Brisbane's real estate picture, overall, shows stability, adaptability, and promising growth.

That's the view of&nbsp;Herron Todd White Director David Notley, who noted in the property valuation firm's 2023 Year in Review the Brisbane market experienced fluctuations over the year, but ultimately there are a lot of factors driving the market.

"When thinking about the things that surprised us this year, it’s hard to go past the ongoing strong demand for housing," Notley said.

"Yes, population growth and a rosy outlook leading to the 2032 Olympic Games all helps but given the interest rate rise cycle may not yet be quite over and that there might well still be some economic pain on the horizon, you might expect demand to slow a little. This simply hasn’t been the case and the recent uptick may well continue into next year as well."

Notley said while the&nbsp;beginning of 2023 delivered a little more stability following the RBA's 2022 interest rate rises, buyers still had some trepidation around when or if rates would rise again.

"Property owners weren’t keen to list their homes during a time of reduced buyer demand and uncertainty around the economy.&nbsp;However, the net effect was resilient property prices, remaining largely unaffected despite the temporary dip in activity.

"The pace picked up a little over mid-year. It would appear that some buyers who had delayed their plans were feeling a little more secure in the economic landscape.

"This strengthening in the market – both sales volumes and prices – has continued through to the end of the year. Some interesting statistics show how well we’ve performed in comparison to other capital cities, too. CoreLogic data to October reveals Brisbane’s rolling quarterly change in property values was greater than both Sydney and Melbourne as we tail out the year. But of course, markets are more nuanced than this with various price points, property types and locations all seeing different outcomes in 2023."

<img alt="HTW" data-entity-type="file" data-entity-uuid="8ae6c2f2-4c40-4184-9713-f67cbd3c8c0a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202024-01-31%20at%207.44.34%20pm_1.png?VersionId=18o1yE2kXRv5xBo1JvvtrQ1KkxLJeWZq" />

&nbsp;

Notley said units and townhouses gained popularity among first-time buyers, offering an affordable entry into the property market.&nbsp;

&nbsp;

"Big money was also being regularly spent on the apartment market," Notley said.

"Downsizers/empty nesters who have done well riding Brisbane’s property wave over the past few decades were able to enjoy some very impressive living.

"New apartment sales – both completed and off-the-plan – at $3 million-plus price points were a regular occurrence during 2023."

Brisbane's population surge has intensified pressures on the tight rental market, with meagre vacancy rates of approximately 0.9%.

"That flags an extreme imbalance with very tight supply butting up against huge demand. As a direct result, there has been upward pressure on rents. This seems to have prompted some investors to re-enter this sector of the market over recent months, which is a good thing."

To address affordability concerns for first-time homebuyers, the state government recently announced a doubling of the first homeowner’s grant to $30,000, albeit limited to new builds.

"The bump will be enormously helpful to first-time buyers but might also drive up the price of property in certain locations. Activity in fringe estates or new stages in the growth corridors – such as Ripley out to the west of Brisbane – might pick up on the back of the announcement."

&nbsp;

Urban Editorial

"New apartment sales at $3 million-plus were a regular occurrence during 2023": Herron Todd White's Brisbane year in review

Sydney's residential property market has showcased remarkable resilience throughout 2023, defying earlier predictions of a prolonged downturn.

Property valuation firm Herron Todd White initially expected the year to begin with continued interest rate rises and face prolonged price declines.&nbsp;

However, a closer look at the findings in their 2023 A Year in Review Report reveals unexpected trends and factors influencing the city's real estate landscape.

Herron Todd White Director Shaun Thomas said in the report that despite four interest rate hikes by June, the Sydney property market experienced a swift rebound, bottoming out in the first quarter and enjoying consistent growth throughout the year.&nbsp;

"Earlier in the year we predicted the bottom of the market was nearby but what took us by surprise was the quick rebound. Whilst value levels might not be back to where they were in 2022 the recovery is well and truly on," Thomas said.

The rebound was particularly surprising considering earlier concerns about a predicted "mortgage cliff" and a wave of forced sales that failed to materialise.

