<p>Perth’s new apartment market recorded its strongest quarter of sales since Q4 2021, with 412 apartments sold in Q1 2026 and a record quarterly sold value of $537 million, according to Urbis’ latest Apartment Essentials results.</p>

<p>Urbis said the March quarter result reflects strong, highly product‑specific demand across both ends of the market, from more attainable projects delivering at scale, through to premium stock being absorbed by equity‑rich downsizers.&nbsp;</p>

<p>David Cresp, Partner at Urbis, said the key story in Perth is not demand, it is the market’s ability to convert demand into delivered housing.&nbsp;</p>

<p>“This is the strongest sales quarter since Q4 2021, and it reinforces that demand in Perth is real and it’s local,” David Cresp said. “But the task now is delivery, turning that demand into projects that can actually be built and completed.”&nbsp;</p>

<p>[smartcode_project:default project_id=110291 project_image_fid=302785]</p>

<h2>Affordable product leads, premium demand remains resilient</h2>

<p>Sales in Q1 were led by more affordable projects, with The Boulevard (SKS Group) recording 115 sales in the quarter, the presentation noting this is only the second time a single project has surpassed 100 quarterly sales. The project was able to offer more affordable housing product right next to a train station.&nbsp;</p>

<p>Palmyra West (Finbar) also delivered strong results with 28 sales in Q1, following 84 sales in Q4, with an average price of under $800,000, underscoring depth of demand for well‑located, attainable new stock.&nbsp;</p>

<p>At the premium end, Urbis said downsizer demand is continuing, with the results highlighting Romeo (Applecross, Finbar) recording 75 sales and reaching almost 50% sold in one quarter.</p>

<p>Jual (Shenton Park, Celsius Property) also posted a strong quarter with 28 sales, reaching 39% sold in one quarter.</p>

<p>Urbis noted that Perth apartment demand is not speculative, not investor‑led, and not uniform, describing it as localised, often equity‑driven and highly product‑specific, a pattern reflected in the polarisation between strong “attainable” performers and premium downsizer product.&nbsp;</p>

<p>[smartcode_project:default project_id=148957 project_image_fid=364102]</p>

<h2>Prices underpinned by costs, and the delivery risk is growing</h2>

<p>Urbis said pricing pressure is cost not demand‑driven: construction costs and delivery risk are now a central constraint, with the results noting build costs remain elevated and volatile, and that energy, fuel and labour uncertainty weigh on feasibility.</p>

<p>David Cresp said a growing challenge for private Build‑to‑Sell developers is simply securing a builder in the current environment.</p>

<p>“Developers are really feeling the pressure from a building market that was operating at capacity and securing a builder is challenging,” David Cresp said, adding that even where a builder can be secured, “trying to get to the price that makes the development financially viable is incredibly challenging in the current market.”&nbsp;</p>

<p>Urbis’ broader WA commentary also notes that industry remains at or above capacity with lot and housing creation, and that many builders are limiting new sales to manage stretched workforces and fixed‑price contract pressures, conditions that flow directly into apartment feasibility and delivery timing.</p>

<p>[smartcode_project:default project_id=108869 project_image_fid=317905]</p>

<h2>Supply: improving later, but still constrained, and Perth lags eastern benchmarks</h2>

<p>While near‑term supply remains constrained, Urbis’ forecast shows completions lifting “Supply is forecast to be back above 1,500 apartments per annum for the first time since 2019”, with 1,775 completions forecast for 2026, and volumes remaining above that level over the following years.&nbsp;</p>

<p>Looking further ahead, completions are forecast to reach 2,500 in 2028, with the report noting 32% of that total is social/affordable, reflecting the role of government‑supported delivery in rebuilding the pipeline.&nbsp;</p>

<p>However, Urbis said Perth remains behind comparable markets on pipeline scale. In a national comparison of projects under construction, the report shows under construction Perth Build‑to‑Sell (BTS) at 3,446 apartments versus the Gold Coast at 7,922. Mr Cresp said “The challenge for Perth is how to we grow the delivery pipeline”.</p>

<p>Urbis’ conclusion is that Perth’s market is increasingly defined by product discipline and delivery certainty, with the research identifying “delivery certainty is key” and calling out builder risk and procurement models as core success factors, alongside “timing and staging”.&nbsp;</p>


Joel Robinson

Perth apartment sales hit strongest pace since late 2021 as builder capacity tightens

<p><a href="https://www.apartments.com.au/developers/sammut-developments">Sammut Group</a> has secured development approval for its latest Brisbane apartment project, marking the Sydney developer’s next step in expanding its Queensland pipeline following the success of its debut Gold Coast development, Coast.</p>

