The Gold Coast new apartment market is showing no signs of slowing down.

The latest Colliers Market Overview for September revealed that the average price of a new apartment has surged to a new high of $1.77 million.

The latest price for the June quarter has risen from almost $1.4 million compared to the same period last year as the market continues to be driven higher by high demand and constrained supply, amid rising construction and debt costs.

However, Colliers says it’s not only buyers at the luxury end of the market that are feeling the price pinch as most houses on the <a href="https://www.urban.com.au/developments/gold-coast-qld">Gold Coast</a> are currently selling between $1 million and $2 million – a massive increase over the past four years as the Gold Coast construction sector struggles to keep pace with interstate and intrastate migration.

“Apart from the record median price for new apartments, the key findings in our latest report reveal the dramatic price growth of residential property on the Gold Coast since the pandemic,” said Steven King, the Gold Coast Director in Charge at Colliers.

“Just a few short years ago, the dominant price bracket for house sales on the Gold Coast was between $400,000 and $700,000 whereas now it is $1 million to $2 million.

“Price growth has effectively been supercharged on the Gold Coast although we are now seeing affordability, particularly for homes, beginning to temper that growth.”

[smartcode_project:default project_id=107928 project_image_fid=234102]

The Colliers research reveals that Gold Coast home prices have increased 76 per cent since the pandemic in 2020 and 12 per cent in the 12 months to the end of June.

In 2024, houses that sold for $1 million or more accounted for 59 per cent of total sales, which is up from 18 per cent in 2020, as population growth intensified the pressure on prices. House sales above $2 million have increased their share of total transactions from 3 per cent to 13 per cent during the same period.&nbsp;

Apartment prices in general have also grown at a heady pace over the past four years - although not as quickly as houses - at 60 per cent to a median price of $761,000. Colliers points out that apartment prices on the Gold Coast are now comparable to house prices in 2020 and early 2021.

[smartcode_project:default project_id=113271 project_image_fid=290033]

“While the latest median price for new apartments of $1.77 million has been driven by sustained demand and limited supply at the top end of the market, it actually reflects what is happening across the broader property market on the Gold Coast,” King added.

“Certainly, prices at the very top have pushed new highs and clearly set this sector apart from the broader market, but it’s also a bellwether of where the Gold Coast market, in general, is heading as affordability issues hamper some sectors.

“For the moment, we are not seeing a lot of push-back from buyers at the premium end of the market but, if this sector of the market slows, we could expect this to eventually impact the broader market.”

[smartcode_project:default project_id=107928 project_image_fid=234096]

The Colliers report points out that the Gold Coast economy has grown strongly since the pandemic and so has its appeal that has led to more visitors, residents, and investors, who have supported the steady increase in property prices.&nbsp;

Migration has also driven a changing demographic on the Gold Coast since the pandemic, led by an influx of professionals and investors drawn to the region’s modern facilities and expanding infrastructure.

Colliers Residential Director David Higgins says rising&nbsp;costs are playing a part in overall price growth on the Gold Coast, but so is a shortfall in supply with the latest dwelling approvals showing the Gold Coast is failing to deliver enough homes to meet the targeted population growth of the next two decades.

Colliers notes that the rise in the median price for new apartments shows that underlying demand has yet to wane, which continues to support prices for available development sites, especially those in prime locations with protected view corridors that facilitate premium residential offerings.&nbsp;

“The values for these transactions have remained relatively stable while developers of premium boutique projects are passing on higher construction costs to buyers,” Higgins said.

Colliers says that luxury developments that command premiums are particularly attractive to downsizers by offering exclusivity, quality and prime locations.&nbsp;

The development of new apartments is currently focused on the central Gold Coast precinct, which comprises Southport, Surfers Paradise, and Broadbeach.

The June quarter saw 331 new apartment sales, with V&amp;A at Broadbeach and Imperial Square at Southport contributing nearly 50 per cent of these sales.&nbsp;

Colliers points out that the Gold Coast economy has grown strongly since the pandemic and so has its appeal that has led to more visitors, residents, and investors, who have supported the steady increase in property prices.

