final report land tax program district 217 – camden … · camden lga was $12,078,141,230, a 20%...

Independent Property Valuers & ConsultantsACN : 099 913210 ABN : 80 099 913 210

PO Box 697 Suite 5, Level 1, 2 East Street, Five Dock NSW 2046 Phone : (02) 97139077 Fax : (02) 97139022 Web : www.savs.com.au

FINAL REPORT

LAND TAX PROGRAM

DISTRICT 217 – CAMDEN

BASE DATE – 1 JULY 2015

Report prepared by SOUTHERN ALLIANCE VALUATION SERVICES PTY LTD

for VALUER GENERAL &

LAND AND PROPERTY MANGEMENT AUTHORITY

Camden Final Report

__________________________________________________________________________________________ of 55 Pages Southern Alliance Valuation Services Pty Ltd – Camden Final Report – BD 1 July 2015

TABLE OF CONTENTS

EXECUTIVE SUMMARY .................................................................................................................

1. GENERAL DESCRIPTION OF LOCAL GOVERNMENT AREA ........................................................

2. NUMBER OF VALUATIONS IN THE ZONE CATEGORIES ............................................................

3. TOWN PLANNING & ZONING INSTRUMENTS ..........................................................................

4. IDENTIFIED SIGNIFICANT CHANGES IN USE OR DEVELOPMENTS OF PROPERTY AND OTHER

FACTORS WHICH MAY AFFECT VALUATIONS ..............................................................................

5. ADDED VALUE OF IMPROVEMENTS .........................................................................................

6. CHANGES TO COMPONENTS ILLUSTRATED BY CHANGES TO THE EXISTING VALUE

RELATIONSHIPS. ...........................................................................................................................

7. MARKET COMMENTARY ..........................................................................................................

8. MANAGEMENT OF COMPONENTS, VERIFICATION & HANDCRAFTING ...................................

9. QUALITY ASSURANCE ...............................................................................................................

Camden Final Report


EXECUTIVE SUMMARY

All properties in NSW are valued each year for rating and land tax purposes. All valuations are issued to the Office of State Revenue for land tax. Valuations are also issued to Councils generally every third or fourth year. This report details the land valuation program for the CAMDEN Local Government Area (LGA).

The majority of land values are determined using mass valuation techniques. The Valuer General’s mass valuation system is applied as follows;

1. Properties that react to market forces in a similar way are grouped together in a component, and

2. The existing values of those properties in a component are updated by a marketbased factor that is then used as a multiplier of the prior Land Value. The result is then checked by the Contract Valuer and individually verified values applied as appropriate.

The use of the mass valuation techniques does have limitations, particularly over a period of time. The continued application of factors may lead to a distortion in the relativity of values within a geographical area. Some types of properties are so few in number or likely to be so sensitive to localised changes that individually verifying values is the only appropriate method. Although a mass valuation system is used to determine the majority of values, the Valuation of Land Act requires that each land value be a market value. Each land value must be capable of being tested and supported on its own against all the available market evidence.

The total number of valuation entries as at the 9th November 2015 within Camden LGA was 28,024.

The total Base Date 1/7/2015 Land Value in dollar terms as at the 9th November 2015 within Camden LGA was $12,078,141,230, a 20% increase from the prior Base Date 1/7/2014.

Camden Final Report


Residential Lands

Overall, the residential market within the Camden Local Government Area has shown strong positive growth during the past 12 months leading up to Base Date 1 July 2015 following a marginal performance the year prior. The single residential property market generally recorded positive variations (in assessed statutory land value terms) ranging broadly between 10% up to 25% depending on zoning & location.

The lower end of the range captures the larger holdings, alternatively described as Rural Residential holdings (R5), whereby the mid to high end of the range captures the bulk of the single residential market located within the R1, R2, R3 and E4 zones.

The most active new estates are the developing suburbs of Oran Park, Gregory Hills, Gledswood Hills, Leppington, Spring Farm, Elderslie & Harrington Park. The turnover of single residential allotments is largely (but not solely) attributed to increase in investor demand, both locally and abroad, historical low interest rates, increase in Sydney’s population growth, and a prior shortage of residential supply.