<p>The approved project at <a href="https://www.apartments.com.au/new-apartments/44-glen-road-toowong-qld-4066">44 Glen Road, </a><a href="https://www.apartments.com.au/developments/toowong-qld-4066">Toowong</a> will deliver a 15-storey riverfront apartment building with 42 residences, significantly increasing the scale of the site’s previous approval for a smaller luxury scheme. Designed by Bureau^proberts, the development will comprise a mix of predominantly four-bedroom and two-bedroom apartments positioned to maximise Brisbane River and city views.</p>

<p>Sammut Director Julian Sammut said the group had been actively searching Brisbane for several years before identifying Toowong as the right fit.</p>

<p>“Brisbane was the right step for Sammut,” Sammut said.</p>

<p>“With the success of Coast we thought we should definitely look to do more in Queensland alone. We then pushed up to look at Brisbane. We've been looking for I'd say two to three years actually and it was hard to find the right location.”</p>

<p><img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_75/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Screenshot%202025-12-23%20at%203.27.14%E2%80%AFPM.png?VersionId=dYAVIL7qdcGA8ojvkslSrLjczXFejSSx" /></p>

<p>Sammut said suburbs including New Farm and Teneriffe were considered before the group ultimately focused on Toowong due to its strong downsizer demographic and limited supply of developable riverfront land.</p>

<p>The site was acquired off-market after what Sammut described as a lengthy negotiation and planning process, with the developer pursuing an uplift to the original approval.</p>

<p>“We are DA approved now which is very exciting,” Sammut said.</p>

<p>“We've had our change approval come through and we've obviously doubled the height, 15 storeys plus rooftop. We've got 42 amazing apartments that are going to be coming to market soon.”</p>

<p><img alt="Sammut makes Brisbane apartment play" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-12-23%20at%203.27.26%E2%80%AFPM.png?VersionId=ohkRkY0dIZlqdfME2EZePsCQavRiBadE" /></p>

<p>Bureau^proberts said the design responds to Toowong’s evolving urban character, balancing contemporary apartment living with the area’s established residential identity.</p>

<p>“A place where traditional Queensland living has taken place for centuries; Toowong is seeing a shift of contemporary influence, commercial and retail hubs mixed with well-considered residential offerings – all the while maintaining its character and charm,” the architect noted in planning documents submitted to Brisbane City Council.</p>

<p>The architecture practice said the project’s form was shaped by its riverfront setting, flood considerations, neighbouring building scales, and view corridors.</p>

<p>“They said the mix of four and two-bedroom apartments capture the ‘fundamental qualities of Queenslander living,’ translated into the context of a contemporary subtropical building.”</p>

<p>The development sits just off Coronation Drive within walking distance of Toowong’s retail precinct and the upgraded Regatta ferry terminal, while also benefiting from proximity to the incoming green bridge connection to West End. Sammut said the accessibility and amenity offering were central to the site’s appeal.</p>

<p>The approval adds to growing residential activity along the Toowong riverfront, joining nearby projects including Consolidated Properties’ Monarch Residences and Spyre Group’s ARC Residences.</p>


Sammut secures approval for debut Brisbane apartment development in Toowong

<p>Developer Lanevick is heading back into Sydney’s apartment market after focusing more heavily on the luxury townhouse and terrace sector in recent years.</p>

<p>Lanevick, founded and directed by Steve Maroun, is expecting to receive approval in the coming months for a new apartment development in Gladesville, with the aim to launch it to the market later this year.</p>

<p>The 51-apartment project, designed by Studio Johnston, will comprise a mix of one-, two-, and three-bedroom apartments positioned toward the Hunters Hill downsizer market.</p>

<p>“Traditionally it’s been difficult for people in that market to downsize because there just hasn’t been the right product available,” Maroun said.</p>

<p>“We’re targeting buyers who might have 30 to 40 per cent of their house value sitting in the bank after downsizing.</p>

<p>“They still want good spacious entertaining areas, they still want quality design, but they also want flexibility and the ability to enjoy life a bit more after working hard for a long time.”</p>

<p>The project sits near Boronia Park and within close proximity to the Parramatta River foreshore, an area Maroun says offers more of a Hunters Hill lifestyle than a traditional apartment precinct.</p>

<p>“From a lifestyle perspective, it’s really more Hunters Hill than Gladesville,” Maroun said. “You’re close to the foreshore, close to parklands, and still connected back into the village precinct.”</p>

<p>From level four and above, apartments will capture water views&nbsp;toward Sydney Harbour. Communal amenity will include rooftop entertaining areas, wellness spaces, and a gym tailored toward owner-occupier buyers.</p>

