Property Victoria - Outlook Issue by Property Council of Australia (Victoria)

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OUTLOOK ISSUE

FEBRUARY/MARCH 2014

PROPERTY V I C T O R I A

Victoria: The Property State

LOBBY LOBBY LOWDOWN LOWDOWN

SPRING SPRING STREET STREET SWEEP SWEEP

INDUSTRY INDUSTRY INSIGHTS INSIGHTS

MEDIA MEDIA HEADLINES HEADLINES

PROPERTY V I C T O R I A

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Inside this Issue

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Inside this Issue 6

Property’s Voice

Spring Street Sweep

Jennifer Cunich Executive Director, Victoria Division

Industry Insights

Lobby Lowdown

Media Headlines

Advocacy Update

Mentor Program 2014

Spotlight on Tasmania

Galleries

Upcoming Events

Partners of the Month February

March

facebook.com/propertycouncil Property Council of Australia (Victoria Division) Level 7, 136 Exhibition Street Melbourne Victoria 3000 Phone: 03 9650 8300 Fax: 03 9650 8693 Email: vic@propertyoz.com.au Website: www.propertyoz.com.au EDITOR Sandra Qian Phone: 03 9650 8300 Email: sqian@propertyoz.com.au Property Victoria is published bi-monthly. The Publisher reserves the right to alter or omit any article or advertisement submitted and requires indemnity from the advertisers and contributors against damages or liabilities that may arise from material published. WARRANTY AND INDEMNITY Advertisers and/or advertising agencies upon and by lodging material with the Publisher

Property Council launches 2014 Policy Platform

Apartments in Melbourne’s Housing Structure Sam Nathan

Director, Residential Projects, Charter Keck Cramer

Expanding Melbourne’s Housing Capacity Roger Gibbins

Director, Policy Economics, Urbis

Melbourne: its future and the MPA Peter Seamer CEO, Metropolitan Planning Authority

Property Podium: Embracing the digital future in retail Dean Arnel National Director, Retail, The GPT Group

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OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

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Property’s Voice

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Property’s Voice Property Council launches 2014 Policy Platform Jennifer Cunich

Executive Director, Victoria Division

ollowing months of hard work the Property Council is proud to launch its 2014 Policy Platform – Victoria: The Property State. This document forms the basis for the Property Council’s advocacy agenda during this important election year. Written by the Property Council’s eleven policy committees and their governing Division Council, the policy platform puts forward a bold vision for public policy that will help secure Victoria’s long term prosperity. The platform includes over 150 recommendations for reform in 12 gamechanging policy areas: • Easing the Property Tax Burden • Boosting the Infrastructure Base • Leading on Economic Management • Improving Housing Affordability • Planning for a Global City • Improving Local Government • Bringing Sustainability Back to Business • Managing Melbourne’s Growth Areas • Supercharging Property Investment • Sensible Regulatory Reform • Productive Workplaces • A Vision for Inner Melbourne’s Urban Renewal Precincts The launch of this document at a recent Property Council Business Lunch with the premier Dennis Napthine sets the scene for the Property Council’s advocacy work in 2014. Along with the Property Council’s 2014/15 Pre-Budget Submission lodged in November last year, the Policy Platform presents a pathway for strengthening the state’s biggest employer and industry player – the property sector. It positions the Property Council as the leading property industry association in Victoria and presents an opportunity for the State Government to demonstrate its commitment in driving reform in the key areas of tax reform, planning and economic development.

Since the Platform’s launch, the Property Council has already managed to secure wins for its membership, including the Government’s decision to privatise the Port of Melbourne, a new framework for Growth Area Infrastructure Contribution Works in Kind, and a guide for industry on unsolicited proposals. 2014 is going to be a busy year. We look forward to continuing our push for ongoing reform and to deliver some big wins for the property sector. The Property

Council would also like to thank each of its committees for their much valued input and hard work.

Jennifer Cunich Executive Director, Victoria Division Property Council of Australia

Lobby Lowdown

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Lobby Lowdown Property Council condemns Melbourne’s car parking zone expansion

rom 1 January 2015, Melbourne will have the nation’s highest car parking taxes, following the State Government’s move to expand the zone of Australia’s most expensive car parking tax regime. This expansion as well as the Government’s decision to charge for empty parking bays demonstrates that the Car Parking Congestion Levy is a tax grab on property. Consequently, it will make Melbourne a far less attractive place to do business in comparison to Sydney and Brisbane.

A critical impact of the zone expansion will be decreasing property values and lower returns on investment properties in the areas affected. The changes will also exacerbate Melbourne’s competitiveness by making parking in the Melbourne CBD more expensive, and by increasing the costs to businesses.

Win for asset recycling

The Property Council believes that the Car Parking Congestion Levy has become a serious threat to the city’s economic wellbeing. In 2014, we will continue to campaign for a fairer framework by calling on the government to incrementally reduce the rate charged per car park as the State’s budget position improves.

The sale of the Port is outlined in the Property Council’s 2014 Policy Platform, which was presented to the Premier at the Property Council Victorian Business Lunch in February.

The Property Council has welcomed a recent announcement by the Victorian Government to begin the process of selling the lease on the Port of Melbourne before the 2014 Victorian election. The revenue will be used to finance development at the Port of Hastings.

Property Council comments on review of Victorian water laws The Property Council has provided its comments to the Office of Living Victoria on the review of Victoria’s laws which regulate water management and use. In December 2013, the Minister for Water released a Water Bill Exposure Draft which proposes to amalgamate and streamline the two main pieces of legislation governing the management and use of water: the Water Act 1989 and the Water Industry Act 1994.

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In the Property Council’s submission, several concerns were outlined about changes contained in the Water Bill Exposure Draft, which relate to the access and acquisition of land.

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For more information, contact Katharina Surikow, Senior Policy Advisor on 03 9650 8300.

