Burgeoning Gold Coast developer Polycell is fast becoming one of the busiest developers in Broadbeach.

Polycell is nearing a sellout of <a href="https://www.urban.com.au/new-apartments/the-rochester-broadbeach-143-surf-parade-broadbeach">The Rochester</a>, their debut apartment development on the Gold Coast, which they are currently constructing through their newly established construction arm. Just last month, the company <a href="https://www.urban.com.au/news/qld/first-look-polycell-approved-for-next-broadbeach-apartment-development">secured approval</a> for its second project at <a href="https://www.urban.com.au/new-apartments/167-old-burleigh-road-broadbeach">167 Old Burleigh Road</a>.

Now they've submitted plans for what will be their third project, having successfully completed the buyout of the apartment owners at the <a href="https://www.urban.com.au/new-apartments/sandpiper-broadbeach-155-old-burleigh-road-broadbeach">12-level Sandpiper building</a>, also on Old Burleigh Road.

<img alt="Polycell" data-entity-type="file" data-entity-uuid="067d3cc5-c1d5-4676-bf18-83a00e38c8ae" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-05-02%20at%209.58.35%E2%80%AFAM.png?VersionId=yca5eX3jeupb_EqtyPZR_kIdcA9tIGCY" />

It's the third time they've called on BDA to handle the designs, after the local architecture firm put the plans together for The Rochester and their other approved project.

They said in the design statement the project presents an exciting opportunity to create a landmark residential tower within the vibrant, high-density Broadbeach precinct.

"The proposed fifty two storey residential apartment tower will feature a timeless façade inspired by the surrounding coastal context, establishing it as a unique sculptural addition to the Broadbeach skyline," BDA noted.

"Carefully designed to respect the character of Broadbeach’s high-density precinct, the project addresses key opportunities presented by the site.&nbsp;The design highlights exceptional architecture, thoughtfully designed public edges, boutique communal amenities, and lush subtropical landscaping, making it a valuable and sustainable addition to the Broadbeach area."

<img alt="Polycell" data-entity-type="file" data-entity-uuid="65075f78-0815-44ec-a2bc-cc3910ba4ed7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-05-02%20at%2010.05.47%E2%80%AFAM.png?VersionId=y9KN87EyiDZQgwFqxVZW.z64bviqXB.g" />

They said the spacious apartments&nbsp;are designed to accommodate a range of varying demographics, with an emphasis on maximising natural ventilation and light.

Of the 216 apartments, 146 (or 67 per cent) will be two-bedroom. The plans incorporate 65 three-bedroom apartments, three four-bedroom apartments, and two five-bedroom, full-floor sub-penthouses, each spanning 736 sqm.

The lower portion of the tower will comprise just six apartments per floor, while&nbsp;the upper levels offers a selection of larger apartments.

<img alt="Sandpiper" data-entity-type="file" data-entity-uuid="87ca0e97-e014-4224-9a41-80739744b838" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-05-02%20at%209.58.49%E2%80%AFAM.png?VersionId=N.PPsXAs7sa..3Qrjyg0OjcwcIA_ldzD" />

Much like The Rochester, Polycell has proven themselves to be committed to a high-level of resident amenity, and Sandpiper will be no different.

There will be three levels of dedicated facilities, starting from the&nbsp;podium level which will feature a lap pool with floating day beds, a communal kitchen, dining and lounge area, a gym with a yoga room, a games room with a golf simulator, and a wellness area with a spa, hot and cold pluinges and a sauna and steam room.

The 33rd and 34th level of the building will be home to the residents club that will have similar amenity to the podium level, but also meeting rooms, a two-level club lounge with a spiral staricase, a wine room and ajdoining private dining areas, a library, and a cinema.

&nbsp;

It's the third time they've called on BDA to handle the designs, after the local architecture firm put the plans together for The Rochester and their other approved project

Joel Robinson

First look exclusive: Polycell files Sandpiper redevelopment plans after owner buyout

An atypical masterplanned community in Australia is typically located 20 kilometres or more from our capital cities, where land is more abundant in growth corridors that are already, or soon to be, connected to the city by transport. These communities offer the most vacant land to expand outward rather than upward. In contrast, developers within capital cities are usually limited to smaller sites—around 2,000 sqm compared to 20 hectares—and therefore have to build upwards.

In recent years, however, some of Melbourne’s top developers have managed to carve out enough space in the inner-ring suburbs to offer the best of both worlds: partly going up, and partly going out.

Milieu, Sunkin, and Hamton are each working on neighbourhood-style precincts in Elsternwick, Highett, and Hawthorn.

Elsternwick Gardens by Milieu is the design-driven developer’s largest project to date. They secured the former ABC Studios site on Gordon Street in Elsternwick—a prime 11,740 sqm block located next to the heritage-listed Rippon Lea Estate, whose gardens are over 140 years old.

[smartcode_project:default project_id=136535 project_image_fid=288412]

Milieu embraced the proximity to Rippon Lea, cleverly creating a private gate between the new development and the estate, accessible exclusively by Elsternwick Gardens residents. They went to great lengths to create an extension of the gardens, which, once completed, will be maintained by the Rippon Lea Estate gardeners. Residents will also enjoy private, direct access to the historic gardens.

Milieu recently launched the first stage of <a href="https://www.urban.com.au/new-apartments/elsternwick-gardens-by-milieu-8-gordon-street-elsternwick-vic-3185">Elsternwick Gardens</a>, named Gordon Place, which includes the first two of six buildings planned for the community. These buildings have been expertly designed by Woods Bagot, in collaboration with K.P.D.O. for interior design, and Oculus for landscaping. Brady Constructions was recently appointed as the builder for the first stage, with construction set to begin later this year.

[smartcode_project:default project_id=136535 project_image_fid=288414]

Milieu Managing Director Michael McCormack describes Elsternwick Gardens as a "once-in-a-generation opportunity," highlighting the project's scale and the historical significance of its location.

"The sheer scale of the project, alongside the historical and cultural importance of the site, renders this our most significant undertaking to date."

There are one, two, and three-bedroom apartments on offer at Gordon Place, designed with a focus on indoor and outdoor living, as well as sustainability. All apartments will be fossil fuel-free, powered by renewable energy, and feature provisions for EV charging and water harvesting. Elsternwick Gardens will also include amenities such as wellness facilities, dog wash, and a hospitality offering.

[smartcode_project:default project_id=136535 project_image_fid=288416]

Developer Sunkin is dedicating over 40 per cent of its 9.63-hectare Highett site—one of the largest privately held sites in Melbourne—to parkland. The interspersed homes, a mix of apartments and townhouses, will be surrounded by a conservation area and a new one-hectare public park.

Construction on <a href="https://www.urban.com.au/new-apartments/highett-common-37-graham-road-highett-vic-3190">Highett Common</a>, led by SK Constructions—Sunkin’s building arm—is well underway, with the first tranche of residents set to move into the initial stage in the coming months. Once complete, Highett Common will be home to over 1,000 people. The precinct will also feature a new two-level public library, part of the Bayside Community Facility, which will include study areas, rooms for community classes and meetings, and an adjacent café.

[smartcode_project:default project_id=108019 project_image_fid=300077]

Resident amenities are divided into two zones. The Northern Residents’ Amenity will include an indoor lap pool, a gym with a wellness area, and a bookable private dining room. The Southern Residents’ Amenity will offer another gym with green views, an outdoor swimming pool, wellness hubs, and a cinema.

Sunkin has recently launched The Luxury Collection—just 12 residences that represent a new benchmark in quality and design for Highett. Each home in the collection includes three bedrooms, offered in a variety of layouts to suit different lifestyles—from penthouse-style apartments with wraparound terraces and Bayside views, to townhouse-style homes with direct access to landscaped grounds and children’s playgrounds.

To accompany the release, Sunkin is offering a range of incentives for Luxury Collection buyers, including a $12,000 furniture voucher from interior design experts Coco Republic, along with a complimentary styling consultation.

[smartcode_project:default project_id=108019 project_image_fid=331189]

Masterplan developer Hamton is the latest to unveil a nature-driven new precinct. They recently launched Scotch Hill Gardens (above), located on a former University of Melbourne campus site in Hawthorn. Approximately 40 per cent of the neighbourhood—over 6,500 sqm—will be dedicated to landscaping, including the planting of 151 new trees. Additionally, 77 established trees will be retained, providing tree canopy views from several of the apartments and the communal rooftop terrace, with sightlines back to the Melbourne skyline.

<a href="https://www.urban.com.au/new-apartments/scotch-hill-gardens-hawthorn-147-robinson-road-hawthorn-vic-3122">Scotch Hill Gardens</a> will comprise six buildings, ranging from four to eight levels. Architecture firm Woods Bagot drew inspiration from the organisation of lily pads on a pond—organic formations that are discrete yet interconnected, sitting lightly within their context. This approach aligns with the principles of "nature-based cities," integrating nature, amenity, wellness, and community into the urban fabric.

[smartcode_project:default project_id=149097 project_image_fid=327630]

The architecture of Scotch Hill Gardens reflects the heritage of Hawthorn, with each residential pavilion taking on a unique identity inspired by Victorian, Edwardian, and Federation styles. Woods Bagot has created a cohesive language that complements the natural landscape.

Interior design leader Cara Gabriel emphasises the importance of framing views of nature, stating, "We wanted the apartments to have a sense of quiet luxury, to allow the residents to look outside and appreciate the nature they’re surrounded by."

