i was looking for an article on the developer, keith johnson, but can't find it online.
there was a big write up in the newcastle hearld this weekend from him coming clean about the financial situation he recently went thru and exactly what happened and when.
he is currently holding sites with over 6000 block potential plus a marina tourist development site.
his problems were two fold - council iffing and ahhing for years and unable to make a decision, listening to every joe blog with a beef while the housing shortage grows more and more critical. all this for the privilege of paying fees of $70,000 per block in government charges.
then the banks have started calling in loans that were being serviced (wasn't behind in repayments), or won't lend to develop the approved and presold sites. he's a fortunately one whose managed to raise the capital required from a private source and stay afloat long enough to move forward - but i'd hate to think how many sunk, and what interest rate he is paying.
so - it's a double pronged blade - between the levels of government and the banks, there is no hope for any major development (or even many minor ones) for a long time.
and then ... last night the real estate institude (yes, i know they have an agenda) were predicting rents to go up around 20% in sydney over the next 2-3 years due to cronic lack of supply.
glad i'm already holding ...