AusBiz.
NEWS+VIEWS | MINING | AGRIBUSINESS | INFRASTRUCTURE
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12 P.2 buisness news+views p.3 QLD invest special p.6 mine fires on the rise P.12 agricultural land prices P.18 agribusiness: saltwater crocs P.22 property biz: tiny houses P.26 charity spotlight: careflight
Business News+Views
WORDS: sarah hinder
Australian grains making waves in Vietnam Every year Australia exports more than $460 million worth of wheat into Vietnam, mostly used in bread and noodles. According to a new research report published by the Australian Export Grains Innovations Centre (AEGIC), this number is expected to increase by 44 per cent by the year 2030. Australia’s wheat has historically been used across Vietnam’s higherpriced food sectors, explains lead report author Dr Peter White. “Australian wheat has an excellent reputation for noodles in Vietnam,
[and] is Vietnam’s first choice for bread (bánh mì),“ he says. “Vietnam is one of the top 10 beer markets in the world, and Australia is already their largest supplier of malt and malt barley.” With the country’s middle class expected to make up one quarter of its 96 million-strong population by 2030, the demand for high-quality Australian grain and wheat is expected to be at an all-time high. Meanwhile, Australian barley imports into Vietnam have the potential to double by the same year. To find out more visit aegic.org.au
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Investment Special
QLD Invest deliver valuable property investments to Australian families Let’s face it, working for the man is good for paying the bills, but to really get ahead, we all know that property investing is a must. As a wise old investor said to me years ago: “This property will never be as cheap as it was when you bought it.” Well, I guess that’s why they call it REAL estate. Where do you start? Seriously! How much research do you need to conduct before you buy a property? When navigating all the contradicting property reports out there, it’s easy to follow the herd, simply because that’s what the herd does. Plus, who has the time to drive across the country investigating every nook and cranny, trying to locate that ‘great deal’? Well, enter Korry from QLD Invest. The really unique thing about what Korry does is he ‘manufactures’ the wealth into the property design. It’s a concept that takes time to wrap your head around. But once you get it, you’ll probably never buy a stock standard property again. QLD Invest was set up by Korry in order to deliver real wealth, to everyday families, through smart property investments.
Korry explains that his team spends most of their time looking at council zoning, and what would be allowable under council rules. Then designing a building that will deliver a specific commercial outcome to the investor. “We deliver a complete package. All the investor needs to do is be prepared to work with the mortgage broker to get the lending in place and sign a few contracts. “We’ve got dozens of clients currently involved in projects which will provide $80,000-$120,000 in immediate uplift, within six to eight months. Not only that, it provides big tax deductions. It’s hard to beat. And an investor on a normal salary can get into high return property, with around $100,000 equity or deposit.” Korry explains: “We named the business QLD Invest because southeast Queensland is in fact one of the best locations for investment at the current time and foreseeable future.
“Many of our projects are returning high weekly rents and incredible returns of 6 to 15 per cent each year. On top of that is the capital growth. One of our clients who wanted to move up from Sydney, is in fact getting a 25 per cent annual return on the project that we delivered. It’s basically allowed the family’s dad to stay at home. That’s life changing, and that’s when I get real satisfaction from my business. We are a family business, and we pride ourselves in helping families secure a great future.” QLD Invest makes the investment process seamless. With every step, from initial discussion through to securing lending, managing the project and getting it rented, the team at QLD Invest support the process at no charge to clients. “We deliver far more than most people would be able to achieve with their own knowledge, and we do it quickly, including high return SMSF property.“ Talking with Korry, you will learn more in three minutes than you may in a lifetime. qldinvest.com.au | 0439 425 855 korry@qldinvest.com.au
Korry and Roma from QLD Invest with their daughters.
AUG/SEPT 2019
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Cairns & Townsville
Launceston
Perth
Blue Mountains
Melbourne
Brisbane
Sydney
Hunter Valley
At the heart of Subiaco in Perth: Park Regis Subiaco – Opening November 2019. Contact: mranoa@staywellgroup.com | Website: staywellgroup.com
Business News+Views
South Queensland Energy and Resources Expo
Northern Australia wild for rice In the first project of its kind undertaken in Australia, the new Cooperative Research Centre for Developing Northern Australia (CRCNA) plans to launch a $505,000 research collaboration to kick off a rice sector in northern Australia. Partnering with organisations including the Queensland Alliance for Agriculture and Food Innovation (QAAFI), the 18-month project will trial three different scenarios for the proposed industry, including production of unique wild rice and northern Australian rice varieties, and the potential global commercial use of these varieties’ genes. QAAFI’s Professor Robert Henry explains: “a ‘North Australian rice’ grade would be worth $50 million within seven years.“ For more information visit crcna.com.au
South-west Queensland is leading the way in Australia with enormous growth and diversity across a range of industries. With major infrastructure projects already underway and a raft of others about to start, the entire region is in ‘fast forward’. The South Queensland Energy and Resources Expo is on this October 16–17 at Toowoomba Showgrounds. For your chance to be involved free call 1800 671 588, or register online to book an exhibition space. Delegate registrations are now open at energyandresources.com.au
StayWell and Prince Hotels & Resorts offer luxury One of the largest hotel management groups in Asia-Pacific, StayWell Holdings and its parent company Prince Hotels Inc offer a diverse portfolio of properties across a combined total network of 75 operating hotels worldwide. The company’s combined brand offerings include The Prince, Grand Prince Hotel, Policy, Park Regis, Prince Hotel, Leisure Inn Plus, Prince Smart Inn and Leisure Inn. Each brand offers guests quality experiences from luxury to lifestyle. Prince Hotels & Resorts and StayWell have set a strategic goal to deliver a total of 250 hotels. The expansion of both company brands will take place across the world. The opening of Perth hotel Park Regis Subiaco in November 2019 will mark the launch of a flagship Park Regis property in Australia. AUG/SEPT 2019
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Mining
Darren Baguley Darren specialises in the fields of technology, mining, agriculture, energy and business.