<p>“We’ve really designed these apartments around that buyer coming from the Hunters Hill LGA and what they’re actually looking for in their next chapter.”</p>

<p>The proposed development has also been designed to respond to the changing character of the broader Gladesville town centre, where a growing number of mixed-use and residential proposals are expected to emerge over the coming years.</p>

<p>“Gladesville presented a rare opportunity to deliver a genuinely design-led residential project within an evolving lifestyle precinct, just moments from the growing Gladesville town centre, and we’ve approached the project with a strong focus on architecture, liveability and long-term community value,” Maroun said.</p>

<p>Maroun said Lanevick saw a first-mover advantage within the precinct as planning controls continue to evolve to accommodate greater housing density.</p>

<p>“We think there’s a real opportunity there that hasn’t really been serviced properly yet,” he said.</p>

<p>“There’s going to be a broader evolution of the whole Gladesville village precinct over time, particularly with more activation and mixed-use outcomes.”</p>

<p>The Venus Street proposal will include a commercial and retail component at ground level designed to contribute to that evolving streetscape activation.</p>

<p>“A big part of the thinking was how do you activate that area properly and create more vibrancy and amenity, which is what Hunters Hill has been looking for,” Maroun said.</p>

<p>Lanevick’s focus since 2020 has largely been on smaller-scale luxury townhouse and terrace developments. The developer recently completed Royale Randwick, also designed by Studio Johnston, where prices reached $3.65 million. The project was featured in the UDIA NSW 2026 Professional Development Prospectus and was also named a finalist for Development of the Year.</p>

<p>&nbsp;</p>


Lanevick to cater for Hunters Hill downsizers with new Gladesville apartment development

<p>Property developer One Living, backed by former Macquarie banker turned investment manager Chris Green’s investment firm, has unveiled plans to bring more institutional capital into housing to help address the national supply crisis.</p>

<p>The New York-based investor has focused his firm, GreenPoint Partners, on addressing the supply shortage hitting middle market housing in Australia.</p>

<p>It is backing the new One Living business to develop more than 1000 units along the eastern seaboard. The new firm is starting with a development on Mona Vale Road, on the border of Mona Vale and Pymble, in Sydney’s Northern Beaches, with around 140 apartments planned. They are eyeing off more sites across the city.</p>

<p>With cost pressures rising in the industry, One Living’s model is to be a vertically integrated developer-builder, so it can respond directly to the housing gap by removing the cost inefficiencies embedded in traditional residential delivery.</p>

<p>“We are building a platform designed to operate at scale and starting in a market where there’s a clear need for quality, attainable housing,” One Living joint managing director Joseph Scuderi said.</p>

<p>“It’s that missing middle – it’s that attainable end of housing… that’s what most Australians invest into and what Australians can actually afford.”</p>

<p><img alt="Mona Vale" data-entity-type="file" data-entity-uuid="798dfa93-4941-4db6-a696-31e9dc18e81c" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.31.50%E2%80%AFPM.png?VersionId=mKBqi5C_DmeiXS.AtJkcR8LQIxqCqmFi" /></p>

<p>GreenPoint Partners brings years of experience assembling and scaling real estate operating businesses across major markets. And Green sees a big opportunity in Australia.</p>

<p>“For its size, sophistication and importance to the community, Australia’s living sector has remained largely under-institutionalised, which represents significant opportunity,” Green said. “GreenPoint identified that gap, assembled the right team, and is backing One Living to build a platform that is aligned to market needs.”</p>

<p>Green said being a builder-developer would give the company the capacity and flexibility it required to deliver reasonably-priced homes.</p>

<p>“We want it to be at that attainable level; not super high end luxury but at that attainable level,” he said.</p>

<p><img alt="Mona Vale" data-entity-type="file" data-entity-uuid="74a5344a-4b26-4d4a-ada3-056b1220be77" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-28%20at%202.32.15%E2%80%AFPM.png?VersionId=vY8hXHO4reBMdO8ZXMWCNtGZJofUPQ3j" /></p>

<p>&nbsp;</p>

<p>One Living will undertake a component of affordable housing in its schemes, which it will own and operate, and it could also run build-to-rent on some sites.</p>

<p>Green praised local policy settings.</p>

<p>“The NSW government is being very supportive, strategic and pragmatic in terms of how do we generate more supply of housing,” he said. “We think it’s actually positive for development and the bit that’s been lacking at that attainable level is that it’s lots of relatively small private developers, whereas we want to create an institutional platform.”</p>

<p>One Living is also&nbsp;looking at high-density projects and could take on more institutional funding in the future.</p>

<p>“The way we will be able to achieve economies of scale is through size,” Green added.</p>


