues to be underpinned by a strong ACT economy. The ACT ranked fourth among the states and territories in the State of the States report published by CommSec in January 2020, ahead of Queensland, South Australia and Western Australia – and was ranked No.1 on housing finance and employment, and No.2 on equipment investment.
The ACT consistently has the highest average incomes and the lowest unemployment rate in the nation.
Three Canberra precincts stand out for the number of suburbs with rising sales activity: Belconnen (eight growth suburbs), Gungahlin (six) and Tuggeranong (seven). The Inner North precinct also features prominently, with four suburbs with upwardly mobile markets.
With Belconnen, Gungahlin and the Inner North featuring strongly, it reinforces (yet again) that the strongest part of the Canberra market is in the north of the city.
The Belconnen District is a real standout, with eight growth suburbs and 10 others with steady sales performance. Rising markets include Dunlop, Florey, Giralang, Higgins, Holt and Melba.
It also has several of the suburbs where median house prices have grown more than 5% in the past 12 months, including Melba (11%), Macquarie (8%), Macgregor (7%) and Latham (8%).
Leading Gungahlin District suburbs for price growth include Crace (up 10%), while the suburb of Gungahlin is one of the leaders among Canberra’s apartment markets (median unit price up 14%). In the Inner North precinct, the suburb of O’Connor was Canberra’s No.1 suburb for annual price growth (median house price up 20% to $1.26 million).
While many of the top performing precincts are in the northern part of Canberra, the Tuggeranong District in the far south is an emerging market worth tracking.
With seven growth suburbs and seven others with consistent sales activity, it’s close behind the Belconnen District in terms of buyer demand. The rising markets include Banks, Bonython, Conder, Fadden, Kambah, Monash and Theodore.
Numerous suburbs in the Tuggeranong District have had solid price growth in the past 12 months, including Calwell (5%), Chishom (6%), Conder (8%), Fadden (7%), Kambah (7%) and Theodore (7%).
TERRY RYDER is the founder of hotspotting.com.au ryder@hotspotting.com.au twitter.com/hotspotting
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Canberra real estate set for its strongest growth in years: Hotspotting's Terry Ryder

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EXPERT OBSERVER
A Shakespearean character suggested (Henry VI, Part 2, Act IV, Scene 2), as a great way to improve the country: “First thing we do: let’s kill all the lawyers.”
While the idea has merit in 21st Century Australia, I think a better strategy would be to get rid of all the economists. A good method of dispatch would be to push them off a cliff, similar to the September cliff they’re all predicting as the next catastrophe to afflict Australia’s economy.
If there’s a more pointless and over-rated profession anywhere in society, I don’t know about it. These people continue to get paid, and they continue to feature daily in major media with their incessant “warnings”, despite their staggering ability to be wrong with most of their forecasts.
For many of our chattering economists, the meaning of life is their picture in the paper or a short grab on the evening television news. Some exhibit a need for daily exposure. How best to achieve that? Say something sensationally negative – the truth is optional and you can be sure that no journalist will ever check on your track record of getting things right, so credibility is unimportant. Just describing yourself as an economist is enough.
So when the impacts of Covid-19 first became apparent in February and March, the nation’s gaggle of chattering economists began predicting a collapse in real estate prices.
The people I call “the usual suspects”, the economists and independent ranters who always talk down property, began tipping house prices would fall at least 20% and some suggested even 30% or 40%.
Journalists, being the shallow creatures that they are, lapped it all up and rushed to print with sensationally negative headlines, without applying any scrutiny to the forecasters and their motives.
Four months later, some of those forecasters are retracting their earlier predictions. Shane Oliver of AMP Capital, always eager to be a real estate pessimist, recently recanted his 20% decline tip and suggested a more moderate outcome.
The boffins at UBS, who seldom see anything positive in real estate, recently admitted they’d got in wrong and that housing markets were holding up a lot better than they thought.
The latest data from both CoreLogic and SQM Research indicates that most of the markets across Australia still have house prices higher than they were at the start of 2020, in defiance of those dire forecasts.
But now the diehard doomsdayers have found a new catastrophe to obsess over: the September cliff.
The theory is that come the end of September, the banks and the federal government will flick a switch and stop supporting Australia.
The trigger here is that JobKeeper is scheduled to run until then and the banks have put a similar deadline on their extension of mortgage payment holidays to borrowers. So, when the government and banks suddenly stop caring about the nation, and themselves, and switch off their support, everything will fall off a cliff. Theoretically.
