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The GC Minute. An independent tech, business and critical city insights news source.
Welcome back! It’s Thursday.
Thanks to everybody who tuned into our first-ever edition at the GC minute last week. We had over 100 readers tune in and provide such positive feedback that we couldn’t believe it.
Okay, let’s get into it..!
Today’s newsletter is 1249 words - a 4-minute read
Weekend weather (wet)
In today’s email:
Apartment Supply Crunch: It all started before Covid…
2500 jobs: And the best 10km of new highway yet
Trending: Rupert’s been a naughty boy
Around the Web: The new NRL franchise has a win
One Big Idea - GC Unit Supply
What’s the deal
A massive apartment supply crunch coming.
A few days ago, a deep dive interview on a report by independent property advisory services , Charter KC, was released by Eureka, who spoke with Richard Temlett, who recently published reports on apartments in six Australian capital cities, including the Gold Coast.
Is the crunch a post-Covid thing?
No!
This trend was already emerging pre-COVID, as overseas and local investors were not active in the markets, as they typically buy off-the-plan as investors, but they were not in the market before COVID, and COVID has distorted the market.
What next?
With population growth and net overseas migration bouncing back, there will be a supply shortage compared to demand over the next few years in most of the major capital cities.
What about the Gold Coast?
The Gold Coast has experienced significant population growth over the past decade, with many people moving to the area for its beaches, natural beauty, and relaxed lifestyle. This has created a high demand for housing, particularly apartments, as more people seek to live closer to the coast.
But more people means less supply, right?
Wrong!
To meet this demand, developers have responded by building more apartments in the area, increasing the apartment supply. This increase in supply has had several benefits, including:
More affordable housing: The increase in apartment supply has helped to moderate housing prices, making it easier for people to find affordable housing in the Gold Coast.
More options for renters and buyers: With more apartments available, renters and buyers have a wider range of options, including newer and more modern developments.
Boost to the local economy: The construction of new apartments has created jobs and injected money into the local economy, which has helped to support other businesses in the area.
Overall
The increase in population growth has led to an increase in demand for housing, and the construction of more apartments has helped to meet this demand, benefiting both the local economy and residents.
Despite a common dire bit of news and in comment sections like this Reddit chat, the Gold Coast and Canberra are not experiencing supply issues, mainly because of population growth and COVID lockdowns.
Four critical takeaways
There is a supply crunch and rising costs in most Australian capital cities, leading to a shortage of apartments.
Build-to-rents in some cities are getting to the stabilisation point as they are starting to get leased out. However, financiers must understand the differences between the Australian and US/UK markets.
The government needs to support the industry by changing various tax incentives and stimulating the market to enable build-to-sell and build-to-rent properties to meet the increased demand for apartment living.
To encourage retail investors to return, the government should consider changing off-the-plan stamp duty charges and removing foreign investor surcharges on build-to-sell, stimulating the build-to-sell market.
2500 Jobs
The Pacific Motorway M1 upgrade program is currently underway in the South Coast Region of Queensland, specifically along the 10km stretch from Varsity Lakes to Tugun.
The VL2T upgrade is expected to create around 2,500 jobs during construction and boost the local economy.
Who’s chipping in?
The total investment for the project is $1 billion, jointly funded by the Australian and Queensland governments. The Australian government has committed $680 million, while the Queensland government has committed $320 million
Hit the road
The program is divided into three packages:
Package A: Varsity Lakes (Exit 85) to Burleigh (Exit 87) DONE
Package B: Burleigh (Exit 87) to Palm Beach (Nineteenth Avenue)
Package C: Palm Beach (Nineteenth Avenue) to Tugun (Exit 95)
The project includes several key features, such as widening the Tallebudgera Creek and Currumbin Creek bridges, the construction of a new western service road between Tallebudgera and Palm Beach, and the installation of smart motorway technologies to improve travel time between Nerang and Tugun.
Do we need it?
Badly. It’s gridlocked out there 100% of the time.
The project is expected to improve safety, reduce travel time, contribute to the economy, increase capacity, and improve network efficiency, with construction expected to be completed progressively from 2024.
Trending
Media tycoon Rupert Murdoch finds himself caught between a rock and a hard place.
TLDR:
Murdoch admits some Fox News hosts endorsed Trump's baseless claims of election fraud
He expressed concerns about the network's coverage of the election aftermath
Dominion Voting Systems is suing Fox News for defamation and seeking billions in damages
Trump has turned on Murdoch and Fox News, accusing them of being "fake news" and "weak".
Looks like Murdoch is getting a taste of his own medicine, as his network faces a lawsuit for spreading lies.
But wait, there's more!
Trump, the man who helped Fox News spread those lies, is now turning on Murdoch and calling him out for being weak. It's almost like a Shakespearean tragedy, with Murdoch, caught between two feuding parties.
Around The Web
Slippery fish
The new NRL team, The Redcliffe Dolphins, managed to secure their first win of the season with a final score of 28-18. It was an incredible game to watch as the Dolphins played with great heart and determination. The Roosters put up a good fight, but the Dolphins stayed ahead for most of the game. It was a great team effort from the Dolphins, with some standout performances
Fish out of water
The Redcliffe Dolphins were forced to drop "Redcliffe" from their name by the NRL due to the existence of another team with the same name in the Queensland Cup competition. Despite the fact that several NSW Cup teams have the same name as their NRL counterparts, the NRL would not allow the Redcliffe Dolphins to keep their name. To capture a larger catchment area, names like the Moreton Bay Dolphins and Brisbane Dolphins were suggested, but the club ultimately removed the location completely and just ran with "The Dolphins." Thousands of Redcliffe fans were present during their winning debut against the Roosters at Suncorp Stadium. A new Stan Original Documentary Series titled Dawn of the Dolphins has revealed behind-the-scenes footage of the rise of the new NRL franchise and explained why Redcliffe was dropped.
Supercoach Wayne Bennett, who led The Dolphins to a memorable 28-18 win over the Roosters, revealed that his introverted personality makes it exceptionally challenging to be an NRL coach. Bennett provided inside access to build the new brand but admitted that he had to fight with himself to talk to somebody, not because he did not want to talk, but because he just did not want to talk right then.
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