One Living enters Sydney's new apartment market with Northern Beaches site acquisition

<p>It's been several years since there's been an opportunity to buy a brand new townhome in Melbourne's coastal suburb of Mordialloc. Even apartment developments in recent times have been few and far between in the area.</p>

<p>Local developer LDS Property identified the gap in new housing, securing a site on White Street, directly opposite&nbsp;Woodlands Golf Club Mordialloc. They've recently launched&nbsp;<a href="https://www.apartments.com.au/new-townhouses/wm-residences-mordialloc-102-white-street-mordialloc-vic-3195">WM Residences</a>, just 13 townhouses which they have already started building.</p>

<p>Projects by Buxton Director Heath Thompson, who is selling WM Residences, says the townhouses x that perfect middle ground be</p>

<p data-end="683" data-start="511">"Mordialloc residents have had limited options to downsize within the suburb, often forcing them to look elsewhere despite long-standing ties to the area," Thompson says.</p>

<p data-end="882" data-start="690">"With very little comparable new supply coming to market, projects like WM Residences are well placed, particularly as buyers look to capitalise on current conditions amid constrained supply."</p>

<p data-end="882" data-start="690">[smartcode_project:default project_id=134646 project_image_fid=6109]</p>

<p>The development, designed by regarded architecture firm&nbsp;<a href="https://www.apartments.com.au/architects/ewert-leaf">Ewert Leaf</a>,&nbsp;adopts a deliberately restrained architectural approach, focusing on simplicity, durability and liveability rather than overt design gestures.</p>

<p>The boutique scale is central to the offering. With only 13 three-bedroom residences, each home is configured to prioritise functional layouts and everyday use, supported by private terraces and secure two-car garages.</p>

<p>Ewert Leaf’s design response leans into a calm, neutral material palette. Interiors are defined by oak flooring, white walls and soft finishes, creating a consistent and understated backdrop. The approach avoids trend-driven detailing in favour of longevity, with an emphasis on natural light and spatial clarity.</p>

<p>[smartcode_project:default project_id=134646 project_image_fid=6110]</p>

<p>Beyond aesthetics, the homes are designed to meet contemporary performance expectations. Each residence targets a minimum 6-star energy rating, incorporating double glazing, comprehensive insulation and all-electric Bosch appliances.</p>

<p>The project’s location supports a walkable coastal lifestyle, sitting within close proximity to Mordialloc’s foreshore, Main Street retail strip and the train station. Local cafés and dining venues, including Suburbia Deli and Hendriks Café, are within a short walk, reinforcing the area’s established neighbourhood character.</p>

<p>[smartcode_project:default project_id=134646 project_image_fid=6116]</p>

<p data-end="247" data-is-last-node="" data-is-only-node="" data-start="0">While <a href="https://www.apartments.com.au/developments/mordialloc-vic-3195">Mordialloc</a> is often defined by its beach and pier, the project taps into other areas of day to day living, offering easy access to local food, casual dining and transport, rather than positioning itself purely as a lifestyle retreat.</p>

<p>WM Residences reflects a continued trend across Melbourne’s coastal suburbs towards smaller-scale, design-led townhouse developments, particularly on infill sites where proximity to amenity is already established.</p>

<p>With construction commenced prior to its market entry, the project aligns with a growing preference among buyers for developments with visible progress and defined delivery timeframes.</p>

<p>[smartcode_project_cta:default project_id=134646]</p>


WM Residences fills gap in Mordialloc townhouse market

Property News

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<p><span>Buyers agent Frank Valentic, of Advantage Property Consulting, watched the two-bedroom apartment at 4/1A Lansdowne Rd, St Kilda East fetch $661,000 at recent auction.</span></p>
<p><span>It last sold at $490,000 in 2009.</span></p>
<p><span>He said an apartment in an almost identical position in the block sold last year for about $500,000.</span></p>
<p><span><a href="https://bigginscott.com.au/1867261/" target="_blank">There was a $548,000 sale</a></span><span> in December 2013, records show.</span></p>
<p><span><a href="https://www.realestateview.com.au/Real-Estate/4-1a-lansdowne-road-st-kilda-east/Property-Details-sold-residential-9328024" target="_blank">The latest two bedroom sale</a></span><span> was one of only six.</span></p>
<p><span>It came with secure car parking. </span></p>
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jchancellor-FAypfDUnLy