Mine fires on the rise THE INCREASING USE OF PLASTIC IN MOBILE PLANT ON MINE SITES HAS LED TO A MARKED INCREASE IN MINE FIRES. According to the NSW Resources Regulator, the number of fires on mine sites has doubled in nearly a decade. A recent report from the regulator found that more than 200 fires were reported between September 2014 and May 2017. On average that’s about six per month – double the number reported between 2001 and 2008. Further, the regulator noted that between May 2016 and May 2017 a total of 97 incidents were reported, at an average of eight fires each month. It also noted that high temperature diesel engine exhaust and turbo surfaces were the ignition source in 69 per cent of fires in the data period. This trend is not restricted to New South Wales, or even Australia: according to international insurer FM Global, mine plant fires are on the rise everywhere. The US-based insurance firm has offices worldwide, and specialises in insuring large corporations. It has 300 mining sites on its books, spread across the globe.
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Mining
Unlike most insurance companies, which employ actuarial calculations to determine risk, FM Global determines risk, and premiums, by applying engineering analysis. This approach takes the view that property losses can be prevented or mitigated, and the company’s engineering personnel regularly visit clients to evaluate hazards and recommend improvements aimed at reducing physical and financial losses if an incident occurs. According to Group Manager, Account Engineering, Mike Beaumont, the increase in mine fires highlighted by the NSW Resources Regulator is definitely a trend and not a statistical outlier. “FM Global’s data, including over 50 mining sites in Australia, shows that fire incidents at mines are on the increase,” he says. “While the number of fires that affect mobile plants remains relatively stable, there has been a significant rise in fire incidents (both in frequency and severity) involving other types of fixed plant, such as
rubber belt conveyors, vibratory screens, hydro-cyclones, piping and rubber-lined equipment.” During the reporting period, fire accounted for 27 per cent of all losses on mine sites. If the use of autonomous vehicles continues to rise, as widely expected, the risk of fire could increase further unless it is managed appropriately. The NSW Regulator, however, argues that “engineering technology is available to virtually eliminate fires on mobile plant, as demonstrated by underground coal mobile plant statistics… There continues to be clear indication that hot surface and inadvertent release of combustible fluid is a dominant condition causing fires on mobile plant at mines. Surface temperature control by water jacketed turbos and exhaust manifolds as typically available on marine application engines, or other methods, should be considered as a means to eliminate hot surface ignition sources.” One factor that FM Global’s data suggests is contributing to the rise AUG/SEPT 2019
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Mining
in mine fires is the increased use of plastic equipment and plastic parts. The issue isn’t so much with the plastic equipment, but with the fire awareness that goes with it. Put simply, plastic is more combustible than metal, and as plastic parts replace steel, there needs to be a change in fire prevention strategies. For example, a recent fire was caused by workers doing hot work above plastic filtering screens, which caught alight. Beaumont says: “In FM Global’s view, there has been a lag in updating fire safety practices in line with the increasing use of new materials, such as plastics, in mine sites. There needs to be more education and awareness around combustibility issues when using plastic equipment in a mine site. Also, consideration should be given to improved use of fire protection equipment in key areas of plastic equipment concentration.” According to Beaumont, FM Global has done a lot of the work for mining companies already when it comes to improving fire prevention standards. “This can be found in our Data Sheet 7-12 ‘Mining and Ore Processing Facilities,’ which is available on our website,” he says. “This standard is in the process of being updated to provide even more detailed guidance for plastic equipment where we are seeing more losses, and should be available to the public later in 2020. Remaining on top of evolving standards in this area and implementing new recommendations is key to mitigating risk. “In the meantime, FM Global recommends that miners conduct on-site hazard analysis before starting any hot work. One recommendation to mitigate the risk of fire would be flanging off pipes so that fires in one vessel won’t jump to another if the worst does occur.” Beaumont says that mine operators
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also need to think about how they are configuring flammable materials. Miners should try to keep the concentration of combustible equipment below a reasonable level, as this can minimise the spread of fire if it occurs. FM Global believes it is key to ensure miners are aware of any safety related issues, such as combustibility, when new equipment is introduced. According to Beaumont, failing to adequately educate staff on the ground leads to a far greater risk that appropriate precautions may not be taken. “Staying on top of your equipment maintenance is
another important factor,” he adds. “Many fires are related to equipment failure, where machinery is running for long periods without maintenance.” While, thankfully, the rise in mine fires has not resulted in fatalities, with any fire there’s a risk of injuries or death if it isn’t contained effectively, says Beaumont. “As a property insurer, FM Global’s focus and expertise is on the property damage/business interruption side of the equation. We’re not safety experts. But the risks associated with mine fires highlight why it’s imperative for miners to understand fire risk and take appropriate precautions.”
