A Final Verdict and Catholic Nuns to the Rescue


In Blackman’s Bay, The Presentation Sisters, a group of Catholic nuns have gained development approval to turn their retreat centre and land into 70 affordable housing homes to alleviate Tasmania’s accommodation crisis. The 3ha parcel of land was purchased in 1929. The Mercury

Australia’s slowing housing market has seen the total value of Chinese-backed investments fall to $1.3 billion last year. As we usher in the Chinese New Year this week, the figures by Knight Frank’s Market Insight 2019 report reveal these numbers are down from $2.02 billion in 2017. Although Chinese developers have secured their presence in the market, acquiring up to 31 per cent of total development sites nationally last year. Urban Developer

In a solid result, the desire for office space in Hobart’s central business district remained positive, according to new data released by the Property Council of Australia. The Australian Office Market Report showed Hobart CBD’s office market vacancy rate held steady at 5.9 per cent, up marginally from 5.8 per cent over 12 months to January 2019. Tasmanian Executive Director of the Property Council, Brian Wightman, noted that the market has tightened significantly due to tenant demand over the last three years. Property Council of Australia

Property Council chief Brian Wightman’s warning last week that investors are being scared off from spending their cash in Hobart is a concerning one. As we all know, Hobart is enduring a rental crisis. The average price has gone up 20 per cent in a year, and the city is now the least affordable capital in which to rent a property (based on average incomes). The Mercury

Conditions remain tough for developers in kicking off new projects, with slow pre-sales rates making it harder to reach high financier pre-sales hurdles, particularly for larger development projects. JLL’s state residential apartment market report shows there were 40,800 apartments under construction at the end of the fourth quarter last year, this figure down from 44,300 at the end of the third quarter for 2018. Urban Developer

According to Deloitte, infrastructure spending looks set to retreat over the next two years with the culmination of a number of major transport projects. Infrastructure spending, which will reach a peak of almost $40 billion in 2019, was originally projected to lift sharply, a prediction which has since been downgraded. Urban Developer

The royal commission final report, handed down on Monday, will not adversely affect the housing market or force an unnecessary credit squeeze. Despite some alarmist messaging about the royal commission triggering a housing bust, Kenneth Hayne’s final report into the finance sector did not recommend the banks further tighten lending standards. Urban Developer

Australia's weakening housing market continues to be led by its two largest cities Sydney and Melbourne, where values have fallen by at least 1 per cent on a monthly basis each month since November last year. The latest Corelogic results take Sydney dwelling values back to July 2016 levels, two-and-a-half years ago. While Melbourne's market peaked four months after Sydney, its values are now back to January 2017 levels. Urban Developer