Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

Joel Robinson

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

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The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
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[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Local Little Bay residents, along with buyers from premium postcodes across Sydney’s affluent Eastern Suburbs, have dominated purchases in developer-builder Urban Property Group’s first Eastern Suburbs apartment development, <a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a>.

The $250 million coastal project, one of the first new developments in the area in several years, has proven particularly popular with downsizers, especially those from Coogee and Bondi. One Double Bay downsizer paid $4.7 million for a four-bedroom penthouse, setting a new local apartment price record in the process.

Buyers have been attracted to the combination of coastal tranquillity, premium design and amenity-rich neighbourhood living. The walkable village setting, along with proximity to three of Sydney’s leading golf courses, New South Wales Golf Club, St Michael’s Golf Club and The Coast Golf Club, has also been a key drawcard.

[smartcode_project:default project_id=112343 project_image_fid=352689]

Built across two low-rise buildings designed by <a href="https://www.apartments.com.au/architects/hill-thalis-architecture-urban-projects-pty-ltd">Hill Thalis</a> and set along a lush, landscaped green spine, designed by leading landscape architect <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>, ESTE Little Bay offers a collection of one, two, three and four-bedroom residences with interiors by Richards Stanisich.

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> Sales Director, Tom McIvor said the response to ESTE has been "nothing short of extraordinary."

“Buyers have been quick to recognise ESTE as a rare opportunity to invest in a coastal sanctuary that offers both seclusion and connectivity to the heart of Sydney,” McIvor said.

[smartcode_project:default project_id=112343 project_image_fid=352687]

<a href="https://www.apartments.com.au/project-marketer/srm-residential">SRM Residential</a> Senior Director, <a href="https://www.apartments.com.au/project-marketer/srm-residential">Clayton Ross</a> said the local market has responded incredibly well, driven by ESTE’s exceptional location and the rarity it offers.

“We’ve seen strong interest from a variety of buyer groups, all of whom are drawn to the exclusivity and quality of the build and construction by the 4.5-star iCIRT-rated builder / developer, Urban Property Group. There’s truly nothing else like it along Sydney’s coastline.”

[smartcode_project:default project_id=112343 project_image_fid=352690]

The project also includes robust buyer protections, including Resilience Insurance’s Latent Defects Insurance, providing 10 years of structural cover, and an independent iCIRT-rating of the developer.

“The iCIRT-rating adds another layer of confidence,” Ross added. “Buyers see it as a safeguard for their investment and their lifestyle.” A highlight of ESTE’s offering is its exclusive wellness amenities, including a heated rooftop infinity pool and outdoor heated spa, a state-of-the-art Technogym fitness centre, and a sauna.

<a href="https://www.apartments.com.au/new-apartments/este-little-bay-jennifer-street-little-bay-nsw-2036">ESTE Little Bay</a> is topped out and is on track to complete towards the end of 2026, with residents moving in before Christmas.

[smartcode_project_cta:default project_id=112343]

Eastern Suburbs buyers snap up ESTE Little Bay apartments

Residential Market

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A seven storey tower house in a former lunatic asylum is on the market in the Willsmere Building in Melbourne's Kew.
Formerly the <a href="https://www.domain.com.au/106-wiltshire-drive-kew-vic-3101-2012434183?topspot=1" target="_blank">Kew Asylum</a>, Marshall White &amp; Co listing agents Andrew Gibbons and Hamish Tostevin skip mentioning the buildings former psychiatric hospital status until 1988.
Constructed between 1864 and 1872, the building was designed by architects G.W. Vivian and Frederick Kawerau of the Victorian Public Works Office to home the growing number of psychiatric patients in the Colony of Victoria.
Surrounded by botanical gardens and parklands, the recently refurbished property has retained the original period attributes, arched interiors and windows and a rare Mansard roof line with internal timber beams.
The tower town residence incorporates multi-level living, with five bedrooms, two bathrooms and numerous livings spaces and retreats spread over the many floors.
One level has the potential to be utilised as a self-contained flat with a separate kitchen.
Living in Willsmere house gives you access to the buildings pool, gym, tennis court and bbq area facilities.
The residence is tucked away near the highly regarded Studley Park precinct only minutes from Kew Junction shops, cafes, restaurants and public transport.
The average time on market in Kew is 84 days, with 106 Wiltshere Drive having already been freshly on the market for 18 days. 
There is currently no listing price from the agents.
 