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Achieve maximum effectiveness onsite with Topcon technology and MAGNET software integration One of the largest surveying firms in regional New South Wales, PHL Surveyors has been operating for more than 100 years in Griffith, and for the last 12 years in Bungendore. PHL Surveyors is involved in many facets of surveying including rural boundary definition, rural and urban sub-division, large-scale irrigation design work, planning and engineering works. The company has been using MAGNET software since the late ‘80s, and first purchased Topcon robotic total stations from Position Partners about seven years ago. Two years ago, PHL Surveyors made the decision to fully integrate its system by purchasing Topcon GNSS equipment. Operating the Bungendore branch, Alan Longhurst is one of three directors at PHL Surveyors. “One of the projects we’re working on at present is a 20-kilometre rural marking job, where the boundaries have been very difficult to access, and the terrain is pretty steep,” Longhurst explains. “We’ve utilised several technologies onsite, including total stations, GNSS equipment, AllDayRTK, as well as kinematic methodology – and have
been very impressed with the way the Topcon equipment has performed. It’s made the task so much easier for us.” PHL Surveyors found that working with Position Partners to integrate the two technologies has resulted in an entirely seamless process. Longhurst explains: “Since Topcon has taken on the role of developing MAGNET software, we’ve found that it’s worked seamlessly with the use of GNSS equipment and robotic total stations, where in the past we’ve had to use other third-party software and swap it through different applications.” PHL Surveyors chose a combination of Topcon total stations, GNSS and MAGNET to enable an integrated process both in the field and the office. “We found the cost effectiveness and the accuracy that we can achieve using Topcon equipment is really impressive,” Longhurst explains. “Now we can operate much more effectively in the office, transferring data to and from equipment and to and from field parties. We feel quite content with where we are now.” PHL Surveyors has used MAGNET software, in one form or another,
for more than 30 years, and one thing that has kept the company using the software is the support received from Position Partners. “Whenever you use software or surveying equipment like this, there are always issues. The key to having a good software base is the support you get when things go awry or when there are questions to be asked and answered. We’re very happy with the way Position Partners is supporting us in the use of this software and we see no reason to change,” affirms Longhurst. “The use of MAGNET software is critical to the way we operate our survey practice. Without it we couldn’t achieve the outcomes we need to satisfy our clients’ needs.” AUG/SEPT 2019
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Agricultural Land Prices
Darren Baguley Darren specialises in the fields of technology, mining, agriculture, energy and business.
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AusBiz.
Agricultural Land Prices
Coming in to land
THE VALUE OF FARMLAND IN SOME AUSTRALIAN AGRICULTURAL REGIONS HAS MORE THAN DOUBLED OVER THE PAST TWO DECADES, AND LARGER FARMS ARE BECOMING BIGGER.
Recent reports by Rural Bank and Rabobank indicate that, despite dry conditions in much of the country, rural land prices continue to climb, with Victoria, South Australia and Queensland all showing double digit growth year on year. According to Rural Bank’s 2018 Australian Farmland Values report, “the national median $/ha price increased by 10.7 per cent in 2018; the fifth consecutive year of growth. “Farmland value rose again in 2018. Most states recorded an increase in the median price, ranging in growth from -5 per cent to +17 per cent. [The data was compiled from] over 255,000 transactions, accounting for 297.5 million hectares
of land with a combined value of $150.4 billion over 24 years.” While there is considerable variation from region to region and state to state, all states saw increases except Tasmania, which fell by 5.0 per cent. According to Rural Bank CFO Will Rayner, the fall came after a “sustained period of really strong growth, and the fall mainly represents prices reverting to the mean.” According to the Rural Bank report, in 2018 the median price of Victorian farmland increased by 14.1 per cent compared to 2017. This marks the third consecutive year of growth in median value per hectare, bringing the three-year average annual growth rate to 12.2 per cent.
