The reduction of the proportion of assets to be held in secure interest-bearing securities to 20% from 30%, alongside the option to increase the allocation to illiquid investments, gave the AP funds a better chance of meeting the pension system’s needs, it said.However, certain details in the proposed rules would hinder potentially high-return investments, while others would lead to higher costs for the AP funds or risk being rapidly outdated, it warned.AP1 said the funds should be allowed to invest directly in unlisted shares instead of being forced – under the current and proposed rules – to invest indirectly via funds, property companies or venture capital firms.“The regulations make it harder for the AP funds to make use of cost-effective cooperations with venture capital firms and other investors regarding investments in unlisted companies,” it said. Allowing this type of cooperation would lead to significant cost savings, it argued.“[AP1] reckons, for example, that the fund could save around SEK300m [€30m] a year, without needing to build up a large internal organisation for direct investments,” it said.Gothenburg-based AP2 also said it welcomed the proposal to allow higher allocations to unlisted assets, but said it gave less freedom in practice than it initially seemed to provide.The fund also spoke in favour of allowing the AP funds to invest directly in unlisted assets by participating in investor groups.It proposed the wording of the mandate be changed to expand the definition of venture capital companies – one of the vehicles through which the funds are obliged under the current draft to use as intermediaries for unlisted investments.The definition should include vehicles co-owned by institutional investors, AP2 said.AP4 has also spoken in favour of allowing direct investments, in response to the proposed reform, saying the new freedom should be supplemented with opportunities for direct investment in unlisted companies and credit.AP2 went on to criticise the Finance Ministry’s stance on commodities, but emphasised that it did not necessarily see a big future role for the asset class in its portfolio.The proposal continued the exclusion of commodities, AP2 said, adding that this ban was motivated by the assertion that it was morally unsuitable to invest in raw materials.The fund said that, while it was hard to say if it was true that speculation on commodities prices led to higher food prices, it was clear that financial players had an important role in commodities derivatives markets, which ultimately helped producers expand their output.“Against this background, [AP2] has difficulty understanding the proposal’s categoric attitude and exclusion of commodities derivatives,” it said, adding that the fund would prefer a more neutral approach.AP3 has also made a formal response to the consultation, suggesting a range of additions and modifications.It disagreed with the ministry on investment in infrastructure, saying this asset type fitted in well with the long-term mandates of the four main AP funds and played a key role in developing a sustainable society. Two of Swedish national pension funds have called on the government to give them more freedom to make direct investments as part of the ongoing reform of their investment rules.The Swedish finance ministry announced a package of changes to the rules in July, including a new 40% ceiling on illiquid investments in place of the current 5% limit.In its response to the drafted new mandate, AP1 welcomed the proposal overall, and said the draft reform should be carried out.“The overall direction of the proposal is that the investment rules should be made more flexible, which is positive,” it said.