The development also prioritises sustainability, with features such as energy-efficient designs and the use of local materials. The integration of extensive green spaces not only enhances the aesthetic appeal but also promotes environmental sustainability and community well-being. Construction on stage one is set to start in Q3 2025 and complete in early 2027.

Inside Melbourne's new nature-based neighbourhoods

Brisbane developer Stockwell is planning more apartments in <a href="https://www.urban.com.au/developments/west-end-qld-4101">West End</a>.

The developer, who has delivered over 700 apartments in West End alone, has sought to add another 132 more.

They've filed plans to the Brisbane City Council for a 15-level tower on <a href="https://www.urban.com.au/new-apartments/33-vulture-street-west-end">33 Vulture Street</a>, on the site of the former&nbsp;Queensland Can Factory. The proposal retains two of the 1939 factory facades along Paris and Turin streets.

<img alt="Stockwell" data-entity-type="file" data-entity-uuid="9d1995f6-7dc6-4128-9230-a782f07036a6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-05-01%20at%201.27.36%E2%80%AFPM.png?VersionId=xPeG9a5ZlNt_lIM7greLwk4EgO4CZkxg" />

The apartments will sit above two levels of retail that will activate the Vulture Street frontage. The first floor tenancies have an outdoor balcony which overlooks Vulture Street and are accessed by their own lift and staircase. The residential tower is set back from the character walls and the new brick façade.

Residents will have private access to the rooftop where there will be a 16m infinity pool, adjoining deck with day beds and a sauna, and a spa. The roof will also home several outdoor dining areas and barbecue spaces, as well as a multi-use function space and a gym. The rooftop of the car park levels will have a dog park and a herb garden.

<img alt="Stockwell" data-entity-type="file" data-entity-uuid="0c73291e-14a7-46dc-9951-9523f17f2249" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-05-01%20at%201.27.40%E2%80%AFPM.png?VersionId=H6sExxvZpPZlFjqo8D7FoJZs1EDGvfJK" />

The Design Statement by Mode said the Vulture Street residential façade is split into two distinct elements with a vertical planted break which also allows natural cross ventilation to the residential corridors.

"Each of the two elements of the façade has a different treatment in terms of color and balustrading to provide identity and reduce visual mass," the statement noted, adding that the&nbsp;architectural language and expression of the retail component is derived from the character factory walls and the brick façade of the West End State School.

<img alt="Vulture St" data-entity-type="file" data-entity-uuid="a3fcb4da-3e73-409d-869b-879be2824878" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202025-05-01%20at%201.28.06%E2%80%AFPM.png?VersionId=l4lSHGix.IF5dN0TiuT7bXYBI2O1dZlu" />

Stockwell's latest development is in West End. They are currently selling Bankside, 78 one, two, three and four-bedroom apartments.

<a href="https://www.urban.com.au/developers/stockwell">Stockwell</a>, which was founded in the early 1950s as a construction company, are also behind Cremorne on Fish Lane and Croft on Fish Lane, in the popular new precinct in South&nbsp;Bri​sbane.

First look: Stockwell files for new Vulture Street, West End apartment tower

For years, Michelle and Wade had cruised the Broadwater, often docking at the Main Beach Yacht Club and dreaming of a life closer to what they call their second home.

What started as a holiday habit quickly turned into something more permanent when they discovered <a href="https://www.urban.com.au/developers/drew-group">Drew Group</a>’s dual-tower apartment development, <a href="https://www.urban.com.au/new-apartments/lagoon-main-beach-11-23-cronin-avenue-main-beach">Lagoon</a>, in <a href="https://www.urban.com.au/developments/main-beach-qld-4217">Main Beach</a>.

For Michelle and Wade, long-time Broadbeach locals and passionate boating enthusiasts, the decision to downsize wasn’t made overnight. But when the opportunity arose to call Lagoon home, it felt like everything fell perfectly into place.

[smartcode_project:default project_id=108747 project_image_fid=221592]

The couple recently secured a three-bedroom plus multipurpose room residence in the Sunrise Tower of Lagoon,&nbsp;with panoramic views and an enviable connection to the Broadwater lifestyle they adore.

“We live on our boat just as much as we live at home,” Michelle said.

“We were spending holidays at the yacht club just around the corner. It was during one of those stays we first came across Lagoon—started looking at the floorplans and just thought, ‘We can really do this.’”

`The couple live in a five-bedroom, two-level home in Broadbeach Waters, but Michelle was ready for a change. She couldn’t convince Wade when they first looked at Lagoon, but they came back a year later when the project began rising from the ground and they could see extensive progress in construction.

[smartcode_project:default project_id=108747 project_image_fid=204524]

“Once we saw it in real life, it all just clicked”, Michelle recalled.

For the couple, Main Beach and Lagoon offers everything they need.

“We feel like we’re not losing anything by downsizing, in both the space offered at Lagoon as well as the facilities like a lagoon style swimming pool and a top-tier gym.”

&nbsp;

[smartcode_project:default project_id=108747 project_image_fid=221590]

Their new home at Lagoon offers a low-maintenance, lock-and-leave lifestyle that supports both relaxation and activity. “When we’re home, I want to be on the boat, and not mowing lawns,” Wade said. “Lagoon gives us that freedom.”

They liked the peace and quiet of Main Beach compared to neighbouring suburbs, but also loved the fact it still has significant waterside amenities on The Spit and an increasingly thriving hospitality and retail precinct on Tedder Avenue and at Marina Mirage.

[smartcode_project:default project_id=108747 project_image_fid=284864]

One of the main drivers in purchasing off the plan was what friends and locals said about those behind the project.

“Everyone knows Hutchies as a builder,” Michelle said. “Drew Group was a new name to us, but everyone we’ve spoken to in the local community has nothing but praise for Jon Drew. Friends who know people in the industry spoke very highly of him and we value their opinion.”

Hutchinson Builders is approaching topping out of the two towers. Drew Group expects Lagoon residents to move in over the summer.

Michelle and Wade took part in Urban's Buyer Q&amp;A series which focuses on the driving factors behind buying off the plan property in Australia

[smartcode_project_cta:default project_id=108747]

From Broadbeach to Main Beach: Why local downsizers are making the move to Drew Group’s Lagoon Main Beach

<a href="https://www.urban.com.au/developers/sma-projects">SMA Projects</a> believes in flexibility when it comes to property development, making it easier for their purchasers, the majority of whom are downsizers, to transition from their family home into a new apartment.

As well as offering <a href="https://www.urban.com.au/news/vic/why-the-ability-to-customise-is-a-crucial-offering-in-the-off-the-plan-apartment-market">customisable floorplans to suit a buyers' needs</a>, the lifestyle developer also offers a stress-free way of downsizing.

Their 'Settle When You've Sold' initiative allows those coming from another home to wait until they have sold it before settling on their new apartment, removing the complexity of coordinating the sale of their current home in time for building completion.

The flexible scheme is available to buyers at its latest apartment development <a href="https://www.urban.com.au/new-apartments/the-regent-fitzroy-340-fitzroy-street-fitzroy-vic-3065">The Regent Fitzroy</a>, a reimagination of the old Regent Theatre which once stood on the <a href="https://www.urban.com.au/developments/fitzroy-vic-3065">Fitzroy</a> Street site.

[smartcode_project:default project_id=24824 project_image_fid=304614]

The Regent will comprise 64 one, two, and three-bedroom apartments, with two-bedroom, two-bathroom residences starting from $725,000.

Designed by acclaimed architecture firm <a href="https://www.urban.com.au/architects/hayball">Hayball</a> with interiors by <a href="https://www.urban.com.au/interior-designers/studio-tate">Studio Tate</a>, The Regent is a tribute to Fitzroy’s storied past and dynamic present. It features two distinct interior schemes: the Classic Collection, a Nordic-inspired light palette, and the darker, moodier Arthouse Collection.&nbsp;

Each residence is crafted to evoke the cinematic glamour of the original Regent Theatre, from arched ceilings and art deco-inspired detailing in the foyer, to expansive living areas that open onto private balconies or terraces.

[smartcode_project:default project_id=24824 project_image_fid=304767]

Residents at The Regent will enjoy access to a 315 sqm rooftop terrace with panoramic views of the city skyline, complete with BBQ and dining spaces.

A resident guest suite offers a hotel-style option for visiting friends and family, while pet owners will appreciate the convenience of an on-site dog wash.&nbsp;

The inclusion of a resident workshop also reflects SMA Projects’ dedication to supporting a lifestyle that is both creative and practical.

[smartcode_project:default project_id=24824 project_image_fid=304766]

The Regent will rise from a prime corner site bordering Fitzroy and Johnston Streets, one of the most walkable developments currently being delivered in the area. Think walking distance to artisan cafes, independent boutiques, leafy parks, and renowned restaurants.&nbsp;

Currently off the plan apartment buyers in Victoria can purchase with no stamp duty, but only until the end of October 2025.

[smartcode_project_cta:default project_id=24824]

The Regent will rise from a prime corner site bordering Fitzroy and Johnston Streets, one of the most walkable developments currently being delivered in the area

SMA Projects makes downsizing easier at The Regent Fitzroy with ‘Settle When You've Sold’ initiative

The First Home Owners Grant (FHOG) is a government initiative designed to help eligible first-time home buyers by offering financial assistance towards the purchase or construction of a new home.