The estimated number of farmland transactions in 2018 was 1,681, down 8 per cent compared to 2017. Although much of Queensland has been suffering drought or drier than normal conditions, the median price of farmland in Queensland increased by 15.7 per cent in 2018 following a 2.8 per cent decrease in 2017. The estimated number of farmland transactions in 2018 was 1,721, just one more than in 2017. In New South Wales the median price of farmland increased by 9.6 per cent in 2018, while the volume of transactions decreased by 18 per cent; this trend was mirrored in South Australia, with an increased median (+17 per cent) and lower AUG/SEPT 2019
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Agricultural Land Prices
transactions (-12.6 per cent). Western Australia recorded the lowest rise in the median (+3.8 per cent), but unlike South Australia and the eastern states, WA saw an increase in the number of transactions (+9.1 per cent). Tasmania’s 5 per cent decline in median needs to be put in context against growth of 19.3 per cent in 2017. In Tasmania transactions also decreased 11.7 per cent, a turnover remaining close to the 10-year average. According to Rural Bank and Rabobank, the 2018 growth in median farm price can be attributed to a different mix of farm sales to 2017. There were fewer sales in 2018, and of farms that did sell, a greater proportion were high value per hectare properties, which contributed to pushing the median higher. According to RaboResearch Australia & New Zealand Agricultural Analyst Wesley Lefroy, “consolidation and drought are major driving factors behind this. Consolidation is the factor over the long term, but the major factor right now is the drought.” Despite the drought, the number
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of distressed sales has fallen as a result of improved operating profits, and in circumstances where farmers may have previously sold (such as retirement), the property is now often being continued to be farmed or leased in order to benefit from capital appreciation. Lefroy says: “opportunistic purchasing drove prices of smaller properties, and heightened demand for ‘add-on’ blocks for existing farms has driven price growth of smaller properties (2.6 per cent CAGR [compound annual growth rate]). The reason for this is that consolidation has been going on for some years now and larger properties have more purchasing power. There also can be considerable neighbourly competition where a block comes up for sale
Fast Facts Rural Bank 2018 Australian Farmland Values report Y-oY% State breakdown NSW farmland
9.6
VIC farmland
14.1
SA farmland
17.0
TAS farmland
-5.0
WA farmland
3.8
QLD farmland
15.7
National
10.7
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Agricultural Land Prices
and it complements a number of operations in the area.” Rayner adds that demand is also being driven by farmers seeking regional diversification. “Regional diversification brings opportunity because prices, productivity and conditions vary so significantly from region to region. It’s becoming increasingly common for pastoral companies and large family operations to buy properties in high rainfall areas to essentially buy their own haystack.” Lefroy says it is important to keep in mind that agricultural land prices have mainly been driven by a rise in operating profits. “Agricultural land prices don’t correlate with residential property, population growth or unemployment, it’s all about commodity cycles and profitability. Nationally, the five-year average (2013-2017) farm operating profit was close to seven times larger than a decade earlier (2003-2007) [according to data from the Australian
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Bureau of Agricultural and Resource Economics and Sciences (ABARES)]. Growth was strongest for broad-acre cropping and mixed livestock farms.” It is important to keep in mind that the reported increase in operating profit has been driven more by macroeconomic conditions than increases in agricultural productivity. For a large part of the past five years, the overnight cash rate has been at record lows, and the value of the AUD/ USD has been weakening since 2013. A string of favourable seasons elevated production, and most agricultural commodities traded in a profitable range. None more so than beef, wool, and sheep meat prices, which reached decade highs in 2016 and 2017, while the sheep meat price continues to climb. Increased operating profits enable farmers to purchase more land. For corporate investors, high operating returns increase the attractiveness of farm investments. Nevertheless, good investment
opportunities in agricultural land remain. In the Rabobank report, ’No Summit in Sight: Ag Land Prices to Climb Higher, Australian Agricultural Land Price Outlook 2018’, Lefroy notes that a proportion of land was sold under market relative to productive capacity. “One of the challenges for buyers is that in a perfect market you would be paying for what you could produce – 3 tonne/hectare should be $3,000/hectare – but there is a big variation from region to region. Doing a lot of due diligence in terms of understanding long-term production capacity and reliability of production, there is the opportunity for prospective buyers to buy land well under market value with a similar productive capacity.” With interest rates at record lows and demand likely to continue, both Rayner and Lefroy believe demand for agricultural land and continuing strong prices will be a feature of the future.
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Agribusiness
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Agribusiness
Ian Lloyd Neubauer With nearly 20 years’ journalism experience, Ian is abreast of global news as it happens.