Nordic banking group Nordea has revamped its investment operations following the sale last year of its Nordea Life & Pension (NLP) business in Denmark.As part of the overhaul it has brought together a 30-strong team, which it says could potentially have greater access to better investment deals and create stronger investment performance. Nordea has been dealing with major changes to its pan-Nordic life and pensions business, NLP, in the wake of a strategic decision to sell the Danish part of the operation to the association Norliv, which is owned by NLP’s Danish customers.Nordea is retaining NLP in Sweden, Norway and Finland. Prominent NLP staff have also quit in the period, including the CIO of the Danish business Anders Schelde, who joined MP Pension as CIO, and Jesper Nørgaard, NLP group CIO, who left at the beginning of February to join Sampension as deputy CIO.Thomas Otbo, head of liability-driven investments and head of advisory and trading for NLP group investments in Copenhagen, has now been appointed as one of two group CIOs at Nordea, heading up the investment department of the newly consolidated Nordea investment centre, alongside Helsinki-based group CIO Mats Hansson.The new, larger investment centre will operate within Nordea’s wealth management division, which, in addition to the investment centre, also encompasses NLP, private banking, Nordea funds, asset management and digital wealth activities.Eric Callert remains NLP’s group CIO, having been promoted to the job after Nørgaard’s departure earlier this year.“The new investment centre will have 200 people in total, and we have created a very strong investment department with 30 people with excellent track records and best-in-class competences within asset allocation and investments across equities, fixed income and alternatives,” Otbo told IPE. The investment team is much larger than NLP’s previous 10-person team and is pan-Nordic, including staff in all four of Nordea’s markets.Otbo works in the group’s new Copenhagen offices in the modern district of Ørestad to the south of the city centre.The new team manages and advises on almost €200bn of investments across private banking clients, NLP, and other Nordea clients.While some parts of the investment reorganisation were triggered to some degree by the Danish divestment of NLP, Otbo said the moves would likely have happened regardless.“Now we’re positioned inside wealth management, and we can serve more clients, [leverage] our strong strategic and tactical asset allocation framework and source the best investments,” he said.This included ESG investments, he said, which would continue to be a major focus area.“It has allowed us to simplify the process and get more scalability, getting more out of the same resources,” Otbo said. “When analysing and sourcing new investments, with this consolidated set up we effectively have both more resources and more size — and we can potentially access better investment deals.”The current investment team consists of staff who were already working in the Nordea group, but the bank is now making “a few selective hires” from outside the organisation, he said.Nordea Liv & Pension Denmark recently announced a rebrand under the name Velliv later this year, with its owner Norliv to be renamed Velliv Foreningen.In Nordea’s interim report published today, operating profit for the bank’s life and pensions business within the wealth management division dipped to €73m in the second quarter of this year, down 28% from the same quarter in 2017 and down 21% from the first quarter of 2018.The bank said this development mainly reflected the sale of the majority stake in NLP Denmark.
Tim Manuel, head of responsible investment for Aon in the UK, said: “In the UK, where regulations in favour of responsible investing continue to strengthen, we see investors taking more concrete steps to implement responsible investments within their funds.”The fact that Aon had a high response to the survey in the UK, with 43% of overall respondents being based there, was indicative of this frame of mind, Manuel said.Meredith Jones, author of the report and global head of responsible investing at Aon, said the consultancy was also observing significant investor-led RI efforts where regulation was not driving activity, however. Year-on-year change in responsible investing attitudes by geographic region Responsible investment (RI) surged in importance for all types and sizes of institutional investor around the world in the last year, a new survey has found, with the biggest gains in positive sentiment towards the approach recorded among respondents in the UK.Of the UK respondents to Aon’s 2019 Global Perspectives on Responsible Investing survey, 42% indicated RI was very important or critical to their organisation, up from 19% in 2018, and 87% answered that they believed the approach was at least somewhat important, up from the 66% who gave that response in 2018.In continental Europe, those percentages were 85% in 2019, up from 80% in 2018.In the US, meanwhile, the percentages were 78% compared to 57%, and in Canada the proportions were 78% — up from 66%. Source: Aon, Global Perspectives on Responsible Investing 2019The survey polled nearly 230 investment professionals internationally.Corporate pension funds were revealed to have undergone a sea change in their attitudes to responsible investing, with the share of investors expressing a positive sentiment toward the approach growing from 56% in 2018 to 86% in 2019. Public pensions saw similar growth, according to the poll, but from a different departure point, with positive sentiment spreading from 70% of respondents last year to 92% in 2019.Year-on-year change in responsible investing attitudes by investor type Source: Aon, Global Perspectives on Responsible Investing 2019The most popular primary motivation for pursuing RI — across all investors — was the belief that incorporating environmental, social and governance (ESG) data leads to better investment returns, Aon said.However, the firm said many UK and European respondents indicated in the survey that they were motivated to engage in RI in order to have an effect on global issues such as climate change, diversity or social justice.“By contrast, only 10% of US investors and 8% of Canadian investors indicated global impact as a motivator,” Aon said.According to the survey, lack of agreement on key issues, such as terminology and materiality, was a hindrance for fewer investors this year than last: 14% of those polled in the 2019 survey, down from 26% in 2018. However, Aon said the industry continued to struggle with what constitutes ESG, socially responsible investing (SRI), and impact investing. In its view, imprecise terms have been applied on a wide variety of investment products, with a number launched over the last 12 months under an ESG label when they included features that fell more under the headng of SRI and/or had impact goals as well. Aon said it continued to advocate “for the apt imposition of names when it comes to all things RI”. It also said it planned to launch an impact fund and a low carbon factor fund for its discretionary asset management clients.