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New Advisory Committee to provide greater certainty on residential rezoning

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The State Government has established a Residential Zones Standing Advisory Committee to provide guidance on the implementation of the new residential zones which were introduced into the Victorian Planning Provisions last year. The Standing Committee will review and provide advice on the suitability of the residential zones and the method proposed to introduce the zones into a Council planning scheme. Councils have until 1 July 2014 to adopt the new residential zones into their local planning schemes, after which the General Residential Zone will be implemented to replace all land zoned Residential 1, 2 and 3.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Spring Street Sweep

Spring Street Sweep Fresh approach to infrastructure provision in Melbourne’s Growth areas

n 12 February 2014, the State Government released its guidelines and model agreements for Growth Area Infrastructure Contribution Agreement Works-in-Kind (GAIC WIK). A WIK allows the provision of land or works to be accepted as payment of the Growth Area Development Contribution, as an alternative to a cash payment. The Property Council has been working closely with the Department of Transport, Planning and Local Infrastructure, the former Growth Areas Authority (now the MDA) and other stakeholders for several years to develop guidelines that will allow developers to provide land and/ or capital infrastructure works in growth areas instead of cash payments for GAIC liabilities. Importantly, the changes will more closely link critical infrastructure delivery to residential development stages in Melbourne’s growing communities. They will also distribute the risk burden more equitably between developers and government. Key wins for the industry include: • Simplified model agreements that deal with »» Land transfer only; and, »» Works with or without land transfer

• A redesigned WIK proposal process that will provide a proponent with a relatively high level of comfort that a WIK agreement will be successful before it is required to expend significant resources in detailed design works; • Recognition of the need to allow for the staged delivery of a WIK and the alignment of it with land release; • The inclusion of a Substitute Cash Payment regime in the model agreement to facilitate early land release or for land release to continue in the event the delivery of a WIK is not aligned with land release needs; • The recognition that any cost savings achieved in the course of construction of a WIK project is to the benefit of the proponent, and will not result in a reduction in GAIC Credit; • Changes to the model agreement that ensure any variations proposed by

government are subject to negotiation, and that there is a mechanism for dispute resolution; • Significant expansion to the range of Extension Events under the model agreement which reduce the likelihood of proponents being subject to the default provisions; and, • The inclusion of State Risk Event provisions that ensure the cost and time risk for these events is effectively borne by government. More information on the Guidelines can be found on the DTPLI website.

Victorian Government announces Hampton Station Precinct Upgrade The Victorian Government is calling for expressions of interest from developers for the revitalisation of the Hampton Station Precinct. Speaking at the March Property Council Business Lunch, the Minister for Public Transport Terry Mulder announced the renewal of Hampton Station precinct as part of Plan Melbourne’s station precinct enhancement program. The urban renewal proposed by VicTrack includes a mixed-use apartment and retail development, as well as a revamp of Hampton Station. EOIs close at 3pm on Thursday 27 March. More information, including tender documents can be found at VicTrack’s E-Tendering Portal.

Fire Services Levy reforms Over 60,000 residential rental properties and 860 outdoor sports grounds in Victoria will have their Fire Services Levy reduced beginning 1 July, under a

new legislation introduced by the State Government. Announced on 5 February, the changes affect: • Residential investment properties, which will save almost $260 per residential investment property each year, by being reallocated to the residential land use classification of the levy instead of commercial; • Outdoor sporting grounds that have a degree of commercial application; • Water catchments which are part of the water authority infrastructure. These will be reallocated to public benefit land use classification from industrial; and, • Commercial and industrial vacant land which will be reallocated to vacant land use classification.

The Property Council will continue to oppose the Fire Services Property Levy regime in its current form. Advocacy activity in this important tax area remains a high priority in this election year. Guide for industry on unsolicited proposals The Victorian Government has released a new Unsolicited Proposals Guideline, which outlines a 5 stage process for the private sector to seek approval and support from Government to deliver projects and services. The Government can also use the process to directly approach a private party to deliver a project. More information on the Guideline can be found on the Department of Treasury and Finance website, under ‘Infrastructure Delivery’.

Industry Insights

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Industry Insights New Members VICTORIA DIVISION

MEMBER TYPE

REPRESENTATIVE

Caydon Property Group Pty Ltd

Core

Mr Joe Russo

Emkc Developments (em-kc) Pty Ltd

Core

Ms Karen Choi

Focal Point Development (VIC) Pty Ltd

Core

Mr Andrew Tilly

Hutchinson Builders

Core

Mr Rod Kol

Lyons Australia Pty Ltd

Core

Ms Sarah Monaghan

Port Phillip Housing Association Ltd

Core

Mr Alida Natoli

Southern Metropolitan Cemetries Trust

Core

Mr Terry King

Telstra Corp Ltd.

Core

Ms Emily Dean

Ubertas Group

Core

Mr Gary Szoka

Cavalier Carpets

Associate

Mrs Margaux Bonne

ClarkeHopkinsClarke Architects

Associate

Mr Robert Goodliffe

Ellis Air Conditioning

Associate

Mr Adam Langford

FTI Consulting (Australia) Pty Ltd

Associate

Mr Ross Blakeley

K&L Gates

Associate

Mr Justin Lethlean

Southern Cross Recycling Group Pty Ltd

Associate

Mr Chris Todorovski

Total Construction Pty Ltd

Associate

Ms Mia Bannister

TASMANIA DIVISION

MEMBER TYPE

REPRESENTATIVE

Macquarie Point Development Corporation

Core

Ms Elizabeth Jack

CBRE

Core

Mr Richard Carhart

Big Blue

Associate

Mr Chris Love

Members Update

First Victorian PIF House Complete The Property Industry Foundation is pleased to announce the completion of the first PIF House in Victoria, which will be home for four disadvantaged young people and their carers. The Property Industry Foundation partnered with Australand, who helped construct the house with staff generosity and some outstanding donations from suppliers and contractors.

Funds for this project were raised at the Property Council of Australia Gala Ball in 2012.

Mr Anderson will begin his new role on 31 March, replacing Peter Armstrong, currently acting CEO of Places Victoria.

PIF House will soon be handed over to Lighthouse Foundation, to be used as part of their therapeutic care programs.

New Grocon CEO – Carolyn Viney

The Property Industry Foundation would like to thank everyone for their involvement and their enormous effort in making this possible. What an achievement!

Carolyn Viney, formerly deputy CEO of Grocon for the past two years has been appointed Chief Executive Officer.

New CEO of Places Victoria Gregory Anderson has been appointed Chief Executive Officer of Places Victoria. Mr Anderson comes from an extensive background in planning and property development, in both the public and private sectors. He was previously part of the City of Melbourne’s Postcode 3000 program and the National Building program, which delivered 1200 medium and high density dwellings across Victoria.

Ms Viney has held a variety of roles within Grocon since joining in 2003, including as a member of the senior executive since 2007. Ms Viney succeeds Daniel Grollo, who will be stepping into the Executive Chairman’s role. Ms Viney is a Division Councillor for Property Council (Victoria) and also sits on the Property Council’s Sustainable Buildings Committee. Ms Viney began her new role from Monday 24 February.

Industry Insights

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Dave Anderson to head W&G specialist lighting discipline Wood and Grieve Engineers has appointed specialist Dave Anderson to the Melbourne office to head the newly established specialist lighting discipline. Mr Anderson has over 12 years’ experience in the lighting industry and has worked on projects including the Sydney Opera House, Westfield Stratford City (East London), the Australian Synchrotron Visitors Centre and Highpoint Shopping Centre in Melbourne.