HUNTED TO THE BRINK OF EXTINCTION, THE SALTWATER CROCODILE HAS MADE A STELLAR COMEBACK, CREATING A BUNCH OF LUCRATIVE SIDE BUSINESSES IN THE PROCESS. “Shoot the lot of them.” That was the general consensus towards the estuarine or saltwater crocodile in Australia until a few generations ago. And that we did, using Aboriginal labour and guidance to hunt crocs for their skin – to the brink of extinction. By the early 1970s crocodile numbers had dwindled to fewer than 3,000. The species was added to the endangered list and hunting was banned. There are an estimated 150,000 saltwater crocodiles in the Top End now, making them the beneficiary of the most effective predator conservation program ever conceived. Its great success is credited to the concurrent launch of incentive-based income streams: crocodile farming for leather and meat and a tourism industry sector underpinned by our love-hate relationship with the world’s most efficient predator. To gain a better insight, we spoke with three business owners in three different industries that have helped save the saltwater crocodile from humanity’s reptilian nature.
Turning trash into cash
When Aaron Rodwell was a kid he emptied the family swimming pool and turned it into a reptile enclosure. When he grew up, he got a special permit to remove problem crocodiles from the wild that pose a threat to tourists and cattle stations. A decade ago, the Darwinite’s special relationship with the predators led him to create Croc Stock and Barra, a crocodile fashion and apparel company in a class of its own. “Never kill an animal unless you’re going to use or eat all its parts. That’s how I roll,” Rodwell says. “I turn parts that normally get burned at the crocodile farms into products. I make backscratchers from the claws, necklaces and earrings from the teeth, and I make taxidermy skulls for collectors and universities. The crocs I kill in the wild, their skin is too tough and old to make products, so I sell them as trophy skins.” Farmed crocodile skin is mostly used for handbags, and Australian saltwater crocodile skins are considered the best in the world. The big European fashion houses can’t get enough of them, so AUG/SEPT 2019
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Agribusiness
five years ago two of the biggest – Louis Vuitton and Hermès – bought 12 out of 14 crocodile farms in Australia. Their least-expensive crocodile handbags sell for around $50,000. Others go for more than twice that much. But Rodwell’s handbags, made from crocodile backstraps and crowns, sell for much less: $500 to $1500. “Those big companies, they’ve monopolised the market and made it hard for Australian producers to find skins,” he says. “But I have a special relationship with the farmers because I turn their trash into cash. What farmer in the world wouldn’t like that?”
Taste like chicken… and fish Low in fat and cholesterol but rich in protein, crocodile meat is not only good for you but makes you look good thanks to its high colloid content, which delays the onset of wrinkles. But how does it taste? “It’s not fishy, not meaty, it has a neutral taste, like a cross between seafood and chicken,” says Marnie Flanagan of Naturally Wild, a supplier of Australian-farmed buffalo, boar, venison and crocodile meat. “I always compare it to calamari – light white meat that goes very well with lemon, butter and salt. “When I started my company in 2010, I did shelf tests with the supermarkets to see what cuts of meat sold,” she recalls. “One of the barriers we found is that people didn’t know how to cook croc because, like all game meat, it’s easy to overcook, turning it tough and leathery, and those consumers never come back.
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Fast Facts
6 metres
The largest saltwater crocodile reliably measured was was 6.17 metres from nose to tail.
31 people
In Australia, 31 people have been killed by crocodiles since hunting was outlawed in the 1970s.
Agribusiness
“So to make sure they wouldn’t be disappointed, we tried ready-toheat meals – crocodile green and red curries. But they weren’t big sellers, so we went back to square one and figured out crocodile tail steak was a winner because it’s the most tender part of the animal. We also do sausages that are 90 per cent crocodile meat with rice flour added.” The crocodile meat market in Australia remains small because of limited supply and high prices. A 250-gram crocodile steak sells for about $13 at Coles – more than $50 a kilo. “The people who buy it tend to be health-conscious, looking for low-fat meat that’s unsullied by antibiotics,” Flanagan says. “It’s also popular among food adventurers and people who’ve travelled overseas and tried game meat on safaris in Africa, and aren’t geared on the repetitive Australian diet of beef, lamb and chicken.”
Crocodile bungee
Between 1984 and 1988, visitor numbers at Kakadu jumped from 75,000 to 200,000. Credit for the spike, according to Peter Hook of Kakadu Tourism, goes to “the crocodile in the shape of Paul Hogan’s Crocodile Dundee – and by the opening of the Crocodile Hotel in Jabiru.” Visitor numbers in Kakadu have taken a hammering over the years, but have now surpassed 1988’s level, with 200,577 visitors in 2018. Nearly every single one of those who visit the park for the first time will buy a ticket for a jumping crocodile show on the Adelaide River. “It’s like when you go to Paris, you see the Eiffel Tower. When you come to the Northern Territory, you go to see the crocs. It’s on everyone’s must-do list,” says Maxine Bowman of Adelaide River Cruises, one of three tour boat operators on the waterway.
