Investors may soon find themselves with fewer reasons to buy established property and more incentives to look towards the new apartment market.

Proposed changes to negative gearing and capital gains tax concessions would see new and off-the-plan apartments retain access to the tax benefits, while established properties would miss out, creating a clear advantage for buyers purchasing newly built housing.

The policy direction aligns with what many developers have been saying for several years. Australia needs more housing supply, and governments are increasingly looking for ways to encourage investment into new stock rather than existing homes.

The challenge for investors is that suitable product is becoming harder to find.

For much of the last decade, one-bedroom apartments were the cornerstone of investor demand. They offered a lower entry price, strong rental appeal, and were a common feature across most apartment developments.

Today, the development pipeline looks very different.

Across both New South Wales and South East Queensland, developers are increasingly targeting owner-occupiers and downsizers, delivering larger two, three and four-bedroom apartments in response to changing buyer preferences. While one-bedroom apartments still exist, they now form a much smaller portion of many new projects.

That shift has created a shortage of investor-friendly stock, particularly in well-located projects close to transport, employment hubs and lifestyle amenity.

At the same time, rising apartment prices have pushed many new developments beyond the reach of traditional investors. On the Gold Coast and across South East Queensland, it's becoming increasingly difficult to find new apartments priced around the $1 million mark, particularly those offering strong rental fundamentals and long-term growth prospects.

We've rounded up four new apartment developments where investors can still secure a foothold in the market for around $1 million or less.

<h2 data-end="1140" data-start="844">Flourish Soleira</h2>

<h2>Priced from: $1.07 million</h2>

Popular Palm Beach developer Sherpa is soon to officially launch its newest local apartment development, Flourish Soleira.

The one-bedroom apartments in the building were only offered to first home buyers rather than investors, and all of those have been snapped up. The two-bedroom apartments will start from $1.07 million, and the three-bedrooms, still a good investment given the popularity of Palm Beach for owner-occupiers, starting at $2,045,000.

&nbsp;

[smartcode_project:default project_id=150017 project_image_fid=370964]

Flourish Soliera will comprise 153 apartments across two buildings, connected by a skybridge, the first ever delivered in the suburb.

True to Sherpa's booming Flourish brand of apartment projects, Flourish Soleira will have extensive rooftop amenity across both buildings including a&nbsp;wellness centre with gym, work from home, yoga, pilates, a&nbsp;heated pool, private dining rooms, pizza oven and barbecues, basketball court, and golf simulator.

<h2>Corallo, Palm Beach</h2>

Priced from: $841,500

Nearby Flourish Soleira is Changfa Group's beachfront-inspired Corallo development. They still have some one-bedroom apartments remaining, priced from $841,500.

The 105-apartment project on Palm Beach Avenue is otherwise dominated by larger two and three-bedroom residences, many of which are aimed at owner-occupiers and downsizers.

[smartcode_project:default project_id=112194 project_image_fid=808]

For investors, the appeal lies in Palm Beach's continued transformation from a laid-back beachside suburb into one of the Gold Coast's most sought-after residential markets. Residents at Corallo will be within walking distance of Palm Beach's surf beaches, the recreational amenity of Tallebudgera Creek, and the increasingly popular collection of cafes, restaurants and boutique retailers along the suburb's central dining precinct.

<h2>Corner House, Stones Corner</h2>

<h2>Priced from: $880,000</h2>

One of only two Brisbane apartment developments to make the list with prices under $1 million is DeMartini Fletcher's Corner House development in Stones Corner.

One-bedroom apartments start from $880,000 within the 88-apartment development, providing investors with exposure to one of Brisbane's most established inner-south locations.

[smartcode_project:default project_id=149098 project_image_fid=330594]

Stones Corner has long been supported by strong tenant demand due to its proximity to major employment and education destinations. The suburb sits less than five kilometres from Brisbane's CBD and is within easy reach of the Princess Alexandra Hospital, Greenslopes Private Hospital, Queensland Children's Hospital and several university campuses.

The project's location within a walkable urban village environment, surrounded by retail, dining and public transport infrastructure, continues to attract both professionals and healthcare workers seeking accommodation close to work.

Parkdrive Apartments, Chermside

Priced from: $749,000

The most affordable apartments across Brisbane's new and off the plan market are in Chermside where developer AusDev is selling one-bedroom apartments from $749,000, and two-beds from $929,000, at its recently launched Parkdrive development.

The development is strategically positioned in one of Brisbane's largest employment and retail precincts, placing residents within easy walking distance of Westfield Chermside, The Prince Charles Hospital, St Vincent's Private Hospital Northside and the suburb's major bus interchange.

[smartcode_project:default project_id=152125 project_image_fid=363782]

Already under construction and scheduled for completion in early 2028, Parkdrive benefits from Chermside's ongoing evolution into Brisbane's northern metropolitan centre. The suburb continues to attract significant public and private investment, supporting population growth and underpinning long-term rental demand.

For investors focused on yield and tenant depth, the combination of healthcare, retail and transport infrastructure within close proximity provides a strong foundation for occupancy and rental performance.

Joel Robinson

Investors to turn to new apartments after Federal Government changes spark hunt for Queensland's best $1 million apartments

A mix of Gold Coast locals, fly-in, fly-out purchasers from Sydney and Melbourne, and Brisbane-based families has driven early sales success at Broadbeach's newest apartment tower, Lumara.

The 26-level project, a joint venture between builder-developer 5Point Projects and Bourke Projects, comprises just 37 luxury residences and is attracting a buyer profile that is looking for exclusivity, above the most amenity-rich suburb on the Gold Coast.

[smartcode_project:default project_id=150454 project_image_fid=364156]

Jamie Bourke, Director of Bourke Projects, says every buyer secured so far intends to use Lumara as a lock-up-and-leave residence, combining holiday use with the ability to work remotely when required.

“The size of the apartments, both half- and full-floor options, and the different zones within the floorplans, lends itself perfectly to dedicated home office setups and multi-generational family holidays,” Bourke says.

