Hello everybody,
I read the Victorian government is to release massive land for subdivisions that will take up the slack of the short fall in the market.
Does anybody have any information on this.
Sydney is becoming a joke with the cost to produce affordable land, new house and land releases in Sydney are well over the $600,000.00 mark and Queensland over $400,000.00.
Victoria appears to be in the low $300s do you see this rising and pushing up the rents?
Philip Sigglekow
Hi Philip,
Here's a link to an article on the Victorian Premier's website http://www.premier.vic.gov.au/component/content/article/11321.html
It gives a bit of basic information between the lines of propganda!
Andrew
itsandrew
Go as far as you can see and you will see further.
I would wait till the next looming Vic state election occurred before believing that the election propaganda may actually occur.
" East Link freeway will be toll free" that was promised by the current State Government ,
I haven't seen that election promise / propaganda from the previous election occur !
Altering the UGB is just one step and doesn't mean that all the land that is affected will be rezoned. Councillors still have significant power to stop land from being rezoned and to influence density, they also seem to be generally anti development, while the current State Government has a disinclination to do anything, so don't expect a rush of land onto the market any time soon.
So AP are saying it is more intelligent to have higher density or urban sprawl.
Should we be focusing in utilizing current spaces better where there are essential services already installed.
Philip Sigglekow
Fantastic news for Stockland, Devine, Delfin and other esteemed developers in that cohort .Bracks backflipped on the Rockbank green wedge……….now it's going to be wall to wall all the way to Melton.
Now why shouldn't the govt release all this land so that the manufacturers of brand new boxes (house and land packages) are able to supply "affordable" housing to the people who can least afford to live in those outlying areas. These (mostly) FHB will be shackled to being a two car family. Fuel and the lack of amenity will implicate not only long commutes for work however for any decent services and schooling, shopping etc.
Delfin Lend Lease has land north of Craigieburn around Kalkallo the size of Shepparton.
Not sure if what I read some time ago (cannot remember the datasphere source) was accurate however the govt was most elated when Delfin suggested they would pay to bring the train infrastructure to that precinct. I envisage it is part of the Area For Inclusion in Urban Growth Boundary, that sits north of Craigieburn.
No amenity and no protection from further subdivision……..they can carve up blocks ad infinitum out there all the way to Seymour should they wish.
Urban sprawl is an understaement. Utter stupidity!
Hi Michael I am so agreeing with your comment,
We vote in these idiots who have never run a business who create as my lawyer says, tomorrows slums today.
There is so much vacant land in every CBD built up area all around the country that could be better utilized.
As “Kiyosaki” says it does not matter who you vote in power you just have to learn the system.
Cheers Mike
Philip Sigglekow
realestateedu.com.au wrote:So AP are saying it is more intelligent to have higher density or urban sprawl. Should we be focusing in utilizing current spaces better where there are essential services already installed. Philip SigglekowHi Philip, I wasn't expressing an opinion on whether its good or bad, simply what the announcement means. My view on planning is that local Government should be totally excluded from planning and all decisions given to a statuatory authority, as the area is too political at the moment. I also think there should be higher densities around areas with good infrastructure and heavy restrictions on further urban sprawl.
Just curious, but why shouldn't people live on urban fringes if they want to? Why should they be restricted? Ammenities such as schools, transport and shopping areas will develop with it. It has done this out towards Narre Warren, Cranbourne etc. If people have a long commute to work etc., isn't that their own choice? Won't increasing the housing density in the inner areas create serious stress on infrastructure that was only designed for low density housing?
Note: I just find this topic interesting and would like to hear more about people's views.
Andrew
itsandrew
Go as far as you can see and you will see further.
Michael respect you opinion but got to say I think I take a different view. I live in a McMansion estate in the western suburbs. We had a land release last week where they had raised priced of land by 20% and still sold 50 blocks in 2 hours. There really isn’t enough and if we need to build houses there isn’t much we can do about it. Not sure why you think these areas will become slums but like everything estaes have got better with time.