St Kilda East price spurt 

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<p><span>Buyers are jockeying for prime real estate in Hendra, as old horse stables are replaced with million dollar homes - with boutique builder, Bold Group of Companies, constructing nine new homes within a five street radius in the suburb.</span></p>
<p><span>Bold Group director Brett Boulton said he was also finalising contracts to start work on a further six homes as demand for Hendra surged.</span></p>
<p><span>Mr Boulton said the suburb had become a hot spot for buyers subdividing and knocking down old properties to build prestige homes that benefited from a position just eight kilometres from the CBD.</span></p>
<p><span>He said new development in the pipeline, including the redevelopment of the Eagle Farm and Doomben racing precincts, was also luring buyers.</span></p>
<p><span>"Homes are often selling before they even go to the market and it can be so hard to get in that you almost have to know the real estate agent to secure a property."</span></p>
<p><span>Figures sourced from RPData show the median price of homes in Hendra was more than $830,000 and the suburb had experienced growth of 11% over the past 12 months, compared to the Queensland average of 3.74%.</span></p>
<p><span>Bold Group of Companies was established in 2010 and is set to build 200 homes across Brisbane, the Sunshine Coast and Ipswich this year alone.</span></p>
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j.ballantyne1990-6AQqhLzZaK

New homes off and racing in Hendra‏

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<p><span>The intended matrimonial home of celebrity trainer Michelle Bridges and her former husband Bill Moore has been sold.</span></p>
<p><span>It achieved its desired $4.5 million plus ambitions ahead of last weekend's <a href="https://www.ch.com.au/100P10126" target="_blank"><span>scheduled Cobden &amp; Hayson auction</span></a>.</span></p>
<p><span>With its two year makeover, the then couple had bought the sandstone home at 10 Wharf Road in Birchgrove for $2.35 million in 2011.</span></p>
<p><span>It renovations were said to have cost as much again.</span></p>
<p><span>The builders only recently completed the renovation of the three bedroom 1870s home which has been sold to an inner west buyer, though not from the Balmain peninsula.</span></p>
<p><span>The Biggest Loser fitness trainers Michelle Bridges and Steve "Commando" Willis are set to stay in their Potts Point apartment following the upcoming birth of their first child.</span></p>
<p><span>It was early 2013 when the then Biggest Loser star and her husband, Bill Moore split after nine years of marriage, while keeping their multimillion-dollar fitness empire intact, with Bill retaining his role as business manager.</span></p>
<p><span>The couple had met at Moore's Balmain gym and then renovated their Rozelle house, where Moore continues to reside.</span></p>
<p><span>Birchgrove's highest non-waterfront was a $4.1 million sale in 2013 on Rose Street.</span></p>
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Michelle Bridges sells Balmain reno 

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<p>A Glen Forrest home in Western Australia has been listed for sale with $1.7 million hopes through Trevor Clark at Earnshaws RE.</p>
<p>The <a href="https://www.realestateview.com.au/Real-Estate/117-121-hardey-road-glen-forrest/Property-Details-buy-residential-9079616" target="_blank">117-121 Hardey Road</a>, an early 1900's private estate, was built by local stonemason Job Bailey.</p>
<p>The property sits on 1.24 hectares and features high ceilings, ornate cornices, original wide jarrah floorboards and French doors only 40 minutes drive east of Perth's CBD and is close to the Heritage Walk Trail</p>
<p>In 1995 a large two storey architecturally designed brick and tile addition was completed.</p>
<p>The median price for a home in <a href="/news">Glen Forrest is $585,000</a>, according to CoreLogic RP Data.</p>
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Glen Forrest stone home hits the market

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<p>A former Marara estate home in Avalon Beach has been listed for sale.</p>
<p>The <a href="https://www.realestateview.com.au/Real-Estate/102-and-104-cabarita-road-avalon-beach/Property-Details-buy-residential-9332704" target="_blank">104 Cabarita Road</a> property has been listed with $3.95 million hopes through David Watson and Claudio Marcolongo at LJ Hooker Avalon.</p>
<p>The boat-house Careel Chalet was the sole building on the 13,000 sqm Marara estate until 1930's.</p>
<p>Today the chalet is a self-contained guest-house to the 1970's timber home on a 1,073 sqm fragment of original property.</p>
<p>With a northerly aspect, the property overlooks Pittwater and is located five minutes from Palm Beach and 60 minutes from the CBD.</p>
<p> The median price for a house in <a href="/news">Avalon Beach</a> is $1,300,000, according to CoreLogic RP Data.</p>
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Avalon Beach waterfront lists with $3.95 million hopes