RPMI Railpen, the investment manager for the UK’s £30bn (€34bn) railways industry pension scheme, has hired Mads Gosvig as chief fiduciary officer, investments from Denmark’s ATP Group.He joins tomorrow and will fill the gap left by Michelle Ostermann’s appointment to managing director for investments in November. Ostermann had joined Railpen in autumn 2018 as chief fiduciary officer, then a new role, from British Columbia Investment Management.As Railpen’s new chief fiduciary officer, Gosvig will be responsible for determining the high-level investment strategy and risk profile and leading the in-house fiduciary team in tailoring investment solutions for the multi-employer sectionalised schemes, which have around 350,000 members.He joins Railpen from ATP, Denmark’s largest pension fund, where he was head of investment strategy, and led the team responsible for the strategic direction and management of the ATP investment portfolio. Gosvig also acted as chief investment officer at ATP’s UK subsidiary NOW: Pensions from its creation in 2012 through to its sale to Cardano in 2019. He has also previously worked for Danske Bank and the Danish Central Bank. Mads Gosvig, RPMI Railpen’s new chief fiduciary officerOstermann said: “Mads brings a wealth of specialist experience to Railpen which will provide a fresh perspective to our organisation.“His experience developing and implementing investment strategies for a globally renowned pension scheme, will be invaluable as we continue to fulfil our mission to pay members’ pensions securely, affordably and sustainably.”Railpen has made several appointments in the past year or so in addition to Ostermann’s internal move.In December it named Richard Swart as head of investment risk, a new role at Railpen that reports to the chief fiduciary officer. He had most recently been at PGGM.Earlier in 2019 it added two to its investments board as part of efforts to strengthen its governance.
The Fondo Italiano d’Investimento and the European Investment Fund have invested in Equita’s Private Debt Fund II (EDP II), which has announced its first closing at €100m.Equita, an Italian independent investment bank, said the first phase of funding its Italian closed-ended investment fund, which is compliant with the Principles for Responsible Investment (PRI), included a significant portion of existing Equita Private Debt Fund investors re-upping in the second fund – the largest being the Italian fund of funds Fondo Italiano d’Investimento, as well as new top-tier Italian and international investors, including the European Investment Fund.An Equita spokesman, however, declined to disclose how much each asset owner invested individually.The second phase of the EDP II fundraising process – which was launched in October 2019 with a target size of €200m (and a €250m hard cap) – will aim to attract Italian and international institutional investors interested in benefiting from the risk-return profile of this relatively new and growing asset class, Equita said. Equita said the fund’s investment strategy will be in line with its predecessor Equita Private Debt Fund, investing in senior unitranche and subordinated bonds in sponsor-led transactions, with a maturity of five to seven years and a bullet repayment structure.The target returns, it added, are expected to be in line with those of the first private debt fund, which is now fully deployed with an expected gross return of around 9.5%.EPD II will also benefit from strong governance, leveraging on an independent decision-making process and full alignment of interests between investors and the managing team, it said.Paolo Pendenza, head of private debt at Equita, said: “Given the current market environment, we are really satisfied with the results we achieved. The positive track record of the first fund and the ability of the private debt team to identify new investment opportunities have allowed Equita Capital SGR to complete the first closing of Equita Private Debt Fund II with €100m, setting the stage to reach the final target of €200m in the coming months.”Quaestio awards Impax €79m sustainable mandateQuaestio Capital Management, an Italian investment firm managing multi-asset, multi-manager portfolios for institutional clients, has awarded Impax Asset Management a €79m sustainable segregated mandate.Quaestio initially awarded Impax €68.7m and subsequently allocated an additional €10m, it was announced.According to Impax, the manager will run this segregated account using the same process as the Impax Global Opportunities Strategy. Quaestio selected this particular strategy based on how