That flexibility has become a key drawcard for affluent buyers seeking a second residence on the Gold Coast without sacrificing the ability to conduct business away from their primary home base.

The absence of holiday letting within the building has also resonated strongly with purchasers.

“This type of buyer doesn't need to generate holiday rental income,” Bourke says. “They're paying for exclusivity, privacy and certainty around who their neighbours are.”

[smartcode_project:default project_id=150454 project_image_fid=366491]

The strong demand comes amid broader shifts in the high-end apartment market following the Federal Budget announcements in May.

“We were already seeing strong enquiry from high-net-worth buyers, but that has only accelerated since the policy changes,” Bourke says.

“A lot of those buyers are looking to place more capital into premium lifestyle assets rather than investment-grade stock that has been targeted by the Federal Government.”

[smartcode_project:default project_id=150454 project_image_fid=366486]

Designed by Cottee Parker, Lumara adopts a slender, sculpted form with an emphasis on natural materials suited to its beachfront setting. The architectural approach draws on coastal influences, with a palette of stone, timber and concrete selected for durability and the ability to weather over time.

Apartments are limited to three and four-bedroom configurations, with a maximum of two residences per floor through the mid-levels and a selection of full-floor and dual-level homes in the upper levels. All apartments are oriented to the north to maximise natural light, cross-ventilation and views across the ocean, city skyline and hinterland.

A two-level amenity offering is positioned high within the building on levels 20 and 21, conceived as a sky wellness retreat. Facilities include a magnesium pool, spa, sauna and steam rooms, alongside more social spaces such as a private dining room, resident lounge, workspaces and outdoor barbecue areas integrated with landscaped greenery.

The uppermost levels are reserved for larger-format residences, including several full-floor homes and a dual-level penthouse with its own private wellness features and recreational spaces.

&nbsp;

To give buyers confidence, 5Point and Bourke commenced construction ahead of the apartments launching to the market, a sure-fire way to prove they mean business, and the building will be delivered. They are targeting a 2028 completion date.

[smartcode_project_cta:default project_id=150454]

Locals, interstate holiday makers, drive early sales at Lumara, Broadbeach's newest luxury apartment tower

Often when it comes to purchasing property, the biggest barrier to entry is the deposit. Buyers of established homes typically aim for a 20 per cent deposit to avoid the added cost of Lenders Mortgage Insurance, while most property transactions require around a 10 per cent deposit when contracts are exchanged.

The off-the-plan market works differently, with buyers typically paying a deposit during construction and settling the balance upon completion. As completion approaches at <a href="https://www.apartments.com.au/new-apartments/fabbrica-fitzroy-369-gore-street-fitzroy-vic-3065">Fabbrica Fitzroy</a>, developer <a href="https://www.apartments.com.au/developers/pace-development-group">Pace</a> is making it easier for buyers to secure a residence through a deposit-matching incentive. Purchasers need only contribute a five per cent deposit*, with Pace matching the remaining five per cent.

The offer comes as Pace unveils a completed display apartment and townhouse, now available for inspection by appointment ahead of the project's Spring completion.

[smartcode_project:default project_id=139552 project_image_fid=371009]

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/winwood-mckenzie-architecture">Winwood Mckenzie</a> and landscaping by <a href="https://www.apartments.com.au/landscape-architect/acre">Acre</a>, Fabbrica draws on Fitzroy’s industrial and manufacturing history, incorporating references to the former Argyle Shirt Factory and Life Savers Confectionery Company that once occupied the site.

The development comprises 85 residences, spanning low-maintenance apartments through to larger-format townhouses with private street access and double lock-up garages, a relatively uncommon offering in Fitzroy’s higher-density apartment market.

Pace says the project has been designed to appeal to buyers seeking inner-city convenience without sacrificing space, flexibility, or amenity.

[smartcode_project:default project_id=139552 project_image_fid=371016]

Inside the residences, Winwood Mckenzie has focused on adaptable layouts and integrated detailing, with features including custom joinery, and concealed storage solutions. The material palette leans into warm, tactile finishes intended to complement the building’s industrial architectural language.

Fabbrica’s rooftop amenity is a key part of the project offering. Spanning around 800 sqm, the communal rooftop includes a private dining room, communal kitchen, lounge spaces, work-from-home zones, and outdoor dining areas overlooking the Melbourne CBD skyline.

[smartcode_project:default project_id=139552 project_image_fid=371017]

Landscape architecture studio Acre has introduced a layered rooftop garden designed to soften the urban setting while creating a more communal environment for residents.

The Fitzroy location also positions residents within walking distance of Brunswick Street, Smith Street, parks, cafés, galleries, and public transport, while remaining only minutes from Melbourne’s CBD. The project has an enviable Walk Score of 96.

[smartcode_project:default project_id=139552 project_image_fid=371025]

Pace, which is also delivering the project as builder, has developed more than 100 projects across Melbourne over the past three decades. The vertically integrated approach has become increasingly common among developers seeking greater control over construction delivery amid broader market pressures affecting the apartment sector.

The strikingly contemporary Gore Street development is now around 70 per cent complete, with purchasers expected to move into their new homes in Spring 2026. A limited number of residences remain available under the current deposit match offer.

*Conditions apply in relation to the deposit match offer.

[smartcode_project_cta:default project_id=139552]

Pace offers five per cent deposit match at Fabbrica Fitzroy ahead of Spring completion

Sydney developer Hyecorp's roots on the Lower North Shore stretch back three generations, and that deep understanding of the market continues to shape where and how it develops today.

From high-rise towers to boutique apartment projects, the family-run developer has built its reputation by focusing on a part of Sydney it knows intimately. Founded by Michael Abolakian in the early 1990s, Hyecorp is now led by his sons Stephen, Troy and Patrick.

Stephen Abolakian, joint managing director alongside Troy, has spent more than two decades in the business, overseeing development, planning, finance, marketing and sales.

Abolakian says the developer's disciplined focus on where it chooses to operate has been, and continues to be, one of Hyecorp's greatest strengths.

“We know the buyer profile exceptionally well,” Abolakian says.

