Hope for Millers Point from Social, Public and Affordable Housing Committee

8 September 2014

Alex Greenwich, the Independent member for Sydney, has welcomed recommendations of the Select Committee on Social, Public and Affordable Housing.

Mr Greenwich said the recommendations provide some hope for Millers Point residents:

“The committee highlighted the deficiencies of the government’s plans to sell-off all public housing in Millers Point, and called for a portion of public housing to be retained.”
Key recommendations include:

• a dedicated fund from the sale of public housing properties for building new housing;
• requiring 10 per cent of all dwellings replacing multi-unit properties sold allocated for social, public and affordable housing; and
• better engagement with the community housing sector.

“I call on the minister to closely review the inquiry findings and wind back the sale of social housing in Millers Point.”
 
“The Minister must work with community housing providers who may be able to retain social housing in the area.”


A copy of the report and recommendations can be found HERE

- See more at: 

http://www.alexgreenwich.com/hope_for_millers_point_from_social_public_and_affordable_housing_committee#sthash.dJdxiRhM.dpuf

RESOURCED: http://www.alexgreenwich.com/hope_for_millers_point_from_social_public_and_affordable_housing_committee

Riddle me this, Bat-bank: who determines value?

Edwin Almeida | 9 September 2014

GUEST OBSERVATION

Who really sets the end value of the home?

This may well be determined soon enough, putting an end to many discussions held over the years regarding the contested topic. Most say the value is set by “what people want to pay for a home and what a vendor wants to accept”. Others believe the end decision is made by the the valuer. But let us not forget the final player: the bank.

No doubt the sale of the two government-owned Millers Point properties at such vast price points has placed a magnifying glass over the valuation process itself. The recent sales will test everyone’s theories, perceptions and ideals as to who has the final call on the value of the home.

The agents
The agents are, we may say, the first line of clarification when ascertaining what a property is worth. A well versed agent in his or her field of expertise in their patch will promote their worth, first and foremost, by knowing their product.

In the first instance, when looking into the sales at Millers Point, the market opinion and price guide provided was $1,000,000. However, this was later adjusted to $1,300,000. This is a bench mark set by a professional that has years of knowledge and expertise in an area and a specific market. This is also knowledge that valuers often rely on to make their final call. After all, the agents live, breathe, and are in and out of homes in their patch on a day to day basis. Hence, they are a valuable resource to have when searching for a price guide and a professional realistic market opinion.

The valuer
The valuers, on the other hand are utilising a number of resources, which range from agent market opinions to online data of recent sales and no doubt the science of  ascertaining building costs-depreciation and land values. It is a very complex and under rewarded process in my opinion, when providing a valuation for a bank post the sale.

The bank
The bank will rely on the final opinion of the valuer and I have a hunch they will also have their internal policies centred round lending criteria to meet with the borrower’s financial position.  I would also speculate at this point that most banks will assess the loan process and the Loan to Value Ratio differently. Therefore, they are indirectly providing particular instructions to the valuer.

Now riddle me this, Bat-bank: which parcel of information will you rely on when the purchaser approaches you for the funding? Here is the conundrum as we further explore this enigma:

1. Agent’s public opinion “price guide” of what the property is worth; $1,000,000 - $1,300,000 first sale and $1,400,000 - $1,500,000 price guide on second sale.
2. Final sales figure; $1,911,000 for the first and $2,560,000 for the second sale.
3. Then there is the undisclosed figure if a true valuation was to be conducted by a valuer, without any outside influences by banks or agencies.    

If we venture back to the beginning and purely relied on the premise that a home is worth “what someone is prepared to pay and what the vendor is prepared to accept”, there would be no issue whatsoever. However, the valuer is caught between a rock and a hard place as they have to justify their findings to the bank. A major criteria expected by the lender to approve a loan by way of accepting a valuation concerns comparable sales of like property in the area.

Therefore, do they rely on the price achieved in the first property sale, or do they rely on the value of the second? A conundrum to many if this was the only way to ascertain the value of a property. But this is a questionable proposition, as on the surface, it appears to be the major methodology a bank uses to dish out credit. So, Bat-bank, what figure will you accept?

If the bank accepts the latter sales figure, this would mean the first property was sold for peanuts and the person that bought the first home won the lottery.  If the sale price of the first home is the benchmark, one can only assume that the valuation of the second home will come in very short.
Then of course there is the other ideal in Gotham-Sydney. The banks will fund all the purchases to create a history and a sample of at least 4-5 sales to justify their reasoning and paperwork to their shareholders. Always be mindful that in most instances but not all, the first few sales in a cluster when sold as individual lots, are the cheapest sales.

Therefore, based on the current precedence, the next homes to go under the hammer may just tip the $3,000,000 mark. I continue to believe $2,700,000 - $3,000,000 was on the money. As the properties continue to rise in value, this can only continue to create further embarrassment to the price guides given by the agencies that sold the first and second home. Now riddle me this, Bat-bank: how will you value the homes?

RESOURCED: http://www.propertyobserver.com.au/forward-planning/investment-strategy/property-news-and-insights/35097-sept-9-observer-riddle-me-millers-point.html

Next Millers Point government terrace sell off - with record $2.6 million plus price guidance

Jonathan Chancellor | 8 September 2014

Published price estimates are being given on the next two Millers Point terraces being sold off by the NSW state government.

They go to auction this Thursday.

There is more than $2.6 million expected for 11 Lower Fort Street, Ballara (pictured above), a five bedroom, four level offering.