It’s a convenient scenario for pessimistic economists (is there any other type?) and journalists with a negative mindset (there is definitely no other type).
But there are serious flaws in the theory and I feel confident in suggesting that is simply won’t happen. There will be no cliff for prices to fall off at the end of September.
Here’s what’s wrong with the “September cliff” theory:-
· It assumes that everything depends on JobKeeper and mortgage holidays. It doesn’t – there’s a whole lot more in the mix.
· It assumes the Federal Government will suddenly stop caring about the national economy and simply switch off support in September. They won’t.
· It assumes banks will shoot themselves in the foot by abandoning their customers. They haven’t come this far in supporting their borrower customers to abandon them later.
· It assumes that nothing will change with business and employment between now and 30 September. But a lot is changing already, with restrictions easing, businesses re-opening and jobs re-appearing.
· It overlooks the extraordinary level of stimulus measures in play. Multiple booster measures from all levels of government have been activated and there is more to come. A $72 billion spend on infrastructure provides a prime example of the measures that will generate economic activity and jobs. The $25,000 grant for people to build homes is generating activity that has surpassed all expectations and the economic multiplier effect of residential construction is the second biggest of any industry sector in Australia.
· It overlooks the impact of the ongoing easing of restrictions. Before we get to the doomsday deadline, state borders will be open (most are already, notwithstanding the Victoria situation) and tourism will be pumping again. Australia are revelling in the new freedoms and this will help revive economies. The latest ABS data shows that retail spending is rising again, with a 17% increase in May.
· It overlooks the news that people who sought mortgage holidays are rapidly moving back to making mortgage payments. ANZ said in mid-June that a third of the customers who sought a holiday are already back making payments. The numbers of borrowers resuming payments is growing every week.
· It ignores the extraordinary resilience of real estate markets, which have a history of not only resisting economic downturns but leading national economic recovery. Real estate markets revel in defying the most dire forecasts of the chattering economists.
· It forgets the natural boost to real estate markets from the Spring selling season.
The “September cliff” theory will be forgotten even before we get to September. The people who made those forecasts will have forgotten they made them. For most of the talking heads, it’s nothing more than a soundbite, a publicity opportunity. Some of them don’t even believe their public statements.
It will join an already-long list of predictions that have been proven false since February. Every statistic that has been published to date – whether it be property prices, auction clearances rates, vacancy rates, retail spending, unemployment figures and GDP numbers – has been less dramatic than the media forecasts.
It’s time we stopped listening to the attention-seeking economists whose only objective is to gain media profile by feeding the 24-hour news cycle, with little regard to the consequences.
Terry Ryder is the founder of hotspotting.com.au ryder@hotspotting.com.au twitter.com/hotspotting
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The 'September Cliff' is just the latest property economic nonsense: Hotspotting's Terry Ryder

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EXPERT OBSERVER
The key message for property investors right now is that there are many growth markets across Australia.
There’s a tendency in mainstream media to extrapolate the situations in Sydney and Melbourne to the whole nation. If the big cities are in decline, then Australian real estate is in decline, according to news media.
This is seldom true – and it’s certainly not the case right now. Some of our smaller capital cities are pumping strongly and, in particular, regional Australia has many growth markets.
Last week I made this comment: “Regional Queensland has achieved something that few jurisdictions across Australia have managed: it has maintained its previous high levels of well-performing markets in defiance of Covid-19.”
I wrote that I rated the Sunshine Coast one of the strongest economic and real estate stories in the nation and that it continues to produce solid results in its property markets.
The anecdotal evidence from people at the coalface of the Sunshine Coast property industry is that sales are happening, vacancies remain low and there’s no evidence of values falling.
The latest data on prices and vacancy rates confirms that – with evidence of notable growth pockets.
Most of the postcodes across the Sunshine Coast region, including Noosa (which is a separate local government area), have vacancy rates between 1% and 2%. While some of the capital city CBDs and tourism-dominated locations like Surfers Paradise have had big blowouts in their vacancies, the Sunshine Coast has resisted this trend.
Although tourism is an important industry to the Sunshine Coast, its economy is insulated by the ongoing massive spend on infrastructure, including the evolving medical precinct, the new CBD now under construction, the billion-dollar highway improvements, the upgrade of the local airport to international status and the subsea internet cable link to Asia – among other projects.