 
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Seven storey Willsmere, Kew residential tower offering

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Raine &amp; Horne has appointed Bill Russell as its General Manager International.
Mr Russell is responsible for building Raine &amp; Horne’s global networks, property development and project marketing opportunities in Asia/Pacific, the Middle East and the Indian subcontinent.
Mr Russell’s resume includes a three-year stint as international sales manager and head of major accounts Australia at REA Group and time spent at English-speaking real estate portal, Juwai. 
He will continue with Juwai as its head of international development in conjunction with his new role with Raine &amp; Horne.
 
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Raine & Horne’s international expansion gets serious with new appointment

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<div>Temperature Design director Vicki Corbett and businessman husband Peter Carroll have snappily sold their Gary Hunt-designed Port Douglas holiday home, One Batujimba for $2.8 million.</div>
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<div>They bought One Batujimba in 2003 for $350,000 and used the property as a holiday home given Vicki's design company based in Melbourne.</div>
<div> </div>
<div>Peter previously worked for Coca Cola in Atalanta, Japan and Hong Kong and more recently for global healthcare company Ansell in Melbourne before leaving his post in 2013.</div>
<div> </div>
<div>The retreat style home was designed by Port Douglas architects Gary Hunt &amp; Associates with the compound created in the vernacular of Geoffrey Bawa by leading golf course designer Michael Woveridge.</div>
<div> </div>
<div>The contemporary three bedroom quarter residence, positioned atop a fish filled waterlily lake comes with a 2.1 metre Japanese inspired water feature, a water dining deck, jetty and magnesium plunge pool sundeck.</div>
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</div>
<div>Only shared with two other residences, the Batujimba compound features a 17 metre heated wet edge pool and a dining pavilion which hosts up to 14 people.</div>
<div> </div>
<div>The property is located just a short walk to Four-Mile Beach and Palmer Palmer Sea Reef Golf Course with the town centre just a seven minute drive.</div>
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<div>The property was listed through Barbara Wolveridge of Raine and Horne Port Douglas, with marketing by Lynn Malone, selling after the first inspection with an Adelaide couple buying the property fully furnished.</div>
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<div>Vicki and Peter recently purchased Trentham Falls Farm in Victoria, a 14 hectare working farm with an 1870 cottage they are restoring.</div>
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jrobinson-rf4aSBido9

Port Douglas sale with Geoffrey Bawa influenced tropical compound

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The fall in prices in Australia's housing market continued to impact yields too, with Sydney overtaking Melbourne for the lowest yield profile across the capital city unit markets, according to the CoreLogic RP Data November Home Value Index. 
The 1.5% decline in capital city dwelling prices in November, coupled with a 0.% rise in weekly rents, has overall improved the average gross yield over the month. This follows a trend towards lower rental yields which started in May 2013.
Gross yields remain close to record lows for houses in Melbourne at an average of 3%, while Sydney recorded an average gross rental yield of 4.1% for apartments.
Yields have shown a consistent downwards trend towards lower returns for new investors.
The average gross rental yield for capital city houses was down to a record low of 3.4% in October, while for a capital city unit it was 4.3%for the same month. 
 