Joel Robinson

Gold Coast new apartment prices hit record high

Busy apartment developer Mosaic Property Group is going through its site acquisition phase, securing yet another development site on the Gold Coast.

Fresh off the back of buying prime sites in Broadbeach and Palm Beach, the <a href="https://www.urban.com.au/developers/mosaic-property-group">Brook Monahan-led developer</a> has purchased again, in an area they know all too well.

The site, at 166 The Esplanade, Burleigh Heads, will be their fifth project in the sought-after suburb. They've previously completed&nbsp;<a href="https://www.urban.com.au/new-apartments/grace-by-mosaic-4-second-avenue-burleigh-heads">Grace by Mosaic</a>&nbsp;(January 2023),&nbsp;Augusta by Mosaic,&nbsp;(August 2024), and&nbsp;<a href="https://www.urban.com.au/new-apartments/florence-by-mosaic-42-the-esplanade-burleigh-heads" target="_blank">Florence by Mosaic&nbsp;</a>(completed September 2024). Their fourth Burleigh Heads apartment development,&nbsp;<a href="https://mosaicproperty.com.au/buying/isabel-by-mosaic/" target="_blank">Isabel by Mosaic</a>, is due&nbsp;for completion mid-2026.

The new development will form part of Mosaic's Masterpiece Series, a collection of developments aimed at the premium end of the market.

EMK Architects has drawn up the plans for 28 half and full-floor apartments and skyhomes across an 18-level building,

The building will replace a 1970s block of 10 apartment on 1,012 sqm. GV Property Group's Antonio Mercuri amalagamted the site that has 20 metres of frontage to The Esplanade.

Last month Mosaic <a href="https://www.urban.com.au/news/qld/first-look-exclusive-mosaic-file-plans-for-fifth-broadbeach-apartment-development">filed plans for their fifth apartment development</a> in Broadbeach. The site, on Mary Avenue, also put together by GV Property Group, sits opposite the Broadbeach State School.

They're planning 59 apartments across a 38-level towert designed by <a href="https://www.urban.com.au/architects/elenberg-fraser">Elenberg Fraser</a>.

Mosaic is&nbsp;currently delivering sister towers&nbsp;<a href="https://www.urban.com.au/new-apartments/lily-by-mosaic-4-rosewood-avenue-broadbeach">Lily by Mosaic</a>&nbsp;and&nbsp;<a href="https://www.urban.com.au/new-apartments/marella-146-surf-parade-broadbeach">Marella&nbsp;by Mosaic</a>&nbsp;in the area, after previously completing Bela and Dawn nearby.

Read more:&nbsp;<a href="https://www.urban.com.au/news/qld/first-look-exclusive-mosaic-file-plans-for-fifth-broadbeach-apartment-development">First look exclusive: Mosaic file plans for fifth Broadbeach apartment development</a>

Mosaic's next Gold Coast development to hit the market will be <a href="https://www.urban.com.au/new-apartments/sophia-by-mosaic-1357-gold-coast-highway-palm-beach">Sophia by Mosaic</a>&nbsp;at 1357 Gold Coast Highway, Palm Beach. That will have 32 apartments designed by BDA.

The developer is also busy in Brisbane, preparing to launch <a href="https://www.urban.com.au/new-apartments/the-bedford-by-mosaic-25-ferry-street-kangaroo-point">The Bedford by Mosaic</a>, a site bought from Woolworths' development arm Fabcot, who had secured approval for 128 apartments.

Mosaic tweaked the plans, dropping the one-bedroom apartments and increasing the number three and four-bedroom apartments which is more akin to their development ethos. They're keeping the full-line Woolworths at street level.

On the site purchase, Monahan emphasised the long-term significance of the acquisition.

"This iconic site has been on our radar since 2016, known to many as a dormant opportunity burdened by years of challenges," Monahan said.