And this is bolstering the local property market.
The top end of the market in particular has been boosted, thanks in part of the influx of well-paid medical specialists working in the new medical precinct, based around the $2 billion university hospital.
The two most expensive suburbs in the region, Sunshine Beach and Minyama, have both experienced notable uplift in prices recently. The median house price for Sunshine Beach, just outside Noosa, has risen 16% in the latest quarter and 27% in annual terms, to reach $1.8 million. Minyama is up 7% in the most recent quarter and 23% annually – and typical houses are now above $1.1 million.
The median house price for Noosa Heads has risen 8% in the past year, including 1.4% in the most recent quarter.
Other locations throughout the Sunshine Coast region, including Mooloolaba, Maroochydore, Coolum and Pelican Waters, have recorded more moderate growth, but nevertheless have achieved price uplift in both the past 12 months and the most recent quarter – and a time when the big cities are feeling the negative impacts of Covid-19.
Keep that in mind the next time you hear one of our chattering economists telling us that “Australian property prices” are falling.
The Sunshine Coast is a standout example among many thriving regional markets.
Terry Ryder is the founder of hotspotting.com.au ryder@hotspotting.com.au twitter.com/hotspotting
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Sunshine Coast remains a standout market during COVID-19: Hotspotting's Terry Ryder

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EXPERT OBSERVER
Three major housing-related measures were highlighted in Treasurer Frydenberg’s budget address on the 6th of October: an extension of the First Home Loan Deposit Scheme (FHLDS), additional low-cost financing for affordable housing through NHFIC, and additional funding for the Indigenous Home Ownership Program.
Other measures detailed in the budget papers included a proposed capital gains exemption for granny flats for eligible persons from July next year, and a continuation of funding for state social housing services.
The papers also note that the expansion of the first home loan deposit scheme will be complemented by announced changes to ease credit regulations, which would boost credit availability.
Funnelling new demand into new property
First home owners have previously been a target of demand-side housing stimulus during economic downturns. Currently, Australia may be in a demographic ‘sweet spot’ for first home buyer demand.
The relatively large millennial generation is now estimated to be aged around 26 to 37 years old. According to ABS data, this puts millennials into the most common first home buyer age groups.
Alongside the typical barriers to entry for hopeful first home buyers, this may be one of the reasons the first home loan deposit scheme has been so well-subscribed since its introduction in January this year.
The extension to the FHLDS will see an additional 10,000 places available between the 6th of October and the 30th of June 2021, adding to the 20,000 places made available since the scheme started in January 2020.
However, these additional places are for construction or purchase of newly-built homes. The price thresholds have also been increased for newly built homes, which would potentially further incentivise a pivot away from the established housing market. The change in purchasing thresholds by region are summarised below.
<img src="https://www.urban.com.au/images/2020/10/8/Eliza%20Owen%20Budget.PNG" alt="">
It will be interesting to see if these conditions create as rapid an uptake as the places for established housing. In 2008, the temporary boost to the first home owner grant provided added incentives for new builds, yet 85% of its uptake was directed at established housing₁. However, incentives limited to new home builds could still help soften the blow to dwelling construction through COVID-19.
Since the introduction of the HomeBuilder scheme, new home sales have been boosted across Western Australia, South Australia and Queensland. CoreLogic data shows valuations ordered for the purpose of construction loans have seen a boost above pre-COVID levels since the introduction of the HomeBuilder scheme.
In terms of the impact these schemes would have on the established market, the increased incentive for new home builds could reduce established home prices if demand is diverted from this sector. However, the price of newly built homes may rise up to the threshold cut-off. It is worth noting that despite the rhetoric employed around the extension of the scheme supporting the construction sector, the budget papers highlight that this will not be enough to offset a decline in new dwelling investment.
At August, dwelling approvals for units had fallen -18.4% year-on-year. The budget papers forecast an 11% decline in dwelling investment over 2020-21, before rising 7% in 2021-22. Indirect Impacts on Housing With much of this year’s budget focused on the labour market, infrastructure construction and tax cuts, one could be forgiven for thinking housing reform and stimulus took a back seat in this year’s budget. However, some of the budget highlights will also have implications for housing.