Anther property at 23 Lower Fort Street (pictured below) comes with a $1.7 million plus forecast. It is the 1830 Georgian town home, Tarra which boasts an impressive frontage and captures views of the Opera House.



The listing agents had been under pressure for greater disclosure in the aim of price transparency, and achieving the best possible auction price.

There is however no price guidance on the subsequent offering on 25 September through Di Jones which is 86 Windmill Street (pictured below).



Nor any public estimate for the 30 Argyle Place, 8 October offering through Craig Pontey at Ray White Double Bay.

There have been just the two freehold sales so far, topping out at $2.56 million, with both sales causing headlines as the sale prices were well above the privately offered price guidance.  

A survey or agents by Property Observer suggests the initial two sales - that assisted in setting the market - were a result of the unusual circumstances, including:

• The somewhat dramatic recent market price improvement;
• The massive media exposure arising from the state government's decision to sell;
• The emerging Barangaroo effect;
• The big price difference between the prior 2009-2011 leasehold offerings (see published prices below) and the current freehold offerings;
• Australia's aversion to leasehold.

The first state-owned property at Millers Point at 119 Kent Street was the first of the pinpointed 293 public housing properties to be sold off at Millers Point and The Rocks.

Under instructions from the government, McGrath Estate Agents was not allowed to publicly disclose details on the auction offering.

The latest offerings do not come with the logo advising sale by by Government Property NSW on their website ads. 

Leasehold prices achieved during Labor state government sell off 2009-2011

MILLERS POINT	44 Argyle Place	$1,255,000
MILLERS POINT	56 Argyle Place	$1,100,000
MILLERS POINT	119 Kent Street	$1,070,000
MILLERS POINT	121 Kent Street	$980,000
MILLERS POINT	71 Kent Street	$950,000
MILLERS POINT	94 Kent Street	$2,365,000
MILLERS POINT	22 Lower Fort Street	$1,400,000
MILLERS POINT	88 Windmill Street	$1,100,000

In 2011 the Housing NSW chief executive Mike Allen advised the first 16 offerings on 99 year leases had realised $34.13 million with all the money raised is being invested in new social housing units as part of the Inner West Social Housing Strategy.

Proceeds from these initial auctions went to building new social housing in suburbs such as Concord, Abbotsford and Camperdown, as well as the 88 architecturally–designed, environmentally sustainable units located on the block bounded by Lilyfield Road, Balmain Road and Edward Street, Lilyfield.

 RESOURCED: http://www.propertyobserver.com.au/finding/location/nsw/35454-millers-point-government-terrace-sell-off-with-record-2-6-million-plus-price-guidance.html

Millers Point Spring Picnic

Post by Save Our Homes - Millers Point, Dawes Point & The Rocks.


#savemillerspoint #auspol #nswpol #wheresgabby

Millers Point Spring Picnic Pozible

Post by Save Our Homes - Millers Point, Dawes Point & The Rocks.


 

SAVE YOUR HERITAGE. SAVE OUR COMMUNITY On March 19, 2014, all of the public housing tenants of Millers Point, Dawes Point and The Rocks, were told that they would be evicted from their homes and from their neighbourhood within two years, with the properties to be sold off. They were told that there was nothing they could do to stop it. Listed on the State Heritage Register since 2003, this unique community and vital part of Sydney's history is about to change forever. While some households have moved on and the first house has been sold, there are still over 200 public housing resident households that remain, many for whom the thought of leaving is unbearable. So show your support, come and celebrate the heart and soul of Millers Point, Dawes Point and The Rocks with the community and supporters. Supporters include a range of people and organisations from local businesses and home owners, artists, musicians and other creatives, academics, legal organisations, Sydney Mayors from various local government areas, and local members of parliament from different parties. The diversity inherent in the community of supporters, proves that the values that lie at the heart of this protest and celebration, are human values shared by many. The people of Millers Point, Dawes Point and The Rocks, are a community of people that represent history, diversity and inclusion in Sydney. The residents of Sirius at The Rocks are being evicted from a purpose built apartment block, and many others are the direct descendants of wharf and docks workers from as long as five and six generations back. These are the very people, the historical community, for whom the homes were built. A true community can't be built by developers, and we know that these are common values, so come celebrate the Millers Point, Dawes Point and The Rocks community with us on September 14th. Millers Point Spring Picnic Facebook Page The Official Millers Point - Save Our Homes Facebook Page SMH Interactive Millers Point Community History Site Sign the change.org petition The State Heritage Register The photographs of residents and the accompanying texts used on this platform have been compiled by Margaret Bishop and John Dunn. The main, informational text was written by Cara Cumming King, with contributions by Sally Cushing. The poster was created by Sally Cushing. Diego Bonetto, a pozible ambassador, provided expert insight into running a successful pozible campaign. Reg Mombassa (aka Chris O'Doherty) created and donated the amazing art work that features on the badges and t-shirts. Also, I want to say thank you to all the residents of Millers Point, Dawes Point and The Rocks, in conjunction with whom this campaign page was created. You are amazing, and the Spring Picnic will be amazing, I know it! Cara. How the funds will be used The funds raised will go towards costs of a PA System and a stage, for live entertainment. Help us make this important day memorable. Any funds raised over the reserve will go towards other costs related to celebrating, and fighting for the community of Millers Point, Dawes Point and The Rocks. Challenges We are hoping for clear skies, good spirits and beautiful hearted people. We are doing our best to have plenty of plan B's ready to go. If we fall short of fund raising we will have to downgrade, improvise and make do. We will have fun no matter what.