<a href="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%201.08.51%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%201.08.51%20PM.png" alt="">
Housing market conditions for Sydney and Melbourne started slowing earlier in the year and the trend continued throughout November, said CoreLogic RP Data head of research Tim Lawless. While Melbourne saw the sharpest drop, Sydney values were down 1.4 per cent. Hobart dwelling values dropped by 2.4 per cent, Darwin values were down 1.3 percent and they moved 0.5 percent lower in Canberra.
Overall, the combined capitals housing index has seen dwelling values drop by 1.5 percent over November, taking the rolling quarterly rate of change to -0.5 per cent
Values rose in the remaining three capital cities, with Adelaide showing the highest month-on-month growth rate (0.7 per cent), followed by Brisbane (0.6 per cent) and Perth (0.3 per cent).
“The latest results are now placing downwards pressure on the annual change in dwelling values. The annual rate of growth across the combined capitals index peaked at 11.5 per cent back in April 2014, and has since reduced to 8.7 per cent,” Lawless said.
Sydney maintained the highest annual growth rate at 12.8 per cent, which is down from a peak rate of annual growth of 18.4 per cent in July earlier this year, while Melbourne’s annual growth rate has reduced from a recent peak of 14.2 per cent to 11.8 per cent over the 12 months ending November this year.
The only capital cities where values have declined over the past year are Darwin (-4.2 per cent) and Perth (-4.1 per cent), where weaker economic conditions and a slowdown in population growth contributed to an early peak in housing market conditions in December last year.
The equivalent peak in the cycle for Darwin was May 2014. Since that time, Perth values are down a cumulative 5.9 per cent and Darwin values have fallen by a larger 6.8 per cent.
“The fact that mortgage rates have risen independently of the cash rate has, in all likelihood, become a contributor to the slowdown in housing market conditions, as well as tighter lending practices evidenced by a recent reduction in lender risk appetite for investment loans and high loan to valuation ratio mortgages," Lawless said.
"Tighter mortgage servicing criteria across the board and affordability constraints in the Sydney and Melbourne markets are also having an impact on market demand.” 
As a consequence of the tighter lending environment for investors, as well as gross rental yields being at near record lows, participation in the housing market from investors has reduced from 54.1 per cent of all new mortgages in May 2015 to 45.4 per cent at the end of September, which is the lowest level since July 2013.
Data released by APRA at the end of last month showed the pace of investment related housing credit growth fell below the APRA 10 per cent speed limit for the first time since September last year, with the monthly change in investment credit growth the lowest since October 2011.
According to November’s results, the slowdown comes after auction clearance rates have moderated back to the low 60 per cent range since the last week of October, whilst average selling time and vendor discounting rates also continue to rise from their record lows.
“Slower housing market conditions will likely be a topic of conversation when the Reserve Bank board meets today to deliberate on the cash rate setting. A less buoyant housing market is likely to provide the Reserve Bank with a greater degree of flexibility in adjusting interest rates without as much risk of overstimulating the housing market,” Lawless said.
“While the Reserve Bank is likely to welcome a slowdown in the rate of home value appreciation, the overriding objective would be to avoid a significant downturn in the housing market, which would act as a weight on economic growth and potentially impact financial system stability.”
“With the housing market moving through the peak of the cycle at a time when there is a large number of new dwellings commencing construction, there is likely to be a heightened level of settlement risk for off the plan purchases.”
“Those purchasers who have recently purchased off-the-plan may face challenges at the time of settlement if the valuation of the property is lower than the contracted price, or if mortgage finance is less freely available, or on more expensive terms. This would imply that some buyers may have a higher loan to valuation ratio than anticipated, which could require additional funds to bring the LVR down to a level the lender is comfortable with.”
“As a result of slowing housing market conditions, an additional risk for policymakers is a where a large number of dwellings approved for construction are postponed or withdrawn as developers face fewer pre-sales or lose confidence in their ability to deliver a profitable project to market,” he said.
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j.ballantyne1990-6AQqhLzZaK