New director at Hansen Partnership Gary Wissenden, previously Senior Associate at Hansen Partnership has been appointed Director of the firm. Throughout his time at Hansen Partnership, Mr Wissenden has managed a diverse range of statutory and strategic planning projects, including mixed use and residential developments, commercial and retail infill developments, telecommunications infrastructure and education and institutional projects. Mr Wissenden is also an experienced advocate for the public and private sector at VCAT and public meetings.

Vale Bruce Matthews, Meinhardt (retired) Well known and highly respected business leader in the property industry, Bruce Matthews, recently passed away after a long and courageous battle with cancer.

Bruce served on the Property Council’s Victorian Division Council from 2001 to 2007 and was a member of both the Membership and Marketing Committee and the Asset Management and Building Regulations Committee. Bruce was a strong supporter of the Property Council and will be greatly missed by the industry. The Property Council extends its deepest sympathy to Bruce’s family.

Ken Stickland retires from Property Council committee membership Ken Stickland, formerly head of building services in Melbourne at Arup has retired his Property Council committee membership following more than 30 years of committee service. Most recently, he sat on the Asset Management and Building Regulations Committee in Victoria. The Property Council thanks Ken for his much valued support and contributions over the years and wishes him the very best for his retirement.

Tony Arnel, Norman Disney & Young’s Global Director of Sustainability, has been awarded Life Fellowship of the Green Building Council of Australia. Speaking at an awards ceremony in Sydney, Chairman Daniel Grollo said that Life Fellowship recognised Mr Arnel’s extraordinary contribution to the GBCA and also to the sustainable building movement worldwide. A founding Director of the GBCA, Mr Arnel served as Chairman between 20072012. During this time, the Council became a major player in the property industry, dramatically increasing its membership and traction with rating tools. It also became a peak body with significant reputation in both the public and private sectors. Mr Grollo said that Mr Arnel’s strategic guidance, advocacy and ability to influence has been pivotal to the Council’s success. Mr Arnel has been a Director of the World Green Building Council between 20062012 and chaired the Council between 2008-2011.

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Media Headlines

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Media Headlines Metro rail tunnel plan will include Melbourne airport link

remier Denis Napthine has promised a rail capacity project to Melbourne airport as part of the expanded Metro rail tunnel plan that will begin this decade. An article published in The Age on 27 February 2014, reported that the Premier had committed to an airport rail link while addressing the audience at a Property Council Business Lunch in Melbourne. At the event, the Premier said that extending the planned east-west tollway to the Port of Melbourne and across the Western Ring Road was on the Government’s agenda. The article also noted that the Property Council’s policy agenda, launched at the event included a call to privatise government assets including Victoria’s share of the Snowy Mountain Hydro Scheme, water authorities and the Port of Melbourne to help fund new infrastructure.

Napthine plan for Melbourne could drive up housing prices: forum

ndustry leaders have warned of risks to housing affordability under the Victorian Government’s planning strategy, Plan Melbourne. An article in The Age on 25 November, 2013 noted that leading planning expert Pat Fensham had said the strategy could limit housing supply and push up prices. Mr Fensham said at a Property Council forum that housing costs could rise as a result of inner city councils blocking high density development. Some councils such as Stonnington, Glen Eira and Boroondara had nominated only limited areas for highdensity development. Victorian Executive Director of the Property Council, Jennifer Cunich said after the forum that the side effect of locking in specific zones for high growth would be to push up prices. Ms Cunich stressed that “We need to have a discussion about people saying, ‘Not in my backyard’, because … where else is going to be able to take up growth?”

The side effect of locking in specific zones for high growth would be to push up prices. The Planning Minister has said that councils demanding too much of their municipality be deemed inappropriate for higher-density development would be sent back to the drawing board.

Victoria allows Works-In-Kind

he Property Council has expressed its support for the State Government’s announcement that Victorian developers will be able to build infrastructure instead of paying development contributions in cash.

An article by The Australian Financial Review on 13 February 2014, noted that until now, developers have had to make advance payments in cash to pay for development contributions in growth areas. Projects which will be allowed under the State Government’s guidelines include arterial roads and freeways, footpaths, walking and cycling trails, health and education facilities, libraries, open space and recreation centres, stormwater management and IT infrastructure. Development infrastructure charges will not be lowered by building works in kind, which can cost up to $102,800 per hectare. The process will be managed by the newly established planning body, the Metropolitan Planning Authority.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Media Headlines

Jennifer Cunich, Executive Director of the Property Council of Australia in Victoria, said that the changes would allow faster infrastructure delivery.

“These agreements give developers greater clarity, certainty and flexibility in how they meet their GAIC liabilities” They also provide opportunities for partnership with government to ensure the lag between development and infrastructure provision is reduced.” Until now, developers have had to make advance payments in cash to pay for development contributions in growth areas.

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Apartments in Melbourne’s Housing Structure

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Apartments in Melbourne’s Housing Structure

Melbourne is emerging as a new Global City: what does this mean for property?

Sam Nathan

Director, Residential Projects Charter Keck Cramer

n many respects Melbourne is on the brink of claiming Global City status, but perhaps not in the context we would usually perceive. Global Cities emerge as a consequence of economic activity, political power, knowledge/influence, cultural significance, connectedness and quality of life/ liveability. Research indicates that from the perspective of global High Net Worth Individuals (as key decision makers) Melbourne resonates primarily from its perceived quality of life/liveability, only moderately as a knowledge and influence centre (tertiary education and research), but not meaningfully as a centre of economic or political power. So why is Melbourne on the cusp of Global City status? It’s all about global real estate dynamics and the increasing interconnectedness of residential markets. Melbourne’s housing markets are increasingly dynamic, perhaps none more so than the apartment sector. The apartment market is a multi-faceted vehicle influenced by a diverse range of factors, which in the off-the-plan context are often not solely related to the underlying real estate fundamentals of the project location. At a macro level Melbourne’s apartment market is trading in two distinct contexts; a Global Melbourne central city region and a Local Melbourne city fringe and suburban market. There are marked differences in the drivers and operational aspects of the two contexts, which must be acknowledged and understood when considering the market as a whole. The central city apartment market is increasingly driven by the increased participation of offshore developers, capital and individual off-the-plan purchasers. Globally, apartments are emerging as a conduit to capital transfer and asset diversification, traded more as financial commodities and/or ‘safe haven’ instruments as opposed to their fundamental real estate attributes.