Anthony Albanese MP's photo

As someone who grew up in public housing at Camperdown, I understand the importance of community and security to vulnerable public housing tenants.

Sydney, we can do better than this.

SIGN the petition and SHARE to support the campaign to Save Millers Point Community Housing: https://www.change.org/p/save-the-heritage-the-community-of-millers-point-dawes-point-the-rocks

 

#savemillerspoint #auspol #nswpol #wheresgabby

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People don’t matter to the Liberals

September 06, 2014

The Hon Anthony Albanese MP

Federal Member for Grayndler

 

MEDIA RELEASE

PEOPLE DON’T MATTER TO THE LIBERALS

 

Mike Baird is treating public housing tenants at Millers Point with no respect as he proceeds with his plan to sell nearly 300 public housing units for windfall financial gains and evict up to 600 tenants.

Tomorrow I’ll meet elderly female tenants facing eviction under the Baird sell-off plan at a forum at Millers Point organised by the Women in Public Housing committee.

I am told that three out of five of the tenants facing eviction are elderly and that more than half are women.

It is inconceivable to me that the NSW Government is unmoved by pleas that it consider the welfare of these tenants.

I’m also shocked to hear that the NSW Government is not even responding to inquiries on behalf of these residents for more information about the plan.

As someone who grew up in public housing at Camperdown, I understand the importance of community and security to vulnerable public housing tenants.

I oppose the sell-off. A responsible government dealing with a public housing shortage would deliver more housing in addition to the existing stock.

But in selling off the Millers Point properties to his wealthy supporters so he can move public housing tenants out of this historic inner-city precinct, Mr Baird risks creating a Sydney divided by postcodes.

He will create a Sydney where only the wealthy live in the inner city and the disadvantaged are removed from the communities where they have grown up and have links.

The logic of the Baird Government’s position on Millers Point will see public housing in Glebe, Waterloo, Balmain, North Sydney and other inner Sydney communities sold off.

Successful cities are not disconnected enclaves of privilege and disadvantage. They are diverse. Their people come from a mixture of backgrounds.

When Premier Baird and Minister Upton look at Millers Point they see dollar signs.

When I look at Millers Point I see a community made up of people who deserve respect, not contempt.

The forum will be held tomorrow – Saturday September 6 - at midday at Abraham Mott Hall, Argyle Place, Millers Point.

RESOURCED: http://anthonyalbanese.com.au/people-dont-matter-to-the-liberals

Clover Moore and The City of Sydney give $10k to Millers Point residents as fight against public housing sell-off continues

September 4th 2014


Lord Mayor Clover Moore outside of one of the Millers Point public housing properties.

The City of Sydney has provided the Millers Point public housing community with a $10,000 fighting fund for its ongoing eviction battle with the State Government. 
              
At the last council meeting, the City approved the grant to the Millers Point Community Defence Group to help fund a housing study report and the development of a community picnic.


The grant comes just three months after the City provided $100,000 to the Redfern Legal Centre to provide tenants support, advocacy and advice for the Millers Point public housing community.
The sell-off of Millers Point public housing has begun, with two homes auctioned by the State Government in behind-closed-doors events.



Millers Point is one of Australia’s oldest communities. Source: News Corp Australia

Residents and politicians gather after the sell-off was announced by the State Government earlier this year. Source: News Corp Australia

 One property sold for $600,000 above its pre-auction guide price, while the second sold for more than $1 million greater than anticipated.

Sydney Lord Mayor Clover Moore said the city supported one of its oldest communities.


TERRACE SELLS FOR NEARLY $2M
MILLERS POINT ‘LUCKY DIP’


“Millers Point is one of Australia’s most historic communities, and many residents have connections to the area going back generations,” Cr Moore said.


“For decades, governments have eroded the social heritage of the area by relocating existing tenants, neglecting property maintenance, selling 99 year leases for social housing properties and leaving properties vacant for long periods of time.

Residents set up a protest outside the auction of the first public housing property last month. Source: News Corp Australia

“The NSW Government’s decision earlier this year to sell off the area’s public housing is a betrayal of the many families who call the area home.


“It also sends a troubling signal that other social housing estates in inner city areas like Glebe and Woolloomooloo are under threat.


IS INNER CITY GENTRIFICATION A GOOD THING?

“The closed auctions that have been held over the past week are symptomatic of the lack of transparency that has marred this process from the beginning.

“Residents have continually been denied the right to consultation, and the government has failed to make any commitment about how the funds generated by the sales will be used.



Barney Gardner was born in Millers Point and has lived there all his life. Source: News Corp Australia

 Millers Point resident Barney Gardner said the community was surprised and grateful for the City’s contribution.

“It was surprising to hear that council put forward a motion to give us this money and I can tell you it was well received,” he said.


The Millers Point Spring Picnic will be held on September 14 at Argyle Place, The Rocks, between 10am and 4pm.


Organisers have also raised more than $1200 to help stage the event from crowd funding site Pozible.


RESOURCED: http://www.dailytelegraph.com.au/newslocal/city-east/clover-moore-and-the-city-of-sydney-give-10k-to-millers-point-residents-as-fight-against-public-housing-selloff-continues/story-fngr8h22-1227047419333

Fate of Sydney’s Harbour Foreshore in Hands of New Committee; Sydney Harbour Foreshore Authority Still Facing the Axe

3 September, 2014 Nathan Johnson
The fate of the Sydney Harbour Foreshore Authority (SHFA) and the public property under their statutory authority is now in the hands of a new multi-agency body, headed by former Transport Minister Les Wielinga.