Impax integrates environmental, social, and corporate governance (ESG) into the investment process.The strategy seeks to achieve long-term capital growth through investment in companies with sustainable competitive advantages and track records of consistent returns on investment, where the portfolio managers believe that these characteristics are not reflected in the share price, Impax said.The global opportunities strategy uses the proprietary Impax Sustainability Lens to identify durable companies best positioned to seize these opportunities and mitigate these risks, the firm added.The investment process includes a strong focus on the risks arising from the transition to a more sustainable global economy, whilst seeking to harness the opportunities that it presents.Christian Prinoth, chief investment officer for Quaestio, said: “Impax is well recognised worldwide for its expertise in understanding investment opportunities arising from the transition to a more sustainable economy. ESG analysis is clearly an integral part of the Impax investment process, and we wanted to offer our clients access to that.”To read the digital edition of IPE’s latest magazine click here.
This property might make you believe in love at first sight.A RIDICULOUSLY stunning Queensland home that’s soon to sell to the highest online bidder has a licence to host 160 parties a year. The jawdropping home in Australia’s millionaire playground is set to take its chances online with the owners willing to let it go to the highest clicker on August 6.The dream estate that’s more a work of art than anything else, is in the Whitsundays region and tailor-made for the millionaire live, work, play lifestyle. I’d probably never leave home.Asked how the owners could bear to part with such a dream property, Ms Carter said “they have similar venues overseas that they are concentrating on”.“They are definitely selling, they’re not just testing the market. That’s why they are going to (online) auction, because they want it sold.” FOLLOW SOPHIE FOSTER ON FACEBOOK Licensed to party.The oceanfront residence includes handcrafted finishes, imported timbers, woven rattan, soaring cathedral ceilings and Balinese fluted timber columns.“In the 10 years since its inception as a destination wedding and events venue, ‘Botanica Whitsundays’ has set a benchmark with awards and accolades bestowed by industry associations and Queensland Tourism,” according to the realestate.com.au listing. “Licenses and permits are in place to host 160 events annually; with hospitality equipment and infrastructure in place.” Like a holiday at home really.Called Botanica Whitsundays, the lavish property was described as a labour of love “decades in the planning and never to be replicated” from its majestic ancient iron gates to its 5.46 acres of landscaped grounds, 160 metres of Coral Sea frontage, and 1,000 sqm home. Even the pool has a waterfront view.“It is an unusual property. It satisfies your appetite for the play, work and play lifestyle that we love. You’ve got the ability to live your dream with breathtaking views across the Coral Sea but add to that you’ve got the opportunity to build on an existing lucrative wedding business.”“It’s licensed for 160 events a year which is a lot. You could have corporate events during week, and weddings on Fridays, Saturdays or Sundays.” This is a party just waiting to happen. Location, location, location.It’s so stunning, it plays host to dream weddings throughout the year — which is why it can pay its own way. 67 hectares sell for ‘knockdown’ $2.90 sqm A chip off the Clive Palmer block Get The Courier-Mail’s real estate news direct and free to inbox More from newsParks and wildlife the new lust-haves post coronavirus17 hours agoNoosa’s best beachfront penthouse is about to hit the market17 hours agoA lush subtropical paradise set to sell under the online hammer.Unsurprisingly, it’s already generating interest from potential buyers, according to Sotheby’s International Real Estate agent Carol Carter, who’s co-listed the property with PRD Nationwide’s Jacqui Wakerley.“We’ve had good enquiry (levels) on this one, I am on my way up there (today) for an inspection,” she told The Courier-Mail. The details on the ceiling are outstanding.Or you could just win lotto and decide to keep it as the ultimate party home.The property has five bedrooms, five ensuite bathrooms and four guest powder rooms as well as two kitchens — one for the family and the other a full commercial kitchen.And there’s more than enough room to build additional accommodation on site to take advantage of the stunning location.