“The other two companies are much bigger than us and have bigger boats – ours is just a little family business,” she says. “We only have two boats that can take a maximum of 45 people twice a day – but that’s part of the appeal. Our boat drivers are two brothers who’ve been doing the same job for 20 years. We offer tourists a more personalised experience.” Animal welfare groups have voiced concerns about operators that coax crocodiles to jump out of the water, saying it changes the predator’s behaviour and encourages them to attack human beings. But Bowman says that’s bull: “Crocs jump naturally in the wild. I have personally seen egrets perched on low-lying branches or walking along the bank of a river when all of a sudden you hear this massive whoosh as a crocodile explodes from the water for lunch. It’s the greatest show on earth.” AUG/SEPT 2019
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Property Biz.
A mini revolution
IMAGES: TINY HOUSE COMPANY.
THE TINY HOUSE MOVEMENT IS GAINING MOMENTUM IN AUSTRALIA. SO WHAT’S THE DEAL?
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AusBiz.
Property Biz.
Kirsten Craze Kirsten Craze is a freelance journalist who has been writing about property in Australia and overseas for more than 15 years.
Blame the Marie Kondo minimalism trend, or the fight against McMansions, but an increasing number of Australians are rethinking what makes a house a home, and downsizing their footprint to upgrade their lives. For a small but growing proportion of the population, that means choosing a tiny house. As our metropolitan and regional centres grow up rather that out, and housing affordability becomes a challenge, some Aussies are of the belief that good things come in small packages. While the concept has taken off globally, and spawned a number of popular reality TV shows plus a 1.9 million-subscriber-strong YouTube channel called Living Big in a Tiny House, Down Under the phenomenon is still relatively small. Dr Heather Shearer, research fellow with the Cities Research Institute at Griffith University and author of ’Towards a Typology of Tiny Houses’, says while Australia’s climate and lifestyle perfectly lend themselves to tiny house living, it is estimated only 200 to 300 people have taken the leap. “One of the interesting things I found in my research was the wide disparity between people who find them so fascinating and say they would love to live in a tiny house, and the very few people who actually do,” she says. Heather explains that while the idea of a tiny house fits with many Australians’ philosophy of living a simple life, the reality of a mini-footprint goes a lot deeper. AUG/SEPT 2019
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Property Biz.
What is a tiny house?
Useful resources Australian Tiny House Association australiantinyhouse association.org.au Tiny Houses Australia facebook.com/ tinyhousesaustralia The Tiny House Company tinyhousecompany. com.au The Tiny House Resource Guide tinyhousecompany. com.au/tinyhouse-planningresource
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Although media might suggest the movement is a minimalist millennial invention, tiny houses have been around since emergency housing was needed after WWII. While there is no formal definition of ’tiny house’ in Australia, the concept usually refers to dwellings with a footprint of less than 40 square metres, which can usually be purchased for $50-100,000. Some are converted shipping containers or refitted buses; others are purpose-built fixed tiny houses or tiny houses on wheels (THOW), which can be transported like a caravan. But more than just glorified caravans and cabins, today’s tiny houses benefit from modern architectural techniques and technological advances in systems such as solar power, rainwater tanks and composting toilets.
Where can they go?
Buying a tiny house to put on any old suburban block might sound like a cost-effective way to climb onto the property ladder. But it’s not that simple according to Lara Nobel, architect and carpenter with the Tiny House Company, a firm that offers design advice and building services. “People want a short, snappy answer about where they can put a tiny house, but unfortunately you need to consider a number of things,” she says. “Where’s your backyard? What’s your council area? Is your tiny house going to be on wheels? Is it not on wheels? How is it connected to the ground, the utilities?”
In conjunction with ESC Consulting, the Tiny House Company produced a planning guide to consolidate a number of frequently asked questions. And while there is no one-size-fits-all answer to where a tiny house can be built or “parked” in Australia, many local councils often break them down into two categories: those with wheels and those without. On wheels, a tiny house is often treated as a caravan, and therefore can only really be a ’home’ for a short period, while those without wheels are often considered a ’granny flat’, and not to be treated as a primary dwelling. “What we discovered, and a lot of other people are finding out, is that some councils just don’t know what to do about tiny houses – it really is such a grey area,” Lara says. Heather agrees there is plenty of room for improvement when it comes to how councils treat tiny houses: “It’s not that local councils don’t permit them; they just don’t recognise them in their local laws and planning schemes.”
Who can build them?
Potential tiny house dwellers can purchase plans from a number of specialist companies and head down the DIY route, or engage a builder, but either way the red tape isn’t the same as with a standard house. “One of my hats, as well as being a researcher, is as a planner,” Heather explains. “Ideally, from a planning perspective, I’d like to see tiny houses more regulated. Currently, if you build a tiny house on wheels, as long as it adheres to the transport regulations that apply to caravans, like electrical and building tickets, it’s okay. But there’s nothing to say they have to be built to any sort of building code, because they’re considered vehicles.” But Andrew Carter, Lara’s partner and another Tiny House Company architect, says for the longevity of the movement and the wellbeing of all those involved, building regulations do need to come into play. “They’ve been around for such a short period of time that there hasn’t been the necessity for precautions and the building techniques that the industry has tried and tested,” he says. “And as they aren’t specifically tested in the tiny house world, people assume you don’t need to do it.” According to Lara, the safest solution for those looking at a tiny house life is to consult an experienced firm. “We come across a lot
Property Biz.
of people in the DIY category who imagine it’s like building a regular home on a small scale. But, if anything, making it tiny is actually far more complicated,” she says.