"After a thorough 12-month process, we are honoured to have been entrusted by Woolworths to bring this landmark site to life. It is a truly special location."&nbsp;

Monahan said Kangaroo Point has long awaited a project that introduced essential amenities while further elevating the area's architectural landscape.

"Our collaboration with Woolworths is rooted in a shared vision—to seamlessly integrate luxury living with retail convenience, ultimately enriching the lives of residents and the broader community."&nbsp;

The new development will form part of the Masterpiece Series, a collection of developments aimed at the premium end of the market.

First look exclusive: Mosaic secure another Gold Coast apartment development site

A national new home building recovery is in sight, but state government housing policies risk stalling the recovery.

That's the view from HIA Senior Economist, Matt King, after the HIA&nbsp;released its Economic and Industry Outlook report.

The report includes updated forecasts for new home building and renovation activity nationally and for each of the eight states and territories.

“At the national level, demand for new homes is accelerating and this is largely due to the fact that the RBA hasn’t increased interest rates for a year, population growth is still elevated, the unemployment rate remains low and real incomes have stabilised,” King said.

“While activity is picking up, the varied nature of activity levels across capital city and regional markets continues to be pronounced.

“We have confidence that new home-building activity across most markets will continue to improve as we transition into the new year."

King said however that <a href="https://www.urban.com.au/developments/sydney-nsw">Sydney</a> remains an outlier, and there is still no indication of a near-term rebound in both detached houses and multi-residential buildings.

“New home building in the Sydney basin remains exceptionally low, primarily due to exceptionally high land prices and an ongoing excessive impost of housing taxes and infrastructure charges."

<a href="https://www.urban.com.au/developments/perth-wa">Perth</a>, <a href="https://www.urban.com.au/developments/adelaide-sa">Adelaide</a>, and South East Queensland continues to lead the way in new contract sales and building approvals, despite ongoing supply-side constraints.

In the September quarter of 2024, building approvals increased from the corresponding quarter last year in Western Australia (+60.1 per cent), Queensland (+24.2 per cent) and South Australia (+16.3 per cent) in seasonally adjusted terms.

The calendar year 2024 has produced a growing divergence of both geography and typology.

The detached home building sector looks promising, evidenced most recently by detached house approvals across Australia rising by 6.1 per cent in the month of September to 9,890. This was the highest monthly number of detached house approvals in two years.

King said in contrast, the apartment sector "remains constrained",&nbsp;and is unlikely to experience any material recovery before mid-2025.

"The sector continues to be dampened by skilled labour shortages, business credit constraints and the aftermath of significant building material cost escalation.

“It is anticipated that detached house starts will rise steadily from a trough of 100,230 in 2023 to 115,690 in 2027. If the supply of land and labour are addressed, there is significant upside potential for this forecast.

“With relatively stable economic conditions nationally, home prices will remain elevated, rental vacancies will remain acutely low and demand for new homes will recover."

King says the&nbsp;extent of the recovery in new home building will be determined by the ability of governments to ease the barriers to home building.

“Housing investment is encouraged by the certainty of policy settings. Recent state government announcements to levy increased surcharges on foreign investors and introduce taxes on short-term rental accommodation are unhelpful at a time when stability is needed to achieve the 1.2 million home target.

“Failure to implement policies such as expedited land release, concessions on property taxation, and accelerated development approval timeframes; risk slowing the rate of home building over the next five years.

“At the beginning of this upswing in the cycle and the initial stage of the National Housing Accord target period, now is the time to ensure that each state government housing policy mix is entirely pro-supply,” King stated.

There were 14,090 multi-unit commencements in the June quarter of 2024, which is 7.8 per cent lower compared to the previous quarter and the second weakest quarter in 12 years. This is expected to increase by 15.5 per cent in the September quarter to 16,260, followed by a modest 1.8 per cent increase in the December quarter.

