Building approvals have risen to a 20-year high and are up almost 15 per cent on an annual basis.
There were 17,062 dwelling units approved in October, according to the Australian Bureau of Statistics. That marked a 2.5 per cent rise on the previous year. The Adviser has brought this news.
Private sector house approvals jumped 12.7 per cent to 9,380, while approvals for private sector dwellings excluding houses fell 7.0 per cent to 7,532.
There were a total of 197,530 new dwelling approvals for the 12 months to 31 October 2014 – 14.8 per cent higher than the previous 12-month period.
Master Builders Australia chief economist Peter Jones said the latest figures confirmed that residential construction activity is continuing to expand.
“This residential building cycle needs to be stronger and longer for the sake of undersupplied industry and an economy in transition,” he said.
“However, some of the shine can still come off this positive outlook if policy reforms to tackle barriers to increased supply including local constrained land release, inefficient taxes and charges and council red and green tape are not implemented.”
However Michael Blaby, journalist with Australian Financial Review writes, Driven by high land prices, huge demand from overseas and locally, and unexpectedly fashionable city streets, the tallest buildings in Australia will soon house apartments.
AMP Capital is in discussions to increase the height of a proposed residential Skytower in Brisbane to 300 metres, setting a new record for the city.
While the Gold Coast’s 322-metre Q1 Tower is the country’s tallest building, in Melbourne, Aspial has approval for a 319-metre, $900 million residential skyscraper known as Australia 108 that would come close.In Sydney, Mirvac and Coombes Property Group want to build Sydney’s tallest residential tower, a 260-metre building that would overshoot the planned 236-metre Greenland Centre.
Also in Melbourne, Malaysian developer UEM Sunrise is close to selling out its planned 92-storey Aurora development after only two weeks – placing it as the most probable starter among all the latest round of competitors.
High-rise living, a long-established trend overseas that is still relatively new to Australia, is being embraced by developers.