“The demographics between places like Willoughby, Chatswood, St Leonards and Roseville are very similar. There are nuances between suburbs and projects, but culturally and from a buyer perspective, there’s a strong overlap.”

That buyer has historically been overwhelmingly owner-occupier driven.

Unlike many Sydney apartment developers that have traditionally relied heavily on investor demand, Hyecorp’s projects have typically attracted downsizers, upsizers, rightsizers and family owner-occupiers seeking long-term homes rather than short-term investments.

“Historically, investors have been a much smaller portion of our demand profile,” Abolakian says.

“We design for owner-occupiers. We don’t design for yield, we design for comfort, amenity, family living and long-term usability.”

That philosophy extends well beyond apartment layouts.

From landscaping and communal gardens to shared amenities and circulation spaces, Hyecorp’s developments are designed around how people actually live, something Abolakian believes has become increasingly important in Sydney’s apartment market.

“There was probably a period where having an approved project in market was enough,” he says.

“There wasn’t as much competition and if you built it, buyers would come. That’s no longer the case.”

“There’s more supply in the pipeline now, particularly with TOD precincts and low and mid-rise reforms opening up opportunities across Sydney. Buyers have more choice, so if you get the product wrong, they’ll simply go elsewhere.”

[smartcode_project:default project_id=110379 project_image_fid=311393]

The shift has forced developers to become more sophisticated in how they approach apartment design, particularly as owner-occupier expectations continue to rise.

For Hyecorp, that means thinking beyond who the buyer is today and designing for who they may become in five or 10 years' time.

“People buying now often aren’t moving in for several years,” Abolakian says.

“You might have a young couple buying today, but by the time they move in they may have children, older children, or changing lifestyle needs. You’ve got to think about how families evolve.”

That thinking also shapes Hyecorp’s approach to amenity, which positions wellness at the forefront.

[smartcode_project:default project_id=149594 project_image_fid=362634]

While resort-style facilities have become increasingly common marketing tools across Sydney apartment developments, Abolakian says the challenge is ensuring amenities are genuinely usable and appropriate for the scale of the project.

“If amenities are done right, they can materially improve the living experience,” he says, adding however that if you&nbsp;overdo it or get it wrong, you can end up with facilities nobody uses that simply create ongoing strata costs.”

That balance is something Hyecorp is aiming to strike with projects like Roseville Avenue, one of the group's upcoming Lower North Shore developments, which Abolakian describes as bringing a resort-style living experience into a metropolitan setting.

“It’s about creating something that feels special without being excessive,” he says.

“Good gardens, quality apartments, thoughtful amenity. Creating that resort feeling in a metro location.”

<img alt="Hyecorp" data-entity-type="file" data-entity-uuid="13c4c0f3-b1b7-44cf-9344-0b3d1d07797a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-06-02%20at%2012.14.57%E2%80%AFPM.png?VersionId=9OLWjyj2bYkDV35F78WJnyMSPfc2bJ2z" />

The focus on owner-occupier product comes as Sydney’s apartment market continues to navigate a difficult development environment.&nbsp;For Hyecorp, maintaining an in-house operating model across construction, sales, marketing and development management has become increasingly important in navigating that environment.

“We’ve always believed in keeping a lot of the process in-house,” Abolakian says.

“It creates efficiencies, but it also creates quality control. You can make faster decisions and ensure the end product stays aligned with the original vision.”

Despite the challenges, Abolakian believes demand for quality owner-occupier apartments across Sydney remains strong beneath the surface, particularly across established Lower North Shore suburbs where downsizers continue to seek new housing options close to existing communities.

“There are definitely people waiting,” he says.

“Once some of the broader uncertainty settles, whether that’s the global environment or some of the local economic noise, I think the right projects will perform very strongly.”

Hyecorp currently has three residential developments on the market across Sydney’s Lower North Shore.&nbsp;Audrey, St Leonards, positioned opposite Newlands Park, is nearing completion and preparing to welcome its first residents, with the project now almost sold out.

Hyecorp has also recently launched&nbsp;<a href="https://www.apartments.com.au/new-apartments/celine-chatswood-37-archer-street-chatswood-nsw-2067">Celine Chatswood</a>, an architectural tower, while continuing to deliver&nbsp;<a href="https://www.apartments.com.au/new-apartments/juliet-roseville-64-pacific-highway-roseville-nsw-2069">Juliet Roseville</a>, a more boutique scale of development with just 34 apartments.

Why Hyecorp continues to back Sydney's Lower North Shore apartment market

South East Queensland’s apartment market is entering a new phase defined by rising prices, constrained affordability, and mounting pressure on the construction pipeline, according to RPM Group’s latest SEQ Apartments &amp; Townhomes Market Report.

The May 2026 report highlights a widening divide between what buyers can afford and what developers can viably deliver, with detached house prices continuing to push more buyers toward apartments across Brisbane, the Gold Coast, and the Sunshine Coast.

RPM says Brisbane’s median house price has reached around $1.5 million, accelerating the shift toward higher-density housing as buyers are increasingly priced out of the detached market.

[smartcode_project:default project_id=135094 project_image_fid=356540]

Median unit prices rose across all three major SEQ markets in the March quarter. Brisbane City recorded the strongest annual growth, with median unit prices climbing 21 per cent to $862,000, while the Gold Coast reached the highest overall median at $950,000, up 17 per cent year-on-year. The Sunshine Coast followed at $870,000, representing annual growth of nine per cent.

RPM noted the affordability gap between houses and units remains significant, with detached homes commanding premiums of 67 per cent in Brisbane and 68 per cent on the Gold Coast relative to apartments.

The report suggests this price disparity is increasingly consolidating buyer demand within the apartment market, particularly among downsizers and owner-occupiers.

“Demand is real. Supply is moving. But they’re operating on different timelines and the gap between what’s being built and what buyers can afford is the defining tension in this market right now,” RPM Queensland and NSW Managing Directors Peter Neale and Clinton Trezise said in the report.