Englobo residential lands sales produced solid volumes, due to the pent up demand from the market for new land supply. Variations applied ranged from 25% up to 30%.

The South West Growth Centre is one of two Growth Centres in Sydney that the State Government announced will be the focus for new housing development over the next 30 years. The South West Growth Centre covers much of Camden's northern half and extends into the Liverpool Local Government Area.

The suburbs in the Camden LGA affected by the South West Growth Centre include Oran Park, Gregory Hills, Catherine Fields, Bringelly, Leppington and Rossmore, which were essentially former rural/nonurban areas.

In June 2006, the Minister for Planning announced that the first precincts to be released for development in the South West Growth Centre would include Oran Park and Gregory Hills in the Camden Local Government Area. Planning is ongoing within the Camden Council area, with more land at Leppington expected to rezoned for new homes in 2015.

Detailed planning for the Oran Park and Turner Road Precincts commenced in September 2006, with the Growth Centres Commission and Camden Council working collaboratively on this planning. Draft Precinct Plans were placed on public exhibition in May and June 2007.

On 21 December 2007, State Environmental Planning Policy (Sydney Region Growth Centres) 2006 (Amendment No. 1) was gazetted.

This rezoned the land in the Oran Park and Gregory Hills Precincts.

Camden Final Report


Oran Park Master Plan

Gregory Hills Master Plan

Camden Final Report


Commercial / Retail Areas

There has been a reasonable amount of sales activity in the commercial property market within the Camden Local Government Area over the past twelve months. This includes both strata and freehold property. A major sale during the year was to a major retail operator in Narellan, the land being purchased for a proposed new Aldi store. However, the most significant development is the construction of the Narellan Town Centre No. 2 Centre.

The most notable release of business lands is in the Central Hills Business Park at Gregory Hills. The business park is a 45 hectare business park located at Gregory Hills. Over 90% of the land is now either sold or leased. The land feature two flexible land zonings and a variety of lot sizes.

In summary, the commercial/retail markets recorded positive variations (in assessed statutory land value terms) ranging broadly from 13% up to 25% depending on zoning & location. However we note higher variations have been applied to the Leppington B zones recording increases in land values up to 35%.

Industrial

The industrial property market within Smeaton Grange, Camden and Narellan has over the past 12 months been stagnant with limited turnover predominantly due to the demand for retail/commercial sites offering superior floor space and development opportunities. However we note higher variations have been applied to the Leppington B zones recording increases in land values up to 15%.

Camden Final Report


Rural

The rural residential market has seen purchase prices negligibly rise over the past twelve months. However please note that these lands exclude those formerly zoned rural which were rezoned to residential per to the South West Growth Centre as noted above.

In summary, the rural markets (acreage) recorded positive variations (in assessed statutory land value terms) of around 5%, considerably less than the residential market . However we note higher variations have been applied to the Leppington areas recording increases in land values up to 25%.

Estimated Resident Population for Camden LGA, have been provided below.

C Stening AAPI Certified Practising Valuer Registered Valuer No. VAL 030548

Steven Halias AAPI Certified Practising Valuer Registered Valuer No.3100

Camden Final Report


1. GENERAL DESCRIPTION OF LOCAL GOVERNMENT AREA

Camden Final Report


The Camden Local Government Area (LGA) extends from Leppington, Rossmore and Bringelly to the north down to Spring Farm, Camden and Cawdor to the south.

Camden LGA is bounded by Liverpool LGA to the north and northeast, Campbelltown LGA to the east and Wollondilly LGA to the south and western part.

Camden covers an area of 206 sq kms and is bisected by the Nepean River.

RESIDENTIAL DEVELOPMENT

There are a number of urban release areas in the Camden LGA. The most active markets are the developing suburbs of Leppington, Gledswood Hills, Gregory Hills, Oran Park, Harrington Park, Elderslie and Spring Farm.

The older suburbs of Narellan and Camden Township are still retaining their original appearance, with Camden protecting its heritage image with new development being built to blend in with the existing.

Large ‘rural residential’ lots in Grasmere, Kirkham, Ellis Lane, Cawdor & Catherine Fields offer a scenic rural landscape whilst still being well located to most amenities.