Many suburbs in the north-west led the charge to recovery, with some values returning to 2022 levels.&nbsp;

"The lack of stock had more influence over the market’s performance than the multiple back-to-back interest rate rises," Thomas noted.

The unit market in Sydney's Lower North Shore witnessed modest growth, partly driven by first-time homebuyers capitalising on government stamp duty benefits.

"Many of these buyers, having faced significant rental increases over the past 12 to 18 months, have opted to transition to homeownership," Thomas added.

<img alt="HTW" data-entity-type="file" data-entity-uuid="ee11bb3d-ed3d-4e5f-bd98-8e9f0adc491a" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202024-01-31%20at%207.44.34%20pm_0.png?VersionId=J1Upmz2qnBz8B4C_Kt9OYopvQJMthHYy" />

Investment-grade properties and residential apartments closer to the CBD recorded increases in value levels, with the market regaining most of the capital value lost in late 2022.

"A feeling of optimism took over the market circa March 2023, with many buyers taking the opinion that the RBA was at the height of the cash rate increases attributable to the slowing inflation data being reported at the time.

"The renewed confidence amongst some buyers as well as the low levels of properties on the market for sale have been the major catalysts for strengthened sale prices throughout 2023."

The higher median property values of Sydney's inner city, sensitive to interest rate movements, experienced some softening but ultimately showed resilience. The market reacted to interest rate fluctuations, varying impacts on different property types.

[smartcode_project:default project_id=30959 project_image_fid=249157]

"With the inner city Sydney market surprisingly resilient, increases continued throughout quarter two and into quarter three, however, the momentum was dampened by further interest rate rises in May and June with CoreLogic reporting price growth slowing to 0.9%.

"The most recent rate rise appears to have been the final blow of 2023, with many agents reporting that they are in the process of finalising their last deals for the year and winding down for the holiday period," Thomas added.

The eastern suburbs showcased continuous property value increases attributed to low market supply, immigration, and first-home buyer schemes. The duplex market and large homes remained strong, with sales often exceeding expectations.

[smartcode_project:default project_id=136076 project_image_fid=212615]

Thomas added that the unit markets have remained active, particularly lower-density apartment complexes, primarily driven by investors and first-home buyers who want to take advantage of first-home buyer incentives.

"High-density apartment developers have gone under further scrutiny due to well-documented building defect issues and major developers being liquidated (such as Ralan). This has provided more of a negative stigma to these markets.&nbsp;

"We do note that the work being done by the New South Wales Building Commissioner is helping to return some confidence to buyers in this market.

"With immigration expected to remain high and new dwelling approvals at lows, there's likely to be a continued housing supply shortfall, putting upward pressure on prices and rents."

Sydney's property market year in review: Herron Todd White

The performance residential property market in Melbourne varied from market to market, property valuation firm Herron Todd White concluded in their Year in Review.

One of the most nuanced performances was the Melbourne CBD, which had different outcomes in the price and rental markets.

"Melbourne’s CBD is made up of predominantly units or apartments, making their sale prices a good gauge of the property market in the inner city," Herron Todd White's Director Perron King said.

"Although the prices may have decreased, rents have increased, and vacancy rates have once again fallen. This performance shows that the city is having a bounce back after a tough couple of years of the COVID-19 pandemic."

Rental demand and an expected influx of immigrants might lead to higher-density living trends, King noted.

"With times getting tougher for Australians and an expected 400,000 immigrants coming to Australia between 2023 and 2024, there could potentially be a shift in the way people live, and higher-density living could continue to show strong growth, especially considering the rental demand at the moment," King added.

<img alt="Units" data-entity-type="file" data-entity-uuid="84ce74f2-f6d7-4daa-8c8e-82a9327c6ddc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202024-01-31%20at%207.44.34%20pm.png?VersionId=9ZApCePI9kDfNX95ftXQQvERc6t5kJ19" />

King said despite challenges in the building industry, residential developments persisted, albeit with increased costs.