[smartcode_project:default project_id=150787 project_image_fid=366230]

While approvals and commencements are strengthening, RPM argues the delivery pipeline remains constrained by construction costs, labour shortages, and extended build timelines.

Apartment approvals across Queensland increased 86 per cent over the year to February 2026, reaching 12,682 approvals, the highest level recorded since 2016. Brisbane overtook the Gold Coast as the state’s most active apartment approval market, with nearly 5,000 apartments approved over the past 12 months.

Unit commencements also strengthened considerably, rising 48 per cent year-on-year to 5,453 commencements in the December 2025 quarter, the highest level since 2018.

However, RPM’s research found apartment delivery timeframes have expanded sharply compared to the previous cycle. Projects are now averaging around 30 months from approval to completion, compared to roughly 20 months a decade ago.

[smartcode_project:default project_id=143932 project_image_fid=367515]

The number of units under construction has climbed to approximately 31,530 dwellings, nearing the previous 2016 peak, though projects are remaining in the pipeline for considerably longer.

Construction costs continue to weigh heavily on feasibility. RPM found the average apartment construction cost in Greater Brisbane reached $630,000 per dwelling in 2025, exceeding both Sydney and Melbourne. Coastal Queensland markets, including the Gold Coast and Sunshine Coast, were even higher at an average of $817,418 per apartment due to the prevalence of larger premium product.

The report also points to increasing pressure from Olympic-related infrastructure spending ahead of Brisbane 2032, with labour competition expected to intensify over the next several years.

[smartcode_project:default project_id=150017 project_image_fid=370960]

ANZ Associate Director of Property Daniel Gradwell said the underlying demand drivers across South East Queensland remain strong, supported by interstate migration, downsizers, and population growth.

“The challenge is bringing enough supply to market to meet that demand, and nothing on the horizon makes that straightforward,” Gradwell said.

RPM’s analysis found the affordability challenge is becoming more pronounced in the new apartment market itself, with only three per cent of surveyed new apartments priced below $1 million.

Instead, the market is increasingly concentrated in higher price brackets, with the most common new apartment price band across SEQ sitting between $1.5 million and $1.75 million. Around half of all new apartment stock surveyed is priced below $2 million.

The report suggests developers are not necessarily avoiding lower price points by choice, but because current construction economics make delivering affordable apartments increasingly difficult at scale.

Rental conditions also remain tight across the region. Median rents for one-bedroom apartments rose 12 per cent in Brisbane over the past year to $580 per week, while Gold Coast one-bedroom rents increased nine per cent to $630.

Despite rising rents, RPM noted bond lodgements have generally trended downward over the past five years, indicating more apartments are being absorbed by owner-occupiers rather than retained as investor-held rental stock.

Looking ahead, RPM expects projects targeting the mid-market owner-occupier segment between $1.25 million and $2 million to remain the most viable part of the market, while premium projects in highly constrained coastal or riverfront locations continue to attract demand.

“Construction costs are rewriting the feasibility rulebook across Greater Brisbane, and with little relief in sight, only projects in the right price band, right location, and with presales secured early will make it through,” the report concludes.

SEQ apartment demand outpacing affordable supply as construction timelines stretch: RPM

Rural

<html><body><div class="assets">
The property long known as Vinden Estate, a 10 hectare Pokolbin holding in the heart of Hunter Valley wine country, has been listed with a price guide of $5.5 million.
It is being marketed by Cain Beckett of Jurds Real Estate, though without reference to its official vineyard name.
The property at <a href="https://www.realestate.com.au/property-lifestyle-nsw-pokolbin-7938122" target="_blank">138 Gillards Road</a> features a luxurious homestead with mountain views.
It has a pool, tennis court, cellar door, restaurant, winery, additional cottage and a boutique vineyard. The bistro recently closed after seven years trading.
The Vindin Brand and business is not being sold as Angus Vinden will retain this and either offer the new owners a leaseback or relocate it
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/12/18/vinden1.jpg" alt="">
It was 1990 when his parents Guy and Sandra Vinden purchased the 25 acres of land.
Their first harvest was in 1998.
The range of wines includes the Hunter Valley’s only Alicante Bouschet (a light dry rosé), sparkling Alicante Bouschet, Semillon, SSB, Verdelho, Chardonnay, Merlot, Basket Press Shiraz and Late Harvest Semillon.
It was recently recognised as "dark horse winery to watch" by James Halliday. It was given 5 Star Winery status by James Halliday in his 2018 Wine Companion.
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$5.5 million hopes for Pokolbin estate listed by Vinden family

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The boutique winery Krinklewood Biodynamic Vineyard in the Hunter Valley has been listed for sale by the Windrim family.
They've farmed the Broke Fordwich area for 20 years.
The <a href="https://www.realestate.com.au/property-viticulture-nsw-broke-7939662" target="_blank">59 hectare property near Pokolbin</a> includes a three bedroom colonial homestead and a 19 hectare vineyard. It is expected to fetch around $10 million.
The cellar door and winery is set among Provencal gardens, urns, fountains and is surrounded by animal life, olive trees and the Brokenback ranges.
The property also includes a tennis court, saltwater pool, a stone pool cabana, vegetable garden and small orchard.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/12/11/krink2.jpg" alt="">
There are three fulltime employees, as well as six cellar door staff. 
Rod Windrim came to the Hunter Valley in 1977 and planted his first vineyard in Pokolbin four years later. 
After years of research and a growing passion for high quality wines, he bought the current property in 1989 focussing on classic Hunter Valley varietals.
The vineyard was planted in 1998, and in 2002 Krinklewood started implementing biodynamic practices, soon becoming fully certified organic and biodynamic.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/12/11/krin3.jpg" alt="">
 