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<p><span style="line-height: 1.3em;">GUEST OBSERVER</span></p>
<p><span style="line-height: 1.3em;">Affordability issues in Sydney and Melbourne are creating stresses for homeowners considering an upgrade to a larger family home.</span></p>
<p>The national debate seems to be all about first home buyers, and with good reason given climbing real estate values coupled with ongoing housing shortages. </p>
<p>The trouble is that upgrading to a bigger home is not a simple or straightforward transaction either, especially with more empty-nesters in Sydney’s northern and eastern suburbs and Melbourne’s southern and eastern suburbs sitting on larger family homes.</p>
<p>Empty-nesters are hindering the second home buyer markets in our major capital cities because the costs for them to downsize either to a smaller property or a different location are too prohibitive thanks to excessive stamp duty charges imposed by state governments.</p>
<p>Stamp duty eats into the retirement nest-eggs of many older Australians, especially those who have very little in the way of superannuation savings, because the majority of their working careers was completed prior to the introduction of compulsory superannuation in the early 1990s.</p>
<p>It also means that many older Australians are unable to benefit from uncapped, tax-free superannuation payments, which younger baby boomers are now enjoying as they head into retirement.</p>
<p>To rectify this financial imbalance for older, self-funded retirees, Mr Raine is urging state governments to consider stamp duty tax breaks for homeowners aged over 70, who would like to  sell a principal place of residence.</p>
<p>In turn, stamp duty-free real estate transactions for older Australians will help address some of the current supply constraints that are cramping the real estate plans of second time property buyers in our capital cities.</p>
<p> </p>
<p><em><span style="line-height: 1.3em;">Angus Raine is executive chairman, <a href="https://www.raineandhorne.com.au" target="_blank">Raine &amp; Horne</a>.</span></em></p>
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Stamp duty breaks will help solve second home buyer dilemma: Angus Raine

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<p>Colliers International has sold a flexible office and warehouse site in Malaga to a local investor for $2.7 million, representing a 6.7% yield.</p>
<p>The property, at 329 Victoria Road, is on a 3,547sqm parcel of land, including 1,771sqm warehouse, offices and showroom space.</p>
<p>Located 11km north-east of Perth, the property attracted strong bidding from investors, which resulted in the low yield.</p>
<p>Colliers International director industrial agency Raj Singh said the competitive bidding demonstrated the ongoing demand among small to mid-sized investors for well-located, securely leased industrial sites.</p>
<p>“We had over 30 enquiries on this property and five serious bidders competing for the site,” Mr Singh said.</p>
<p>“It shows the high interest that is out there for leased properties, especially those in modern warehouse style where there is a potential for flexible or multiple uses such as manufacturing and logistics.”</p>
<p>The property has a five-year lease to a manufacturing company that makes motorised blinds with a five-year option, but could equally be used as a logistics depot given the configuration of buildings and access to Victoria Road.</p>
<p>Mr Singh said logistics sales were proving to be star performers in the industrial space, and having a flexible site allowed for purchasers to future-proof their investment.</p>
<p>“Transport and logistics has emerged as the area making big demands on Perth’s industrial space, underpinned by the need to ship retail goods to shopfronts or direct to consumers,” he said.</p>
<p>The property was jointly sold by Mr Singh and Colliers International industrial executive Jeremy Parasiliti.</p>
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Malaga manufacturing asset attracts strong bidding

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<p><span>The Westpac branch at Wahroonga on Sydney's north shore has been sold through Burgess Rawson on a tight yield of 5%.</span></p>
<p><span>Securely leased to Westpac until 2018 with options to 2028, it fetched $3.85 million.</span></p>
<p><span>It was a 271 sqm part two storey freehold building with on-site parking.</span></p>
<p><span>The Burgess Rawson marketing agent Simon Staddon said it came with "attractive annual 5% rent increases."</span></p>
<p><span>"The bank pays 100% of outgoings as per lease."</span></p>
<p><span>It's net income was given as $196,983 pa + GST.</span></p>
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Wahroonga Westpac sells at Burgess Rawson auction