"The year highlighted the impact of global and local factors on Melbourne's property landscape, with changing demographics suggesting a potential shift towards higher-density living."

King said that while inner suburbs demonstrated robust performance, outer northern suburbs presented new opportunities for homebuyers and investors, adding that despite interest rate increases, stability and slight growth were observed in these areas.

&nbsp;

"Inner northern neighbourhoods such as Brunswick, Thornbury and Northcote demonstrated robust performance, albeit with limited new housing stock. Occasionally, medium-sized developers acquire larger lots to construct six to eight units or townhouses in these areas, and their prime location commands a premium."

[smartcode_project:default project_id=4802 project_image_fid=217119]

&nbsp;

&nbsp;

Generally speaking, HTW found the most affordable end of the market took the biggest hit, given the increased limitations on lending which stemmed from the RBA's interest rate hikes.

On the flip side, at top end of the market, buyers appear in many cases unfazed by interest rates, with a number of record breaking sales throughout the year.

"This is partly a result of cash purchases and the return of internationally based buyers."

Melbourne's property market year in review: Herron Todd White

Residential rents are forecast to rise further in 2024 as vacancy remains at record or near record lows, CBRE has forecast.

CBRE’s Residential Figures Q4 report suggested continued growth in the rental market, namely down to a mix of large immigration numbers and supply shortages.

Rents are already at record highs, according to the data collected by CBRE, REIA and SQM Research, while vacancy rates are touching record lows across the country.

<img alt="CBRE vacancy rate" data-entity-type="file" data-entity-uuid="4dd80446-bb1f-4143-99d1-4f73a2efac76" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202023-12-19%20at%207.39.30%20pm.png?VersionId=xfaN82dYkgTx8G1BLJszU3vYZcg7cs8x" />

"Substantial rental growth has continued across most markets, approaching 30% year-on-year in some cases," CBRE's report noted.

"The surge in net overseas migration has had a significant impact on Australia's residential markets, particularly rental markets which were already feeling the effects of tapering supply pipelines."

CBRE said that while the recently released migration strategy has highlighted measure to reign in the net overseas migration figure, the three-year projection of 1.135 million to FY25 still translates into demand for around 450,000 new dwellings. Adding in demand for natural increase, new dwelling demand over the next three years will likely exceed 600,000.

Completions of both houses and units in FY23 totalled a little under 175,000.

<img alt="CBRE" data-entity-type="file" data-entity-uuid="2b08a5e7-445e-401a-b00c-4a72768559a1" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202023-12-19%20at%208.56.07%20pm.png?VersionId=bDVRANTjdPTl5m19ttJkgW8IYuN3G2qX" />

"With the pipeline slowing further, this suggests new supply will not keep pace with the demand generated, indicating little relief from the tight rental markets for the near future.

"As a result, rents generally will continue to increase above CPI, although the pace of growth will ease as affordability pressures bite and alternatives such as increased share-accomodation or younger people remaining at/returning home become more common."

Completions of both houses and units in FY23 totalled a little under 175,000, well shy of the estimated 600,000 needed to keep up with immigration

Joel Robinson

Residential investors on alert as rents set to continue to rise: CBRE

Commentary from CoreLogic's&nbsp;Head of Residential Research Australia Eliza Owen

CoreLogic's interactive Mapping the Market Report shows 82.4% of the 4,506 house and unit suburbs analysed nationally saw values rise in the three months to October.

Conversely, 792 (17.6%) house and unit suburbs declined in value in the past three months&nbsp;

Capital city markets are running at very different speeds, with Perth the strongest market while Hobart and Darwin are flat or falling.