Over the past 10 years Rod, and more recently his son Pete, have been frequent educators within Australia in biodynamic viticulture and winemaking. 
“Our family is unified and excited that the time has come to pass on our passion of biodynamic viticulture and love for our beautiful patch of earth at Krinklewood,” Rod said. 
“One of the guiding biodynamic principles is to leave something greater than how you found it, as a legacy and gift to the next generation. With the growth of our brand we believe now is the time to hand over the custodianship to someone who will take it to the next level.”
The southern end of the Broke Fordwich valley has a slightly cooler climate than most Hunter Valley wineries, which allows the vineyard to explore less Hunter specific varietals. 
The white vines are on a flat bed of free-draining loam organic soil which is ideal for producing classic Hunter Valley Semillon, Verdelho and Chardonnay. In more recent years they have added small plantings of Gewürztraminer and Viognier.
A gentle slope of clay-loam organic soil is well suited to classic Hunter Shiraz. Later, the family planted Mourvedre to make Francesca Rosé and introduced a small planting of the Spanish variety Tempranillo.
The new winery, completed prior to the 2017 vintage, includes fully automated brine refrigeration and comes complete with state of the art laboratory, steel tanks, French barrels and automated press. With an annual turnover of $1.4 million, the property has the capacity to produce over 10,000 cases per year.
The Krinklewood Wine Club has been going for 16 years, boasts more than 1800 members, and is responsible for 58% of the vineyard’s sales. The rest is made up of NSW &amp; VIC distribution (15%); cellar door and online (20%) and direct wholesale (7%).
The sale of the property will be managed by Alan Jurd and Cain Beckett at Jurd’s Real Estate, Cessnock.
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jrobinson-rf4aSBido9

Krinklewood Biodynamic Vineyard to be sold

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Krinklewood Biodynamic Vineyard, a boutique winery in the Hunter Valley, has sold for $4.85 million having been listed almost three years ago.
It sold with stock for $5.5 million to a city-based buyer.
It was offered for sale by winemaker Rod Windrim and his family. 
The 57-hectare property near Pokolbin sold for significantly less than its 2017 asking price of $10 million. 
The property included a three-bedroom colonial homestead and a 19 hectare vineyard, and was listed by the Windrim family who have farmed the Broke Fordwich area for 20 years.
For over ten years, the vineyard has been certified biodynamic organic, following the family’s implementation of biodynamic practices since 2002.
Set on the banks of the Wollombi Brook, the French inspired boutique offers a tennis court, pool, pizza cabana and parterre garden.
The cellar door and winery is set among Provencal gardens, urns, fountains and is surrounded by animal life, olive trees and the Brokenback ranges.
The property included Chateau Tracteur, the managers accommodation, and temporary workers accommodation.  
Over the past 10 years Rod, and more recently his son Pete, have been frequent educators within Australia in biodynamic viticulture and winemaking. 
The Krinklewood Wine Club has been going for 16 years, boasts more than 1800 members, and is responsible for 58 percent of the vineyard’s sales.
The rest is made up of NSW &amp; VIC distribution (15%); cellar door and online (20%) and direct wholesale (7%).
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Krinklewood Biodynamic Vineyard finally sold

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The Hunter Valley's Adina Vineyard and Olive Grove has been sold by Peter O'Meara, chairman of the Australian Olive Association.
Peter is retiring and selling both the <a href="https://www.realestate.com.au/sold/property-lifestyle-nsw-lovedale-7804306" target="_blank">Lovedale property</a> and the business he and wife Helen have built over the decades.
It fetched around $7 million when sold to JDC Prime.
The 49 hectare Adina estate features a nine-hectare vineyard, modern cellar door, olive processing facility and three luxury accommodation lodges.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/11/6/Adina2.jpg" alt="">
The vineyard produces shiraz, cabernet, sangiovese, semillon, pinot gris and chardonnay varieties.
"The property is considered by many to be the home of the olive industry in the Hunter Valley, not just because of the quality of fruit that is produced from the olive grove, but because it has both the largest and most modern processing plant in the lower Hunter Valley," said the marketing by selling agent Cain Beckett of Jurds Real Estate.
Adina Vineyard is on Lovedale Road.
The property is divided into two adjacent blocks with a total area of 120 acres.
The estate features a modern cellar door, restaurant, tourist accommodation, day spa, olive processing facility, machinery sheds and a wide range of grape varieties.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/11/6/Adina3.jpg" alt="">
The vineyard was established in the 1860s and the modern vineyard planted between 1980 and 2000. It produces semillon, shiraz, chardonnay, cabernet sauvignon as well as other varities including several popular Italian varieties like pinot grigio and sangiovese.
The tourist accommodation side of the business was established in 2006 with architect designed lodges which host up to six adults.
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Adina Vineyard, Lovedale sold for $7 million

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The total land value for the Northern Tablelands region has increased over the 12 month period to 1 July 2016 by 9.5 percent from $7.42 billion to $8.13 billion, according to the latest report from the Valuer-General.
The Report on NSW Land Values at 1 July 2016 found that rural properties showed the highest overall increase of approximately 11.4 percent. Good seasonal conditions together with strong commodity prices for beef and lamb have been the main drivers for strong increases in rural land values in the region. Inverell LGA showed the strongest increase (20.3 percent), while the lowest growth was experienced in the Walcha LGA (7.9 percent).
An Inverell farm currently for sale is <a href="https://www.realestate.com.au/property-mixed+farming-nsw-inverell-7869918" target="_blank">Seven Oaks</a> (above), 280 acres along the banks of the gushing Frazers Creek, at $599,000 through Ruralco.
Residential land values increased by 6.2% overall. The highest increases were in the LGAs of Uralla (12.1 percent), Inverell (7.7 percent) and Armidale (7.2 percent), whilst Walcha (-4.9 percent) and Glen Innes (-2.1 percent) showed a decrease in value.
Commercial land values across the region generally remained steady. The strongest increase occurred in the LGA of Uralla (16.8%). However, commercial land values decreased in the LGAs of Walcha (-5.3) and Glen Innes (-2.4%) reflecting lower demand for commercial property in these areas.
Industrial land values for the region have generally remained steady. The strongest increase was experienced in Uralla (9 percent), with the largest decrease in Walcha (-5 percent).
For more information including interactive online land value summaries for all LGAs and 14 regions covering the state go to <a href="https://www.valuergeneral.nsw.gov.au/" target="_blank">www.valuergeneral.nsw.gov.au</a>.
<a href="https://www.propertyobserver.com.au/images/2017/01/24/nsw-9.jpg" target="_blank">Click to enlarge</a>
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2017/01/24/nsw-9.jpg" alt="">
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Beef and lamb prices nourishing Northern Tablelands rural prices: NSW Valuer-General

