Canberra developer builds 154 apartments after 26-home plan falls apart
A Canberra developer abandoned an approved 26-unit townhouse project and pivoted to a 154-unit apartment complex.
Core Developments scrapped plans for 26 townhouses at Denman Prospect to build three connected apartment towers with 154 dwellings. The original townhouse project was approved in 2024 but proved impossible to sell.
Construction costs, high interest rates and high land prices made the smaller project not viable. Lease fees go down as density goes up.
Lease fees are paid when changing a development plan. The developer had to build at least 120 units to recover costs.
The company says lower lease fees for smaller projects would have meant fewer apartments. The new development will have one and two-bedroom units, with some dual-key apartments for multi-generational households.
- 26 units
- Original townhouse plan
- 154 units
- Revised apartment plan
- At least 120 units
- Viability threshold
- $79,500 vs $30,250 per dwelling
- Lease variation charge variance
Why it mattersGovernment charges and construction costs are forcing developers to build higher density than planned. This changes the mix of housing in new suburbs.
AustraliaCanberra will gain more apartments and fewer townhouses in Denman Prospect; the pattern reflects wider pressure on Australian developers to build denser to stay profitable.
✓ Claims checked against the source and corrected before publish. checked 2 h ago
Open this story in InSnip →