Australia's housing market upswing has become more widespread, with four in five house and unit markets analysed nationally recording a rise in values over the past three months.&nbsp;

CoreLogic's interactive Mapping the Market tool, updated with data to the end of October 2023, found 83.1% of house markets and 80.6% of unit markets saw values rise in the past three months.&nbsp;

This broadly reflects continued growth in the Australian housing market, despite high interest rates and weakening economic conditions.&nbsp;

It’s often noted that Australia is not ‘one housing market’ and we’re currently seeing increased diversity in capital city market performance. That’s reflected in city-wide growth rates, the various levels of supply that’s available in some cities over others, and it’s reflected in the different suburbs we analyse in this report.&nbsp;

At one end of the spectrum, suburb-level analysis reflects the extraordinary growth trend across cities like Adelaide, Perth and Brisbane. In these cities, total listings levels &nbsp;are low, city-wide capital growth is running a bit over 1% per month, and migration &nbsp;trends from both overseas and interstate favour more housing demand."&nbsp;

<h2>Capital cities running at high speed&nbsp;</h2>

In Brisbane, each of the 162 unit markets analysed saw values rise in the past three months, while of the 305 house markets, only four saw a quarterly decline. These were the higher-end suburbs of Kalinga and Windsor as well as the more affordable &nbsp;Redland spots of Macleay Island and Lamb Island. &nbsp;

In Adelaide, only 3% of house markets saw a decline in the quarter, but there was a notable portion of unit markets in decline (13.4%, or 9 of the 67 suburbs analysed). &nbsp;

In Perth, there was one suburb where house values fell in the past three months, which was Mount Hawthorn, and Ms Owen said even there, the house market sustained only a mild decline of -0.2%. &nbsp;

Remarkably, 98.1% of the house and unit markets across Perth rose in value over the &nbsp;past three months, and 96.3% of suburb dwelling markets in Perth were at record high &nbsp;values at the end of October."

<h2>Capital cities running at mid-speed&nbsp;</h2>

Running at ‘mid-speed’ are Sydney and Melbourne dwellings, where city-wide capital growth was 2.5% and 1.2%, respectively in the past three months. &nbsp;

The pace of growth across both markets has slowed from the middle of the year when the June rate-hike surprised financial markets and many economists’ &nbsp;predictions.

Currently, growth in Sydney markets are strongest across relatively expensive house markets, with Five Dock houses topping the three-month capital growth ranking (up &nbsp;8.4%). In Melbourne, it was the more mid-priced unit market of Moorabbin, which topped the list, increasing 7.4%.

<h2>Portion of suburbs recording quarterly and annual falls in values&nbsp;</h2>

<img alt="Portion of suburbs recording quarterly and annual falls in values" data-entity-type="file" data-entity-uuid="13084365-cc5e-432b-9d90-5f1285a55214" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Portion%20of%20suburbs%20recording%20quarterly%20and%20annual%20falls%20in%20values.png?VersionId=TcsKKK9_.RZMkOM3Vnh.G8m6WMscUqSs" />

<h2>Capitals that are flat or falling&nbsp;</h2>

In Hobart and Darwin, 41% of house markets saw a quarterly decline. &nbsp;

Ms Owen said overall, Hobart home values ticked 0.3% higher in the past three months, but capital growth trends have been shaky, and total listings are trending around 47% higher than the previous five-year average. &nbsp;

"The city has seen value falls recorded in three of the past six months. Declines across &nbsp;Hobart houses were led by a -3.2% fall across the relatively expensive market of &nbsp;Sandford. &nbsp;

"Canberra has also seen relatively flat capital growth trends, and particular weakness in the unit market. 32 of 39 unit markets analysed in Canberra saw a quarterly decline, &nbsp;with the steepest fall in O’Connor, down -4.1%," she said.&nbsp;

Across regional markets, conditions are equally diverse, with Regional Queensland the strongest house market and Regional SA the best performing unit market.

Australia's housing market upswing has become more widespread, with four in five house and unit markets analysed nationally recording a rise in values over the past three months

Values rising in more than 80% of Australian house and unit markets: CoreLogic 

<a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields Group</a>&nbsp;has been at the forefront of residential development for a number of years. It was that experience that helped them make the move first into the office sector, and then into the multi-residential high-rise apartment space in&nbsp;<a href="https://www.urban.com.au/new-apartments/sydney-nsw">Sydney</a> recently, as well as expanding their house and land developments to Western Australia.