The committee will develop the government’s strategic vision for the area extending from the Bays Precinct through to the Royal Botanic Gardens, including Barangaroo and Millers Point.

The new committee consists of the heads of the Department of Planning and Environment, Premier and Cabinet, Transport for NSW, Roads and Maritime Services, NSW Treasury, Trade and Investment and Government Property NSW.

This news comes months before an international summit involving the world’s best urban designers is due to meet to discuss and detail the urban renewal proposal  for the Bays Precinct.

The proposal will include the underutilised and degraded waterfront areas in and around Blackwattle Bay, the Sydney Fish Market, Rozelle Bay, Rozelle Rail Yards, and the heritage-listed White Bay Power Station, all of which are controlled by the SHFA.

The new committee will be chaired by Wielinga, and be comprised of the secretaries of various government departments. Wielinga will report back to Government with his recommendations for the future of SHFA, which he is also now the chair of, in 2015.

NSW Government Minister for Planning Pru Goward said that Wielinga has been tasked with reviewing the functions of the organisation, and identifying any potential for reducing duplication of service delivery.  

Urban Taskforce CEO Chris Johnson has also weighed in on the conversation, suggesting that although the SHFA was already tasked to manage the harbour’s foreshores, they would work with Wielinga and his new committee to develop Sydney as an urban centre.

“The Minister for Planning has stated that no government body currently has responsibility for managing the harbour foreshores but the Sydney Harbour Foreshore Authority would sound like the body tasked to do this.

“The Urban Taskforce supports a review of the management of the foreshore but we are most concerned that some organisations have suggested that all land must remain in public use.

“The review of Sydney Harbour Foreshore Authority needs to look at the roles of event management, landlord & strategic planning. It would appear that strategic planning is moving over to UrbanGrowth NSW and there are other government agencies who could take the landlord role.

“The government should also consider selling the buildings within the Rocks as long as there is sufficient heritage control. SHFA has been doing a good job as an event manager; it would appear that there are other parts of the government or the private sector who can undertake this role.

“The Urban Taskforce is keen to contribute to the review by Les Wielinga of a vision for the foreshore, it would appear that this is only related to the urban parts of the foreshore and this needs clarification,” said Johnson.


Resourced: http://www.architectureanddesign.com.au/news/fate-of-sydney-s-harbour-foreshore-in-hands-of-new

Nathan Johnson

248 articles published

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The recent sale of several Department of Housing properties in Sydney’s Millers Point have raised a number of eyebrows because their sales result was so far out of line with their sales agents’ expectations.
Marketed by different sales agents both properties sold for significantly more than the official price guide quoted.

119 Kent Street sold for $1,911,000 and 29 Lower Fort Street for $2,560,000, 35.5% and 45% more than their official guides respectively.

http://www.propertyobserver.com.au/forward-planning/advice-and-hot-topics/35224-underquoting-sydney-spring-auction-market.html

What's Going On at Miller's Point?

Last week the first two sales of two state-owned properties at Millers Point went under the hammer.

The estimated price tag for one of these houses was between $1.5 to $1.6 million dollars, but it sold for $2.56 million. The second property which was initially set at around one million, sold for a massive one million, nine hundred thousand dollars.

The state government has refused to disclose what the reserve price was for these first two auctions, leaving many wondering about the nature of these two sales.

Opposition Housing Minister Sophie Cotsis joined host Sam King, to talk us through her concerns.
Producer: Kim Williams


http://www.2ser.com/get-involved/jobs/item/10829-what-s-going-on-at-miller-s-point

NEW Vision for Sydney’s Harbour

Minister for Planning Pru Goward announced the NSW Government is embarking on developing a new vision for Sydney Harbour, with a new high level committee to bring together various stakeholders and provide much-needed coordination.

“Sydney’s harbour and foreshore is our city’s number one asset. We cannot rest on our laurels – the foreshore deserves a plan for the future,” Ms Goward said. “Ownership of property on Sydney Harbour’s foreshore is like a patchwork quilt. For years there has been no government body with clear responsibility for managing all the different interests, or developing a clear vision for the future.

 “That is why a committee is being established to have over-arching responsibility for developing a vision for the foreshore, and bringing together all the agencies and entities which have an interest, for the benefit of every Sydneysider,” Ms Goward said.

The Committee will be made up of the heads of key Government agencies, and will be independently chaired by former long-term and respected senior public servant, Les Wielinga.

The Committee will work with the community and stakeholders to develop a strategic vision for the foreshore, including key precincts such as The Rocks, Circular Quay, Barangaroo and Millers Point.

The new high level Committee will be chaired by Mr Wielinga, and be comprised of the secretaries of various government departments. Mr Wielinga will report back to Government with his recommendations for the future of SHFA in 2015.

Mr Wielinga will also be leading the new vision for Sydney’s Harbour’s foreshore through his appointment as board chair of the Sydney Harbour Foreshore Authority (SHFA), which was originally established in 1998. He has been tasked with reviewing the functions of the organisation, and identifying any potential for reducing duplication of service delivery.

“One of the challenges of developing a new vision for the foreshore is the variety of property owners, and the level of duplication. It is imperative we move forward with the appropriate, expert agencies delivering services they are expert in providing,” Ms Goward said.