The global apartment market is now highly interconnected, operating against a background of diverse geo-political and economic drivers that cross regions, borders and countries. Melbourne (together with Sydney and Brisbane) is now competing with other Global and neoGlobal cities for a slice of global residential capital. The current phenomenon is more likely representative of a structural shift than a cyclical event, although the prevailing drivers to offshore participation in foreign markets is more pronounced that it has perhaps ever been. Although to date manifested in the central city region, a transition of this influence to the broader metropolitan region is pending, and may yet evolve to other development forms (townhouses and greenfield).

What must be understood is that this phenomenon is not restricted to Melbourne. International activity is currently a key driver of the majority of Global City apartment markets (ie. London, New York, Toronto, Vancouver etc), that are increasingly acting as hosts to offshore capital. Whilst many global centers are seeking to cool and insulate domestic housing markets from cheap debt and emerging middle class wealth driving speculative investment, the Australian apartment markets remain relatively open, with few barriers to entry for new (off-the-plan) apartment developers and purchasers. Melbourne’s off-theplan apartment sector is therefore at the coalface of this dynamic global market, and is perhaps the most visible example of the city’s role as host to global capital.

Apartments in Melbourne’s Housing Structure

In the Local Melbourne Context, Melbourne’s emergence as a neo-World City poses several challenges for local policy makers and the property industry. Is the objective for a city to attract international capital and participate in the global market with its broader risk/ reward profile, or operate intrinsically to meet the housing (not investment) needs of its residents? In the contemporary global economy both functions are critical, requiring cities to operate within the global context, whilst setting policy to address local issues By reference to apartments as a percentage of housing stock in buildings of 4+ levels in comparable cities, Melbourne’s apartment market (circa 4%) is chronically immature. Sydney (9.5%); Chicago (30%); Toronto and Vancouver (40%) and even Los Angeles (35%) are significantly more mature medium density cities. A shift to a much stronger housing supply via apartments (and townhouses under a diversified housing market) will be critical to the long term economic viability and liveability of Melbourne. How Melbourne provides pathways to achieve higher residential densities, whilst retaining its famed ‘liveability’ as a magnet for continued international investment (in the absence of our ability to draw investment on the back of global economic and political power), are the defining challenges of this generation.

The required shift in Melbourne’s housing structure will not occur via either public policy or market dynamics in isolation.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Political cycles are a consequence of our cherished democracy, however the future productivity, prosperity and relevance of Melbourne as one of Australia’s most significant economic assets is far more important than the short-run political game. Perhaps at no time in Melbourne’s history has it been more important for political and property industry stakeholders to seek mutual understanding of the paradigm shift occurring in the residential markets. Policy and industry stakeholders must do more to understand the tripartite relationship between property (as the delivery vehicle), planning policy and economics to ensure the aspirations of a city are embedded in strategic fundamentals. There is a risk of disconnect between the short-term political aspirations of the day and the long term needs of the housing market and its host city, which if not acknowledged will undermine the opportunity to forge a dynamic, efficient and productive future Melbourne. Strategic policy and planning decisions must be well informed, serve the best strategic interests of the city and its future generations, and be made in acknowledgement of the full range of factors influencing the housing market. Any failure in this regard can expose a city to a framework that risks an inability to meet the underlying housing and lifestyle needs of the growing population, a lack of housing diversity across the entire metropolis, and further affordability stress in a city already burdened by existing housing prices.

The property industry must also react to the changed dynamics to remain relevant in the face of increased global competition, capital flows and non-local factors driving some markets. In the contemporary economy, to which our domestic property markets are wed, innovators will flourish and the stagnant will be exposed. In the apartment context the landscape is already changing, and the transition into the townhouse and housing sectors is underway.

Future industry leaders will strategically negotiate their way though the uncertainty and increased volatility of the global market, and unlock long term value from sound opportunities. The role of apartments in achieving a balanced housing market (in the global context) is not yet widely appreciated. We must now prepare the city for apartments taking their place in the housing structure of significantly more suburbs than they currently do, and in greater numbers in existing suburban markets. A higher density city (towards 25% housing supply via apartments) will not evolve purely as a voluntary, seismic shift in housing preferences. The strategic framework of a city, together with its property industry stakeholders, must acknowledge the global shift towards density is not a purely voluntary manifestation of modern lifestyle trends, but a forced response as a consequence of increased costs and friction in our housing, transport and lifestyle.

Apartments in Melbourne’s Housing Structure

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Living in many of today’s Global Cities is, for the majority of the population, a much harder existence than we observe through the media or witness in our travels. The majority of us will not walk the streets of a truly World City Melbourne in our lifetimes, but the foundations of

that future city must be laid now. If they are not, the growing pains of today will quickly emerge as chronic encumbrances to retaining a liveable Melbourne, which is after all the very attribute that has put us on the international map.

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Expanding Melbourne’s Housing Capacity

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Expanding Melbourne’s Housing Capacity

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Expanding Melbourne’s Housing Capacity Building a case for development in our inner and middle ring suburbs

Roger Gibbins

Director, Policy Economics, Urbis

or decades now, successive planning authorities have chronically underinvested in educating the community about the necessity for and the benefits of urban consolidation, and in fostering approval processes that are more collaborative at the local level. Despite the general consensus that a densely populated ‘consolidated’ city is superior to urban ‘sprawl’, the production of medium density housing has long trailed demand. The table below shows that over 230,000 households who currently live in separate houses would choose medium density housing, if it were available.

Table 1 - Dwelling Production Melbourne 2006 to 2011 ACTUAL STOCK 2011

PREFERENCE 2011

SURPLUS/DEFICIT

ADDED 06 - 11 P.A

2012-2013

Dwelling Type

Dwgs

% Stock

Dwgs

% Stock

Dwgs

% Stock

Dwgs

% Stock

Dwgs

% Stock

Separate House

1,163,669

72%

780,979

48%

382,690

24%

22,960

70%

18,210

47%

Semi-detached, row or terrace house, townhouse, etc.

192,503

12%

423,030

26%

-230,527

-14%

4,556

14%

8,785

23%

Flat, unit or apartment up to 3 storeys

152,479

195,245

12%

-42,766

-3%

637

700

Flat, unit or apartment 4 storeys and above

118,389

227,786

14%

-109,397

-7%

4,778

15%

10,645

28%

Totals

1,627,040

100%

1,627,040

100%

32,930

100%

38,340

100%

Source: ABS Building Approvals and Grattan Institute (2011) Getting the Housing We Want

Medium Density housing, which includes town houses, villa units and duplexes accounted for only 14 percent of new dwellings in Melbourne between 2006 to 2011, despite the stated preference of 26 per cent of Melbournians. In the past three years this figure has increased to 23 per cent. Apartments (mainly in the inner areas) have jumped to a massive 28 per cent. To further complicate matters, the legislative framework seems to be specifically designed to create an adversarial situation. Plan Melbourne identifies a need for an additional 1 million dwellings by 2051, of which 358,000 will be town houses and units and 239,000 will be apartments – predominantly in established areas.