These include: 
<ol>
<li>The JobMaker hiring credit and JobTrainer fund. These initiatives may help re-absorption of young people into the labour force following the initial pandemic-induced shock. This reflects the disproportionate job loss of young people throughout COVID-19, where around 40% of job losses between March and August were among those aged 24 and under. Job loss among younger Australians may present less direct risk to the housing market due to their lower likelihood of holding mortgage debt. However, support for youth employment may create more buoyancy in the rental market, where inner-city markets in particular have seen rental income declines since the onset of COVID-19. </li>
<li>A boost to infrastructure spending. Depending on the nature of infrastructure projects, surrounding housing markets could see a rise or fall in demand. Much of this year’s infrastructure allocation is in roadworks, which can have positive impacts on nearby housing by increasing accessibility to an area, but devalue properties with exposure to high traffic intensity, construction and noise pollution.</li>
</ol>
Support for regional Australia
The budget outlines $350 million in support for regional tourism to attract domestic visitation, and seeks to strengthen regional industry through concessional loans to farmers and access for exporters to global supply chains. This may further generate interest in regional dwelling markets, beyond what has resulted from COVID-19 and the normalisation of remote work. However, it worth noting this budget allocated little to fossil fuel alternatives, with climate change presenting on ongoing challenge to the liveability of some regional markets.
 Beyond the Budget
Further to the budget, there have been many institutional interventions which have likely played a role in stabilising housing market conditions since COVID-19.
These include, but are not limited to: 
<ul>
<li>A comprehensive monetary easing package from the RBA, which saw a reduction of the cash rate to 0.25%, bond yield targeting and the establishment of a term funding facility which has been extended to June next year; </li>
<li>Early access to $10,000 of superannuation in 2019/20 and 2020/21; </li>
<li>The Australian Prudential Regulation Authority (APRA) changed capital ratio expectations for the banking sector in March, facilitated home loan deferrals and later extended the availability of deferrals to March 2021;</li>
<li>The availability of JobKeeper and a boost to JobSeeker, which were made available from March, and extended to March 2021, albeit in a tapered form; and, </li>
<li>A mix of state-based incentives for home buyers, such as the Building Bonus grant in WA, the Home Improvement Scheme in the NT, and temporary stamp duty discounts in NSW.</li>
</ul>
These events remind us that housing does not operate in a vacuum. Many different factors are currently supporting housing demand. This has created a turn in housing market sentiment, which is seeing prices rise across the small capital cities, and a softening of price declines across Sydney and Melbourne.
Looking forward, there may still be more tailwinds to come. The RBA left the cash rate on hold in October ahead of the budget, but hinted in the final sentence of the statement on the decision that “additional monetary easing” was possible.
A recent address by Deputy Governor Guy Debelle carried the same messaging. Lower interest rates, together with easier access to housing credit could create further housing market demand, given prices have historically increased against a lower cost of debt and greater availability of housing finance options.
ELIZA OWEN is the Head of Research Australia at CoreLogic
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What does the budget mean for the housing market? CoreLogic's Eliza Owen

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EXPERT OBSERVER
The past few weeks have shown signs of a positive turn in the housing market. There has been a strong rebound in consumer sentiment, and outside of Melbourne, auction clearance rates and volumes are rising.
More recently, CoreLogic listings data has shown that in some cities, vendors are also more willing to test the market by listing their property for sale.
Across the capital cities, ‘new’ listings, which are properties freshly added to the market over a period, increased 0.7% in the four weeks to the 20th of September.
This was driven by a particularly strong jump in new listings across Sydney, up by 382 listings over the period, followed by Perth, where new listings increased by 286.
The combined capital cities chart shows a subdued start to the spring selling season, which is now gradually gathering pace.
However, new listings volumes are still down 35% on the previous four-year average.
The capital city breakdown reveals Sydney and Perth as leading the new listings volume, while new listings across Melbourne fell by 935 listings.
While this is a large drop in new listings, the decline has eased from the previous four week period, where the count of new listings fell by 2,976 in the four weeks to August 23rd.
All but two of the capital cities recorded an increase in listings. This signifies that vendors may be more confident in selling their property.
The exceptions were Melbourne, where transaction activity is understandably constrained by stage 4 restrictions, and Darwin, where listing numbers are generally lower and more volatile CoreLogic valuation data suggests that there is so far little indication that these increases in listings may be a result of distressed sales.
Potential in the Perth market
While transaction activity is gradually improving across the country, Perth stands out as a market primed for recovery.