Sydney rental yields for units lowest among capitals: CoreLogic RP data

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Dwelling values fell across five of the eight capital cities in Australia in November, with Melbourne surprising with a 3.5% drop, according to the CoreLogic RP Data November Home Value Index. 
Housing market conditions for Sydney and Melbourne started slowing earlier in the year and the trend continued throughout November, said CoreLogic RP Data head of research Tim Lawless who said he was surprised by some of the monthly results.
<a href="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%2012.04.53%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%2012.04.53%20PM.png" alt="">
<div>“I wasn’t expecting a drop as significant of what we saw in Melbourne, down 3.5%,’’ he said.</div>
While Melbourne saw the sharpest drop, Sydney values were down 1.4%. Hobart dwelling values dropped by 2.4%, Darwin values were down 1.3% and they moved 0.5% lower in Canberra.
Overall, the combined capitals housing index has seen dwelling values drop by 1.5% over November, taking the rolling quarterly rate of change to -0.5%.
Values rose in the remaining three capital cities, with Adelaide showing the highest month-on-month growth rate (0.7%), followed by Brisbane (0.6%) and Perth (0.3%).
“The latest results are now placing downwards pressure on the annual change in dwelling values. The annual rate of growth across the combined capitals index peaked at 11.5% back in April 2014, and has since reduced to 8.7%,” Lawless said.
Sydney maintained the highest annual growth rate at 12.8%, which is down from a peak rate of annual growth of 18.4%in July earlier this year, while Melbourne’s annual growth rate has reduced from a recent peak of 14.2% to 11.8% over the 12 months ending November this year.
The only capital cities where values have declined over the past year are Darwin (-4.2%) and Perth (-4.1%), where weaker economic conditions and a slowdown in population growth contributed to an early peak in housing market conditions in December last year.
The equivalent peak in the cycle for Darwin was May 2014. Since that time, Perth values are down a cumulative 5.9% and Darwin values have fallen by a larger 6.8%.
“The fact that mortgage rates have risen independently of the cash rate has, in all likelihood, become a contributor to the slowdown in housing market conditions, as well as tighter lending practices evidenced by a recent reduction in lender risk appetite for investment loans and high loan to valuation ratio mortgages," Lawless said.
"Tighter mortgage servicing criteria across the board and affordability constraints in the Sydney and Melbourne markets are also having an impact on market demand.” 
As a consequence of the tighter lending environment for investors, as well as gross rental yields being at near record lows, participation in the housing market from investors has reduced from 54.1% of all new mortgages in May 2015 to 45.4% at the end of September, which is the lowest level since July 2013.
Click to enlarge
<img src="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%2012.06.33%20PM.png" alt="" width="718" height="683">
Data released by APRA at the end of last month showed the pace of investment related housing credit growth fell below the APRA 10% speed limit for the first time since September last year, with the monthly change in investment credit growth the lowest since October 2011.
According to November’s results, the slowdown comes after auction clearance rates have moderated back to the low 60% range since the last week of October, whilst average selling time and vendor discounting rates also continue to rise from their record lows.
The 1.5% decline in capital city dwelling values over the month, coupled with a 0.3% rise in weekly rents, has seen the average gross yield record a subtle improvement over the month. This follows a trend towards lower rental yields which commenced in May 2013. Gross yields remain close to record lows for houses in Melbourne at an average of 3.0%, while Sydney has overtaken Melbourne to show the lowest yield profile across the capital city unit markets, with an average gross rental yield of 4.1%.
“Slower housing market conditions will likely be a topic of conversation when the Reserve Bank board meets today to deliberate on the cash rate setting. A less buoyant housing market is likely to provide the Reserve Bank with a greater degree of flexibility in adjusting interest rates without as much risk of overstimulating the housing market,” Lawless said.
“While the Reserve Bank is likely to welcome a slowdown in the rate of home value appreciation, the overriding objective would be to avoid a significant downturn in the housing market, which would act as a weight on economic growth and potentially impact financial system stability.”
“With the housing market moving through the peak of the cycle at a time when there is a large number of new dwellings commencing construction, there is likely to be a heightened level of settlement risk for off the plan purchases.”
“Those purchasers who have recently purchased off-the-plan may face challenges at the time of settlement if the valuation of the property is lower than the contracted price, or if mortgage finance is less freely available, or on more expensive terms. This would imply that some buyers may have a higher loan to valuation ratio than anticipated, which could require additional funds to bring the LVR down to a level the lender is comfortable with.”
“As a result of slowing housing market conditions, an additional risk for policymakers is a where a large number of dwellings approved for construction are postponed or withdrawn as developers face fewer pre-sales or lose confidence in their ability to deliver a profitable project to market,” he said.
<a href="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%2012.07.58%20PM.png" target="_blank">Click to enlarge</a><img src="/images/2015/12/1/Screen%20Shot%202015-12-01%20at%2012.07.58%20PM.png" alt="" style="line-height: 1.3em;"> 
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Home values fall in Sydney, Melbourne as housing market moves through peak of cycle: CoreLogic RP Data 

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Investor Matthew Ryan and creative director Wilmar Bouman are selling their 1880 Hobart investment, Corinda.
The <a href="https://www.realestate.com.au/property-house-tas-glebe-121125274" target="_blank">Italianate Victorian</a> five bedroom, two bathroom residence was built in 1880 by former lord mayor of Hobart, Alfred Crisp.
The land had previously been part of a convict-run vegetable garden before wealthy timber merchant Alfred Crisp built the main residence. 
Alfred's daughter lived in the house until 1930 before the property became a boarding house for 30 years.
Matthew and Wilmar restored the property and its gardens and have converted the historic outbuildings into self-contained cottages furnished with collections of antiques. 
The pair won a National Trust Preservation award for the restoration of Corinda in 1995.
The 1796 sqm property is currently being ran as a bed and breakfast. The service quarters, coach houses and gardeners cottage are all available to rent for between $265-$315 per night.  
The property is available through Kim Morgan of Charlotte Peterswalk for Property who is expecting $3 million plus for the combined nine bedroom estate.
The couple have owned the property since 1992 when they bought for $325,000.
 