With everything going on, Urban.com.au CEO Mike Bird caught up with <a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields Group</a>&nbsp;CEO Lachlan Thompson, in the Beverley Rooftop bar which sits atop <a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields</a>&nbsp;House, their commercial tower at&nbsp;627 Chapel Street in <a href="https://www.urban.com.au/new-apartments/south-yarra-vic">South Yarra</a>, to talk about their approach to development.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen="" frameborder="0" height="315" src="https://www.youtube.com/embed/hjTv0srRT1g?si=GsAamRTDkk3k2Jkf" title="YouTube video player" width="560"></iframe>

Goldfields House was <a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields Group</a>&nbsp;entry into the office market, presenting&nbsp;both commercial and hospitality elements.&nbsp;In 2017, amid expectations of a significant run on commercial office rents, the team strategically decided to explore the uncharted territory.

"The opportunity was probably a little bit bigger than we were looking for in 2017," Thompson says.

"We thought there was going to be a significant run on commercial office rents."

They had initially been looking for something smaller, missing out on a few opportunities in Cremorne, before securing the prime site on South Yarra's Chapel Street.

It completed around the time where the leasing market was the worst in three or four decades, but the fact they delivered a product that was the best in class, meant they were incredibly successful in leasing the building.

The success at Goldfields House led <a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields Group</a>&nbsp;into the high-rise apartment space, with the learnings of developing a high-rise office tower with the amenity to match.

"Amenity is everything these days, and it's a bit of a one-upmanship at the moment as to who can provide the most," Thompson said on residential developments.

"What there is that's coming out of the market at the moment is that everyone is becoming very house proud of where they live, and becoming super loyal to the building that they've bought in."

<a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields Group</a>&nbsp;first made the move into Sydney high-rise market with <a href="https://www.urban.com.au/new-apartments/the-bryson-of-chatswood-871-877-pacific-highway-chatswood">The Bryson of Chatswood</a>, a 90-metre tower in the heart of <a href="https://www.urban.com.au/new-apartments/chatswood-nsw">Chatswood</a>. That came after a low-rise townhouse and apartment project in Pymble.

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The Bryson, near Beauchamp Park will comprise 70 one, two and three-bedroom apartments across its 26 levels, including a collection of&nbsp;skyhomes and penthouses.

Thompson says he's seen a shift in buyer preferences during the marketing of <a href="https://www.urban.com.au/new-apartments/the-bryson-of-chatswood-871-877-pacific-highway-chatswood">The Bryson</a>.

"Two-bed one baths are nearly extinct, we saw that coming," Thompson says. What they didn't see coming was the amount of amalgamation requests.

"Probably about 25 per cent of enquiries at the moment are for amalgamations, turning twos into threes."

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<a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields</a> will be looking at recreating a smaller version of Goldfields House in Brisbane in the not too distant future.

All up <a href="https://www.urban.com.au/developers/goldfields-group-0">Goldfields</a> have delivered around 6,000 residential dwellings across house and land lots, apartments and townhouses.

With everything going on, Urban.com.au CEO Mike Bird caught up with Goldfields Group CEO Lachlan Thompson, in the Beverley Rooftop bar which sits atop Goldfields House South Yarra, to talk about their approach to development

Michael Bird

How a diversified portfolio helped Goldfields Group expand into the apartment market: Five minutes with Goldfields Group CEO Lachlan Thompson

House prices cooled following the surprise rate rise by the RBA in June, but apartment growth continued, according to the latest research from Ray White.

They found the strongest apartment price increases were in <a href="https://www.urban.com.au/developments/brisbane-qld">Brisbane</a>, <a href="https://www.urban.com.au/developments/adelaide-sa">Adelaide</a> and <a href="https://www.urban.com.au/developments/perth-wa">Perth</a>, all increasing by in excess of 0.3 per cent over the month.

There was no capital city that recorded a decline in apartment prices over the month. All cities are now seeing big increases over the past 12 months.

Ray White Senior Economist Nerida Conisbee said there are a lot of push and pull factors in house prices at the moment.