While the FHOG is a nationwide program, it is administered separately by each state and territory, meaning the eligibility criteria, grant amounts, and property requirements can vary depending on your location. This means that the amount available and the conditions attached to the grant will differ, so it is important to check the specific guidelines for your state or territory.

It’s important to note that the FHOG is just one of several incentives available to first home buyers. In most states and territories, the grant is not linked to stamp duty exemptions or concessions, with the exception of the Australian Capital Territory (ACT). The FHOG is typically a one-off payment, reducing the overall cost of purchasing or building a new home before any stamp duty concessions are applied.

Below, we provide a breakdown of the First Home Owner Grants available across Australia, outlining the specific details for each state and territory.

<h2>New South Wales First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $600,000. For land purchases and owner-builders, the threshold extends to $750,000.

Stamp Duty Benefits: Provides full stamp duty exemption for homes valued up to $800,000, with concessions available for properties up to $1 million.

<h2>Victoria South Wales First Home Owner Grant</h2>

First Home Owner Grant: Provides a $10,000 grant for first-home buyers purchasing or building new homes valued up to $750,000.

Stamp Duty Benefits: Offers full stamp duty exemption for properties up to $600,000, with concessions available up to $750,000.

<h2>Queensland First Home Owner Grant</h2>

First Home Owner Grant: Offers $30,000 for contracts signed between 20 November 2023 and 30 June 2025. The FHOG applies to new homes valued up to $750,000.

Stamp Duty Concessions: Provides additional concessions for properties valued up to $800,000.

<h2>Western Australia First Home Owner Grant</h2>

&nbsp;

First Home Owner Grant: Offers a $10,000 grant for new homes valued up to $750,000 in the southern regions and up to $1 million in the northern regions.

Stamp Duty Concessions: Available for homes valued up to $600,000 for transactions entered into on or after 9 May 2024.

<h2>Australian Capital Territory First Home Owner Grant</h2>

First Home Owner Grant: Replaced by the Home Buyer Concession Scheme, offering full stamp duty concessions for eligible buyers.

<h2>South Australia First Home Owner Grant</h2>

First Home Owner Grant: Provides up to $15,000 for new homes, including houses, apartments, and townhouses. As of 6 June 2024, there is no property value cap for eligibility.

Stamp Duty Relief: Available for new homes and vacant land purchases.

<h2>Tasmania First Home Owner Grant</h2>

First Home Owner Grant: Offers a $10,000 grant for new homes and off the plan purchases.

Stamp Duty Exemption: Between 18 February 2024 and 30 June 2026, first home buyers of established homes valued up to $750,000 receive a full exemption on property transfer duty.

<h2>Northern Territory First Home Owner Grant</h2>

First Home Owner Grant: The Northern Territory provides a $10,000 grant for new homes only. Additional government grants and concessions are available for first home buyers.

Stamp Duty Exemption: The only stamp duty exemption available to property buyers is the House and Land Package Exemption (HLPE).

Eligibility criteria and application processes differ across states. Prospective buyers should refer to their respective state revenue offices for full details on grant availability, conditions, and additional concessions.

Every First Home Owner Grant for new property by state

In the ever-evolving landscape of sustainable architecture and environmentally conscious design, systems and ratings in place can help determine the energy efficiency of residential buildings in Australia.

Australia has multiple building rating systems that evaluate energy efficiency and sustainability in existing and new building designs.

Some systems assess individual building components, while others provide an overall rating for the entire structure.

A rating system ensures that homes are comfortable and energy-efficient, whether you are buying, renovating, or building.

NatHERS (Nationwide House Energy Rating Scheme) is a common way for new homes to meet energy efficiency requirements.

As new developments continue to shape the urban environment, understanding NatHERS ratings becomes essential for developers and homeowners. This article delves into the concept of NatHERS ratings, their significance, and how they contribute to creating energy-efficient homes.

<h2>What is NatHERS?</h2>

NatHERS is a national initiative implemented by the Australian government to promote energy efficiency in residential buildings. The scheme aims to provide a standardised method for assessing the thermal performance of homes, considering factors such as insulation, orientation, ventilation, and building materials.&nbsp;

NatHERS ratings are the most common way new homes meet the National Construction Code's (NCC's) minimum energy efficiency requirements.&nbsp;

NatHERS assessments provide thermal and whole-home ratings for new homes, townhouses, and apartments.

The rating helps evaluate the energy performance of buildings, guides homeowners and developers to make informed decisions about the energy efficiency of their properties, and encourages the construction of more sustainable, comfortable, and cost-effective homes.

<h2>How NatHERS Ratings Work</h2>

NatHERS ratings are determined through four accredited software tools (AccuRate, BERS Pro, FirstRate5, HERO) using a calculation engine CSIRO developed to predict building temperature based on various factors.

The tools can model complex effects of building mass, insulation, window size, and other elements.

The outcome is a star rating that reflects the building's overall thermal efficiency, indicating how well it can maintain a comfortable indoor temperature without excessive reliance on heating or cooling systems.

The star rating scale ranges from 0 to 10, with a 6-star rating being the minimum requirement for compliance with the National Construction Code (NCC).&nbsp;

Achieving a higher star rating demonstrates a commitment to energy efficiency and sustainability, as the building is better equipped to minimise its environmental impact and reduce long-term energy costs.

Anyone can use NatHERS tools, but accredited assessors can provide certified ratings and professional advice.

<h2>Benefits of Higher NatHERS Ratings</h2>

Energy Efficiency: Buildings with higher NatHERS ratings are more energy-efficient, requiring less heating and cooling energy. This reduces the structure's carbon footprint and lowers occupants' energy bills.

Cost Savings: Homes with higher NatHERS ratings are generally more energy-efficient, resulting in reduced energy consumption for heating and cooling. This translates to lower energy bills for homeowners, making sustainable living environmentally friendly and economically viable in the long run.

Environmental Impact: Lower energy consumption directly translates to a reduced environmental impact. Buildings with higher NatHERS ratings contribute to the overall goal of mitigating climate change by lowering greenhouse gas emissions associated with heating and cooling systems.

Improved Comfort: Buildings with high NatHERS ratings offer better thermal comfort to occupants. Proper insulation, well-designed ventilation, and optimal orientation maintain a consistent and comfortable indoor temperature, providing occupants with a more enjoyable and healthier space.

Market Value and Desirability: Higher NatHERS ratings can enhance the market value of a property. As energy efficiency becomes a more significant consideration for homebuyers, a well-rated building may attract a premium price and stand out in the real estate market.

Compliance with Building Codes: NatHERS ratings are a vital component of the National Construction Code (NCC), and compliance with these ratings is often a mandatory requirement for new developments. Local councils and planning authorities may set minimum energy efficiency standards that must be met to obtain development approval.

The Nationwide House Energy Rating Scheme (NatHERS) is a crucial initiative shaping the future of energy-efficient, resilient, and cost-effective homes. With its recent upgrades, NatHERS has evolved into a world-leading tool for the building sector, supporting the global commitment to achieving net-zero emissions by 2050.

Urban Editorial

What is a NatHERS rating in new off the plan apartment developments?

Mixed-use developments have gained significant popularity across Australia in recent years due to their unique blend of residential, commercial, and recreational spaces.

Unlike traditional single-purpose developments, mixed-use projects offer a harmonious integration of various functions within a single locale.

Residential units seamlessly coexist with commercial establishments, retail outlets, dining venues, entertainment hubs, and recreational facilities, with the combination not only enhances convenience but also fosters a vibrant lifestyle and a sense of community.

<h3>Convenience and accessibility</h3>

Mixed-use developments are designed with convenience in mind. They often integrate residential units with commercial spaces, retail outlets, restaurants, and recreational facilities, creating a self-contained community.

[smartcode_project:default project_id=114215 project_image_fid=204874]

The proximity allows residents to enjoy the convenience of having essential amenities and services within walking distance. Whether it's grabbing a cup of coffee, going grocery shopping, or accessing healthcare services, everything is conveniently located, saving residents time and effort.

<h3>Vibrant lifestyle and community</h3>

One of the major advantages of mixed-use developments is the vibrant lifestyle they offer. With a diverse range of amenities and communal spaces, residents have ample opportunities to interact, socialise, and build a sense of community.

[smartcode_project:default project_id=107714 project_image_fid=214122]

The presence of parks, community centres, and shared spaces fosters a lively atmosphere, encouraging residents to engage in various activities and events. The vibrant lifestyle within these developments creates a unique sense of belonging and camaraderie among the residents.

<h3>Potential for higher rental yields and property value appreciation</h3>

Mixed-use developments tend to attract a broad range of tenants and buyers due to their versatile nature. This high demand can result in higher rental yields for investors and potentially lead to property value appreciation over time.

[smartcode_project:default project_id=139989 project_image_fid=212887]

The integration of commercial and retail spaces attracts businesses, which can provide a stable rental income stream. Additionally, the popularity of mixed-use developments often drives up property values, making them a potentially lucrative investment in the long term.

<h3>Enhanced security and maintenance</h3>

Mixed-use developments typically have comprehensive security measures in place. With controlled access points, CCTV surveillance, and professional security staff, residents can enjoy enhanced safety and peace of mind.

[smartcode_project:default project_id=108019 project_image_fid=212658]

Additionally, these developments often have dedicated maintenance teams responsible for the upkeep of common areas, landscaping, and infrastructure. This ensures that the overall appearance and functionality of the development are well-maintained, creating a pleasant living environment for residents.

