The Urbis Brisbane Apartment Essentials for the March quarter 2016, released today, found that project slippage had been prominent, with a number of expected launches pushed back to later in the year, and some not coming to market in this cycle.
There were 24 projects launched in the quarter, equating to 2463 new apartments, however another 1243 apartments expected to launch were pushed back.
Mr Aikman said developers were finding it harder to get funding for projects, and banks had “put the brakes” on investors’ ability to borrow.
“We have seen (project) slippage now for a few quarters, so that’s what we’re expecting as the market was getting a sense of what the volume of supply was, and starting to feel the pressure from banks and rising construction prices,” he said.
“That’s why I think the next quarter will be interesting to see how many projects have slipped, and how many sales we do.”
The Urbis report expected 2920 new apartments to launch in the second quarter, rising to 3485 expected to launch in the third quarter of 2016.