"Interest rate rises may not be over and we are seeing more stock coming to market," Conisbee said.

<img alt="" data-bit="iit" data-entity-type="" data-entity-uuid="" height="auto" role="presentation" src="https://ci6.googleusercontent.com/proxy/KmOoOOLwIj8fYCwAXNwC0Ar6xU1fRGlJfXpATcmHyDoqqNo-aF8GFSXLKAWiTbOJjW3WNaUUMLfT8wmi6TnS73mkrQNNsrgZNwEvvjMrKosSxbsYFOy4Q5O5vdZVw8EI-DytlDnbVp9BlMHIbHLtB7C0-8QpONEB6-jcX0I1DybLiJ38jn6YQSfV=s0-d-e1-ft#https://dim.mcusercontent.com/cs/2b5f862f82ad554d08ed3d501/images/671f0f73-9ada-187f-f271-042eaca72c41.png?w=1128&amp;dpr=2" style="vertical-align: top; max-width: 100%;" tabindex="0" width="660" />

"Anecdotally, more investors are selling, driven out of the market by higher interest rates and a more difficult ownership environment in many states.

"Rental growth is also starting to slow for houses across Australia, but remains strong for apartments.

Conisbee says one positive about the growth, particularly in apartments, is that it is likely making more new projects viable.

"This will ensure greater housing supply over the next two years."

The cities with the biggest house price falls were <a href="https://www.urban.com.au/developments/sydney-nsw">Sydney</a>, <a href="https://www.urban.com.au/developments/hobart-tas">Hobart</a> and <a href="https://www.urban.com.au/developments/adelaide-sa">Adelaide</a>, with a decline of 0.2 per cent. Brisbane fell slightly by 0.1 per cent.

Ray White’s total sales in June, $6.4 billion nationally, were on par with what they recorded in June last year.

Buyer activity has continued to increase also across the Ray White network.&nbsp;The number of people bidding at auction is now back to where we were in April 2022.

"The number of active bidders remained stable in June, rather than increasing, perhaps due to the surprise interest rate increase at the start of that month," the Ray White Now Report noted.

Ray White Senior Economist Nerida Conisbee said there are a lot of push and pull factors in house prices at the moment

​Apartment price growth continues as house prices pull back slightly: Ray White House Price Report

In the space of a decade, Melbourne-based developer <a href="https://www.urban.com.au/developers/icd-property">ICD Property</a> have grown from a small, family-ran outfit to become one of the go-to joint developer partners for a number of Australia's largest mixed-use projects.

They've worked on a number of developments with <a href="https://www.urban.com.au/developments/melbourne-vic">City of Melbourne</a> in recent years, while currently undertaking the redevelopment of Market Square in the heart of Adelaide with the <a href="https://www.urban.com.au/developments/adelaide-sa">City of Adelaide</a>. They're also progressing what might be their most impressive project of all, the redevelopment of the heritage-listed <a href="https://www.urban.com.au/new-apartments/city-tattersalls-club-194-204-pitt-street-sydney">City Tattersall Club in the heart of Sydney</a>.

ICD's Deputy Managing Director Sal Quah, who has been with ICD almost since its inception in <a href="https://www.urban.com.au/developments/melbourne-vic">Melbourne</a>, says the plan was to always get to a stage where they were producing show-stopping mixed-use projects in the heart of the country's biggest cities.

[smartcode_project:default project_id=12428 project_image_fid=152515]

"Ultimately the goal was to create city-centric, mixed-use buildings which we could point to and say 'we developed that'", Quah said.

The company started as a family business in 2009, founded by developer Michael Mai. They started with smaller projects in Melbourne's inner ring, before realising the best way for the company to scale was to work in a partnership, whether it be with a co-developer, private investor, funding partner, or a city council.

In their native Melbourne they're developing <a href="https://www.urban.com.au/new-apartments/aspire-melbourne-299-king-street-melbourne">Aspire Melbourne</a>, the strikingly curved King Street tower which has been designed by award-winning architect Elenberg Fraser. They've previously had success in the city centre with the <a href="https://www.urban.com.au/buildings/eq-tower-127-abeckett-street-melbourne">A'Beckett Street EQ. Tower</a>, which sold out 80 per cent of its apartments within two months of the project launching.