RESIDENTIAL DEVELOPMENT

Currently there are a number of large residential developments being undertaken within the Camden LGA.

Harrington Grove

Harrington Grove is a community title development to the North of Harrington Park which geographically encompasses two segments of land – Harrington Grove East and Harrington Grove West. The total size of the site is 1200 acres, however only 40% (480 acres) will be developed, containing a total of 1100 home sites. The remaining 60% (720 acres) will remain bushland.

Central to the development is the Country Club, which provides fabulous sporting and recreation facilities. The Country Club is an architect designed venue for casual dining, recreation, relaxation and community interaction.

The latest release in this community is the ‘Michelia’ precinct. There are home sites from 702m2 to 1365m2 available and this is advertised as a private enclave surrounded by extensive bushland.

Spring Farm

Spring Farm is a 150 hectare site featuring bushland Reserves and fronts onto the Nepean River with approximately 1km of river frontage.

Camden Final Report


When completed the development will house approximately 4,000 lots. It will feature a number of landscaped parks, a high quality retail precinct and a large regenerated bushland corridor. The lots range in size from 360 to 800m2.

The Riverside Precinct is the latest release area within the Spring Farm area. This precinct is situated south of Springs Road and to the north of the Nepean River. It will offer 700 lots bordered by the Nepean River and features Springs Lake.

Oran Park Town

Oran Park Town opened for business on Saturday, 27 March 2010, with 30 housing lots sold at the heart of the Town Centre. There is a 43 home display village on site and since opening some 500 lots have already been released for purchase, with another 50 or so to be released (stage 3C) on the 12th November.

Eventually this area will see the delivery of around 7,500 new homes for 22,000 residents over a 20 year timeframe. Overall, the project includes 5 schools, 18 hectares of employment land allowing for over 4,000 jobs, 2 neighbourhood centres and more than 10% open space. Also included in the Town is a 7 hectare Senior Living facility.

Camden Final Report


Gregory Hills

Gregory Hills sits on land donated by Thomas Donovan to the Marist Brothers in the 1920’s.

The first residential release area in Gregory Hills was offered for sale in July 2010 and since then some 340 blocks have been offered to the market for sale.

This master planned community will eventually deliver more than 2,400 new homes; feature its own Primary School, shopping centre, playing fields, parks & recreation networks.

The blocks generally range in size from 375m2 to over 700m2.

There is currently a display village on site with some 20 houses available for viewing.

Camden Final Report


Gledswood Hills

The masterplanned estate is located off Camden Valley Way to the north of Gregory Hills, comprising of 1,400 lots. Within the estate there is 35 hectares of native parkland, village centre, primary school, cycle and shared pathways and 120 hectares of Golf course precincts designed by Greg Norman. The subdivision was first released for sale in 2011, and was sold in several different stage.

The Hermitage, Gledswood Hills has seven different precincts that have been integrated into the natural surrounds. Each precinct is released in separate stage with several of the precincts sold out demonstrating the demand for lots in this estate.

The current release is Hardy’s Rise Parkside Release, which has a parkside location, lots ranging from 400m2 to 704m2, elevated position offering district views, within walking distance to Gledswood village amenities and school, access to parks playgrounds and public spaces.

The estate has 59 display homes featuring 22 respected builders from Homeworld.

In the pipeline for Gledswood Hills is the Crest under development by Mirvac. The Crest will be a 90 hectare community consisting of 580 lots ranging from 400900m2.

Camden Final Report


Emerald Hills

Emerald Hills estate is located on the southeastern side of Camden Valley Way between the intersections of St Andrews Road and Raby Road. It is currently under the process of being redeveloped into master planned community Emerald Hills or formerly known as Emerald Hills Cattle Farm. The subject site is located in the Local Government Area of Camden.

The land comprises a 3 individual lots that form an irregular shaped englobo parcel of land, which is slightly undulating agricultural land and part Cumberland Bushland.

Surrounding development comprises of semirural and rural land holdings. There are new master planned residential estates emerging along Camden Valley Way, Leppington, which is serviced by the new south west rail line.