<h3>Live-work-play balance</h3>

One of the key attractions of mixed-use developments is the ability to achieve a desirable live-work-play balance. The integration of residential and commercial spaces allows residents to live closer to their workplaces, reducing commuting time and improving work-life balance.

The proximity to various amenities and recreational facilities encourages an active and healthy lifestyle. Residents can easily access fitness centres, parks, restaurants, and entertainment options, all within the same development, leading to a more fulfilling and convenient way of life.

alisonwarters@gmail.com

The top five reasons to buy in a mixed-use development

When buying a property, everyone needs to be aware of the additional costs that come as part of the buying process.

Often the largest outlay, after the deposit which goes to the bank, is stamp duty.

<h2 style="line-height: 1.38;">What is Stamp Duty?</h2>

Stamp duty is an extra tax to pay the government when you buy land, a property, and other certain assets.

It happens when the legal ownership is transferred. It can also be known as property transfer duty or transfer duty.

<iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="415" src="https://www.youtube.com/embed/C32BWkB5--c" title="YouTube video player" width="660"></iframe>

<h2>Who pays Stamp Duty?</h2>

In some circumstances, you may get an exemption. For some states, you won’t have to pay for stamp duty if you are a first home buyer or a pensioner for houses under a particular price. There are also stamp duty concessions, where you may be entitled to a discount.

<h2>How much does Stamp Duty cost?</h2>

Each state has different rules which affect how much you need to pay. These rules can affect the rate you pay, and the timeframe you will need to pay in. Before you buy land or a property, make sure you check the up-to-date information for your state’s stamp duty.

You can use a free stamp duty calculator online to see approximately how much you’ll need to pay. Find out if you’re eligible for an exemption by enquiring on a project via Urban!

Overall, the stamp duty you need to pay will depend on:

<ul>
	<li aria-level="1">How much your land/property is worth</li>
	<li aria-level="1">Where your land/property is located</li>
	<li aria-level="1">What type of land/property it is</li>
</ul>

Want to find out more? <a href="https://www.youtube.com/@UrbanAustralia?utm_source=YouTube&amp;utm_medium=Video&amp;utm_campaign=Subscribe&amp;utm_id=Subscribe">Subscribe to our YouTube channel</a> for more property videos.

Ellen Walker

Off-the-plan property explained: What is stamp duty?

A number of people ask - what is the settlement process when buying off the plan property?

The simple answer is that the process is one part of the off the plan buying journey that isn't too dissimilar to buying in the established market.

The major difference is the time from exchange to settlement, given the off the plan property isn't built yet. The standard settlement for established property is around six to eight weeks.

This however has a number of pros for off the plan buyers.

One of the biggest is that the price paid for the property at the time of exchange doesn't change. Even if the value of the apartment has risen during construction, buyers will still settle on their apartments at the same price agreed.

The settlement date will be forecasted in the contract, as to when the developer believes the building will be complete, and the certificate of occupancy is obtained. Then settlement can start to occur and buyers can move in.

The settlement date forecast is another pro for buyers. While this date can chop and change due to a number of reasons, least of all delays in construction, labour, and materials, it gives the buyer a ballpark future date where they need to have their finances in shape to settle.

By paying a deposit you lock in that price, and you might not be required to pay the rest of the deposit for two or three years, if the construction timeline is that far away. This allows buyers years to save up the rest of the money while their yet-to-be-built property potential grows in value.

The settlement date estimate also puts a time limit on buyers as to when they should either vacate their current rental, or put the wheels in motion to sell their current home.

If you're thinking of purchasing an off the plan apartment, it's a good idea to speak to a conveyancer or solicitor who can advise you on the settlement process and help ensure that everything goes smoothly.

A number of people ask - what is the settlement process when buying off the plan property?

Off the plan property settlement - how does it work?

Ahead of the Australian federal election in early May, both the Labor and Liberal parties have announced their plans to tackle Australia's housing crisis, if elected.

Their approaches reflect broader ideological divides—Labor leaning toward government-backed initiatives and equity access, while the Liberals counter with a market-based approach focused on deregulation, migration control, and leveraging super savings.

<h2>Labor’s Housing Vision: Build Big and Back Buyers</h2>

The Albanese Government has laid out an ambitious housing reform agenda with a two-pronged focus: enabling easier access to homeownership and ramping up housing supply.

5 per cent Deposit Guarantee for All First Home Buyers

At the heart of Labor’s policy is a major expansion of the Home Guarantee Scheme. The government will guarantee part of the loan for any first home buyer, allowing them to purchase a home with just a five per cent deposit and avoid Lenders Mortgage Insurance – regardless of their income. There are no caps on the number of places, and property price limits have been significantly raised.

"It means a Sydneysider can buy a $1 million apartment with a $50,000 deposit, or a Queenslander an $850,000 home with $42,500 upfront," the government announced.

Labor claims this initiative has already helped over 150,000 Australians step into homeownership sooner.

$10 Billion Housing Supply Boost

To address the long-term housing shortfall, Labor is investing $10 billion to build up to 100,000 new homes in partnership with state governments and developers. These homes will be reserved exclusively for first home buyers.

The government points to its broader $43 billion Homes for Australia Plan, which includes:

<ul>
	<li>55,000 social and affordable homes (28,000 already underway),</li>
	<li>A 45 per cent increase in rent assistance for one million low-income renters,</li>
	<li>Nationwide efforts to improve renters’ rights.</li>
</ul>

Labor also touts progress in easing builder shortages and increasing building approvals, positioning this as the biggest housing build since the post-WWII boom.

<h2>Liberal’s Alternative: Cut Red Tape, Fund Infrastructure, Manage Migration</h2>

The Coalition has framed Labor’s housing woes as the product of mismanagement, blaming high inflation, red tape, and an unsustainable migration surge.

Unlocking Land and Infrastructure

The Coalition pledges to unlock up to 500,000 new homes by investing $5 billion in essential infrastructure (water, sewerage, power) to make development-ready land viable.

They also propose:

<ul>
	<li>A freeze on changes to the National Construction Code for 10 years,</li>
	<li>Incentives for 400,000 apprentices and trainees to boost the building workforce,</li>
	<li>Deregistering the CFMEU to reduce union-driven costs and delays.</li>
</ul>

Supercharged Super Access

In a move targeting young Australians, the Liberals would allow first home buyers to access up to $50,000 of their superannuation to buy their first property. The withdrawn amount must be repaid upon selling the home to preserve retirement savings.

Migration Cuts to Ease Demand

The Coalition links housing demand pressures to record migration and pledges a dramatic overhaul:

<ul>
	<li>A two-year ban on foreign investors and temporary residents purchasing existing homes,</li>
	<li>A reduction in permanent migration to 140,000 per year (down from 185,000),</li>
	<li>Reforms to international student visa numbers and fees.</li>
</ul>

They claim these changes would free up 40,000 homes in the first year and over 100,000 in five years.

Economic Management to Tame Inflation

Finally, the Coalition connects housing affordability with monetary policy, arguing that Labor’s “wasteful spending” is fueling inflation and interest rates. By restoring economic discipline, they say, housing costs can be brought under control.

<h2 data-end="3855" data-start="3822">Key Contrasts at a Glance</h2>

<table data-end="5020" data-start="3857">
	<thead data-end="4002" data-start="3857">
		<tr data-end="4002" data-start="3857">
			<th data-end="3890" data-start="3857">Policy Area</th>
			<th data-end="3946" data-start="3890">Labor</th>
			<th data-end="4002" data-start="3946">Liberal</th>
		</tr>
	</thead>
	<tbody data-end="5020" data-start="4149">
		<tr data-end="4294" data-start="4149">
			<td data-end="4181" data-start="4149">Deposit Support</td>
			<td data-end="4238" data-start="4181">5% deposit with government loan guarantee</td>
			<td data-end="4294" data-start="4238">Access up to $50k super for deposit</td>
		</tr>
		<tr data-end="4439" data-start="4295">
			<td data-end="4327" data-start="4295">Housing Supply</td>
			<td data-end="4384" data-start="4327">100,000 homes via $10B investment</td>
			<td data-end="4439" data-start="4384">500,000 homes via $5B infrastructure fund</td>
		</tr>
		<tr data-end="4584" data-start="4440">
			<td data-end="4472" data-start="4440">Migration Impact</td>
			<td data-end="4529" data-start="4472">No cap changes announced</td>
			<td data-end="4584" data-start="4529">Cuts to migration and foreign property buyers</td>
		</tr>
		<tr data-end="4730" data-start="4585">
			<td data-end="4617" data-start="4585">Rental Support</td>
			<td data-end="4674" data-start="4617">45% increase in rent assistance; renter protections</td>
			<td data-end="4730" data-start="4674">No specific rental measures announced</td>
		</tr>
		<tr data-end="4875" data-start="4731">
			<td data-end="4763" data-start="4731">Construction Workforce</td>
			<td data-end="4820" data-start="4763">Addressing shortages with general industry support</td>
			<td data-end="4875" data-start="4820">400,000 new apprentices and SME incentives</td>
		</tr>
		<tr data-end="5020" data-start="4876">
			<td data-end="4908" data-start="4876">Red Tape &amp; Regulations</td>
			<td data-end="4965" data-start="4908">No construction code freeze mentioned</td>
			<td data-end="5020" data-start="4965">10-year freeze on code changes; union crackdown</td>
		</tr>
	</tbody>
</table>

Both parties acknowledge the severity of the housing crisis, but their paths to solving it couldn’t be more different. As the nation approaches another federal election, housing will remain a central battleground – and voters will need to choose which vision best fits their dream of owning a home.