RESOURCED: http://sourceable.net/new-vision-sydneys-harbour/


29 Aug 2014

New committee to develop the government's vision for Sydney's harbourfront

August 28, 2014   Leesha McKenny


A new committee will develop some of Sydney's most valuable public harbourfront land, including The Rocks and Circular Quay

              Responsibility for the future of Sydney's harbour foreshore will be handed to a high-powered committee led by former transport mandarin Les Wielinga.

The multi-agency body will develop the government's "strategic vision" for the area extending from the Bays Precinct through to the Royal Botanic Gardens, including Barangaroo and Millers Point.

Mr Wielinga will also help determine the fate of the Sydney Harbour Foreshore Authority as the new chairman of the agency that was established in 1998 and now controls more than $1 billion in public property in The Rocks, Darling Harbour and Circular Quay.

The new development at Barangaroo will also be part of the government vision. Photo: Dominic Lorrimer

No deadline has been set for the committee to deliver its overarching plan for Sydney's foreshore, but Mr Wielinga will report back to the government with his recommendations for the future of SHFA next year.

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This "review of the functions of the organisation" is a step back from scrapping SHFA outright, an option reportedly considered by cabinet earlier this month.

Planning Minister Pru Goward said the variety of property owners "and the level of duplication" was one of the challenges of developing a plan for the harbour and foreshore.

"Ownership of property on Sydney Harbour's foreshore is like a patchwork quilt," Ms Goward said. "For years there has been no government body with clear responsibility for managing all the different interests, or developing a clear vision for the future.

"That is why a committee is being established to have overarching responsibility for developing a vision for the foreshore and bringing together all the agencies and entities which have an interest, for the benefit of every Sydneysider."

The heads of the Department of Planning and Environment, Premier and Cabinet, Transport for NSW, Roads and Maritime Services, NSW Treasury, Trade and Investment and Government Property NSW will comprise the committee.

It will consult with the community and stakeholders, such as the City of Sydney.

The committee's formation follows major government decisions about Sydney's foreshore, including the sale of all public housing in Millers Point and the plan to open up 80 hectares of land in the Bays Precinct to development.

The opposition's planning spokesman Luke Foley expressed concern about the direction the government was taking, noting the future of the Bays Precinct was being led by the state's property development arm, UrbanGrowth.

"My concern is that the thrust of government policy concerning the Sydney harbour foreshore seems to be directed at development and commercialisation rather than developing the public realm," said Mr Foley, who added the master plan for the Royal Botanic Gardens included a "grotesque visitors' centre near the Man O'War Steps".

Greens planning spokesman David Shoebridge said the new committee added "just another complex layer" to Sydney's planning bodies.

"These ad hoc authorities and this ad hoc carving out of planning powers from the City of Sydney has produced an incoherent planning framework," Mr Shoebridge said

"The better solution rather than creating yet another body would be to return these areas back to the City of Sydney and have one respected planning authority for the whole area."

Resourced: http://www.smh.com.au/nsw/new-committee-to-develop-the-governments-vision-for-sydneys-harbourfront-20140827-1093wf.html 

NSW opposition calls on Fair Trading to investigate sales of state-owned Millers Point homes

August 29, 2014 

This house at 29 Lower Fort Street, Millers Point, had a price guide of $1.5 million-$1.6 million. It sold on Tuesday for $2.56 million.

Opposition housing spokeswoman Sophie Cotsis has called on the NSW Department of Fair Trading to investigate the first two sales of state-owned property at Millers Point.

Ms Cotsis has formally written to Fair Trading Commissioner Rod Stowe to demand an investigation after two terraces at Millers Point sold for significantly higher than the price guide provided to potential buyers.

"The NSW government must halt the sale of public housing properties in Millers Point and investigate the massive discrepancies between the advertised prices and the final sale prices for these properties," she said.


This house at 119 Kent Street, Millers Point, had a price guide of more than $1.3 million. It sold last week for $1,911,000.

                
The first state-owned property to be sold, at 119 Kent Street, went for $1,911,000 at auction. The initial price guide of more than $1 million was revised to more than $1.3 million before the auction.

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Another state-owned property, at 29 Lower Fort Street, stunned onlookers when it sold on Tuesday for $2.56 million. The price guide on the day of the auction was quoted as between $1.5 million and $1.6 million.

The state government has refused to disclose what the reserve was for the first two auctions.

Ms Cotsis also criticised the private nature of the auction campaigns.

"When I tried to inspect the first auction, I was denied entry, even though these are public assets," she said.

"The NSW Liberals are holding these auctions in secret, which raises concerns that taxpayers may not be getting the proper value of these assets."


Millers Point: a community under the hammer

Millers Point: a community under the hammer

A real estate agent who has been closely watching the sales has suggested that the first property at 119 Kent Street was "under sold".

"I believe that one should have gone for between $2.5 million and $2.7 million," Edwin Almeida from Just Think Real Estate said.

"The young man who bought it has just won himself the lottery at $1,911,000."

A representative of Fair Trading said "we treat any evidence of underquoting seriously".

"NSW Fair Trading has received a letter from Ms Cotsis this afternoon regarding public housing sales in Millers Point and we are looking into her request."

RESOURCED: http://smh.domain.com.au/real-estate-news/nsw-opposition-calls-on-fair-trading-to-investigate-sales-of-stateowned-millers-point-homes-20140828-109jpc.html

Millers Point: three new homes for every property sold?

Wednesday, August 27, 2014
Last night a second government owned property in Millers Point was sold. Family and Social Services Minister Gabrielle Upton reports it sold for $2.56 million. This follows the first property sale price of $1.911million.