The upswing will bring multi-unit starts in the calendar year 2024 to 62,190, the weakest year since 2011 (62,170). Multi-unit commencements are expected to rise by 11.5 per cent in 2025 to 69,360 and by a stronger 20.9 per cent in 2026 to 83,870, followed by a 20.3 per cent increase in 2027 to 100,860 and a 2028 peak of 104,380.

Home building increasing everywhere but Sydney

A landmark development application has been lodged for the redevelopment of the InterContinental Hotel Double Bay, to deliver a $1 billion lifestyle precinct in the heart of Double Bay Village. 
&nbsp; 
The proposal, with Woollahra Municipal Council, will replace the existing outdated purpose-built hotel with an architecturally designed mixed-use building comprising a high-end retail and dining precinct, landscaped open spaces, cinemas and community spaces on the ground floor, and a new boutique luxury hotel, commercial office suites, a health and wellness centre, and 29 apartments across the seven upper levels.&nbsp;

Designed by <a href="https://www.urban.com.au/architects/cox-architecture">COX Architecture</a> and led by project and development managers Metis Group, 33 Cross Street is the vision of a consortium headed by Rebel Property and Capitel Group, two leading local developers with deep connections to Double Bay and a proven track record delivering high-quality, &nbsp;lifestyle-focused mixed-use projects.&nbsp;

<img alt="33 Cross St Double Bay Aerial" data-entity-type="file" data-entity-uuid="605bfafd-3dd1-4421-907e-1b0d22598fdd" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/33%20Cross%20St%20Double%20Bay%20Aerial.jpg?VersionId=sMJaDwJ8Jeptz78FwkYgu3XG3UCcnNSX" />

<a href="https://www.urban.com.au/developers/capitel-group">Capitel Group</a> Managing Director, Eduard Litver, said the proposal for 33 Cross Street had been designed and planned with the Double Bay community in mind.&nbsp;

“This is the largest privately held site in <a href="https://www.urban.com.au/developments/double-bay-nsw-2028">Double Bay</a> Village, and over the past 25 years there have been numerous concepts, schemes, ownership changes and refurbishments in an attempt to revitalise the site without sustained success,” Litver said.&nbsp;

“Our focus is to deliver the next evolution of this Sydney icon – a truly mixed-use lifestyle destination of enduring quality that inspires local pride garners global recognition, and aligns with Woollahra &nbsp;Council’s vision for Double Bay Village. &nbsp;

“This is Double Bay’s moment – a chance for this site to redefine how people experience this iconic waterfront neighbourhood for years to come."&nbsp;

Rebel Property Managing Director, Allen Linz said almost half of the proposed development has been dedicated to non-residential uses including cinemas, landscaped open spaces, retail and dining, commercial suites and community-accessible services.&nbsp;

“Since the early 1990s, 33 Cross Street has served as a landmark hotel with a limited civic connection beyond one street frontage, while the harbourside community has been transforming into a vibrant cosmopolitan precinct that we know people want to preserve and enrich,” Linz said.&nbsp;

“Our design creates an inviting, permeable street-level experience for all to enjoy while preserving the &nbsp;site’s history with a new right-sized luxury boutique hotel.”&nbsp;

Metis Group Director, Arian Galanis, said the iconic design required a meticulous approach.&nbsp;

“With the client and project team’s extensive experience and local knowledge, we have committed to a design that honours the site’s historic significance while offering an innovative, mixed-use space that caters to the evolving needs of Double Bay,” Galanis said.&nbsp;

“We have engaged with the community to ensure the proposal was thoughtfully considered to set a new benchmark for mixed-use development and will continue to do so throughout the development approvals and delivery process.&nbsp;

“Our shared goal is to create a positive legacy – a precinct that blends seamlessly into the fabric of &nbsp;Double Bay Village garnering local pride and global appeal, a cherished part of its future for years to come."