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<div>The wealth effect from a multi-year Sydney property market boom has sent trend retail turnover, new motor vehicle sales, building activity and total employment in the Premier State surging to new highs in recent months. </div>
<div> </div>
<div>It's not hard to see why.<br><br>Over the three years to June 2015 the value of residential dwelling stock in the state has flamed up by nearly three quarters of a trillion dollars - massively boosting net household wealth in the process - and in turn leading to increased employment in the residential construction sector together with its associated multiplier effect.<br><br>The latest data from the ABS showed that the total value of residential dwelling stock in New South Wales has exploded by +$737 billion to nearly $2.3 trillion over the three years since March 2012.<br><br>However, increases in the value of dwelling stock have been by no means uniform across Australia as you can see in the first chart below.</div>
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<div><a href="/images/2015/09/23/A1.jpg" target="_blank">Click to enlarge</a></div>
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<div><img src="/images/2015/09/23/A1.jpg" alt=""></div>
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<div><span>Indeed, while Victoria (+$327 billion) and Queensland (+$123 billion) have recorded some solid gains over the last three years - which have contributed to the combined value of Australia's dwelling stock surpassing $5.75 trillion - the total value of stock has been declining in Western Australia and the Northern Territory for the past year.</span></div>
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<div><a href="/images/2015/09/23/A2.jpg" target="_blank"><span>Click to enlarge</span></a></div>
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<div><span><img src="/images/2015/09/23/A2.jpg" alt=""></span></div>
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<div>Over the June 2015 quarter New South Wales (+$193 billion) and Victoria (+$65 billion) accounted for 95 per cent of the +$272 billion uplift in the total value of Australia's residential dwelling stock.<br><br>Note that although the ABS data series is not the most timely indicator, with the benefit of additional time to collate results it is likely to be the most accurate.</div>
<br><strong><span style="text-decoration: underline;">Residential indexes</span></strong><br><br><div>The latest figures released today by the ABS to Q2 2015 recorded an extraordinary boom in Sydney dwelling prices with prices exploding +8.9 per cent higher in the June quarter to be +18.9 per cent higher over the year.<br><br>Sydney has not seen quarterly gains of this magnitude for nearly three decades in percentage terms.</div>
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<br>Solid gains for the quarter were also recorded in Melbourne (+4.2 per cent), Brisbane (+0.9 per cent) and Canberra (+0.8 per cent).</div>
<div>
<br>Elsewhere index moves for the quarter were subdued, or negative in the cases of Perth (-0.9 per cent) and Darwin (-0.8 per cent).</div>
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<div><a href="/images/2015/09/23/B1.jpg" target="_blank">Click to enlarge</a></div>
<div> </div>
<div><img src="/images/2015/09/23/B1.jpg" alt=""></div>
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<span>Since Q4 2008 Sydney's accelerating dwelling prices have blown up the index to be +77.3 per cent higher, with Melbourne a distant second at +46.8 per cent.</span><br><br><span>At the bottom end of the scale come the southern state capitals of Hobart (+12.6 per cent) and Adelaide (+15.9 per cent). </span>
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<div><a href="/images/2015/09/23/A5.jpg" target="_blank"><span>Click to enlarge</span></a></div>
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<div><span><img src="/images/2015/09/23/A5.jpg" alt=""></span></div>
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<div><span>The mean price of a residential dwelling as at June 2015 increased to $604,700 in Australia having jumped by some $26,200 in the quarter, with those gains having been overwhelmingly driven by Sydney (+$63,400 to $777,400) and Melbourne (+$24,300 to $605,000).</span></div>
<div><span> </span></div>
<div><a href="/images/2015/09/23/A4.jpg" target="_blank"><span>Click to enlarge</span></a></div>
<div><span><img src="/images/2015/09/23/A4.jpg" alt=""></span></div>
<div> </div>
<div> </div>
<div>
<strong><span style="text-decoration: underline;">Established houses outperform</span></strong><br><div class="separator"> </div>
<div class="separator">ABS data now exists back to September 2003 which allows us to compare the relative performance of established houses versus attached dwellings.</div>
<div class="separator"> </div>
<div class="separator">As you can see below, on average established houses (+89 per cent since Q3 2003) have outperformed attached dwellings (+73 per cent) over the past dozen years. </div>
<div class="separator"> </div>
<div class="separator">These figures equate to compounding annual price growth of +5.4 per cent for established houses and +4.6 per cent for attached dwellings since Q3 2003.</div>
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<div class="separator"><a href="/images/2015/09/23/A7.jpg" target="_blank">Click to enlarge</a></div>
<div class="separator"> </div>
<div class="separator"><img src="/images/2015/09/23/A7.jpg" alt=""></div>
<div class="separator"> </div>
<div class="separator">
<div>Of course, averages mask any number of sub-trends, and it is also true that initial rental yields on townhouses, units and apartments can often be at least 1 per cent higher than those achievable from established houses in equivalent locations.<br><br>It may also be the case that going forward attached dwellings might perform comparatively well in the denser capital cities where the affordability of established housing is becoming increasingly prohibitive.</div>
<div> </div>
<div>Nevertheless, the above chart does hint towards land value and scarcity value as being two of the key underlying drivers of dwelling price growth.</div>
<br><strong><span style="text-decoration: underline;">Supply response</span></strong><br><br><div>The preliminary figures for Q2 2015 recorded an estimated 9,528,300 dwellings in Australia, a reasonably solid increase of +38,400 dwellings for the June quarter and +161,500 for the past year.</div>
<div> </div>
<div>Unfortunately the ABS could provide no preliminary estimate for the number of New South Wales dwellings this quarter.</div>
<div> </div>
<div>Using projections of historic data it seems likely that assuming the data is accurate the total stock of dwellings in the Premier State has increa<span>sed by close to <span>~</span>120,000 units since September 2011, with the population of the state having increased by a<span>n estimated <span>~</span>375,000 over the same time horizon. </span></span>
</div>
<div> </div>
<div>In other words, despite an uplift in both home starts and dwelling completions since FY2012, New South Wales evidently has some way to go before the market becomes saturated with new builds.</div>
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<div><a href="/images/2015/09/23/A3.jpg" target="_blank">Click to enlarge</a></div>
<div><img src="/images/2015/09/23/A3.jpg" alt=""></div>
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<div>
<div>It was announced this week that the New South Wales Government will release some 7,700 hectares of land for the construction of up to 35.000 new homes to the south of Campbelltown.</div>
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<div>It is dubious, however, just how much impact newly constructed dwellings located 70 kilometres from the centre of Sydney will have on established dwellings in the inner suburban market given the poor level of substitutability with fringe housing. </div>
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<p><span><em>PETE WARGENT is the co-founder of <a href="https://allenwargent.com/" target="_blank" rel="nofollow">AllenWargent</a> property buyers (London, Sydney) and a best-selling author and <a href="https://petewargent.blogspot.com/" target="_blank" rel="nofollow">blogger</a>.</em><br></span></p>
<p><em>His latest book is <a href="https://www.bigskypublishing.com.au/Books/General-Interest/Four-Green-Houses--and-a-Red-Hotel/1015/productview.aspx" target="_blank" rel="nofollow">Four Green Houses and a Red Hotel</a>.</em></p>
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pwargent-M4siyDbqQY