Both parties acknowledge the severity of the housing crisis, but their paths to solving it couldn’t be more different

Australian Federal Election 2025: How Labor and Liberal plan to fix the housing crisis

Latent Defects Insurance (LDI) is a game-changer for anyone looking to purchase a brand-new or off-the-plan apartment in Australia. This insurance policy, which can only be taken out by developers or builders (not individual apartment owners), offers a 10-year warranty on new apartments. It covers the cost of fixing any structural defects that may arise in the building. So far, LDI has seen strong adoption from developers, with companies like <a href="https://www.urban.com.au/developers/deicorp">Deicorp</a>, <a href="https://www.urban.com.au/developers/dasco">DASCO</a>, and <a href="https://www.urban.com.au/developers/urban-property-group">Urban Property Group</a> using it to provide their buyers with added peace of mind when purchasing off-the-plan properties.

I recently had the opportunity to sit down with Corey Nugent, CEO of Resilience Insurance—Australia’s only provider of LDI policies—to discuss the ins and outs of the important coverage.

<h2>How has Latent Defects Insurance (LDI) been received since its introduction in Australia?</h2>

<a href="https://www.urban.com.au/news/resilience-latent-defects-insurance">Latent Defects Insurance</a> is a crucial component for the future of Australia’s built environment. Also known as Decennial Liability Insurance, LDI has been part of the <a href="https://www.urban.com.au/expert-insights/buying/the-evolution-of-latent-defects-insurance-worldwide-and-its-nationwide-availability-in-australia">new development landscape in Europe and other regions</a> for over seven decades. In countries like France, Italy, Spain, and Finland, it is mandatory for all new buildings—whether residential or commercial—to carry LDI coverage.

Since its rollout in Australia, LDI has been very well received by developers, lenders providing financing to those developers, and most importantly, by buyers. It has quickly become an essential tool in building trust and ensuring long-term security for all parties involved.

<h2>In a nutshell, how exactly does Latent Defects Insurance work?</h2>

While Latent Defects Insurance (LDI) involves several components, the overall process is quite straightforward once the policy is in place.

The LDI process begins even before construction starts. As part of the policy, a <a href="https://www.urban.com.au/expert-insights/latent-defects-insurance-101-what-is-the-technical-inspection-service-tis-program">Technical Inspection Service</a> (TIS) assesses the site before work begins. Throughout the construction phase, the TIS regularly visits the site to ensure everything is progressing as planned. If any issues are found, the TIS provides a detailed report outlining the necessary corrections. By having the TIS involved from the outset, the risk of structural defects in the finished building is significantly reduced, addressing potential problems before they arise.

<h2>What happens when the building is completed?</h2>

Once the building is complete, buyers move in, and LDI is applied to their apartment, as well as the entire building structure, for a period of 10 years.

This coverage not only offers peace of mind but can also increase the resale value of the property. Importantly, the policy stays with the apartment, not the owner. So, if an off the plan buyer <a href="https://www.urban.com.au/expert-insights/resilience-latent-defects-insurance-a-catalyst-for-higher-property-valuations-and-resale-confidence">decides to sell within the first 10 years</a>, the remaining coverage is transferred to the new owner.

<h2>How does LDI benefit developers?</h2>

Developers see several key benefits from Latent Defects Insurance. The most obvious is that it makes their project more attractive compared to others that don’t offer LDI. Many buyers are willing to pay more for the assurance that comes with LDI, and developers often see faster sales as a result. Research, including studies by Urban, shows that over 60% of buyers are willing to pay an additional 1.5% for LDI coverage. This premium often more than covers the cost of the policy for the developer. Typically, developers pay about 1.5% of the build cost for the policy. However, if they can secure a higher sale price on their apartments due to the added value of LDI, they end up profiting.

Another benefit is the added appeal LDI gives to a development, positioning it as a more secure investment for potential buyers.

Finally, LDI provides developers with an extra layer of protection through the Technical Inspection Service (TIS). This third-party oversight ensures quality control throughout the build, which could otherwise cost developers hundreds of thousands of dollars in additional personnel.

The TIS helps catch potential issues early, preventing future liabilities.

While the insurance is designed to protect the buyer, it also safeguards the developer. Should any structural, waterproofing, weatherproofing or MEPS (mechanical, electrical or plumbing systems) issues arise, the developer is covered for out-of-pocket costs. Developers understand the importance of completing projects smoothly and moving on to the next one without lingering problems. Given the large number of trades involved in constructing new buildings, LDI offers significant peace of mind.

<h2>How does LDI benefit buyers?</h2>

In Sydney, past incidents like the Mascot and Opal Towers issues have left many buyers wary of off the plan purchases. While these events occurred over six years ago, they still impact buyer confidence today. However, the new development market is much stronger now, with stricter checks and regulations in place.

Ultimately, Latent Defects Insurance provides protection for all parties. In rare extreme cases, where residents may need to vacate due to major defects, LDI offers first-right protection, ensuring buyers are financially covered. Thanks to the continuous inspections carried out by TIS throughout the construction process, such situations are unlikely to occur, but LDI is there as a safety net if they do.

Since its rollout in Australia, LDI has been very well received by developers, lenders providing financing to those developers, and most importantly, by buyers

Latent Defects Insurance 101: Five minutes with Resilience Insurance CEO Corey Nugent on Australia's most comprehensive new apartment development insurance

For property stakeholders - whether owners, investors, builders or developers - ensuring comprehensive protection against potential risks is crucial.

Strata insurance and <a href="https://www.urban.com.au/news/resilience-latent-defects-insurance">Resilience LDI</a> play essential roles in safeguarding property investments but understanding the critical distinctions between them is necessary to avoid coverage gaps that can lead to financial stress and lengthy litigation.

<h2>Strata Insurance: Essential but Limited Coverage</h2>

Strata insurance is specifically designed for strata-titled properties, covering shared spaces like lobbies, stairwells, walls, floors, and ceilings. It protects against incidents such as fire, water ingress, accidental damage, and public liability, ensuring that common areas can be repaired or rebuilt in the event of a covered loss.

However, strata insurance doesn’t cover (amongst other things) structural issues stemming from construction flaws. This is where latent defects insurance (LDI) becomes crucial, providing coverage that strata insurance alone cannot offer.

<h2>Resilience LDI: Addressing Structural Risks</h2>

Resilience LDI, also known as structural defects insurance, offers protection for structural issues that may surface after construction is complete. These hidden defects, which may not be immediately visible, can emerge over time, leading to serious safety concerns, costly repairs, and complex legal disputes. Resilience LDI helps cover the expense of fixing these defects, sparing property stakeholders from significant financial and legal burdens.

<h2>The Consequences of Coverage Gaps: Real-World Examples</h2>

The costly impact of not having Resilience LDI is evident in Australia’s high-profile cases like Opal Tower and Mascot Towers. While both Opal Tower and Mascot Towers had strata insurance, which would have provided assistance for immediate risks like fire or storm damage, the absence of Resilience LDI left owners with mounting repair bills and protracted legal battles.

When structural defects surfaced at Opal Tower, residents were evacuated over concerns about the building’s integrity. Strata insurance covered some of their short-term costs, but the deeper structural issues required more comprehensive coverage - exactly what Resilience LDI would have provided.

Similarly, Mascot Towers faced structural issues that led to prolonged evacuations, forcing owners to navigate both the financial burdens and extensive legal processes to address the defects.

Read more:&nbsp;<a href="https://www.urban.com.au/news/nsw/what-would-have-happened-if-mascot-towers-had-resilience-latent-defects-insurance">What would have happened if Mascot Towers had Resilience Latent Defects Insurance</a>

<h2>Avoiding Financial and Legal Stress: The Need for Both Insurance Types</h2>

For a comprehensive approach, property stakeholders should consider combining strata insurance for common area protection with Resilience LDI for structural integrity on new builds. This dual approach provides robust coverage, helping to avoid expensive repairs and minimising the risk of drawn-out legal disputes. Understanding the distinctions between strata and Resilience LDI empowers stakeholders to make informed decisions that protect investments from unforeseen risks, costly repairs, and lengthy litigation.

This comprehensive guide highlights the essential differences between strata insurance and Resilience latent defects insurance (LDI), underscoring the risks of inadequate coverage

Strata Insurance vs Latent Defects Insurance: Closing the coverage gaps for property stakeholders

The Reserve Bank has cut the official cash rate for the first time since the COVID pandemic.

The pandemic saw rates shoot down to record 0.1 per cent lows, before they were quickly increased over a short period to try and tackle rising inflation.

The hikes stopped at 4.35 per cent, where the cash rate has been since November 2023. Now inflation is returning to the RBA's two to three per cent target band, they've cut the cash rate by 0.25 per cent to 4.1 per cent.

The Big Four banks have already cut their interest rates on the back of the decision, while most believe there are several more cuts to come in 2025.

<h2>What does this mean for the off the plan market?</h2>

The off the plan market functions quite differently from the established property market. Prospective homeowners don’t take out a mortgage until the property is completed. This means that the current interest rate may become irrelevant if the building is not expected to finish for several years—your borrowing capacity will be based on the rate at the time of settlement.

That said, new developments are completed every month, and those nearing completion will see buyers settle based on the current interest rates.