Camden Final Report


COMMERCIAL/RETAIL:

There has been a reasonable amount of sales activity in the commercial property market within the Camden Local Government Area over the past twelve months. This includes both strata and freehold property. A major sale during the year was to a major retail operator in Narellan, the land being purchased for a proposed new Aldi store. However, the most significant development is the construction of the Narellan Town Centre No. 2 Centre.

The most notable release of business lands is in the Central Hills Business Park at Gregory Hills. The business park is a 45 hectare business park located at Gregory Hills. Over 90% of the land is now either sold or leased. The land feature two flexible land zonings and a variety of lot sizes.

INDUSTRIAL:

The industrial property market within Smeaton Grange, Camden and Narellan has over the past 12 months been stagnant with limited turnover predominantly due to the demand for retail/commercial sites offering superior floor space and development opportunities. However we note higher variations have been applied to the Leppington B zones recording increases in land values up to 15%.

RURAL:

The rural residential market has seen purchase prices negligibly rise over the past twelve months. However please note that these lands exclude those formerly zoned rural which were rezoned to residential per to the South West Growth Centre as noted above.

In summary, the rural markets (acreage) recorded positive variations (in assessed statutory land value terms) of around 5%, considerably less than the residential market . However we note higher variations have been applied to the Leppington areas recording increases in land values up to 25%.

Camden Final Report


2. NUMBER OF VALUATIONS IN THE ZONE CATEGORIES

District 217 - Camden LGA 2015 Register of Land Value Entry Totals at 13 Nov 15

(the totals below include the 9 Nov 2015 Supplementary Import)

Zone Category (all zones)

B1 Neighbourhood Centre 19 0.07%

B2 Local Centre 195 0.70%

B3 Commercial Core 8 0.03%

B4 Mixed Use 182 0.65% B5 Business Development 117 0.42%

B7 Business Park 40 0.14% E1 National Parks and Nature Reserves 1 0.00% E2 Environmental Conservation 44 0.16% E4 Environmental Living 504 1.80%

IN1 General Industrial 337 1.20%

IN2 Light Industrial 122 0.44%

R1 General Residential 7,139 25.47%

Camden Final Report


R2 Low Density Residential 14,410 51.42% R3 Medium Density Residential 1,841 6.57% R5 Large Lot Residential 1,179 4.21%

RE1 Public Recreation 175 0.62%

RE2 Private Recreation 13 0.05% RU1 Primary Production 430 1.53%

RU2 Rural Landscape 14 0.05% RU4 Primary Production Small Lots 1,138 4.06%

RU6 Transition SEPP 1 0.00%

SP1 Special Activities 5 0.02%

SP2 Infrastructure 110 0.39%

Totals 28,024 100.00%

Camden Final Report


Camden LGA Break Up of All Zones BD 1/7/2015

3. TOWN PLANNING & ZONING INSTRUMENTS

All Councils are required to produce plans to manage the local environment within their area.

These plans set out the broad framework for development requirements to ensure that the quality of life for local residents is maintained and enhanced.

Local Environmental Plans: A Local Environmental Plan (LEP) is a legal document that sets out how land can be used and developed. It does this by providing “zones” for different types of land uses such as housing, shops, parks, schools and light industry and applies various controls to these zones.

On the 3rd September 2010 the NSW State Government approved a new councilwide Local Environmental Plan (LEP) for Camden designed to deliver uptodate planning controls on future growth.

The plan was prepared based on the government's standard local environment plan template which provided a consistent framework for the layout, zone names and definitions of new councilwide areas across NSW.

Camden is expected to experience considerable population growth over the next 20 years and it is considered essential that modern, clear and simple planning controls are in place.

B1 Neighbourhood Centre B2 Local CentreB3 Commercial Core B4 Mixed UseB5 Business Development B7 Business ParkE1 National Parks and Nature Reserves E2 Environmental ConservationE4 Environmental Living IN1 General IndustrialIN2 Light Industrial R1 General ResidentialR2 Low Density Residential R3 Medium Density ResidentialR5 Large Lot Residential RE1 Public RecreationRE2 Private Recreation RU1 Primary ProductionRU2 Rural Landscape RU4 Primary Production Small LotsRU6 Transition SEPP SP1 Special ActivitiesSP2 Infrastructure

District 217 - Camden LGA 2015Register of LV Entries (Zone Category) at 13 Nov 2015

Camden Final Report


The plan includes a number of existing greenfield release areas, which had previously been zoned for residential development by the council, along with the existing medium density areas adjoining Camden and Narellan town centres which will provide future infill development.