For the four weeks ending 20th of September, Perth and regional WA were the only dwelling markets where new listings volumes exceeded the numbers in the equivalent four week period of the previous year.
Listings is not the only transaction data suggesting more confidence in the Perth dwelling market. This is shown in the chart below, which capered capital city sales numbers in August, with a 6-month average of pre-COVID sales volumes.
Perth is the only capital city where sales numbers where above the pre-COVID average. These higher levels of transaction activity are also showing up in mild value increases across the Perth dwelling market. In the 28- days to September 23rd, the Perth home value index increased 0.6%
. While a positive turn in Perth dwellings may be surprising during a recession, the WA economy has been supported by a 4.8% increase in mining investment over the year.
ABS payroll data suggests since the start of the pandemic, payroll jobs across WA fell less than 1%, compared with national declines of 4.5%.
Perth dwelling values are also relatively affordable, sitting 22.2% below the record dwelling value in June 2014, and there is a strong mix of state and federal first home buyer incentives in place, which may be encouraging demand as well.
A consistent upswing in Perth property values will depend on the resilience of the market through the end of mortgage repayment deferrals, whether there are further reductions in the cash rate, and how successfully COVID-19 can be contained.
ELIZA OWEN is the Head of Research Australia at CoreLogic
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Surprising data shows Perth is bouncing back: CoreLogic's Eliza Owen

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EXPERT OBSERVER
Anyone who has been paying attention will know that there are plenty of solid to strong property markets around Australia.
The collapse in prices that attention-seeking economists forecast in March and regularly since then simply hasn’t happened. Of the 15 major market jurisdictions in Australia (eight capital cities and seven state regional markets), 11 have house prices higher than at the start of the year.
First-home buyers, boosted by government assistance, are very busy and other types of owner-occupiers are active also. Investors are starting to get off the fence and follow the trends that are pointing to growth in key areas.
So where are those prime targets, which currently have the ingredients for growth? I recently explored that subject with buyers’ agent Philip Robison as a guest on his podcast series. Under the topic heading of “Game-changing trends supercharging markets,” we discussed the key trends currently driving markets:
1. The cities with the virus under control have higher confidence, more activity, lower vacancies and busier markets.
2. The Exodus to Affordable Lifestyle, well under way before the pandemic, has been exacerbated by the virus shutdown periods.
3. First-home buyers are the most active cohort in the market at present, driven by high levels of govt assistance and low interest rates.
4. Vacancies are very low in many markets, which means rising rents - and history shows that prices tend to follow.
So which locations are positively impacted by these key trends?
1. Adelaide, Perth, Brisbane, Darwin, Canberra and Hobart all have few pandemic issues and they have busy property markets. Adelaide has one of the most competitive markets in the nation, Perth has been a huge increase in sales activity in recent months, Brisbane markets are rising steadily and Canberra is a standout because it has delivered price growth every month since March.
2. The Exodus to Affordable Lifestyle is mostly about regional Australia: the rising jurisdictions include regional Victoria near Melbourne, Regional NSW near Sydney and Regional Qld near Brisbane. Brisbane itself is also getting momentum from the Exodus trend, particularly from people vacating Sydney and looking for a city less congested and more affordable.
3. First-home buyers are busy in the outer-ring suburbs of most capital cities, but particularly in places like Brisbane, Perth and Adelaide. They’re also targeting regional cities and towns, especially those within striking distance of the big cities - so Regional Victoria near Melbourne, Regional NSW near Sydney, Regional Qld near Brisbane.
4. Vacancies are particularly low in Adelaide, Perth, Brisbane, Darwin, Canberra and Hobart, and in most key regional markets across Australia. It’s not uncommon to find locations where vacancies are below 1%. Agencies across the country are crying out for rental listings.
So, where does that point us? Well, some locations are being boosted by all of those four trends.
Therefore, the locations benefiting most from all of these dominant trends are ...
<ul>
<li>Adelaide,</li>
<li>Brisbane,</li>
<li>Regional Victoria near Melbourne,</li>
<li>Regional NSW near Sydney,</li>
<li>Regional Qld near Brisbane.</li>
</ul>
They’re not the only markets that are pumping strongly, but they are the standouts.
Terry Ryder is the founder of hotspotting.com.au ryder@hotspotting.com.au twitter.com/hotspotting
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