Why go tiny?
Going tiny gives people all the perks of living in a standard detached home – without the mammoth mortgage. And by going down the THOW path, owners claim more freedom. Lara and Andrew lived in a tiny house for two years before and after the birth of their first child. “It sort of confirmed our suspicions,” Andrew says. “We already knew that we didn’t need a lot of space. If your storage is customised to suit your needs, you really can scale down. “It’s not just about reducing the size of a standard house and having it function the same way. It has to be designed differently so that you have overlapping functions for spaces. Everything has multiple uses through the day.” Andrew says if we look to other cultures we would see most people live in far smaller spaces. “The default is set so high for Australians that we think we need so many things – but if you adjust your lifestyle, it’s manageable.” Lara adds that just because your home is tiny, your lifestyle doesn’t need to be. “Your house is your retreat,” she says, “but you also use the local parks, cinema, pool, library or coffee shop. You’re out and about more than if you have a big house with a media room and its own pool and double lock up-garage. We felt like we were more surrounded by community.”
Who fits the tiny house mould?
The first rule of tiny house living is that it’s not for everyone – but it can serve a purpose for a number of people at various life stages. According to Heather, the two most common demographics of tiny house dwellers are people in their 20s looking for a first home solution, and women over the age of 55 who live alone and either choose, or are financially required, to downsize their lives. “It’s a niche solution for a small part of the housing market. Tiny houses serve a specific purpose, and they serve it quite well,” says Andrew. “It’s funny, because we do also spend time convincing people not to buy a tiny house after getting to know them and what they’re really chasing. I think some people get swept up in this idea of them without fully considering what it involves.”
Tiny House Company designers, builders and company directors Greg Thornton, Andrew Carter and Lara Nobel.
AUG/SEPT 2019
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WHAT YOU DIDN’T KNOW ABOUT CAREFLIGHT In 1986 CareFlight established Australia’s first dedicated medical emergency helicopter service. Not only does the original rapid response helicopter service continue to serve the community in Sydney, the critical care team model it pioneered has been emulated around the world, making CareFlight an Australian success story in aeromedical training. Doctors teaching doctors
CareFlight was the first organisation in Australia to be accredited by the Specialist Medical Colleges for training doctors in critical care skills outside of a hospital. The doctor training program sets a benchmark both in Australia and internationally. It attracts and trains upwards of 50 specialist doctors each year, who will go on to fly all over the country and beyond, saving lives with CareFlight and many other organisations. For more than 25 years, doctors at the top of their game have been vying for the opportunity to attend what is a unique and independent ‘school’ developed by some of the nation’s most experienced and respected specialist emergency doctors. Today CareFlight trains doctors aboard its helicopters, propeller and jet aeroplanes, as well as in road vehicles.
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Nursing jobs like no other
The extraordinary conditions of Australia’s Top End call for a unique solution. CareFlight doctors, nurses, pilots, engineers, logistics, dispatch and support staff work together as one team, and across all operations. The team is Australia’s only fully integrated aeromedical service, operated on behalf of the Northern Territory Government. CareFlight nurses are on the front line of this busy service; they’re frequently a lifeline for families living in some of the most remote communities on the planet. Training as midwives and in other advanced skills is vital for nurses so they can learn to manage all types of emergencies and save seriously injured and ill adults, children and babies who might be hours away from a hospital.
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Fast Fact CareFlight trains some of the only nurses in the world who undertake downthe-wire rescues from the helicopter, day and night, over land and water. AUG/SEPT 2019
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Darwin
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CareFlight’s social purpose and teaching on the ground CareFlight has grown to be one of the best known and most trusted charities in Australia. Its mission is unrelenting: to save lives, speed recovery and serve the community. All of the resources the not-for-profit can muster are strategically directed into growing the charity’s social impact. The helicopter services in Sydney and Darwin are the best-known examples of CareFlight’s social impact funded with community support. In recent times, helped by businesses and individuals, CareFlight’s education programs have branched out to touch the lives of Australians right around the country, and will be expanding into Queensland soon. Highly trained and experienced pre-hospital medical specialists now deliver advanced training to volunteers and clinics in remote communities. Together, it’s about building resilience in remote, rural and regional Australia.
Territory Generation CEO Tim Duignan
“The MediSim Trauma Care Workshops have provided invaluable and potentially life-saving training to those in rural and remote areas, including some of our own employees, who may be the first responders in the event of a serious incident.”
