Australia’s high-rise apartment crash turns nasty

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On Friday, the Australian Bureau of Statistics (ABS) released its dwelling approvals data for July, which revealed that dwelling approvals nationally have crashed by 33% in trend terms from the March 2015 peak, driven by a mammoth 51% decline in unit and apartment approvals:

Today, I want to focus on the high-rise apartment segment, which is driving the bust and is also the subject of deep concerns around quality.

The next chart shows the picture at the national level in annual terms, which shows that high-rise apartment approvals have crashed by 49% since peaking in October 2015:

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.