<a href="https://www.urban.com.au/buildings/eq-tower-127-abeckett-street-melbourne">EQ. Tower</a> was also&nbsp;Melbourne's fastest approved planning permit by the Planning Minister at the time of the development, as well as&nbsp;Australia's single largest bank loan for a residential development by Commonwealth Bank Australia at the time of development.

Their move into the <a href="https://www.urban.com.au/new-apartments/sydney-nsw">Sydney market</a> came in 2015 when they were invited to participate in a joint venture proposal with the <a href="https://www.urban.com.au/new-apartments/city-tattersalls-club-194-204-pitt-street-sydney">City Tattersall Club</a>. Only a handful of parties were invited to participate to pitch for the redevelopment.

[smartcode_project:default project_id=12428 project_image_fid=152516]

The 12 month process saw ICD the preferred partner for the redevelopment of the <a href="https://www.urban.com.au/new-apartments/city-tattersalls-club-194-204-pitt-street-sydney">iconic Pitt Street building</a> near Martin Place.

"Sydney was always on the radar - it's the New York of Australia," Quah said.

"If you make it to Sydney, you make it to the global stage."

The City of Sydney have strict planning rules, particularly in the CBD, where a design competition must be held to determine the best outcome for the project. Three or four architecture firms pitch their designs, and a panel determine the preferred design.

BVN Architecture won the tender in mid-2020 to design the 49-level tower which will soar above the heritage-listed building below, which will be significantly restored. fjcstudio has been retained as the architect for the heritage component of the building.

[smartcode_project:default project_id=12428 project_image_fid=152518]

Quah said that while the design competition means the council can protect the landscape and the interest of the city, it will limit the supply given the extra layer of complexity it brings to the development process.

All in all, <a href="https://www.urban.com.au/developers/icd-property">ICD</a> liked the design competition exercise, so much so ICD took the idea&nbsp;to New Zealand when they were developing their Auckland tower 65 Federal Street, inviting the likes of Zaha Hadid, Elenberg Fraser, and Warren &amp; Mahoney among others to submit their concept designs.

Quah said the designs put forward to the City of Auckland Council has had a major knock on effect to how the city looks at what's permissible.

"65 Federal Street is the first approved tower that is more than double the permissible floor space ratio," Quah said.

"That's a true testament to the excellence in design."

The project was fast tracked by&nbsp;Minister of Environment James Shaw.

"The quality in design now has the City of Auckland Council considering removing the floor space ratio, as long as you can prove the right solution for the site."

Earlier this year <a href="https://www.urban.com.au/developers/icd-property">ICD</a>, who are joint venture partners with First Sponsor on the City Tattersall Club redevelopment, appointed Richard Crookes Construction to handle the build of the tower which will comprise 241 apartments, a high-end hotel, and a refurbished club space.

ICD's Deputy Managing Director Sal Quah says the plan was to always get to a stage where they were producing show-stopping mixed-use projects in the heart of the country's biggest cities

How ICD became the go-to development partner for Australia's biggest councils

Conditions are right for smart owner-occupiers and investors to swoop on off the plan property in Australia.

That's the view from developer Iwan Sunito, the chief executive of Crown Group and founder of the recently launched development company One Global Capital.

Sunito says underlying conditions in the Australian property market are sound, and green shoots of recovery will soon appear.

“Growing numbers of Australians are choosing to live in units or apartments, to the point that they now&nbsp;account for 47 per cent of total dwelling commencements&nbsp;in the five years to 2018, up from 42 per cent in the 10 years to 2018," Sunito says.

"People want the convenience of living close to amenities like cafes, shopping centres and transport links.

[smartcode_project:default project_id=5180 project_image_fid=197149]

"'Empty nester downsizers’ are certainly among those seeing the practical, lifestyle benefits, helped by capital gains they have made, so apartment living is increasingly common and the preferred option."