RELATED: An aerial showing the new residential areas with some of the new regional park facilities in the foreground at Peet Limited’s Flagstone development.“I expect this growth trend to continue on to 2019.“Most purchasers come from Brisbane’s south side, however we have also welcomed some interstate buyers looking for affordable acreage.“The real drawcard for Jimboomba is that it appeals to everyone from those looking for traditional family home sites through to 20 acre lots, all within an hour of the Brisbane CBD.” That’s according to @Realty agent Bill Williams, who said the increase would be largely driven by land availability and affordability compared to other areas in southeast Queensland. “The median house price is currently about $518,700 and we have seen growth in values of around 14.2 per cent over the past few years,” Mr Williams said. Developer Peet Limited managing director and CEO Brendan Gore said the monster playground was a gift to the community.More from newsParks and wildlife the new lust-haves post coronavirus15 hours agoNoosa’s best beachfront penthouse is about to hit the market15 hours ago“We are extremely excited and proud of what this facility provides for our community,” Mr Gore said.“The opportunity to unveil this new stage and bring some adventure to the school holidays is our gift to the many parents and grandparents who are looking for free activities to entertain the children this summer.“Greater Flagstone is one of the biggest new residential areas in Australia with more than 20 families moving in to Peet’s Flagstone City every month. “We are building a city for the future and we want it to be an exciting place for the many families who live here and a key destination to encourage visitors to the region.” The new adventure playground at Flagstone, Jimboomba.“Located halfway between Brisbane and the Gold Coast, Flagstone is one of the biggest new residential communities in southeast Queensland,” Mr Gore said.“Over the next 30 years, the $6.7 billion development will grow into a satellite city with 12,000 homes and a CBD featuring shops, offices with plans for a future hospital, tertiary campus and train station set in 330ha of green space.“More than 6000 people have already discovered life in Flagstone, which is a thriving neighbourhood with schools, shops and community facilities.”According to CoreLogic, the bargain property of the year was at the start, when a 1 975-built three-bedroom home on 1042sq m sold for $295,000 on January 12.The top sale was a 24.73ha amalgamation of six titles, at 107-117 East St, Jimboomba, which sold for $2.8 million on July 3.The East St properties sold to developer QM Properties Pty Ltd. MORE: According to CoreLogic Market Trends data to September, 150 homes were sold in Jimboomba in the year at a median sales price of $530,000, which was 8.2 per cent up on the previous year and 23.3 per cent more than five year prior.The median days on market was 63 days, and people tend to hold on to their home for an average of 11.8 years.The median rent was $420. Home with side hustle of llamas, pizza yurt Kids are already playing at the newly opened playground.One of the biggest playgrounds to be built in southeast Queensland was opened in the suburb just in time for the school holidays on December 15. A streetscape of Peet Limited’s Flagstone display village.Families are moving to Jimboomba in droves, with the population to increase to more than 80,000 people within 20 years. Own your own motocross track Brisbane skyhome fetches millions >>FOLLOW EMILY BLACK ON FACEBOOK<< Video Player is loading.Play VideoPlayNext playlist itemMuteCurrent Time 0:00/Duration 1:50Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -1:50 Playback Rate1xChaptersChaptersDescriptionsdescriptions off, selectedCaptionscaptions settings, opens captions settings dialogcaptions off, selectedQuality Levels720p720pHD540p540p360p360p180p180pAutoA, selectedAudio Tracken (Main), selectedFullscreenThis is a modal window.Beginning of dialog window. 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This modal can be closed by pressing the Escape key or activating the close button.PlayMuteCurrent Time 0:00/Duration 0:00Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -0:00 Playback Rate1xFullscreenDifferences between building in new or established estates01:50