<img alt="Close Up 33 Cross St Double Bay" data-entity-type="file" data-entity-uuid="e2bb2070-3895-4ccf-99d6-77346bff67ad" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Close%20Up%2033%20Cross%20St%20Double%20Bay_3D_render_by_VV.jpg?VersionId=wor0_l4iFTizwlA9YoaxyfWrH5QaceAz" />

The proposed design was the culmination of a competitive design excellence process aimed at achieving the highest standard of architectural design, setting a new benchmark for development in &nbsp;Double Bay, with COX awarded the design role from four leading Australian and international firms.&nbsp;

COX Director Ramin Jahromi said the proposal embraced timeless architecture.&nbsp;

“33 Cross Street delivers a modern interpretation of classical proportions, featuring timeless materials and sophisticated finishes that create an iconic building with an elegant, enhanced street presence and enduring appeal,” Jahromi said.&nbsp;

“The facade’s glass light columns create a grand and visually stunning experience that draws inspiration from the illuminated fig trees framing the street-level entrance, adding to the site’s landmark status and enhancing safety and beauty at night.&nbsp;

“Community is really at the heart of the new design, with over 90 per cent of the ground plane accessible to the public. &nbsp;

“The design includes a spectacular atrium with a sculptural staircase and striking public art installation, &nbsp;a generous north-facing courtyard, and a six-metre-wide pedestrian walkway connecting Cross Street to Galbraith Walkway and down to Double Bay Beach."

Jahromi said the building has been&nbsp;carefully designed to not exceed the overall height of the existing building and includes recessed upper floors and an architectural green roof with a fully concealed plant that will offer a recessive landscaped aesthetic visible from higher surrounding areas.

Capitel Group Managing Director, Eduard Litver, said the proposal for 33 Cross Street had been designed and planned with the Double Bay community in mind. 

InterContinental Hotel, Double Bay, to become $1 billion lifestyle precinct

The Mornington Peninsula has long been a prime spot for those spending their weekends outside of Melbourne.

The area is dominated by large acreages, with the region having just over 3,000 apartments—less than three per cent of the 145,000 dwellings in the Mornington Peninsula, according to 2021 Census data.

One small coastal pocket, located between Dromana and Mount Martha, is <a href="https://www.urban.com.au/new-apartments/safety-beach-vic-3936">Safety Beach</a>, a tight-knit community with just over 6,000 residents.

[smartcode_project:default project_id=138447 project_image_fid=290733]

A new community that has gained popularity in recent years is Martha Cove, an established precinct offering a rare opportunity to live harborside in Melbourne—a lifestyle that is seldom available.

Martha Cove somewhat addresses the lack of apartments in the Mornington Peninsula.

Renowned construction firm Figurehead identified Martha Cove as a prime location for development. While they’ve built several projects in the area, they’ve just completed their own development through their development company,&nbsp;<a href="https://www.urban.com.au/developers/aperture-projects">Aperture Projects</a>.

[smartcode_project:default project_id=138447 project_image_fid=290744]

<a href="https://www.urban.com.au/buildings/osprey-safety-beach-15-martha-cove-boulevard-safety-beach">Osprey Safety Beach</a> is located in one of the best spots in Martha Cove—just 150 metres from the water and Martha's Table, one of the most popular dining spots in the entire Mornington Peninsula. More than just a restaurant, the venue also features a bar, cafe, adjoining grocery store, and a cellar door showcasing local farmers, producers, and wineries.

Osprey, consisting of just 18 two- and three-bedroom apartments starting from well under $800,000, is attracting city dwellers looking for a weekender as well as local downsizers who previously struggled to find smaller options locally.

[smartcode_project:default project_id=138447 project_image_fid=290625]

While primarily offering a harborside lifestyle, Osprey is located just seven minutes drive from the sand at Safety Beach and only eight minutes from Mount Martha Public Park. With views over Port Phillip Bay and Arthur's Seat, the 53-hectare park offers extensive walking trails connecting the picnic area to the summit and viewing tower.

Osprey apartments are now complete and ready to move in.

[smartcode_project_cta:default project_id=138447]

Martha Cove somewhat addresses the lack of apartments in the Mornington Peninsula

Smithfield warehouse snapped up pre-auction for $3.23 million

Staff reporter

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