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<div class="cq-article-content-paras section">
The Lempriere Group is in due diligence to buy Agrium's Landmark agency and trading business.
The deal is estimated to be worth about $1.2 billion, Fairfax Media suggest.
Agrium bought Landmark as part of its acquisition of AWB in 2010 in a $1.2 billion deal. 
Landmark has more than 105,000 clients, representing more than 75 percent of all farms as Australia's largest distributor of merchandise and fertiliser as well as being a major wool and livestock trader. 
The company's revenue to December 2015 was $2.3 billion ranking it among the top three biggest agricultural companies in Australia behind Graincorp and Nufarm.
Ruralco has also been mentioned as a possible contender for part of the Landmark business. 
The fifth-generation Australian business Lempriere Group is partners with the Chinese textile giant Shandong RuYi in 2012, following the joint purchase of Cubbie Station, near Dirranbandi, Queensland.
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jchancellor-FAypfDUnLy

Lempriere Group look at Agrium Landmark acquistion

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<img src="https://counter.theconversation.edu.au/content/63124/count.gif" alt="The Conversation" width="1" height="1">
GUEST OBSERVER
What will happen now that the rains have come to many parched beef lands of Queensland? Current high cattle prices and renewed pastures suggest optimism, even good times. Perhaps record exports from the world’s largest beef exporter? If only if was that simple.
While an important indicator of Australia beef prices peaked recently, analysts warned export volumes were likely to fall.
High prices for Australian meat has already seen Chinese imports down this year by 30 percent and US imports down 40 percent <a href="https://theconversation.com/free-trade-agreements-fail-to-boost-australian-agriculture-and-food-manufacturing-47576">(</a>largely correcting a recent Australian trade gain<a href="https://theconversation.com/free-trade-agreements-fail-to-boost-australian-agriculture-and-food-manufacturing-47576">)</a>.
Restocking after drought would seem to account for the near record East Australian cattle price.
Unfortunately, eager buyers paying top dollar for a production input take a considerable risk, as was discovered 40 years ago when prices last peaked.
Not only is a cattle price of $6.66/kg on July 27 2016 still short of around $7.00/kg in the mid-1970s. Costs are markedly higher, as are debts.
Indeed, investigations reported by the Queensland Rural Debt and Drought Taskforce show extremely high levels of financial and personal stress. Key financial ratios are in disarray for many enterprises, small and large, family and corporate. Speculating on near-record cattle prices can, at best, buy a little time.
Most worrying are the inadequacies of income to service very high and rising levels of debts, secured by properties that have halved in values. A debt-deflation spiral is clearly underway.
<a href="/images/2016/08/01/image-20160727-5660-4jbhng.jpg" target="_blank">Click to enlarge</a>
<h4><img src="/images/2016/08/01/image-20160727-5660-4jbhng.jpg" alt=""></h4>
<h4>
Land and Debt index Queensland Beef. Figures in the Graph reveal ongoing declines in land values below and rising debts above, all the way to 2015. Later year debts are estimates, because of data difficulties. Bush Agribusiness using ABS and ABARE Data to 2012; McGovern projections from 2013
</h4>
Using projections, survey data and cross checking with those in the industry, it is estimated debt is up 50 percent since 2006. (A disclaimer is needed here as financiers have refused to release needed data, despite all manner of requests including last November at the Queensland Treasurer’s Rural Roundtable.)
Land values went the other way. In Queensland’s western pastoral areas, for example, Queensland’s Valuer General estimates the land market peaked around 2008 and then fell back to around 2005–06 value levels. “This market continues to be subdued, with very few sales transactions”, it reported.
Even initially very sound borrowers now see serious equity destruction. Extensive capital exposures seem to have been little appreciated, all round. Farmer equity below 70% is usually regarded as high risk. Average equity positions of even previously very low risk enterprises are now likely to be markedly declined.
<h4><a href="/images/2016/08/01/image-20160727-5666-1vrtrwi.jpg" target="_blank">Click to enlarge</a></h4>
<img src="/images/2016/08/01/image-20160727-5666-1vrtrwi.jpg" alt="">
<h4>
Illustrative Industry Equity positions 
</h4>
Apprehension, deep angst and quiet hope were evident in hearings of the Rural Debt and Drought Taskforce held across Queensland six months ago. The report is now in, but is surprisingly little discussed so far.
Evidence of widespread, serious financial and other problems has led to 14 recommendations, including establishing a reconstruction board, agricultural bank and a Royal Commission. Action was recommended on income, education, mental health and other needs.
In a nutshell, serious responses to major foundational financial problems are needed. Farm and town enterprises are depressed with many (once) “resilient” communities very much on the edge.
Rural Bank recently published research which reinforces the seriousness of the problem. A high number of transactions occurred in a rising market with asset values rapidly moving away from income potential. A significant number of loans involved speculation, on both sides of the agreement.
<h4><a href="/images/2016/08/01/image-20160727-5643-emu4iu.jpg" target="_blank">Click to enlarge</a></h4>
<img src="/images/2016/08/01/image-20160727-5643-emu4iu.jpg" alt="">
<h4>Rural Bank, Queensland North: build to twin peaks highlighted</h4>
Fundamentally, incomes cannot support debts. What on earth was going on when, across Australia, farmland prices and associated debts inflated in the teens each year for almost a decade, while incomes hardly moved?
The subpriming of Australian Agriculture is just one of the questions facing further Parliamentary Inquiries into finance, and Royal Commissions.
<h4><a href="/images/2016/08/01/image-20160728-21569-o0zmg.png" target="_blank">Click to enlarge</a></h4>
<h4><img src="/images/2016/08/01/image-20160728-21569-o0zmg.png" alt=""></h4>
<h4>ABARES land and receipts per ha</h4>
It is time for not just plain talk on rural debt but for effective actions.
Problem loans now need to be re-solved, equitably. Land values need to be re-linked to earning capacity. A sustainable financial basis needs to be re-established across not just beef but other agricultural industries.
A well-constituted reconstruction board is pivotal in rectifying balance sheet stresses, catalysing solvency and brokering prudent inter-generational change.
Reconstruction in Australia’s past has achieved more equitable and higher value resolutions while avoiding fire sale losses, contagion, needless impoverishment and major capacity destruction across economies and communities.
“Political pressures will always favour the provision of liquidity; lasting solutions require a willingness to tackle the solvency issues,” wrote former Bank of England Governor <a href="https://books.wwnorton.com/books/The-End-of-Alchemy/">Mervyn King</a>.
Just maintaining rural liquidity by offering effectively unsecured public finance (such as with Drought and Dairy concessional loan program) despite criticism from Australian National Audit Office and other reports, seems foolhardy. More or slightly cheaper debt to those struggling with major debt overhangs is no real solution.
Doubling up by blaming the implementing state agencies for program design failures and then marketing these as the cornerstone Federal (and perhaps State?) policy is just foolish.
Four points in summary:
<ol>
<li>
Current rural problems are relatively easily solvable, and earlier generations succeeded. Solutions require governments and industries attuned to more prudent financial and monetary thinking.
</li>
<li>
There will always be losses in any correction but good policies, public and private, can contain and sensibly distribute losses.
</li>
<li>
Enterprises, industries and nations that recognise when important trends change and act accordingly can thrive while others stagnate.
</li>
<li>
Problems now evident in beef can affect any sector over-reliant on debt financing. Apt early interventions are far more effective than playing costly catch up.
</li>
</ol>
Unaddressed, problems will only spread. The temptation today is to pass on problems, uncorrected, to the next generation. Alternately, a competent and committed willingness to tackle significant solvency issues will underwrite our future prosperity, individually and as a society.
Mark McGovern is senior lecturer, QUT Business School, Economics and Finance, Queensland University of Technology and author for The Conversation. He can be contacted <a href="https://theconversation.com/profiles/mark-mcgovern-168" target="_blank">here</a>.
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Crippling rural debt looms as biggest threat to our beef producers