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Corinda, Hobart bed and breakfast for sale

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The most affordable property sold in Sydney at auction this weekend was a three bedroom home in San Remo.
Advertised by selling agent Andrew Sorensen of Raine &amp; Horne as "a great place to start" the home is perfect for first time buyers.
Andrew had a price guide of over $300,000 for the property before the $355,000 sale at auction.
He gave the property an average rental return of between $345 and $370 per week, which is an average gross rental yield between 5.05% and 5.42%.
San Remo is a suburb of the Central Coast, 108 kilometres away from the Sydney CBD.
The property features a large outdoor terrace and garden space.
The property last traded in 2009 for $269,950, an annual appreciation of 4.39%.
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San Remo three bedder Sydney's most affordable sale at 5% gross yield

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A three bedroom, one bathroom property in Aldinga Beach was Adelaide's most affordable property after it's $232,000 weekend sale. 
Targeted at investors, the 1976 property at <a href="https://www.realestate.com.au/property-house-sa-aldinga+beach-121152154" target="_blank">3 Fidge Street </a>was described as 'run down' by selling agent Nick Van Vliet of First National Real Estate.
Aside from the house, the front and back gardens are bordered by numerous fruit trees including almond, stone fruit and figs.
A large shed with internal office provides a great work and hobby space and is backed by a chicken coop and wood oven.
The 760 sqm dwelling was last traded in for $177,500 in 2004, which gives it an annual appreciation of 3.8%.
Aldinga Beach is an outer southern suburb of Adelaide, located 45 kilometres from the CBD.
 
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Aldinga Adelaide beach house weekend's most affordable sale

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Chatswood Place, a $300 million new boutique mixed use development by Platino Properties, was launched on Frday.
At the launch, 106 out of 111 apartments sold for a total of $160 million.
Located at 260 Victoria Avenue, the development will comprise 223 apartments over five buildings, released in two stages.
Units range from studios to four-bedroom penthouses.
Construction is expected to begin in February 2016 with completion proposed by late 2018.
Only six buyers were from overseas.
Almost 65% were buying to live in the new apartments. 
Most were existing Chatswood residents wanting to upgrade. 
A record sale was also made with two apartments purchased by the same buyer for $8.1 million - something never before seen in Chatswood.
“The strong demand for Chatswood Place is indicative of home owners’ increasing preference to live in apartments that are a stone’s throw from the shops, cafes and restaurants they frequent," said Platino developer Jonathan Leib. 
The development comes with shops, dining precinct and community facilities such as childcare services.
Communal spaces include an outdoor pool, gymnasium, BBQ area and sheltered pavilion for entertaining al fresco. Residents-only gardens flow through and above the buildings.
Three colour schemes (Latte, Espresso and Affogatto) were offered by Platino Properties, who has been designing and developing residential apartments on Sydney’s North Shore for over 35 years. 
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Chatswood Place launches; 106 units sold for $160 million

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Johnson Property Group sold over $10 million in land sales at its launch at Trinity Point yesterday.
It included a 1321 sqm lot selling for $1.58 million, one of the highest residential land sales for the Lake Macquarie/Newcastle region.
The first release comprised a total of 32 land lots, priced from $398,888 ranging in size from 450 square metres to 660 square metres.
Celebrity ambassadors Michael Clarke and Jennifer Hawkins were in attendance at the launch on Sunday as buyers moved fast to secure a first stage lot at the new $388 million development.
The managing director of Johnson Property Group Keith Johnson revealed last week that Clarke had bought in the development - a luxury four bedroom, three storey terrace overlooking Lake Macquarie.
A total of 32 land lots were open to the market in the first release, with a total of 15 being snapped up. The sizes of the lots range from 450 sqm to 660 sqm. 
The master-planned marina developed Trinity Point spans 23 hectares and also overlooks Barden's Bay. 
The development is to include precinct to include a 5-star Pullman Trinity Point Resort, 200-seat restaurant, 300-seat function centre, a 188-berth marina and a wide range of resort-style facilities including a luxury day spa, swimming pool and gym.
Johnson expressed his delight after the first day of sales.
“We are delighted with the result from our first day of sales.”
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