Lower interest rates allow buyers to borrow more, as their ability to service a loan increases when the cost of borrowing decreases due to the lower rates.

How it will impact the off the plan apartment market is the level of demand for property as a whole. Lower interest rates increase confidence in the property market which drives demand, and demand drive price increases.

Expect to see more transactions across both the established and new property markets in 2025 and 2026 compared to the previous two years.

RBA cut interest rates amid inflation decline

Latent Defects Insurance (LDI) is a game-changer for anyone looking to purchase a brand-new or off-the-plan apartment in Australia. This insurance policy, which can only be taken out by developers or builders (not individual apartment owners), offers a 10-year warranty on new apartments. It covers the cost of fixing any structural defects that may arise in the building.

So far, LDI has seen strong adoption from developers, with companies like Deicorp, DASCO, and Urban Property Group using it to provide their buyers with added peace of mind when purchasing off-the-plan properties.

I recently had the opportunity to sit down with Corey Nugent, CEO of <a href="https://www.urban.com.au/news/resilience-latent-defects-insurance">Resilience Insurance</a>—Australia’s only provider of LDI policies—to discuss the ins and outs of the important coverage.

<h2>How has Latent Defects Insurance (LDI) been received since its introduction in Australia?</h2>

Latent Defects Insurance is a crucial component for the future of Australia’s built environment.

Also known as Decennial Liability Insurance, LDI has been part of the new development landscape in Europe and other regions for over seven decades. In countries like France, Italy, Spain and Finland, it is mandatory for all new buildings—whether residential or commercial—to carry LDI coverage.

Since its <a href="https://www.urban.com.au/expert-insights/buying/the-evolution-of-latent-defects-insurance-worldwide-and-its-nationwide-availability-in-australia">rollout in Australia</a>, LDI has been very well received by developers, lenders providing financing to those developers, and most importantly, by buyers. It has quickly become an essential tool in building trust and ensuring long-term security for all parties involved.

<h2>What happens when the building is completed?</h2>

Once the building is complete, buyers move in, and LDI is applied to their apartment, as well as the entire building structure, for a period of 10 years. This coverage not only offers peace of mind but can also increase the resale value of the property. Importantly, the policy stays with the apartment, not the owner.

So, if an off the plan buyer decides to sell within the first 10 years, the remaining coverage is transferred to the new owner.

<h2>How does LDI benefit developers?</h2>

Developers see several key benefits from Latent Defects Insurance. The most obvious is that it makes their project more attractive compared to others that don’t offer LDI. Many buyers are willing to pay more for the assurance that comes with LDI, and developers often see faster sales as a result. Research, including studies by Urban, shows that over 60 per cent of buyers are willing to pay an additional 1.5 per cent for LDI coverage. This premium often more than covers the cost of the policy for the developer.

Typically, developers pay about 1.5 per cent of the build cost for the policy. However, if they can secure a higher sale price on their apartments due to the added value of LDI, they end up profiting. Another benefit is the added appeal LDI gives to a development, positioning it as a more secure investment for potential buyers.

Finally, LDI provides developers with an <a href="https://www.urban.com.au/expert-insights/latent-defects-insurance-101-what-is-the-technical-inspection-service-tis-program">extra layer of protection through the Technical Inspection Service (TIS)</a>. This third-party oversight ensures quality control throughout the build, which could otherwise cost developers hundreds of thousands of dollars in additional personnel. The TIS helps catch potential issues early, preventing future liabilities.

While the insurance is designed to protect the buyer, it also safeguards the developer. Should any structural, waterproofing, weatherproofing or MEPS (mechanical, electrical or plumbing systems) issues arise, the developer is covered for out-of-pocket costs. Developers understand the importance of completing projects smoothly and moving on to the next one without lingering problems. Given the large number of trades involved in constructing new buildings, LDI offers significant peace of mind.

<h2>How does LDI benefit buyers?</h2>

In Sydney, past incidents like the Mascot and Opal Towers issues have left many buyers wary of off the plan purchases. While these events occurred over six years ago, they still <a href="https://www.urban.com.au/news/what-is-latent-defects-insurance-and-is-it-bringing-confidence-to-the-off-the-plan-apartment-market">impact buyer confidence today</a>. However, the new development market is much stronger now, with stricter checks and regulations in place. Ultimately, Latent Defects Insurance provides protection for all parties.

In rare extreme cases, where residents may need to vacate due to major defects, <a href="https://www.urban.com.au/expert-insights/building/the-advantages-of-first-resort-strict-liability-latent-defects-insurance-for-off-the-plan-property-buyers">LDI offers first-right protection</a>, ensuring buyers are financially covered. Thanks to the continuous inspections carried out by TIS throughout the construction process, such situations are unlikely to occur, but LDI is there as a safety net if they do.

Latent Defects Insurance 101: How off the plan developers and buyers both benefit from Resilience Insurance LDI

Prominent New Zealand apartment and hotel operator, <a href="https://www.urban.com.au/developers/safari-group">Safari Group</a>, is offering up a prime investment opportunity for Australians to purchase off the plan in one of the world’s most popular ski destinations.

They recently took to market Mountain Oak Queenstown Apartments, in the growing precinct of Remarkables Park in Frankton, near the airport and at the foot of The Remarkables - the mountain range the locals like to call “The Remarks”.&nbsp;

Sydney investors have shown interest in the one, two and three-bedroom apartments that secure high-season occupancy six months over the year, primarily over summer and winter months.

They average 90 per cent occupancy across their portfolio over January, February, March, August, November and December, while shoulder season months of April, July, September and October are still occupied 70 per cent of the time, with the growing appeal of Queenstown becoming not just a hotspot for the snow, but a lifestyle destination.

Even in the low seasons of May and June, occupancy levels reach around 40 per cent.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/f_auto,c_limit,w_1440,q_auto/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/field/image/Ext_Cam15_Sunny.jpg?VersionId=SJAROUM_1s.Tr5ciMk4EEj5oAt_Vewmv" />

Safari’s Safari Hotels arm can also manage the holiday letting for an investor, from the listing on holiday accommodation websites such as Airbnb and Booking.com to the cleaning and maintenance of the investment. They’ve been in the short stay management business for 15 years and offer 24/7 support for investors, an important convenience benefit for any overseas investor

Another major drawcard for Australians is that New Zealand doesn’t have a stamp duty policy - so the entry price of NZ$639,000 (AU$586,000), is all that is payable on completion.

<img alt="Safari Group’s Mountain Oak Apartments brings new investment potential to Queenstown" data-entity-type="" data-entity-uuid="" src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,dpr_2.0,q_auto:good/https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/313_Livingv2_WEB.jpg?VersionId=nV229fM0ZeYpoxOrX372HyGjfwY_LR8c" />

Safari is starting construction of the 141 apartments in Q2 this year, with a two-year build estimated to complete in mid-to-late 2027.<img alt="" data-entity-type="" data-entity-uuid="" height="15" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXczFpFAb7WuA6f4f9TtKWcqXyNwR8qqtakWv352ERkpqNlP3KwIo8YKxw67jZNHfpjEGIZGv5MQTbnvLZwNt8iu9IVdOrswOjCvBZ4zhSoOOLrpt6etVEZTN1gkBho0r_R72zdHNA?key=yq3daOanqHSb88QFd8jGYKdb" title="Click and drag to move" width="15" />​

The apartments will feature modern amenities and contemporary designs with expansive windows capturing sweeping views of The Remarkables mountain range.&nbsp;

Interiors are equipped with modern finishes, premium appliances, and secure electronic key-locked doors, ensuring a comfortable living experience for residents and guests alike.

With its strategic location near Coronet Peak and Cardrona Alpine Resort, as well as key retail and dining precincts such as Market Street, Five Mile Shopping Centre, and Remarkables Market, Mountain Oak offers a strong proposition for investors seeking high rental yields and capital appreciation in one of New Zealand’s most sought-after locations.&nbsp;

Queenstown’s sustained demand for visitor accommodation and rental properties is underpinned by a shortage of housing options, attracting both local and international buyers.

Safari Group offers low-touch investment proposition in Queenstown’s popular ski fields district

The construction industry demands meticulous attention to quality and compliance, and the Technical Inspection Service (TIS) has emerged as a critical component in achieving these standards.

Designed to assess and enhance building quality, the TIS program plays a pivotal role in reducing risks, securing <a href="https://www.urban.com.au/news/resilience-latent-defects-insurance">Resilience Latent Defects Insurance</a> (LDI), and ensuring long-term confidence in construction projects.

Unlike traditional certification systems, the TIS sits above existing frameworks, providing an independent, comprehensive layer of quality assurance. By proactively identifying and rectifying potential issues during the construction process, the TIS sets a new benchmark for industry accountability.&nbsp;

Read more:&nbsp;<a href="https://www.urban.com.au/news/what-is-latent-defects-insurance-and-is-it-bringing-confidence-to-the-off-the-plan-apartment-market">What is Latent Defects Insurance and is it bringing confidence to the off the plan apartment market?</a>

<h2>What is the Technical Inspection Service (TIS)?</h2>

The TIS program is an independent, third-party review process that monitors and evaluates a building’s design and construction. Its purpose is to ensure compliance with local codes, regulations and best practices, while also addressing risks that other systems might overlook. By integrating regular inspections and detailed assessments into every stage of construction, the TIS significantly reduces the likelihood of latent structural defects—issues that become apparent only after project completion.