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Mining tycoon Nathan Tinkler’s Richmond Grove thoroughbred stud farm in the NSW upper Hunter Valley is close to a $9.2 million sale, according to The Australian.
It cost around $26 million to amalgamate.
The sale will see billionaire retailer Gerry Harvey secure the last $10 million owed by Mr Tinkler, who was declared bankrupt this year.
Richmond Grove is a 1337ha stud farm amalgamating seven adjoining properties at Sandy Hollow.
According to Neil Cussen, partner with administrator Deloitte, the listing agent Chris Meares has two interested parties.
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Tinkler horse stud close to $9 million plus sale

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GUEST OBSERVER
Ever fancied a tree change or a sea change or any kind of change - where you set your sights a few hours away from the capital cities? It's an increasing phenomenon for both investors and home owners.
What makes regional properties so attractive to investors is how affordable they are. They boast a much better entry price than their city counterparts. As capital cities such as Sydney and Melbourne become more expensive in terms of both property and lifestyle we're seeing a small exodus of renters and lower income earners to regional centres such as Newcastle or Geelong.
As these areas boost their infrastructure and local economies, this in turn further encourages population expansion. It's not even just regional centres but also major towns. Certainly several experts have noticed the imminent expansion out to the country and regions driven in part by the sky rocketing prices of Sydney and Melbourne.
All of this means that well-chosen regional centres are an exciting proposition for the canny investor.
Buying in regional areas come with a whole new slate of potential risks you may not have thought of.
However, buying in regional areas come with a whole new slate of potential risks you may not have thought of. In cities you may have to contend with strict council planning permissions, aircraft noise or lack of parking. But property investors in rural or regional areas can possibly be up for anything from feral cats to flooding and fires and drought. Let's run through a few of the usual and unusual pitfalls to consider:
 
Flood Zones: With a rapidly shifting climate, flood areas themselves are changing across Australia. There are even parts of Sydney that are identified as flood zones. Other regional centres have a history of flooding - parts of the coastal plains on the South Coast, such as Thirroul - being notable examples. Then there can be once-in-a-lifetime, catastrophic floods, like the floods which swamped Brisbane and Queensland a few years ago.
Scour through the local government records and ask to see the flood zone map for your property. While the council has the responsibility for flood prevention, in certain circumstances the property owner does too. Flood insurance will also add to the cost of the property. 
 
Soil: It's critical to do soil tests for any property you buy in regional or rural areas. The type of soil that your property is situated on can incur extra costs for earthworks and land retention. Hire a professional engineer to carry out tests. They will look for things like contaminants, and if the property is on a large rock. All these things will affect the foundation the house is built on and also affect any plans to subdivide and add new buildings. 
Fire danger: This is part and parcel of the harsh landscape of Australia. Bush fires have become more menacing and frequentin recent times. So it’s crucial you check with the local council and ask to view the bushfire prone map. This will tell you how dangerous the area you're buying into is and how susceptible to fires. You'll need to consider insurance and there may also be bushfire construction compliance codes you need to meet which will add to the cost of building the house and perhaps limit what you can do with it. 
 