Plan Melbourne seeks to resolve the issue of where medium density redevelopment should occur by introducing three new residential zones to replace the existing zones where multi-unit development is generally permissible. The intent is to achieve greater ‘certainty’ as to where development may and may not go. The designation of the new zones was to reflect existing policies (state and local) and to follow published guidelines. In summary the zones are: • Residential Growth - To promote new medium and high density housing growth in accessible locations. • General Residential - To allow moderate new housing growth and diversity while respecting neighbourhood character.

• Neighbourhood Residential - To restrict new housing growth (maximum two units per lot) in areas of special neighbourhood character. The Minister for Planning originally rejected a recommendation of his Advisory Committee to set up a Standing Advisory Committee to guide council proposals for new zones. The intention was that Councils would be required to demonstrate that amendments were consistent with Plan Melbourne. The Minister has recently reversed this decision, but consultation with the Standing Advisory Committee is optional.

Expanding Melbourne’s Housing Capacity

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Early in 2012 the Minister for Planning gave councils twelve months (to 30 June this year) to submit their new zones; otherwise the General Residential Zone would apply. The Minister recently indicated that councils have until late February to nominate the Standing Advisory Committee route or get their proposals in by April – otherwise the General Residential Zone is invoked. The state of play (as of 20 February 2014) for metropolitan councils is as shown in the table below. It can be seen that two councils have had their zones approved by the Minister, four have lodged with the Minister and four are proceeding via the exhibition/panel process. A number of others have commenced work internally.

Table 2 – Rezoning Progress, February 2014 DISTRIBUTION OF ZONES Status Approved With Minister

Commenced

Council

Process Adopted

Residential Growth

General Residential

Neighbourhood Residential

Glen Eira

Direct to Minister

20%

80%

Greater Dandenong

Direct to Minister

64%

35%

Banyule

Direct to Minister

64%

35%

Boroondara

Direct to Minister

19%

80%

Maribyrnong

Direct to Minister

85%

15%

Stonnington

Direct to Minister

TBA

Frankston

Exhibition/Panel

63%

36%

Kingston

Exhibition/Panel

TBA

Knox

Exhibition/Panel

TBA

Whittlesea

Exhibition/Panel

TBA

Source: Department of Transport, Planning and Local Infrastructure and Urbis Survey 4 February 2014

Expanding Melbourne’s Housing Capacity

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

The next table shows an estimate of the impact of the new zones as they are being applied to date. The basis for the estimates is ‘before and after’ yield analysis by Urbis. There is a conservatively estimated reduction in medium density production of 4,000 dwellings pa (a 46 per cent reduction). 2,000 of these are made up by additional separate houses and higher density development, leaving a net loss of 2,000 dwellings pa. The reduction of net housing production by 2,000 dwellings pa represents $400 billion of lost investment which equates to 14,800 jobs lost in the economy (2,000 dwellings X $200,000 X 37 jobs per $1,000,000). The supply shortage will further inflate the already unaffordable housing prices in established areas and the state will lose significant revenue from property taxes and will incur major costs associated with urban sprawl. This will not be a change that happens gradually giving time for the industry to adjust. It will in fact be a sudden turning off of the land supply tap creating a shock to Victoria’s economy. There will be an immediate contraction in investment and employment at a time when the state economy is under pressure from many directions. Potentially hardest hit will be those who are denied an opportunity to downsize

Table 3 – Estimate of Potential Impact of New Zones ADDED 2012-2013

WITH NEW ZONES PA

CHANGE PA

Dwelling Type Melbourne

Dwellings

% Stock

Dwellings

% Stock

Dwellings

% Stock

Separate House

18,210

47%

19,010

52%

800

Semi-detached, row or terrace house, townhouse, etc.

8,785

23%

4,785

13%

-4000

-46%

Flat, unit or apartment up to 3 storeys

700

1,100

400

57%

Flat, unit or apartment 4 storeys and above

10,645

28%

11,445

31%

800

Totals

38,340

100%

36,340

100%

-2000

-5%

Source: Urbis (2014) Review of New Zone Proposals and Spatial Economics (2013) Residential Zones Analysis – for UDIA and CPUR (2013) Melbourne’s High Rise Apartment Boom

their high maintenance homes in established areas. A proportion of these will need to enter aged care prematurely.

Older people will find it hard to move into an area to be near their children and young people, when leaving home, will find it harder to afford to rent or buy in the areas they prefer.

liveability. Perhaps this is what the focus of ‘planning reform’ should be, rather than introducing more layers of green and red tape into the controls to kill off a much needed form of development that happens to be politically troublesome. The views expressed in this article are those of the author and are not necessarily endorsed by Urbis.

Ensuring that our planning framework can facilitate well designed compact and energy efficient medium density housing is critical for Melbourne’s future

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Melbourne: its future and the MPA

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Melbourne: its future and the MPA

Melbourne: its future and the MPA Peter Seamer

CEO, Metropolitan Planning Authority

ith a population of around 4.2 million, Melbourne is one of the largest cities in the westernised world. By 2050, the latest predictions show us growing to around 8 million: we will have the population of New York City today but even with significant density increase we will only have half its population density. What form will the City take? Plan Melbourne sets out a strong policy direction for the shape of our City. It balances greenfield and infill development, protects sensitive areas and highlights those areas where significant growth should occur. It identifies key infrastructure items and a range of principles we should aspire to, such as the 20-minute city. However, as always in planning, the hard part is all the complex work in making a plan come to fruition and it’s the role of the MPA to do that.

Two Key Goals In managing Melbourne’s growth we need to achieve two things: • The quality, infrastructure and design of our city must continually improve, and • The supply of housing and commercial areas must meet the demands of growth, this being crucial in our efforts to improve affordability and maintain a viable long term construction and development industry. After five years’ work, the former Growth Areas Authority allowed the development of a good supply of quality, affordable housing while at the same time improving our new suburbs through better local town centres, housing variety, greater infrastructure funding and a stronger emphasis on design at the precinct level. In our new role as the Metropolitan Planning Authority, while our focus remains on quality and supply it is also imperative that Melbourne rebalances growth to our existing urban areas

and regional centres. If predictions are correct, we need around 15,000 dwellings a year in Melbourne’s growth areas, a similar number in Melbourne’s identified precincts (as per Plan Melbourne) and a lesser amount in general infill in the suburbs and central Melbourne. In particular, much of our focus will be on working with local government on the

revitalisation of identified precincts in established Melbourne: areas with high transport availability, major business and employment centres and old industrial areas suitable for renewal. The MPA will focus on those precincts identified in Plan Melbourne while Councils and the DTPLI will oversee general infill.