Minister Upton says for each property sold in Millers Point, the government's public housing portfolio could be increased by three. But not so long ago the Secretary of FACS said the current State Budget would deliver a 'line-ball' increase in social housing supply this financial year.



More recently, the Minister herself told the Budget Estimates committee (see page 5 of the transcript) that for every million dollars her department spends on its housing portfolio, only $190,000 – 19 per cent – goes towards new housing. Of the rest, $340,000 is used for 'improvements' (for example, kitchen upgrades), and $470,000 goes to repairs and maintenance.



Now, we're all for spending money on overdue repairs and maintenance of the government's housing portfolio, but it's a bit rich to sell other people's homes in order to pay for it. Especially when much-needed growth of the portfolio is implied, to justify the sales.



On the basis of Minister's Estimates statement, let's see what we might be able to do with the $4.471 million raised so far. Within the confines of the Budget, of course...

First things first, we'll have to put about $1.52million aside for 'improvements', and a further $2.1 million aside for repairs and maintenance. This leaves us with just under $850,000 to tip into the 'new housing' bucket.

$800,000 will get you a pretty swish flat in Sydney, leaving change for stamp duties, legal costs and perhaps even some champagne to celebrate.

Cunningham St Sydney - from www.realestate.com.au

Or, if you wanted to replace the two Millers Point properties with a pair of dwellings, you can get a nice little studio in the same complex...

Cunningham St Sydney - from www.realestate.com.au

... a spacious walk up in Parramatta...

Early Street Parramatta - from www.realestate.com.au

... or a respectable family home in Campbelltown, for around $400,000.

Lindesay Street Campbelltown - from www.realestate.com.au

Of course, if you wanted to replace the two Millers Point properties with six homes in Sydney, you'd be hard pressed to do it. You'd be looking at around $140,000 per home. A quick look at the real estate pages tell us you can still find homes at such low, low prices, but nowhere near Sydney. You'd have to look in places like Deniliquin, South Grafton, Dubbo, Jindabyne, Albury and Orange.

Which leaves us with two possible conclusions to ponder: either the money will be used to buy houses in regional NSW, or more of our existing metropolitan public housing will be demolished so that we can 'replace' the Millers Point homes on land already owned by the NSW Government.

Help us keep track of what's happening with public housing sales and estate redevelopment. Check out our Clearing House blog for more information.

Government left red-faced after Millers Point sale

August 27, 2014   Toby Johnstone


Buyers were expecting the rundown terrace to sell for between $1.5 million and $1.6 million. They were off by $1 million.

This house at 29 Lower Fort Street, Millers Point, had a price guide of $1.5 million -$1.6 million. It sold for $2.56 million.

The state government has been left red-faced after the first two houses to be auctioned at Millers Point sold for significantly higher than the price guides provided to buyers.


Onlookers were stunned at the Tuesday night auction of 29 Lower Fort Street when the derelict terrace sold for $2.56 million. The price guide earlier in the day was between $1.5 million and $1.6 million.


Last week the first state-owned terrace to be sold at 119 Kent Street, Millers Point, went for $1.9 million. The initial price guide of $1 million had been revised to more than $1.3 million ahead of the auction by Peter Starr from McGrath.

This house at 119 Kent Street, Millers Point, had a price guide of more than $1.3 million. It sold for $1,911,000

The selling agent on Tuesday night, Rohan Aalders from Di Jones, cited a lack of comparable sales in Millers Point. 

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"We had to work with what little comparables we had and rely on the market to tell us the figures," he said.


"We spoke to 60-plus people ... the highest number we were hearing was the price guide."


Edwin Almeida from Just Think Real Estate has been following the first two sales closely. He said when a property sold for 10-15 per cent over the price guide it was typically a case of buyers getting carried away.


"But when you are talking 90 to 100 per cent over the price guide, you have to raise questions," he said.


In the aftermath of Tuesday's staggering result, Minister for Finance and Services Dominic Perrottet distanced himself from the price guides given to buyers.


"The price guides for properties at Millers Point are determined by the real estate agent based on market feedback," he said. "This process is independent of the NSW government."


Millers Point: a community under the hammer


Although the state government does not set the price guide, as vendor they do set the reserve.
The state government refused to disclose the reserve price. The government also declined to share information about the initial independent valuation of the property.


Buyer's agent Patrick Bright said: "We don't know if it's underquoting or not because we don't know what the reserve was.


"Given that auctions are meant to be a transparent way to sell property, why all the secrecy around all of this? Why not just share the information?"


When a spokesperson for the Department of Fair Trading was asked whether a house sale that is $1 million above the price guide was something the department would look into, they replied: "A gap between the initial advertised price and the final sale price is not necessarily proof of underquoting."


But the spokesperson went on to say that an example of underquoting is "when a property is promoted at a price that is less than the seller's asking price or auction reserve price".


In any property transaction, disclosing the reserve is at the discretion of the vendor.


Mr Perrottet said he welcomed the strong result "as the proceeds of these sales will be invested back into social housing to assist the 58,000 people currently on the waiting list".


RESOURCED: http://smh.domain.com.au/real-estate-news/government-left-redfaced-after-millers-point-sale-20140827-108xu9.html

Millers Point sales shock investors

Millers Point sales shock investors

Millers Point: Prized harbourside land is being sold to investors. Buyers were expecting a rundown terrace for sale at Millers Point to sell for around $1.5 million. It sold for a staggering $2.6 million.