Southern Cross Soloists artistic director Tania Frazer, has returned to her childhood home in Brookfield to raise her family. Picture: Josh Woning.Southern Cross Soloists artistic director and oboist, Tania Frazer, has lived around the world but when she and her husband returned to Brisbane 16 years ago, she moved back to the suburb of her childhood, Brookfield, where she is now raising her own children in a house built by her parents.To celebrate the Chinese Year of the Dog, Ms Frazer is preparing Australia’s leading chamber music ensemble for its first concert of the year, Lunar New Year — Memories from Childhood, which is on at the QPAC Concert Hall, on February 17 at 3pm. What do you love about your home? Home grown talent. Tania Frazer and the Southern Cross Soloists will perform as part of Chinese New Year celebrations at the QPAC Concert Hall, South Bank on Sunday, February 17 at 3pm. Picture: Josh Woning. Brookfield. I grew up here and my parents own a large property. I never thought I would live here as an adult as I have lived all over the world as a professional musician, but I really love that I have the opportunity to live here and bring my children up in such an amazing place. It’s green and it also has a great community. It has a village like feeling. Everyone knowseveryone. We live on the top of a hill and can’t see any other houses, just bushland, which is incrediblyrelaxing and beautiful. It would be very interesting to have an amazing place in London. When I lived there I could barely afford a cup of coffee. The thought of owning an apartment in Kensington or Covent Garden would be amazing. I would love to build an extension with an entire glass wall, like a conservatory or similar —somewhere to sit, read a book and relax surrounded by plants and views across the ridge of one of the surrounding hills. What is the best thing about your suburb? Where do you live and why? What would you change about your home? More from newsParks and wildlife the new lust-haves post coronavirus14 hours agoNoosa’s best beachfront penthouse is about to hit the market14 hours ago I was always told it is better to rent than buy, though this probably depends on the individualcircumstances. As a musician, I’ve lived all over the world, so I was always renting in all those foreign countries. What is the best piece of property advice you could give? If money was no option, what would be your fantasy home and where?
It hit the market in November. The property hit the market in November with the owners, who sold to downsize, seeking more than $3.49 million. It last sold for $2.775 million in September 2017 and was renovated soon after. Mr Massey said it was a turnkey property. “There was nothing to do, it was fully renovated throughout and you can walk to cafes and restaurants,” he said. “In Palm Beach, beachfront real estate is still powering on and securing some massive sales — there are still records being broken.” Video Player is loading.Play VideoPlayNext playlist itemMuteCurrent Time 0:00/Duration 1:58Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -1:58 Playback Rate1xChaptersChaptersDescriptionsdescriptions off, selectedCaptionscaptions settings, opens captions settings dialogcaptions off, selectedQuality Levels720p720pHD576p576p360p360p216p216pAutoA, selectedAudio Tracken (Main), selectedFullscreenThis is a modal window.Beginning of dialog window. Escape will cancel and close the window.TextColorWhiteBlackRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentBackgroundColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentTransparentWindowColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyTransparentSemi-TransparentOpaqueFont Size50%75%100%125%150%175%200%300%400%Text Edge StyleNoneRaisedDepressedUniformDropshadowFont FamilyProportional Sans-SerifMonospace Sans-SerifProportional SerifMonospace SerifCasualScriptSmall CapsReset restore all settings to the default valuesDoneClose Modal DialogEnd of dialog window.This is a modal window. This modal can be closed by pressing the Escape key or activating the close button.Close Modal DialogThis is a modal window. This modal can be closed by pressing the Escape key or activating the close button.PlayMuteCurrent Time 0:00/Duration 0:00Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -0:00 Playback Rate1xFullscreenWhy location is everything in real estate01:59 A local businessman purchased the four-bedroom home. Harcourts Coastal Robina principal James Massey, who sold the property alongside Shez Fraser and Vicki Barr, said the buyer plans