Melbourne: its future and the MPA

Melbourne’s Sub Regions In looking at the five identified sub regions of Melbourne, the first is the Central City Zone, where we can build on what is already a very active area, with Fishermans Bend adding to the Hoddle grid and Docklands and the considerable growth in parts of Yarra and the Forrest Hill area in South Yarra. The Northern Corridor is home to the Latrobe National Employment Cluster (NEC).

This large area can demonstrate the principles of the 20-Minute City leveraging off existing services, employment areas and infrastructure such as the university and the hospitals and building better, denser and more varied residential and new commercial zones.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

The sub region is also a place for significant business growth and mixed residential and employment through the active greenfield Precinct Structure Plan (PSP) program.

In addition to all this, there are a wide range of other areas of activity:

The West similarly is dominated by the East Werribee and Sunshine National Employment Clusters, as well as significant growth in the new greenfield areas.

• The creation of structures for better and more collaborative planning with Local Government (already underway);

The South sub region covers the large Dandenong National Employment Cluster, the greenfield areas in Casey and Cardinia and needs to address the likely development of the Port of Hastings. Finally, the Eastern sub-region is home to the Monash National Employment Cluster which has the opportunity of being an internationally recognised education, research, business and residential area and a true university city within Melbourne. The sub region is also home to significant centres such as Box Hill and Ringwood, however these sites are well advanced and probably do not need a high level of involvement from the Authority.

• Support for regional city and periurban development;

• Working with all State Departments and providing advice to Government on infrastructure and other priorities pertaining to our growth; and, • Streamlining the decision making process, wherever possible.

Finally The MPA is developing its capabilities to deal with this large workload. We have recently appointed 20 staff, mostly transfers from the planning groups in DTPLI. We are in the process of sorting through a range of key administrative and financing issues to ensure we are well placed to deliver on the Government’s objectives.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

We must work closely with all those involved in Melbourneâ&#x20AC;&#x2122;s future, and one key group is the development and construction industry. Without a strong industry, housing, infrastructure and our business areas cannot be efficiently created and we wish to maintain a powerful dialog with all those in the industry. We all have a role to play to manage what the experts advise is our near doubling in size by 2050. If handled badly, housing will be beyond the financial reach of many, transport unaffordable and unworkable and the oft discussed liveability of our City diminished. The MPA looks forward to working to ensure these matters are resolved well, in a timely manner and, in an area where there are many different views of the way forward, with the positive participation of the great majority of Melburnians.

Melbourne: its future and the MPA

Advocacy Update

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Advocacy Update Property Council to identify untapped avenues for infrastructure funding

nfrastructure investment and delivery is vital to Victoria’s liveability and prosperity. In 2012 the Property Council published a report called Securing Victoria’s Future – A Program to Plan, Fund and Deliver Infrastructure, which highlighted the need for a pipeline of infrastructure projects in Victoria and funding and finance models to enable delivery. The Property Council is currently developing a research report which examines the ways to harness a broader range of funding models to address Victoria’s infrastructure funding challenges. In Melbourne, there are a number of large, state significant infrastructure projects in the pipeline that will require partnership models between government and the private sector. At the same time, there are many smaller projects such as the removal of level crossings and the delivery of roads in Melbourne’s growth corridors that require urgent attention. The potential also

exists to bundle smaller projects focused on employment precincts to achieve broader land use planning and community outcomes. The report, which is expected to be launched in March, will examine some of the opportunities for collaboration between the private and public sectors in infrastructure delivery. It will demonstrate the case for sustainable funding models, as well as highlight some of the major impediments to project success. Importantly, the report will propose solutions for increasing the deliverability of key infrastructure projects in Victoria.

Property Council submission on Plan Melbourne The Property Council has put forth a detailed submission to the Victorian Government on the release of its integral planning document, Plan Melbourne. The recommendations extend beyond the scope of the Government’s requirements and are based around the Directions and Initiatives provided in Plan Melbourne. They reflect the collective views of the Property Council membership, on the issues which encourage development and

stimulate the economy. The Property Council appreciate the opportunity to comment on this integral document and looks forward to working with the government in bringing about the outcomes together.

East West Link Alliance submits comments to Planning Panels Victoria The Property Council, along with nine other industry organisations of the East West Link Alliance has put forward a joint submission to Planning Panels Victoria on the East West Link. The submission reaffirms that Victoria stands to gain significant benefits from the East West Link, which will bring efficient, high quality transport connections to meet the needs of Victoria’s growth. The East West Link Alliance believes that the East West Link will improve Victoria’s living standards and amenity, boost the state’s interstate and international competitiveness and help to reduce congestion, which is expected to cost the state some $6.1 billion each year by 2020.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Property Podium

Property Podium Embracing the digital future in retail Dean Arnel

National Director, Retail, The GPT Group

hopping centres have been a favoured investment vehicle for many years, providing consistent returns for private investors and those who venture into the bigger trusts. Their early evolution was thanks to some of Australia’s pioneer entrepreneurs such as Dick Dusseldorp, Frank Lowy, Marc Besen and John Gandel. These businessmen saw the opportunity to create a facility that would combine local businesses under one roof and make it easier for the surrounding community to access goods and services in one convenient location. From the seeds that these entrepreneurs planted, came some of Australia’s biggest shopping centres and property groups. Whilst many of those shopping centres have evolved significantly, the fundamentals of what made them a successful investment remain. Those fundamentals involve providing and facilitating an opportunity (space) for businesses (tenants) to make money, who pay accordingly for that opportunity. Demand for retail space has been historically driven by the opportunity for retailers to make money. A retailer will open additional stores if they believe it is financially viable to do so, thus increasing demand for space. It’s only when the demand and supply equation becomes unbalanced that pressure, upwards and downwards, is applied on retail property returns. We saw it in the mid-1990s, when there was an explosion of shopping centre developments. Just about every suburban shopping mall was undergoing some level of expansion. What resulted was a significant increase in supply, and a rise in vacancies, until such time that the demand caught up. Other than the mid-1990s boom, regulated planning and responsible development in Australia has helped to provide a healthy balance between demand and supply of space within shopping centres. One of

the key contemporary challenges that has tested the supply and demand equation has been technology, namely the internet, creating new competition for retailers and a new distribution channel for them. Online shopping and advancements in mobile technology have changed the way people shop for certain items, particularly where access to the product is instantaneous. Demand for space from businesses offering services such as music, books and photo-processing have significantly declined. The majority of apparel retailers though, have realised that a multi-channel approach is the most profitable way forward for their business. Providing their customers with the choice of purchasing on-line or through the local stores where they can touch and feel the products

they are purchasing. They are now seeing it as an extension of their store not an alternative.

