Talking to a developer friend this week, he told me of the bizarre predicament he is currently facing. He can get approvals from the council, which is a tick. He can get pre-sales from buyers, another tick. The banks are happy to fund so you’d think, there’s the trifecta. However, he can’t guarantee construction costs or timing, which freezes the entire project, even once it’s started, and it has seen some apartment complexes just screeching to a halt mid-build.
This has forced some developers to go back to their buyers and request an increase on their agreed offers, which many buyers are prepared to do because they see the alternative is no sale at all. But even with these increases, it is still not smooth sailing due to the uncharted building landscape we are currently facing. Each new week sees more opportunities and stimulation for the building sector. The intentions are great, but the resources are limited and the road out is not yet clear.
The answer is not easy but it points clearly to one outcome. Resale prices can’t fall, they can only rise to these new prices which will only continue to power the existing unit market. This market has seen strong growth over the last two years, but it looks like records are about to be broken all over the city.
I’m excited to follow arguably Brisbane’s biggest and best unit, the penthouse atop Riparian Plaza, which is being marketed by Matt Lancashire, and what can be achieved for an international apartment in our city.
In Brisbane’s prestige property market, flat painted gyprock walls are quietly being replaced. Discerning buyers searching for turnkey luxury are drawn to spaces that offer tactile warmth and architectural permanence and microcement, limewash, and Venetian plaster have taken center stage. Here is why hand-crafted wall finishes are driving premium values in suburbs like New Farm, … […]
Last Saturday I called over 30 auctions at The Calile. The properties ranged from entry level to some of the best homes in town. Our October and November auctions have historically been our biggest events. They provide a great macro view of market performance and, more specifically, who’s confident right now. As I wrote last … […]
Cush for Comment | June 29th
Talking to a developer friend this week, he told me of the bizarre predicament he is currently facing. He can get approvals from the council, which is a tick. He can get pre-sales from buyers, another tick. The banks are happy to fund so you’d think, there’s the trifecta. However, he can’t guarantee construction costs or timing, which freezes the entire project, even once it’s started, and it has seen some apartment complexes just screeching to a halt mid-build.
This has forced some developers to go back to their buyers and request an increase on their agreed offers, which many buyers are prepared to do because they see the alternative is no sale at all. But even with these increases, it is still not smooth sailing due to the uncharted building landscape we are currently facing. Each new week sees more opportunities and stimulation for the building sector. The intentions are great, but the resources are limited and the road out is not yet clear.
The answer is not easy but it points clearly to one outcome. Resale prices can’t fall, they can only rise to these new prices which will only continue to power the existing unit market. This market has seen strong growth over the last two years, but it looks like records are about to be broken all over the city.
I’m excited to follow arguably Brisbane’s biggest and best unit, the penthouse atop Riparian Plaza, which is being marketed by Matt Lancashire, and what can be achieved for an international apartment in our city.
That’s a ‘watch this space’.
Latest News
Beyond Paint: Why Microcement & Venetian Plaster Are Winning Over Brisbane Buyers
In Brisbane’s prestige property market, flat painted gyprock walls are quietly being replaced. Discerning buyers searching for turnkey luxury are drawn to spaces that offer tactile warmth and architectural permanence and microcement, limewash, and Venetian plaster have taken center stage. Here is why hand-crafted wall finishes are driving premium values in suburbs like New Farm, … […]
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EVERYTHING LOOKS BAD WHEN YOU COMPARE IT TO THE BEST TIME IN HISTORY
Last Saturday I called over 30 auctions at The Calile. The properties ranged from entry level to some of the best homes in town. Our October and November auctions have historically been our biggest events. They provide a great macro view of market performance and, more specifically, who’s confident right now. As I wrote last … […]
Read Full Post