NSW dwelling stock value explodes: Pete Wargent

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<p>In spite of Sydney’s recent boom, property markets in the central western New South Wales region of Orana have performed better than its big brothers in metropolitan Sydney.</p>
<p>Propertyology recently completed a 3-month study to compare the historical property market performance of each of Australia’s 550 local government authorities between 2000 and 2014. Given that some property markets have higher rates of growth and others have higher rental yields, Propertyology calculated the ‘total return’ (average annual growth rate plus rental yield) and we then ranked the LGA’s from 1 to 550 based on this performance.</p>
<p>Four of the LGA’s from the Orana region featured in Australia’s Top 40% for property market performance over the last fifteen years. None of the forty-three LGA’s from Greater-Sydney claimed such status.</p>
<p>Cobar was the region’s best performed property market, ranked a very impressive 15<sup>th</sup> out of 550 LGA’s in Australia. The median house value of $227,500 as at December 2014 has increased by an average of 10% per annum from $45,000 at the state of 2000. Average rental yields as at December 2014 were 6.8%. </p>
<p>Cobar’s economy is heavily influenced by mining, specifically the diverse range of metals such as gold, copper, zinc, silver and lead. The average age of 35 is below the 37 national average. It’s a worker’s town and the $1,259 per week average household income is better than the $1,234 national average, and housing is significantly more affordable than big cities.</p>
<p>The LGA of Wellington produced an equally impressive result, ranking 30<sup>th</sup> overall. Narromine (154<sup>th</sup>) and Dubbo (217<sup>th</sup>) also featured in the best 40% of Australian property markets over the fifteen year period 2000 to 2014. </p>
<p>The Orana region covers more than one quarter of NSW’s total land mass. Fertile soils, plentiful water supply, and natural resources are in the region’s economic DNA of agriculture, mining, and tourism.</p>
<p>With quality infrastructure including tertiary education campuses, high class health facilities, and a large retail sector, Dubbo is the primary service centre for the 120,000 population region. For the price of a typical house in Greater-Sydney one could today buy three houses in Dubbo where the median house price grew from $115,000 to $312,130 over the last fifteen years and the average rental yield was 5.7%.</p>
<p>Dubbo also won the battle of regional rivalry with Orange, which ranked 351<sup>st</sup> (amongst Australia’s middle 20%). </p>
<p>Greater-Sydney’s best performing LGA over the last fifteen years was Blacktown, ranked 276<sup>th</sup>.</p>
<p><a href="/images/2015/09/22/Dubbo1-2.jpg" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2015/09/22/Dubbo1-2.jpg" alt=""></p>
<p><em>Simon Pressley is Managing Director of <a href="https://www.propertyology.com.au/" target="_blank">Propertyology</a>, REIA Hall of Fame Inductee, property market analyst, accredited property investment adviser, and Buyer’s Agent.</em></p>
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