Crown Roads: Crown roads are an infrequent oddity that can catch regional property owners by surprise. Essentially crown roads are long dormant roads that run through properties. They are usually not even visible nor are they roads in the strict sense. They are more like old worn out tracks and are often only visible on survey maps. Nonetheless they can cause all kinds of headaches for the owner of the property.
Crown roads mean that members of the public are allowed to drive through the property provided they stay on the road. It can be difficult to develop or renovate your property as the crown road cannot be moved and you'll find yourself working around it. And trying to get rid of the crown road is legally difficult and can be highly expensive or both. Not to mention how crown roads can create bad blood with neighbours in battles over access. 
So to avoid the trauma and stress of a crown road check out the survey maps to any property thoroughly.
Utilities: How well connected is the property for water, gas, electricity and heating? If it is somewhat self-sufficient by using systems such as rain water tanks or solar panels – then commission a report and find out the average rain levels or sunlight. Also it’s worth checking out the worst case "what ifs"... For example, what if the roads to the town are all flooded, can the property cope on its own for a few days? What kind of emergency utility back-ups do you have in case of natural disasters?
Area development: What kind of industries may move in next door? This can be anything from highly disruptive operations like coal seam mining to abattoirs and fruit harvesting. It's worth investigating the local economy generally. Country and regional areas are highly affected by any sudden changes to the local industry; for instance, if a large plant closes down or a new rural cattle station opens up. This will have a flow on effect to the economy and the population growth. 
Environmental protection: You'll definitely need to investigate your land management responsibilities. This covers a whole raft of things from pest or weed control, to land degradation, removing trees or building and maintaining fences, native vegetation and health issues. Both the state government and local government may have different requirements form you the landowner. So take care to find your what your responsibilities are and factor in any potential costs. 
So, to sum up, just as much, if not more research is required when buying into regional and rural property markets. There are a slate of highly variable differences to consider that can affect whether your investment is really viable. So, to paraphrase John Williamson - do give us a home among the gum trees but check that the plum trees aren't going to fall on the house.
 SAM KHALIL is founder and director of <a href="https://www.dpn.com.au/" target="_blank">Direct Property Network</a>.
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Tips for buying property in rural or regional locations: DPN's Sam Khalil

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<div class="page" title="Page 1">GUEST OBSERVER</div>
Lending: Total new loans (personal, business, housing &amp; lease) fell by 1.4 percent in April after rising by 1.3 percent in March and rising by 2.1 percent in February. Total lending is down 6.9 percent on April 2015. In trend terms lending fell 0.1 percent in April to be down 4 percent on the year.
Within personal fixed finance commitments, loans for new cars were up by 30.5 percent on a year earlier while loans for used cars were up 20.5 percent. Loans for residential blocks of land were down by 6.4 percent on a year ago.
Rural loans lift: In the year to April, loans to the Agriculture, forestry and fishing sector were up by 11.5 percent to $23.3 billion – a 61⁄2 year high and just off the record high of $23.5 billion.  The lending figures have implications for finance providers, retailers, and companies dependent on consumer and business spending.  
What does it all mean?
When you consider how low interest rates are, the fact that lending is still struggling to push ahead of the highs recorded 71⁄2 years ago is quite remarkable. Businesses and consumers are more inclined to pay down debt rather than take on new commitments showing that the global financial crisis is still affecting the collective psyche.
But there are some stand-out areas. Aussie consumers are keen to update their rides, borrowing a record $15 billion over the past year to buy new or used cars. And in the business space, loans to the rural sector totalled $23.3 billion over the past year, just below record highs. Record car affordability is boosting car sales. And keen global interest in Australia’s food and beverage products are driving interest in the farm sector.
<a href="/images/2016/06/10/Screen%20Shot%202016-06-10%20at%201.18.54%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/06/10/Screen%20Shot%202016-06-10%20at%201.18.54%20PM.png" alt="">
If businesses do start taking on debt with more gusto, this should be a precursor to increased spending on equipment and therefore more investment. For the Reserve Bank, this is the last shoe to drop. The economy is running at the fastest pace in 31⁄2 years, consumer spending is above-normal, housing is strong and the job market is improving. If business investment starts lifting then rate hikes will finally be taken off the agenda What do the figures show?
Lending Finance
Total new loans (personal, business, housing &amp; lease) fell by 1.4 per cent in April after rising by 1.3 per cent in March and rising by 2.1 per cent in February. Total lending is down 6.9 per cent on April 2015. In trend terms lending fell 0.1 per cent in April to be down 4 per cent on the year.
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<img src="/images/2016/06/10/Screen%20Shot%202016-06-10%20at%201.20.34%20PM.png" alt="">
Housing finance: The seasonally adjusted measure of construction and new purchases rose by 0.1 per cent in April while alterations &amp; additions fell by 0.5 per cent. Home loans are up 7.9 per cent on a year.
Commercial finance: The seasonally adjusted series for the value of total commercial finance commitments fell 3.3 per cent. Revolving credit commitments fell 5.0 per cent and fixed lending commitments fell 2.8 per cent. Business loans are down 14.4 per cent on April 2015.
Personal finance: The seasonally adjusted series for the value of total personal finance commitments rose 5.0 per cent. Revolving credit commitments rose 14.2 per cent, while fixed lending commitments fell 0.9 per cent. Personal loans are up 2.0 per cent over the year.
Within personal fixed finance commitments, loans for new cars were up by 30.5 per cent on a year earlier while loans for used cars were up 20.5 per cent. Loans for residential blocks of land were down by 6.4 per cent on a year ago.
Lease finance: The trend series for the value of total lease finance commitments fell 1.6 per cent in April 2016 and the seasonally adjusted series rose 0.4 per cent, after a fall of 7.8 per cent in March 2016. Lease loans are up 2.9 per cent on the year.  What is the importance of the economic data?
Lending Finance is released monthly by the Bureau of Statistics and contains figures on new housing, personal, commercial and lease finance commitments. The importance of the data lies in what it reveals about the appropriateness of interest rate settings, confidence and spending levels in the economy.
<a href="/images/2016/06/10/Screen%20Shot%202016-06-10%20at%201.21.43%20PM.png" target="_blank">Click to enlarge</a>
<img src="/images/2016/06/10/Screen%20Shot%202016-06-10%20at%201.21.43%20PM.png" alt="">
What are the implications for interest rates and investors?
The latest lending data precedes the May interest rate cut, so we will need to wait a few more months to see how both the rate cut and Budget measures have affected lending. Business lending has eased over the past five months from 8-year highs. The pull-back in lending is something to monitor, and serves to keep rate cuts on the agenda.
Craig James is the chief economist at <a href="https://www.comsec.com.au/default.aspx" target="_blank">CommSec</a>.
 
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