This proactive approach is a mandatory requirement for obtaining Resilience LDI, which provides 10 year protection for property owners against hidden structural and waterproofing defects.

<h2>How the TIS Sits Above Traditional Systems</h2>

While standard certification systems focus on verifying compliance with minimum regulatory requirements, the TIS goes beyond by offering a deeper and more comprehensive review of the construction process. Key distinctions include:

- Independent Oversight: Unlike certifiers who may work closely with project teams, the TIS providers operate independently, ensuring unbiased and rigorous assessments.

- Enhanced Quality Assurance: the TIS program focuses on potential risks that may not be detected by standard certifiers, such as detailed evaluations of waterproofing, structural integrity, and geotechnical considerations.

- Integrated Risk Management: By addressing risks proactively, the TIS complements and strengthens existing certification processes, adding a robust layer of oversight.

<h2>Key Components of the TIS Program</h2>

1. Design Risk Assessment 
 
Before construction begins, the TIS provider conducts a comprehensive review of the project’s plans, specifications, and structural designs. This ensures that potential flaws are identified and resolved at the earliest stage, preventing issues from arising during or after construction.

2. Regular Site Inspections 
 
Throughout the construction process, the TIS program involves regular spot audits and scheduled inspections at critical milestones. These inspections verify that the building adheres to the approved plans and meets the highest quality standards. Issues are identified and corrected in real-time to minimise delays or risks.

3. Detailed Quality Assurance Reporting 
 
Each inspection is followed by a detailed report, providing transparency and actionable recommendations. These reports are shared with project teams, ensuring any concerns are promptly addressed and resolved.

4. Final Completion Review 
 
At the end of construction, a final detailed review is conducted to certify that the building meets all requirements for Resilience LDI coverage. This certification provides the assurance needed to secure the policy.

<h2>The Added Benefit: 10 Years of Protection</h2>

One of the most compelling aspects of the TIS program is the 10-year protection it provides through its alignment with Reslience LDI. This long-term coverage ensures that any structural and waterproofing issues missed during the construction and inspection phases are addressed without financial burden on property owners.

For buyers, developers, and financiers, this decade-long protection adds a layer of confidence rarely matched by traditional systems. Knowing that issues arising years later will be covered fosters trust in the project and enhances its value in the market.

<h2>How the TIS Program Facilitates Resilience LDI</h2>

Resilience LDI provides property owners with coverage for latent defects, such as structural or waterproofing issues, that may emerge years after project completion. To qualify for Resilience LDI, compliance with the TIS program is mandatory. By addressing potential risks and certifying the quality of construction, the TIS program ensures that projects meet the stringent requirements necessary for Resilience LDI coverage.

<h2>Why Developers Should Embrace TIS</h2>

- Enhanced Marketability: Projects with TIS-backed, Resilience LDI coverage are viewed as safer investments, attracting buyers and investors who prioritise quality and risk mitigation.

- Streamlined Risk Management: The independent, proactive approach of the TIS program reduces the likelihood of costly repairs, legal disputes or reputational damage.

- Higher Valuations: Properties backed by Resilience LDI often achieve higher market valuations due to their perceived quality and reduced risk profile.

- Improved Buyer Confidence: The 10-year protection provided by Resilience LDI reassures buyers, making properties more appealing and easier to sell.

<h2>TIS: A Step Toward Better Industry Standards</h2>

The Technical Inspection Service represents a significant shift in how the construction industry approaches quality assurance. By providing a rigorous, independent layer of oversight that complements existing systems, the TIS program ensures that projects meet the highest standards of safety, durability, and reliability.

For developers, embracing the TIS program isn’t just about meeting insurance requirements—it’s about building trust, enhancing marketability, and delivering long-term value. As the Australian construction industry evolves, Resilience LDI and the TIS program will play a crucial role in shaping a future defined by accountability, quality, and confidence.

Resilience LDI may be the safety net, but the Technical Inspection Service is the foundation that makes it possible. Together, they represent the future of construction assurance.

The TIS program is an independent, third-party review process that monitors and evaluates a building’s design and construction

Latent Defects Insurance 101: What is the Technical Inspection Service (TIS) Program

Resilience Latent Defects Insurance (LDI) is not just an essential safeguard for structural integrity—it’s becoming a defining factor in how properties are valued, sold, and perceived in the market.

With Australia witnessing a gradual adoption of Resilience LDI, insights from international markets reveal a clear trend: properties with LDI sell faster, command higher prices and maintain stronger resale values.

This shift is beginning to reshape valuation assessments and market dynamics across the Australian property sector.

The Impact of LDI on Property Valuations

In countries where LDI is well-established, such as the UK, Saudi Arabia, USA and France, properties backed by LDI consistently demonstrate higher valuations compared to those without. The reasons are clear:

- Reduced Financial Risk: LDI protects against costly latent defects, offering buyers peace of mind that any structural issues will be covered without financial disruption.

- Enhanced Buyer Confidence: Knowing that a property is backed by LDI assures buyers of its quality and reduces hesitation during the purchasing process.

- Stronger Financing Terms: Properties with LDI are often viewed more favourably by financiers, enabling smoother and faster transactions.

In the UK, residential developments with LDI sell faster than those without, with a price premium of four to five per cent, depending on location and building type. This demonstrates the strong correlation between LDI and marketability.

Faster Sales and Higher Prices

LDI-backed properties have a significant competitive advantage in the marketplace. These projects:

- Attract More Buyers: With concerns about structural and waterproofing issues removed, buyers are more willing to invest in LDI-backed properties, particularly in high-density developments.

- Sell Quicker: The assurance LDI provides reduces the decision-making time for buyers, allowing properties to move faster through the sales pipeline.

- Achieve Premium Pricing: Buyers are often willing to pay more for the assurance that LDI offers, viewing it as a long-term investment in quality and reliability.

Australian developers who integrate Resilience LDI into their projects are already beginning to see similar trends. In a market where buyer caution has grown due to high-profile defect cases, Resilience LDI offers a competitive edge.

Robust Resale Values

LDI doesn’t just impact the initial sale of a property—it also has long-term implications for resale value. Properties with LDI maintain stronger resale prices for several reasons:

- Continued Coverage: LDI policies provide coverage for 10 years, giving subsequent buyers the same peace of mind as the original purchasers.

- Perceived Quality: The presence of LDI signals a higher standard of construction, which translates into higher buyer confidence even years after completion.

- Lower Risk for Investors: For property investors, the reduced risk associated with latent defects ensures that the property remains a stable and attractive asset.

The Australian Context: A Shift in Valuation Assessments

Australia’s valuation assessments are beginning to reflect the influence of Resilience LDI. Properties with Resilience LDI are increasingly being viewed as lower-risk investments, prompting valuers to assign higher values compared to similar projects without such coverage. This shift is particularly notable in:

- Multi-Residential Developments: Given their complexity and higher risk of defects, Resilience LDI-backed projects in this segment are gaining a significant valuation boost.

- High-Density Housing: Buyers and investors in high-density developments are prioritising properties with LDI, pushing demand—and valuations—higher.

Lessons from International Markets

In the UK, LDI-backed developments not only sell faster but also face fewer legal disputes post-sale, which further bolsters buyer and investor confidence. Similarly, France’s mandatory decennial liability insurance for new builds has created a market where properties with coverage enjoy better resale performance and stronger demand.

These international experiences provide a roadmap for Australia’s emerging LDI market. As developers, financiers and buyers increasingly recognise the value of Resilience LDI, its adoption is expected to become a standard for high-quality developments.

The Future of LDI in Australia

As Resilience LDI becomes more prevalent, its benefits will continue to shape the property market. Developers who adopt Resilience LDI for their projects can expect:

- Faster Sales Cycles: Properties with Resilience LDI will move through the market more efficiently, reducing holding costs and enhancing profitability.

- Higher Valuations: The assurance of defect coverage will drive demand, pushing prices higher for both initial sales and resales.

- Stronger Buyer Loyalty: Buyers who experience the benefits of Resilience LDI-backed properties are likely to return for future projects by the same developer.

For buyers, Resilience LDI offers unparalleled peace of mind, while for developers, it provides a critical differentiator in an increasingly competitive market.

A Win-Win for All Stakeholders

Latent Defects Insurance is no longer just a safety net—it’s a value driver. For developers, it’s a way to build trust, ensure faster sales, and command higher prices. For buyers, it’s a guarantee of quality and protection against unforeseen costs. And for the Australian property market, it’s a step toward a more accountable and resilient future.

The message is clear: Resilience LDI-backed projects are the future of Australian real estate. Developers who embrace this shift will not only see immediate benefits in valuation and sales but also build lasting trust with buyers and investors.

The game-changing insurance not only protects properties but also enhances their marketability, helping builders, developers and homeowners unlock greater value

Resilience Latent Defects Insurance: A catalyst for higher property valuations and resale confidence

Buying off the plan isn't for everyone.

Every building begins as a new build before aging into the secondhand property market, much like cars transition from the showroom to the used car lot. While most Australians purchase established homes—akin to the prevalence of used cars on our roads—the majority of property buyers are more familiar with existing real estate.

While the concept of off the plan purchasing has been around for decades, the trend only really gained momentum in Australia in the 2000s, following a recovery from the early 1990s recession. As the market stabilized, property developers increasingly saw opportunities in multi-residential developments, particularly in major cities like Sydney, Melbourne, and Brisbane.

As urban centers grew, there was rising demand for apartments, particularly in inner-city areas. The trend toward apartment living grew as people sought more affordable and convenient living options close to city centers.