Online retailing has helped provide a new demand in the form of international brands opening bricks and mortar stores here in Australia. Online consumers have acted as a “test market”, enabling these retailers to gain confidence in the Australian market. It poses the question whether international retailers that have come and gone such as Diamaru may have benefitted from the insights that online now provides. Landlords are feverishly working to accommodate international retailers that require large format stores. To date, it

Property Podium has largely been dominant super regional centres and CBD locales that have secured popular international brands such as Zara, Apple and Topshop. In Victoria, we have seen this occur primarily at centres like Highpoint, Chadstone, Doncaster and within the CBD. The tenancy mix within shopping centres is evolving. At present we are seeing a rapid increase in the introduction of service, lifestyle, leisure and entertainment businesses, some of which would never have been previously found in the local shopping centre. Laser hair removal clinics, medical centres, day spas, tattoo parlours, bowling alleys, fitness centres and civic amenities such as libraries are all demanding space in key centres. Landlords are no longer just focusing on traditional retail. Shopping centres have evolved to become a gathering place for the local community. The provision of social spaces has provided greater relevance for shopping centres within their local communities. Children’s playgrounds for example were once a novelty in larger shopping centres; they are now a threshold requirement and have become a popular destination in their own right for local “playgroups”. Cafés and Restaurants are in more abundance strengthening the social pull of shopping centres.

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

It is inevitable that in the near future shopping centres will continue to expand on their role in connecting the community and become true town centres. Some centres have already evolved to this point. Rouse Hill Town Centre in Sydney is a mixed use town centre comprising 70,000 square metres of retail, entertainment, restaurants, services, topped with residential, community and education facilities. This is just one example of what will become more common in the future. So what does the year ahead look like? As centres evolve to become more experience based, there are some positive signs for traditional retail in 2014. The improvement in house prices and household wealth, stabilisation of household savings, softening of growth of online sales, and a softer Australian dollar should all assist growth in centre sales. These factors indicate stronger demand for retail space in the future, however it should be noted based on lease structures, there is sometimes a lag between retail sales performance and the flow through to rental returns for landlords.

At a micro level, centres that are located in growth corridors where there is not an oversupply of retail, should grow at a greater rate than the broader market and defy macro market cycle issues. We are likely to see demand for space in these assets increase. Centres that hold a dominant position within their local catchment based on the role they play (be it food and convenience at one end, or leisure and entertainment at the other end) are better positioned to outperform the market growth rate by capturing market share from competitors. This is however providing they don’t take their positions in the local hierarchy for granted and continue to evolve to remain relevant.

The retail environment is evolving, constantly changing and forever fluid. We can expect to see tenancy mixes continue to change and incorporate more services, community amenities and entertainment as shopping centres become true town centres and in doing so grow their relevance to their respective market and become more resilient to the cycles within retail.

Mentor Program 2014

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Update: Mentor Program 2014 Mentor Program Launch

his year’s record intake of 70 mentees and mentors were welcomed into the 2014 program in the spectacular rooftop surrounds of Hassell’s Melbourne design studio recently. The 12-month program has had an overwhelming response, demonstrating: • the underlying need for mentoring in our industry, and • the continuing reputation of this program as industry best practice. We were excited to announce our inaugural program partner: Bank of Melbourne. It is already apparent that an alignment in the values of both our organisations will enhance the program and its participants. We look forward to working with Sean O’Donnell, Jim Serafim and their team to bring the program to life this year. This year’s program builds on the success of previous years, and includes participants from a wide range of disciplines covering every stage of the property cycle across all sectors. We have identified a need for people in the early phase of their career to connect with their more experienced counterparts – regardless of their background or future direction. The mentoring that young industry professionals want isn’t necessarily a reaffirmation of technical focus. Instead, it’s about business ethics, forming relationships and networks, career options, personal and professional development – and ultimately focusing on people. This year’s mentees are interested in:

David Hodgson Chairman, Mentor Program Committee

Key events mark the commencement of the program, with additional touchpoints throughout the year. The program includes ongoing support for all participants during the year. Our hope and aim is that the program provides the mechanisms and opportunities for people to support each other as they start or continue their careers in industry. We want the initiative to become the leading industry-based program in the country: one that’s genuinely concerned for the professional, intellectual, emotional and physical wellbeing of the people in our industry. It’s the new way of looking at sustainability! At the launch, we extended our thanks to our sponsors and those involved in the program development. I’d like to acknowledge them once again: Property Council Mentor Program Committee Coordinator Nicole Farrall Mentor Program Committee Steve Joffe

Ingrid Bakker

Madeleine Tillig

Cindy McClure

Luke O’Grady

Vicki Sharp

We have also partnered with Cindy McClure from Designing Minds to help shape the program and be our “matching partner”.

• Business ethics

Mentoring plays an important role in shaping leaders of character, discipline and vision. It represents an investment, the full impact of which will become evident in years to come.

• Assertiveness

This year’s program promises to be a belter!

• Leadership

• Networking • Developing a personal brand • Confidence • Wider property experience • Dealing with difficult situations The mentees in this year’s program are tomorrow’s leaders and mentors. The more we can help young people find their place in the world and move forward with confidence, the better our state’s future looks.

Thanks again to our Program Partners

Spotlight on Tasmania

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Spotlight on Tasmania Contest of ideas leads to wins for industry Mary Massina

Executive Director, Tasmania Division

n 15 March, Tasmanians voted for a majority Liberal Government and a reform agenda which will significantly benefit the state’s economy and the property industry. The property industry is the state’s largest private sector industry, paying $804 million in property specific taxes to local and state governments, representing 16.7 per cent of the state’s total workforce and contributing 10.9 per cent to Gross State Profit and $5.6 billion in direct and indirect economic activity. Tasmania and Tasmanians depend on the industry remaining strong but more importantly, growing. The Property Council in its 2014 election platform, A Contest of Ideas called for seven game changers crucial for sustained economic growth and the health of the industry.

The Liberals listened to the concerns raised by the industry and acknowledged the barriers to further investment. They have demonstrated their commitment to the industry and their desire to act which is evident in their policies.

The incoming government has committed to: • Set a measurable target for population growth; • A growth strategy based on marketdriven job creation; and,

The acceptance by the incoming Liberal Government for microeconomic reform is a result of the hard work of the Property Council members lobbying for change which will benefit Tasmania’s largest private sector industry.

• Encouraging international students to stay in the state by providing improved pathways to permanent residency.