Stuart Bocking asks Minister for Family & Community Services Gabrielle Upton if she can guarantee that the proceeds from the sale of the Millers Point households will be put back into public housing?

Resourced: http://www.2ue.com.au/blogs/2ue-blog/millers-point-sales-shock-investors/20140828-3egn1.html  



Resourced: http://www.2ue.com.au/blogs/2ue-blog/millers-point-sales-shock-investors/20140828-3egn1.html  


This was the home for 6 people working in the city up until the last tennant died 4 years ago. all it ever needed was a coat of paint and the gutters cleaned outand repaired to be livable again. what alot of wasted rent over the past 4 years

peter Tuesday 2 September, 2014 - 9:50 PM

This minister has yet to meet with the residents on Millers Point personally even after continuous requests. Sales at Millers Point without the 2 recent sales has already earned the government over $42 million. Where are all the new properties they have acquired with these funds? Where is all the new housing stock they have acquired with monies made from other sales of housing stock across the country? Housing have sold twice as many properties as they have actually acquired in the last 12mths alone. There are many many empty properties dotted around the country that could be used to accommodate ppl on the waiting list but are left to sit empty. What is the point of properties sitting empty, in some cases for years on end? Why move the residents from Millers Point before selling all the empty properties first? If they have 300 empty properties to relocate the residents of Millers Point to, why have these properties not been allocated to ppl who have been on the waiting list for years??? So many more questions need to be asked by the public who as you say, own these properties. Also where is all the money Mr Packer paid for the prime real estate at Barangaroo? Where has that been reinvested?

Cindy Friday 29 August, 2014 - 7:53 AM

ELDERLY, MILLER’S POINT, NSW GOVERNMENT

Published on Aug 18, 2014
On ‘Killing Us This Week’ we look at the dangers of relocating poor elderly people from public housing. Thankfully old people are well known to love change, moving and new things.

#RoastTv   The Roast airs weeknights at 7:30pm on ABC2

https://www.youtube.com/watch?v=pK71RiAWeRY&feature=youtu.be


http://savemillerspoint.blogspot.com.au/p/httpwww.html

REDWatch Analysis on Millers Point 

REDWatch has kept its members and supporters up to date through its email lists. Below we have drawn some of the material from these emails to provide an overview for a wider grouping of REDWatch's concerns.

A summary of some of the issues arising from the Millers Point announcement:

Social Impact Assessment - LAHC undertook that the Social Impact Assessment would be shown to tenants before any decisions were made. The Millers Point Social Impact Assessment was released after the announcement along with the Government response Government response to Millers Point SIA. LAHC have a long history of convincing communities that this time it will be different and they will keep their word! LAHC has a fundamental conflict and should not have carriage of community engagement with their own tenants around redevelopment issues.

The Government response – this document is a worry. For example the LAHC in Redfern argued under social mix for affordable housing in the redevelopment mix but in the response on Millers Point under Goward they are saying they have no interest in affordable or aged housing. The response is quite short and should be read by anyone wanting to understand why the Social Impact recommendations have not been acted upon – see also O'Farrell government ignored consultants' advice on plan to sell public housing at Millers Points and Battle for lost when Goward took control.

Heritage and Maintenance - There is an ongoing issue that if LAHC do not do in time maintenance then problems grow and cost much more especially in heritage properties. There is an element also that tenants believe that a number of things that LAHC said needed to be done were excessive and there to expand the cost of bring houses to standard. Heritage houses are also expensive to maintain but not everything disposed of will be heritage properties. Interesting the heritage listing for Millers Point includes the people that live there and this avenue of appeal is being considered.

Sirius building -  This building does not have maintenance issues and no one expected it to be sold off as not being suitable. It is ideal for aging in place. Its problem is that it sits on very expensive real estate. The introduction of the principle that public housing should not be in an area where there is strong market demand is worrying. On this basis much of the public housing in the inner-city, eastern suburbs and the north shore could be sold because it could build a greater number of units of housing in a less desirable place (and in most likelihood far from services, hospitals, public transport etc that makes locations desirable!)

The Public Housing Black hole – with LAHC selling off 2.5 housing units a day over the last ten years to pay the bills then it is highly unlikely that the sales will translate into new housing. It is most likely to go the way of previous sales where it contributes to a net reduction of housing stock and pays the bills for running the system. This funding will only go to new housing if there is another source to cover the operating deficit and the maintenance black hole.

The Millers point Media Pack – It has become apparent that the Government had a highly orchestrated approach to the announcement through the use of the Millers Point Announcement Media Pack. LAHC included in the media pack a number of case studies on their perspective on maintenance issues in Millers Point. The document indicates that particular properties were arranged to be specifically opened up for the media to provide footage / visual support for the LAHC case. The document also has a section on relocations which highlights some of LAHC newer properties and case studies of people who have been previously relocated out of the Millers Point area to such lovely places is highlighted. Of particular concern is a section on how much “Subsidy” (my inverted commas not LAHCs) tenants in Millers Point were provided. This included the case study in which it was argued a mother and son received a subsidy of $528,000. You can see the Tenants Union response to this at The truth about 'subsidies' at Millers Point and The Rocks, including TU raising concerns about the privacy of people used in the case studies. The subsidies are shown for other low income areas to highlight the LAHC argument. What is not shown is what the “subsidy”, LAHC say they are paying to other Inner City public housing tenants who like those in Millers Point LAHC would consider to be highly subsidised. This was a well-orchestrated media campaign.  It makes you wonder if LAHC was to roll this out into other inner city areas what might be said about the subsidies in Redfern, Waterloo, Surry Hills or Woolloomooloo and what case studies might be told about people in our communities!