We are close to many schools, parks, train stations and shopping complexes and our roads are not as blocked as the over crowded eastern suburbs. estates are required to provide certain ammenties now and they are also required to fund the costs of upgrading roads around the estate.
I think they have learn from the mistakes 50 years ago of just wacking up houses and worring about infustruture later. The biggest winner for the growth bondries being extended are no the developers but the current land owners who will sell up to devine and the likes for millions and millions of dollars when they most likely brought the land cheaply.
Hi ya Octain,
octain wrote:Michael respect you opinion but got to say I think I take a different view. I live in a McMansion estate in the western suburbs. We had a land release last week where they had raised priced of land by 20% and still sold 50 blocks in 2 hours. There really isn't enough and if we need to build houses there isn't much we can do about it. Not sure why you think these areas will become slums but like everything estaes have got better with time.
Nowhere in my post have I intimated that these areas will become slums. My contention is that with further and further sprawl, the infrastucture will not necessarily follow suit. Especially health, hospitals and the like. There is no hedge to protecting people's investment in the land they build on if they keep carving up blocks ad infinitum
You do not mention which suburb you are in. Perhaps you are already in infill areas, if you are on the fringe, then I stand my ground, you have little hedge to values being protected; only protection is holding for a very long time. The 2030 strategy has been all but ignored and instead of utilising and optimising hubs and designated min-CBD or sattelite activity centres and going up, they continue to pander to the land companies and accommodate outlying housing. We need more housing; yes…..but, not necessarily houses. More medium density in areas with good amenity is what's needed. An example of such and having become the gateway to Sydney's west is Parramatta. We have nothing like that here in Melbourne. I am an investor and whilst everyone may choose where to live and have a PPOR, I do not believe that building new boxes further and further out will solve Melbourne's problems. Indeed there is an argument that a better investment would be the regionals such as Geelong and Ballarat; both commutable and coming off a far lower base than Melbourne, have better amenity in the infill areas, hence more upside.We are close to many schools, parks, train stations and shopping complexes and our roads are not as blocked as the over crowded eastern suburbs. estates are required to provide certain ammenties now and they are also required to fund the costs of upgrading roads around the estate. I think they have learn from the mistakes 50 years ago of just wacking up houses and worring about infustruture later. The biggest winner for the growth bondries being extended are no the developers but the current land owners who will sell up to devine and the likes for millions and millions of dollars when they most likely brought the land cheaply.
Agree entirely………………those sitting on farms with thistles are laughing
Michael Matusik for those that follow him has some interesting insights on the undersupply myth and fairytales. I guess he won't be used on the speaking circuit for the investment clubs selling and spruiking brand new stock or the large development houses such as Delfin, and cohort.
S/E Qld is very over-supplied (sales and rentals) and Melbourne whilst not as bad, does not have the undersupply issues purported by the media and datasphere. Sydney still has legs. Yields are rubbish in most cap cities. Wait 12-18 months IMO we will see firmer yields and rents creep up in most places whilst cap values drift sideways for a while hence giving better yields and returns in the near future.Good luck everyone with your investing.
Hi all,
Firstly the Eastern suburbs are not overcrowded, come drive on over!
Infill needs to happen in some areas, local councils are against this in the majority by imposing restrictions via overlays and rezoning to reduce develop-able land. There is a major outcry in many inner suburban areas where local council and citizens have adopted a "not in my burb, quick shut the gates on the hordes" mentality.
The state govt will not like to pay for any new infrastructure and will try to push through more urban infill (in my opinion) the councils will get steam rolled to a certain extent. The days of the big house with a quarter acre block is gone and these will become the golden eggs in the next few years. There will still be family buyers who require inner suburb living and will be willing to pay for the space. These blocks will ask a premium. There will also be the outer burbs where people who don't want to live near the city will settle. If there is a train and facilities and atmosphere then these areas will do well too.
For small developments East is my pick purely because of the lack of competition with the big companies as well as the fact that there has been such a small amount of development in the past.
All my opinion!
D
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