As we bid farewell to 2023, it’s a good time to look back at a year that presented both challenges and triumphs in the Australian property development landscape.
From interest rate rises to a burgeoning rental crisis, the industry may have weathered a few storms, but we also witnessed some encouraging shifts, including a surge in owner-occupiers and first-home buyers.
Challenges & resolutions
The past 12 months certainly posed challenges that were both expected and unforeseen, contributing to the nuanced landscape that we, as developers, navigated.
Development finance costs and funding emerged as prominent hurdles, with economic fluctuations and interest rate hikes impacting everyone. Additionally, an increase in land and construction costs and development contributions created a complex equation for developers to balance.
An undersupply of residential stock added another layer of complexity, intensifying competition as buyers continued to search for the perfect block. Navigating these challenges required strategic acumen and a nimble approach, prompting us here at Landen to further refine our strategies.
But amid the challenges, 2023 also presented opportunities for innovation and strategic decision-making. In line with our commitment to excellence, Landen embraced innovative ways to assess opportunities and manage risks effectively. This not only streamlined processes but also positioned the company as a forward-thinking leader in the industry.
One key opportunity lies in the discerning selection of development sites. At Landen, we strategically acquire sites with strong transport and infrastructure potential, aligning with the evolving needs of residents and contributing to the creation of vibrant communities.
Also, the shift in preferences towards land and houses over off-the-plan apartments became an advantageous trend, contributing to the positive shift in the market dynamics.
Landen’s 2023 achievements: A snapshot of success
In the face of these challenges and opportunities, we celebrated strategic triumphs that underscored our commitment to creating distinctive developments.
We successfully delivered three developments – Box Hill Estate 1, Fairway Stage 1 and Rouse Hill Stage 1 – a testament to our resilience and ability to navigate complex market dynamics.
Acquiring a key industrial and apartment sites and strategic land holdings in Sydney’s key growth areas during the year has laid the foundation for future transformative projects which also diversify our portfolio. Simultaneously, a substantial number of developments are currently underway across Sydney and the Central Coast, and we know that future residents will be excited to call those places home.
Landen in 2024: A glimpse into the future
As we stride into 2024, Landen is poised for a year of delivery with five sites under construction and due for completion during the year.
Furthermore, we have our sights on key locations, with plans underway to launch 4 more project in the upcoming year. Each project reflects Landen’s commitment to creating communities with a focus on growth.
“In 2024, we’re eager to build on our successes, contribute to vibrant communities, and explore new frontiers in property development,” says Shane Harding, Landen’s Head of Property.