to move into the fully-renovated home with his family. “He wanted to secure prime beachfront land and this home was exactly what he had been looking for,” Mr Massey said. “When he saw it he said “that’s the one”. “They aren’t building any more beachfront properties — it was all about position, location and owning that premium piece of real estate.” MORE NEWS: Dated house fetches more than $1m at auctionMORE NEWS: The Coast’s funniest street names 171 Jefferson Lane is the biggest sale for Palm Beach so far this year. It sold for $3.7 million in February. A luxury apartment at 2/1491 Gold Coast Highway also fetched an eye-watering figure, selling for $3.35 million in January. The sales of No. 160 and No. 138 Tallebudgera Drive were Palm Beach’s other two multimillion-dollar sales, they sold for $2.785 million and $2.025 million, respectively. The suburb has a median house price of $800,000 which has jumped 48.1 per cent in the past five years, according to CoreLogic. The median unit price sits at $425,000 and has increased 23.2 per cent across the same time period. Despite the hefty price it achieved, it is still not the highest price fetched for a house in Palm Beach this year. Leading the pack is the $3.7 million sale of a Cap Cod-inspired, six-bedroom beachfront house at 171 Jefferson Lane, which was notched in February. The house was fully renovated. More from news02:37International architect Desmond Brooks selling luxury beach villa11 hours ago02:37Gold Coast property: Sovereign Islands mega mansion hits market with $16m price tag2 days ago This beachfront house at 440 The Esplanade, Palm Beach, sold for $3.3 million last week. A local businessman has splashed more than $3 million on a beachfront house in Palm Beach. The eye-watering $3.3 million sale of the four-bedroom house at 440 The Esplanade was penned last week. It is one of five multimillion-dollar deals inked in the suburb so far this year.
Reaching new Heights with Treetops at Oakdale land release A render of what the finished spec home by Martin locke Homes will look likeTOWNSVILLE builder Martin Locke Homes (MLH) has acted on emerging positive signs in the property market by starting construction on a spec home build which will see the business take on the full financial risk of construction.The house will be the sixth display home constructed by the company over its nine year history.READ MORE Auction success speaks to market confidence READ MORE Martin Locke at the award-winning Family 310 display home in Elliot Springs.Managing director of MLH Martin Locke said the step was a testament to his confidence in Townsville’s property market. “This is a big step for our small team, but we have faith in our ability to deliver and we’re confident buyers will recognise the care, quality, high-level of inclusions and the accessible points-of-difference the home will offer,” Mr Lock said. “We are feeling confidence gradually returning to the Townsville region and if local businesses are investing confidently here in our community it can only be a positive.“Our team has taken care of all of the construction decisions and admin so it’s stress-free and it’s also low risk because the buyer will see what they’re investing in before they purchase.”More from news01:21Buyer demand explodes in Townsville’s 2019 flood-affected suburbs12 Sep 202001:21‘Giant surge’ in new home sales lifts Townsville property market10 Sep 2020The four-bedroom home is currently under construction at Elliot Springs, situated among a mini MLH community including four other high quality custom home builds and boasting rear mountain views.The home will include MLH’s inclusive living features such as no steps into and throughout the home, the signature MLH rebated alfresco door, larger step-free showers and wider doors and halls.Townsville mortgage broker Deb Box said, financially, purchasing a spec home can be less taxing, particularly for first home buyers or those already paying rent or mortgages.“As opposed to signing a residential construction contract which requires staged payments from your bank and therefore you to make mortgage repayments during the build, with a spec home you pay nothing until the contract settles and you move in,” Ms Box said.“If you qualify for the First Home Owners Grant then $15,000 may be able to go towards your deposit and stamp duty exemptions and concessions also apply for most buyers if the home will be your primary place of residence.”