Here is the list of wins our members have achieved under each game changer which the incoming Liberal Government has committed to act on:

As the majority of members are more than aware, Tasmania’s planning system is not fit for purpose. If the state is serious about attracting further investment, then Tasmania’s planning regime must modernise. It is not acceptable to allow planning to be a key barrier to investment in the state.

Game changer 1: Grow Tasmania Tasmania needs population growth to attract further investment and keep existing investors here in the state.

Game Changer 3: Modernise our planning regime

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Spotlight on Tasmania

The Liberals have listened and have committed to a Planning Reform Taskforce to drive their planning policy, which is targeted at the following initiatives: • Single state-wide planning scheme; • In principle planning approval; • Tightening third-party appeals; • Establish Ministerial Call in Powers; • Fast-track major project planning processes; • Implement comprehensive set of interlocking state policies; and, • Strict timeframes for development assessment.

Game Changer 4: Get serious about tax reform and governing Tasmania must get serious about tax reform and governing to attract investment, create jobs and ensure local and state government expenditure is kept in check. The incoming government has committed to a two year water and sewerage developer charges holiday, thereby ensuring a tax which was impacting on development, investments and jobs is immediately addressed.

Game Changer 5: Work with the market to create jobs Tasmania needs to take a more ambitious approach to job creation and work with the market. This state needs to grow and keep local talent as well as attracting and retaining the best talent from Australia and beyond. The Property Council welcomes the commitment by the incoming government to: • Waive water and sewerage developer charges for two years; • Establish Infrastructure Tasmania; • Establish a Coordinator General position; • Review local council processes for managing road and bridge maintenance programs and identify any systematic infrastructure planning issues which impede regional development; • Implement a special Jobs Package; and • Leverage Tasmanian tourism assets. Game Changer 6: Reform two tiers of government Tasmania needs to grow up and reform local and state government tiers. The old practices and ways cannot continue if we are to grow the economy to underpin the signs of economic recovery.

The Property Council welcomes the incoming government’s commitment to, in the first 30 days, commence an audit of the government’s boards and committees to identify savings.

Game Changer 7: Clear red and green tape The industry has argued for a number of years that regulations frequently overlap, conflict, create confusion and add to the financial burdens placed on investment. The issue has been taken up by the incoming government with commitments to: • Annual audit of existing regulations; • Cutting red and green tape by 20 per cent; • A Regulation Reduction Coordinator; • Centralising property facilities management; and

• Addressing the issue of government tendering and procurement processes. The incoming government has a great opportunity to set Tasmania on an economic growth and job creation journey, which will benefit Tasmanians now and future generations. Tasmania can achieve greatness if unshackled from past bad practices and structures, which have outlived their purpose. The Property Council is committed to working with the new government to ensure the property industry continues to have a strong voice for the benefit of the 39,000 Tasmanians who work directly and indirectly in the state’s largest private sector industry.

Galleries

BUSINESS LUNCH 15 SEPTEMBER 2013

Flinders Street Station Re-Design Victorian Business Lunch Moderator: Brendan Rogers, Urbis

Speakers: Tim Bamford, Major Projects Victoria Mark Loughnan, HASSELL Eduardo Velasquez, University of Melbourne Chris Buntine, Aurecon

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FUTURE DIRECTIONS 31 OCTOBER 2013

Future Directions 171 Collins Street Speakers: Geoff Sloan, BHP Billiton Mark van Miltenburg, Mirvac

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FUTURE DIRECTIONS 28 NOVEMBER 2013

End of Year Party Victorian Future Directions Proudly partnered by:

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CHRISTMAS LUNCH 6 DECEMBER 2013

Victorian Christmas Lunch Proudly partnered by:

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DIVISION BREAKFAST 6 FEBRUARY 2014

Office Market Report Victorian Division Breakfast Moderator: Glenn Lampard, Savills

Speakers: Emily Dean, Telstra Colin Robertshaw, Commonwealth Bank Geoff Sloan, BHP Billiton

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BUSINESS LUNCH 17 OCTOBER 2013

Women in Business Tasmanian Business Lunch Speakers: Carolyn Viney, CEO, Grocon

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CHRISTMAS LUNCH 22 NOVEMBER 2013

Tasmanian Christmas Lunch Speakers: Alastair Clarkson, Coach of Hawthorn Football Club

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FUTURE LEADER OF THE YEAR 11 DECEMBER 2013

Tasmanian Future Leader of the Year Award Winner: Naomi Billet, Paige Seager Lawyers

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OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

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FUTURE DIRECTIONS 11 DECEMBER 2013

Tasmanian Future Directions End of Year Celebration Speakers: Nick Haddow, Bruny Island Cheese Alex Johnston, Southern Cross

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Upcoming Events

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH 2014

Visit www.propertyoz.com.au/vic and www.propertyoz.com.au/tas for all the latest on our events.

Upcoming Events Victoria DAY

DATE

EVENT

VENUE & TIME

Tuesday

15 April

Industry Briefing Water Transport

Telstra Theatrette 242 Exhibition Street 4.15pm for 4.30pm – 6.30pm

Wednesday

30 April

Business Lunch

Crown 8 Whiteman Street, Southbank 12noon for 12.30pm – 2.00pm

Thursday

1 May

Future Directions

The Orchid Room Artemis Lane 6.00pm – 8.30pm

Tuesday

13 May

Retail Leases Act Course

Property Council Office Level 7, 136 Exhibition Street 9.00am – 5.00pm

Monday & Tuesday

26-27 May

Professional Development Building Service Fundamentals

Property Council Office Level 7, 136 Exhibition Street 9.00am – 5.30pm

Thursday

29 May

Future Directions

The Orchid Room Artemis Lane 6.00pm – 8.30pm

Thursday

26 June

Future Directions

The Orchid Room Artemis Lane 6.00pm – 8.30pm

Friday

19 September

Business Lunch FOOTY!!

Palladium at Crown 8 Whiteman Street, Southbank 12noon for 12.30pm – 2.30pm

Upcoming Events

OUTLOOK ISSUE: PROPERTY VICTORIA FEBRUARY/MARCH2014

Tasmania DAY

DATE

EVENT

VENUE & TIME

Friday

28 November

Christmas Lunch

Eros and Thanatos, MONA Main Rd, Berridale 12.30pm for 1.00pm to 2.30pm

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REVIVING OUR HERITAGE Peddle Thorp helped the City of Yarra breathe new life into the historic Hawthorn Town Hall with a $16 million facelift. The redevelopment, which includes the addition of a new Arts Precinct, integrated old with new whilst respecting the architecture and heritage of the building and ensuring it lives on to serve many future generations. For further information visit us at www.pta.com.au