Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), and CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.

"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.

Wednesday, 5 March 2014

Construction getting underway - index to rip?

If it doesn't then I'm a rubbish forecaster.

It's hard not to notice the construction boom in Sydney.

I'm sitting at home now (Ultimo) and all I can hear is angle-grinding, drilling and jack-hammers.

Martin Place, where my office is, now has three giant projects now underway.

Even on the walk to work, this is what I can see below...which is just the beginning of a colossal regeneration project at Darling Harbour over the coming few years.

Lend Lease estimates the value of work here to be $2.5 billion.

Meanwhile on the other side of the harbour, an entire new suburb is now under construction at Baranagaroo (residential and commercial), with the regeneration project variously said to be worth many billions, or many more billions, depending on who your source is.

And depending on whether Packer gets final approval for his new hotel and casino complex.

The Darling Harbour work is largely commercial, although, despite the poor quality of my i-Phone photo you can also see a mid-tier residential project also now underway to the left. 

There are stacks and stacks of these mid-sized projects now happening in Sydney, practically everywhere you look is a site or two under construction.



In fact, if I rotate myself 180 degrees from exactly the same spot...


Another poor quality photo. although you may be able to make out two more large residential developments going on.

Also behind the UTS tower is the new tower which is part of the $2 billion Central Park redevelopment and Living Mall shopping centre. 

Rezoning laws will allow the construction of thousands of new apartments at Mascot, Zetland and Waterloo.

Apartment construction is set to peak in Sydney in 2016.

OK, so Sydney is not Australia.

But if all this doesn't get the construction index firing, I have no idea what will.

None of this was happening 3 years ago. Now it is. Ergo, the index has to turn upwards!