Spreading Myths about Public Housing – Government conveniently forgets that the people in public housing are there because they put them there under a range of different arrangements. Some people that are there were there because they have been workers and paid full rent all the time they were working and are now retired, others are there because they are young and with the multiple issues needed to qualify for access to public housing, others in the case of Millers Point were transferred from Maritime Services Board housing. Some of the material in the media kit and said by the Minister strengthens negative stereotypes about public tenants and plays to peoples ignorance of what public housing is and how it works.

It will take longer to get off the housing waiting list – The tenants to be moved out of Millers Point will be given priority in allocations. The impact will be that 400 people that would have been housed off the waiting list will now not be housed in the next two years because those houses will go to people already in public housing and until the promised houses are built there will be 300 less public housing units for those on the waiting list to get into.

Community and support networks – public tenants like everyone else take time to put down roots and to develop their community support groups. If you have little mobility and have been in an area a long time that is where your support network is. The announcement that everyone would be moved out was not just about the loss of your home but also about the loss of your friendship and support network – the loss of your community. As public tenants made up such a large proportion of the area it is also about the wholesale change of the areas character – a bit like the neutron bomb of the late 1970’s removing all the existing community but leaving the property intact to be occupied by the newcomers.

Solidarity and Campaigning – The announcement marks the first time Government has sold off all the public housing stock in a suburb and argued that housing is in too good an area for public housing. There is a need to support those impacted in Millers Point but also for the community to take up the broader issue so other inner city areas do not get denuded of public housing because it is in too great of demand for private housing. How NGOs and communities respond to this challenge will determine the future of public housing in the Inner City and the NSW more generally. Support for Millers Point tenants was considered crucial at a REDWatch roundtable in April 2013 which examined the implications of the decision for other inner city public housing.

Join the Discussion and address the myths - it is also crucial for people who are supportive of public housing to be involved in the wider media and community discussion about the need for continued public housing in the inner city. There is a need to help the wider community understand how public housing works and who is in public housing given the stereotypes being played to by the Minister. For example does the community understand that the majority of people in public housing are aged pensioners who are not expected to get a job and move out of public housing. Does the wider community understand that when many of these people came into public housing it was intended for those that also worked and that many of the current aged have paid substantial rents during this time.

What others are doing

Inner Sydney Regional Council for Social Development has announced they will employ Joel Pringle to do some work to assist those working in Millers Point over the next few weeks. In the process of doing this ISRCSD will be asking Joel to make recommendations about what ongoing role ISRCSD and other organisations can play in Millers Point and on its broader implications for inner city public housing. It is proposed Joel will work alongside other groups in the area with minimal duplication. ISRCSD grew out of the campaigns in Redfern Waterloo led by Marg Barry to stop the destruction of that community by the Department of Housing. ISRCSD are now a regional agency covering the LGAs of Sydney Leichhardt Botany and the Eastern Suburbs. Their projects service tenant groups (David Whites TPRS role), Aged and disability Services (HACC), residents groups, community centres and human services interagencies.

Joel has experience in working with public housing tenants when working on the Working From the Ground Up project for Sydney University in South Maroubra and Matraville. He has recently worked for ACOSS and as Campaign Manager for Australians for Affordable Housing. He has worked in some community activities in the inner city where he has been spokesperson for the Lift Redfern Campaign, Chair of the Settlement Neighbourhood Centre and been on the ISRCSD Board.

Further Reading

REDWatch has put some of the key Millers Point documents on its website under Millers Point - ridding expensive suburbs of Public Housing. Shelter NSW have produced a newsletter insert Around the House No.96 - Millers Point supplement and the Tenants Union Blog has also covered the issues especially at The truth about 'subsidies' at Millers Point and The Rocks. You will also find out about media stories on social media at www.facebook.com/millerspointsaveourhomes.

The latest issue of the South Sydney Herald ran a number of articles on issues related to Millers Point that may be of interest on the issues:

• Why is this happening? State government neighbourhood sell-off
• Hollow men and hollow words
• Managed media
• Sydney needs more affordable housing
• March for maintenance – voicing concerns of public housing tenants

For More Information regarding REDWatch and Millers Point please contact REDWatch on mail@redwatch.org.au


http://www.redwatch.org.au/issues/public-housing/millers/140331redw

Millers Point is a community worth fighting for

It is now three weeks since the NSW Government announced plans to sell off the Millers Point community, kicking out the low-income, elderly, vulnerable, and hardworking people who have looked after this suburb for decades.
 

It is important to correct the government’s spin aimed at misleading the public. Media outlets were shown a few terraces that are deemed ‘too good’ for public housing tenants but the reality is that many of the Millers Point properties to be sold are low key and small walk-up units, without a view apart from a very noisy and dusty construction site at Barangaroo.
 

The ‘massive subsidies’ the government alleges tenants receive are nothing more than accounting entries based on the difference between the ‘market rent’ that someone made up and the rent the tenants pay.
 

In fact, according to the Tenants Union, Millers Point tenants have paid around $4.25 million in rent over the past two years alone. Many have been making their own repairs and fixing up their homes, because the government has neglected them pretty much since the Maritime Services Board gave the homes to the then Housing Commission to be used for low cost housing.

... continue reading:
http://www.allnewsau.com/news/comment-millers-point-is-community-worth-fighting-for

 http://www.allnewsau.com/term/Millers%20Point