TIO CEO Daryl Madden
“The MediSim program provides potentially life-saving education in some of the most challenging locations in the Northern Territory, and empowering local workers and volunteers with the skills and confidence as first responders is a great outcome for these regions.”
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Cairns
Alice Springs
Brisbane
Perth Sydney Adelaide
Reach of mobile training since 2011 Total MediSim Training Sessions: 352 Total Responders attending: 5,011 We are looking for sponsors to expand our MediSim program into all states including Queensland.
Trauma Care Workshops
CareFlight’s award-winning MediSim program provides medical simulation training to rural and remote emergency service volunteers and workers. Given locals in remote locations are often the first to arrive at the scene of a major trauma incident, CareFlight trains them to deliver pre-hospital emergency care while awaiting the arrival of professional help. Educators use mobile simulation equipment and realistic scenario training to give participants the confidence to take action at an emergency scene that could ultimately save a life. CareFlight instils cutting edge prehospital knowledge and skills in the workshops. Participants are also shown ingenious improvisation techniques that will work on scene, for example to stem serious bleeding or make a splint. Dr Ken Harrison developed Trauma Care Workshops after years flying on the CareFlight helicopter. He was also able to draw on his personal experience of being deployed with CareFlight’s disaster cache to Indonesia after the 2004 tsunami, experiencing first-hand the need for improvisation due to lack of surgical equipment. More than 5,000 Australians have now been upskilled with MediSim. It continues to be delivered at no cost to participants.
Canberra
Melbourne
Hobart
Sick and injured kids in remote communities
Building lasting resilience is vital in remote and regional communities. CareFlight’s Top End team last year developed an additional clinical training program designed specifically to help sick and injured children in remote and regional settings, particularly Indigenous communities. Over the past year, eight workshops have been delivered at no cost to participants and health clinics. This is largely made possible with financial support from CareFlight’s partners TIO and Territory Generation. Paediatric cases are challenging for all clinicians, particularly when access to specialists is limited. The course was designed to help clinicians diagnose and treat children to ensure they receive the vital treatment they need. Experienced CareFlight nurse and midwife Dean Blackney led development of the course. He said it was designed to share the latest evidence-based knowledge in managing and stabilising unwell and injured children and babies. “Remote area clinicians are well trained, but they don’t see trauma after trauma like those working in a big hospital. Practising their skills can mean the difference between life or death in a lot of situations,” Blackney says.
Learn about the history of the Huon Valley apple industry
Enjoy a Willie Smith’s cider paddle
Take a tour of the Charles Oates Distillery
Visit the Saturday Artisan & Produce market
Visit the home of Willie Smith’s cider where you can enjoy a great meal and a cider paddle, visit the Huon Valley apple museum, get up close and personal with a working distillery, peruse the Saturday Artisan & Produce Market.
Hobart Hobart Huonville
Contact
25mins
Huonville
www.williesmiths.com.au appleshed@williesmiths.com.au (03) 6266 4345 2064 Huon Hwy, Grove, TAS, 7109 25 minutes from Hobart
Education Special
’Become more’ with the University of Southern Queensland Whether you’re looking to become more employable, more inspired, more experienced, more knowledgeable, more prepared or more connected, the University of Southern Queensland (USQ) has the people, the facilities and the industry connections to help you ‘become more’ of what you want to be. USQ makes it easier for you to fit study into your life and will support you through the challenges that life and study bring. That is why the main offering at USQ is flexibility. Studying on-campus at one of three locations (Ipswich, Toowoomba or Springfield) is a rewarding way to undertake a university degree in an innovative and friendly environment. Alternatively you can join the university’s more than 70 per cent of students who study online. Make this year the start of something great with Australia’s number-one university for graduate starting salary.* With the option to study online or on-campus, full-time or part-time, USQ is ready to help you on your path to become more on your own terms, in your own time. *The Good Universities Guide, 2019.
BECOME MORE FROM MORE PLACES As a leader in online study, find out how a USQ postgrad degree can increase your earning and career potential. CRICOS: QLD 00244B, NSW 02225M | TEQSA: PRV12081
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Puzzles
CROSSWORD
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SOLUTIONS:
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Find all the words listed hidden in the grid of letters. They can be found in straight lines up, down, forwards, backwards or even diagonally. Theme: ‘ICE’ WORDS
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DOWN 1. Wept 2. Pronto (1,1,1,1) 3. Jumping parasite 4. Tennis-shots exchange 5. Tropical swamp trees 6. Supplies 9. Paints roughly 11. Balancing feat 13. Fully 15. Sultan’s wives 16. Sufficient 18. Musical composition 19. Appeal earnestly 21. Egyptian river 22. Profound
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ACROSS 1. Submerged sandbank 7. Nice 8. Baked dough 10. Semi-paralysed person 12. Pathetic loser 14. Highs & ... 16. Whirlpool 17. Meataxes 20. Outmanoeuvred 23. Holy city 24. Agreeably 25. TV serial melodrama, soap ...