End of apartment boom acting as handbrake on confidence

first_imgApartments under construction in Newstead, Brisbane. The Property Council expects the apartment construction boom to end in the next 12 to 18 months. Picture: Glenn HuntCONFIDENCE in Queensland has hit the second lowest level of all states amid fears not enough was being done to prepare for the end of the apartment boom, the latest ANZ/Property Council survey found. BRISBANE newbies among top winners if super deposits go ahead RBA board singling Brisbane out but the numbers are holding SIGN up to receive all The Courier-Mail real estate news direct to your inbox Property Council Queensland executive director Chris Mountford said the end of the apartment boom was in sight and acting as a handbrake on confidence levels across Queensland.With the end of the mining and gas boom still wreaking havoc on regional centres, Mr Mountford warned the clock was ticking on the replacement for the apartment construction boom too. “The reality is that construction cycle is starting to wind down, when these (current projects) are completed, it’s unlikely that another will kick off to fill the space,” he said.“A year ahead and it’s over. No doubt there’s still a lot of activity going on but we’re certainly starting to see projects come to completion and the earlier trades (used in projects) are already starting to come off.”More from newsMould, age, not enough to stop 17 bidders fighting for this home6 hours agoBuyers ‘crazy’ not to take govt freebies, says 28-yr-old investor6 hours agoProperty Council executive director Chris Mountford in Brisbane’s West End. Picture: Jono Searle.He said in 12 to 18 months the current construction cycle would end and the state needed to get other work ready to go into the future. “We’re really looking to see what the state government will do to lift the level of infrastructure investment across the state. We want to see opportunities for people to look for work in the infrastructure space in particular. The challenge for the current government and the LNP going into the coming election is how are you going to fund that infrastructure. Infrastructure is not just about job creation, it’s about investing in the next wave of project growth.” Apartment under construction in Newstead, Brisbane. The Property Council wants the State Government to focus on ways to fund more infrastructure developments. Picture: Glenn HuntMr Mountford said Queensland also faced the challenge of ensuring a plan was in place to unlock the benefits of the SEQ Regional Plan. He warned that failing to lift infrastructure investment to unlock benefits of the plan could force property supply to tighten and push up prices, citing Sydney as an example.“For decades they (NSW) didn’t invest in infrastructure and there was such a constraint on supply that they’ve had these major price increases. This is about long term positioning for Queensland and ensuring that we have steady supply of affordable property.”The ANZ/Property Council survey saw confidence in Queensland rise four index points over the last quarter, from 123 to 127 (with 100 being neutral) – the worst performance of all states except Western Australia (118), with Victoria at 140 and NSW at 145 index points.last_img

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