Now, off the plan buying in Australia is widespread and growing, and the type of purchasing has become favorable for those who are willing to wait for construction to complete on their new home. It favors first home buyers who want to get into the property market but aren't ready to make repayments or are increasingly frustrated by being outbid at auctions in the more traditional established market.

Downsizers have been the biggest movement in recent years. These buyers typically purchased their family home decades ago and are now ready to move into something closer to the city from the suburbs they've lived in. They seek properties that are low-maintenance and “lock and leave,” ideal for travel in retirement, and prefer buildings with high levels of amenities for added convenience.

While there are many factors that contribute to the popularity of off the plan buying, in this article, we’ve looked at eight of the biggest reasons why people choose this option.

<h2>Floorplans designed for 21st-century living</h2>

The majority of Australia's apartment buildings, particularly the classic 'walk-up' apartments, were built four or five decades ago.

While these properties present at a more affordable price point compared to brand-new developments, they don’t have the modern floorplan configurations that today's buyers expect for 21st-century living.

Many of these older buildings still feature communal coin-operated laundries, carport parking, and lack modern intercom systems for security.

New apartments now typically feature integrated study nooks (a response to the growing work-from-home trend), concealed internal laundries, balconies to extend the main living area, and kitchens with floating islands that create additional prep or dining spaces.

<h2>Customisation</h2>

Off the plan buyers often have the option to customise their apartments. This could be as simple as selecting a color scheme or upgrading appliances, or as significant as combining two apartments to create a larger unit or changing internal walls to adjust room configurations.

For an owner to do this in an established apartment, a renovation of that scale could cost hundreds of thousands of dollars, and it may not even get past the strata committee, which can be notoriously difficult when it comes to apartment renovations.

Read more:&nbsp;<a href="https://www.urban.com.au/news/vic/why-the-ability-to-customise-is-a-crucial-offering-in-the-off-the-plan-apartment-market">Why the ability to customise is a crucial offering in the off the plan apartment market</a>

<h2>Sustainability</h2>

New apartment buildings have a responsibility to focus on sustainable practices.

Most state governments enforce sustainability requirements, and now buildings have to be 7-star NatHERS rated, which means they must include energy-efficient features like double glazing and better insulation.

While it's a positive for the environment, it's also a benefit for new apartment buyers. Energy-efficient appliances and standard practices like solar panels and rainwater harvesting can save thousands on electricity and water bills every year.

You’d be hard-pressed to find an apartment building built before 2000 with solar panels.

<h2>Technology</h2>

Developers today go the extra mile to set their developments apart, and a small feature they often include is advanced technology.

Some developers offer keyless entry systems, whether through keypad door handles or facial recognition, as well as smart home capabilities like routine-driven lights or Wi-Fi-controlled air conditioning. Many fixtures in an apartment, from blinds to air conditioning and lighting, can be controlled remotely via an app, whether at home or not.

This enhances both the functionality and security of living in these buildings.

Developers creating large towers or masterplanned communities in particular understand they're not just building homes, but fostering a community. They&nbsp;go as far as offering a mobile phone application, which, depending on the project, can be used to reserve any of the bookable facilities, request concierge services, or see what community events are taking place.

<h2>Facilities</h2>

One of the biggest differences between apartment buildings from the 1960s and those of today is the level of facilities.

While the facilities offered vary depending on the size of the apartment building, developers dedicate significant resources and floorspace to ensure that residents are well-catered for within the building.

At a minimum, developers allocate large portions of the site for walkable gardens, often landscaped by a professional. Smaller boutique buildings, which may not have a pool or gym, often feature rooftop communal spaces with barbecue facilities and alfresco dining areas.

Larger skyscraper towers go all out with luxury facilities. It's no longer enough to have just a pool and a basic gym. Now, towers are offering facilities that rival those of high-end hotels.

Lap pools, accompanying spas, and daybeds are now standard. Gyms are often replaced with wellness centres that include saunas, hot and cold plunge pools, and rooms reserved for classes or yoga.

Private dining spaces with large communal kitchens have become common, and many developers in Brisbane and the Gold Coast orient these facilities on the rooftop to take advantage of the warmer climate.

In recent years, some towers have even included golf simulators, cinemas, and karaoke rooms. The majority now feature co-working spaces. Buildings with a prominent street presence often include a ground-level café, while those on larger sites may offer multiple hospitality and retail venues at street level, along with office spaces on the lower floors.

Parking is also becoming more innovative, with license plate recognition systems that sometimes eliminate the need for key fobs.

<h2>Location</h2>

The location of new developments tends to be more strategically selected than older buildings.

Developers nowadays ensure their sites are close to major transport links or local amenities like parks, beaches, and shopping areas. Buyers are less willing to compromise on location when they’re paying more than ever before for a new apartment.

<h2>The fact it's brand new</h2>

Much like the customisation reason, the fact that the apartment is brand new is a huge selling point.

There’s no need to upgrade any fixtures or fittings once the apartment is complete. New apartments feature top-of-the-line appliances, typically from brands like SMEG or BOSCH, with some luxury apartments offering Gaggenau appliances.

Additionally, improvements in flooring materials, like engineered timber and stone benchtops, provide durability and a modern finish that is resistant to wear and tear.

<h2>Financial benefits</h2>

Buying off the plan comes with several financial advantages, including potential stamp duty savings in certain states, which can significantly reduce costs on completion.

Additionally, the staggered payment structure in the off the plan market allows buyers to secure a property at today’s prices while saving for settlement during the construction period.

Generally, buyers pay 10 percent upon going unconditional on the contract, with the remaining 10 percent due on completion. Many developers, however, offer flexible deposit terms, which could be as low as five percent.

The deposit is placed in a protected trust account by the developer, ensuring that the money is safe and untouched, while also generating interest during this time. That interest is handed to the buyer upon completion.

Eight reasons why people buy an off the plan apartment

Australia’s growing ageing population will underpin the opportunity for a significant housing response, with the possibility of shaping future demand and dwelling requirements across the nation.&nbsp;

Based upon ABS population projections across Greater Sydney, Greater Melbourne, Greater Brisbane and the ACT, the population aged 55+ will increase by 4.5 million people by 2071, highlighting the ongoing requirement for new housing solutions to be delivered across the market to cater towards both this demographic and others impacted by their emergence. This population cohort (55+ years) currently represents around 1 in 4 people and is anticipated to shift to around 1 in 2.5 people by 2071 across each of the capital city markets above. &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; &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; 
Through the medium term, Greater Melbourne is set to see the largest nominal increase of people aged 55-74 years old, followed by Greater Sydney and South-East Queensland, making it a prime location for right-sizers, however, the growth across each will support strong right sizing opportunities in each respective market.

“The right-sizer cohort is increasingly reflecting a blend of the established “Baby Boomers” and emerging “Generation X” that are ageing into this cohort,"&nbsp;Managing Director of Residential at Colliers, Diana Sarcasmo, said.

"With the recognition of changing expectations and aspirations across the generations, housing choice and requirements will need to be a dynamic consideration for the future. This increase in population will underpin the critical decisions of property developers and policymakers moving forward, as they need to cater for the ‘right-sizer’ cohort.”

As part of efforts to address Australia’s housing supply crisis, many older homeowners are opting to move out of large, underutilized homes into apartments that better suit their lifestyle needs. This trend frees up larger houses for families, making better use of existing housing stock and creating new opportunities for those seeking more space.

“While right-sizing is not a standalone solution, it highlights how individual choices can contribute to alleviating housing pressures. Combined with broader initiatives like increased construction and urban planning, this movement represents a small but meaningful step towards more sustainable housing solutions in Australia,” Sarcasmo added.

As of 2021, the number of detached homes owned outright by households over 55 in capital city markets totals 855,260, according to the ABS. In comparison, the total of current occupied apartment stock throughout the market is 939,763. This highlights the potential impact that downsizing detached homeowners may have on apartment demand, especially as the ageing population continues to grow).

Rightsizers have highlighted a reduction in dwelling size, decluttering, more manageable internal and external spaces as well as potential financial benefits being prime motivators for moving. &nbsp;Many of these benefits can be facilitated through well-designed apartment options, with right-sizers able to use funds from the sale of a detached home to support their lifestyle into retirement.&nbsp;

While historically there has been a higher representation across two-bedroom options occupied within apartments owned outright by these cohorts, it is expected this new trend will support an increasing push and opportunity for three-bedroom options, from this right-sizer cohort.

“The increasing representation of couples without children residing within apartments has the potential to support a greater demand for three-bedroom options. This trend has been observed across recent movers into apartments as well as detached houses. Three bedrooms offer increasing space for a larger ageing household with the flexibility to repurpose rooms to align with right-sizer’s lifestyles as they age,” Ms Sarcasmo said.

Historically, apartment stock has had a greater focus on one- and two-bedroom options, as apartments are increasingly required to support more permanent and diverse households. It is anticipated that three-bedroom stock will increasingly reflect the demands of these households in the future.

“To date, there has been a focus on smaller scale projects occupied by right-sizer and retiree households, however, they have also demonstrated acceptance of a diversity of project types (including medium and higher density). Developers should increasingly have these occupiers in mind when considering their project designs and product compositions with consideration for the significance of this demographic shift,” Ms Sarcasmo said.

Capital cities across the east coast will need to adapt to the surge of ‘right-sizers’, with innovative solutions required to meet growing demand.

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