Suntio cites the new stamp duty reforms in NSW, which means eligible first home buyers can now opt-out of paying the upfront burden of stamp duty and instead pay a smaller annual property tax.

"The State Government scheme is enabling young couples and individuals looking to spend up to $1.5 million on property for the first time to cut up to two years off the cost of saving for a deposit," Sunito notes.

There's also the case for investors coming into the off the plan market, with strong rental yields being achieved due to the demand hugely outstripping supply.

[smartcode_project:default project_id=7020 project_image_fid=25155]

“We know that with borders reopening, demand for apartments is rebounding in the rental market which is forcing rents to increase, making returns more attractive to investors. International students, overseas and interstate workers are returning.

"For example, China announced in late January that its citizens studying with foreign universities must return to in-person classes. This alone spells the return of around 40,000 people to Australia. The Commonwealth Government’s migrant policy also aims to deliver 200,000 skilled people annually over the next five years.”

CoreLogic's December 2022 update showed Australia's three largest&nbsp; pegged Sydney's gross rental yield at 3.89 per cent, Melbourne at 4.18 per cent, and Brisbane at 5.17 per cent.

"Given the return of tertiary students, people moving interstate and forecast new arrivals, it is hard to see this upward trajectory changing over the next few years at least."

[smartcode_project:default project_id=5827 project_image_fid=174166]

Sunito says underlying conditions in the Australian property market are sound, and green shoots of recovery will soon appear

Why Australians should purchase off the plan property in 2023: Iwan Sunito

Off-the-plan apartments are a popular option for buyers looking to enter the property market.

These properties are still in the process of being built, and buyers have the opportunity to purchase them before they are completed.

However, before making a decision to buy an off-the-plan apartment, it's important to understand what to look for and what to avoid.

One of the first things to look for when buying an off-the-plan apartment is the location.&nbsp;

Consider the surrounding area and the potential for appreciation in the future. Look for properties located in areas with strong job markets and a growing population, as these areas are likely to have a higher demand for housing in the future. Additionally, consider the proximity to amenities such as schools, parks, and public transportation.

Another important factor to consider when buying an off-the-plan apartment is the developer's reputation and track record. Research the developer's previous projects and look for reviews and testimonials from previous buyers. Make sure that the developer has a good reputation for delivering high-quality properties on time and on budget.

When buying an off-the-plan apartment, it's also important to consider the quality of the finishes and fixtures. Look for properties that offer high-quality finishes, such as granite countertops, stainless steel appliances, and hardwood floors. Additionally, check if the property is being built to comply with the latest building codes and energy-efficient standards.

Additionally, it's important to review the contract and legal documents thoroughly before making a purchase. Make sure you understand the terms and conditions of the contract, including the completion date, deposit requirements, and any cooling-off periods. It's also important to be aware of any additional costs, such as stamp duty, legal fees and body corporate fees.

Another important consideration when buying an off-the-plan apartment is the payment schedule. Make sure you understand when and how payments are due, and what happens if the completion date is delayed. Additionally, consider the potential for financing options and whether the property will qualify for a mortgage.

It's also important to be aware of potential risks when buying off-the-plan apartments.

One of the main risks is that the property may not be completed on time, which can cause delays in settlement and rental income. Additionally, the finished product may not match the plans and specifications that were initially presented, which can be disappointing for buyers.&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;

In conclusion, buying an off-the-plan apartment can be a great investment opportunity, but it's important to do your research and understand the potential risks.

Look for properties located in areas with strong job markets and a growing population, choose a reputable developer, and review the contract and legal documents thoroughly.&nbsp;

Additionally, consider the quality of finishes and fixtures, the payment schedule and financing options, and the potential risks associated with buying off-the-plan.&nbsp;

With the right research and due diligence, buying an off-the-plan apartment can be a great way to enter the property market and generate long-term returns. 
&nbsp;

Off the plan means the properties are still in the process of being built, and buyers have the opportunity to purchase them before they are completed



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