The plan also includes planning restrictions on the location of restricted premises and their proximity to residential areas, schools, churches and other community facilities.

The plans zoned land at Currans Hill, Mount Annan South and Elderslie as neighbourhood centres, rather than the originally proposed residential zone, to reflect the status of these sites as neighbourhood centres and also zoned former release areas at Harrington Park, Mount Annan and Currans Hill to a mix of low and medium density residential, rather than the proposed general residential.

Camden's previous LEPs (see below) were repealed by Camden LEP 2010.

• Camden LEP 45 – Camden

• Camden LEP 46 – Existing Urban Areas

• Camden LEP 47 – Narellan Release Area

• Camden LEP 48 – Rural Areas

• Camden LEP 74 – Harrington Park

• Camden LEP 117 – Elderslie

• Camden LEP 121 – Spring Farm

CAMDEN LEP 2010

The Camden LEP 2010 was gazetted on 3 September 2010.

The LEP applies to all land within the Camden local government area (LGA), with the exception of land at Oran Park, Turner Road (Gregory Hills) and Catherine Field which falls under State Environmental Planning Policy (Sydney Region Growth Centres) 2006.

Although Council did not propose the LEP to undertake any significant ‘rezoning', there was a need for some zone changes to accommodate the standardised Template and to also comply with NSW Department of Planning directions. The Department of Planning had directed that a number of existing special uses zones be rezoned to that of adjoining zones.

The gazetted LEP rezoned a number of properties to R3 Medium Density Residential from their previous basic residential zoning – these were primarily smaller lots within already established residential areas.

The only other significant change in zone involved the properties in Ironbark Ave Camden that were previously zoned 3(d) Business Automotive – they are now IN2 Light Industrial.

Camden Final Report


Amendments to the Camden Local Environmental Plan 2010

Amendment No. 2 Rezone land from E4 Environmental Living to R2 Low Density Residential at Mater Dei Precinct (21 April 2011)

Amendment No. 4 Rezone a former bus depot at No’s 513 (Lots A & B in DP 399965 and Lot B in DP 409715), Iron Bark Avenue, Camden, from IN2 Light Industrial to R3 Medium Density Residential (22 July 2011)

There are nine sets of maps that accompany the Camden LEP 2010 which are:

Land Application Map

Land Zoning Map

Floor Space Ratio Map

Height of Buildings Map

Minimum Lot Size Map

Heritage Map

Land Reservation Acquisition Map

Urban Release Areas Map

Additional Permitted Uses Map

The new standardised zonings are as follows;

Camden Final Report


CAMDEN DEVELOPMENT CONTROL PLAN 2011

A Development Control Plan is a detailed guideline that outlines the controls that apply to a particular type of development or in a particular area. A Development Control Plan refines or supplements a regional environmental plan or local environmental plan and is made according to the Environmental Planning and Assessment Act 1979.

The Camden Development Control Plan (DCP) 2011 was adopted 8 February 2011 and became effective from 16 February 2011. It applies to all land within the Camden Local Government Area. In addition to the DCP, Growth Centre Precincts gazetted under State Environmental Planning Policy (Sydney Regional Growth Centres) 2006 are subject to the Growth Centre specific DCPs which contain additional provisions.

Objectives of the Camden DCP 2011

1. Camden LGA retains its valued heritage qualities and scenic landscapes whilst providing for sustainable urban growth.

2. New communities are planned and developed in an orderly, integrated and sustainable manner.

3. Stresses from development on the natural environment are minimised and overall improvements to the natural systems in Camden LGA are achieved.

4. New developments are integrated with existing and planned transport systems and promote sustainable transport behaviour in Camden LGA.

5. Appropriate housing opportunities are provided for all existing and future residents of Camden LGA at all stages of their life cycle.

6. New developments deliver upon the desired future character of the places in Camden LGA.

7. New development is designed and located to ensure the health, safety and security of people and property in Camden LGA.

8. Identified and potential Aboriginal and European heritage places are conserved & respected.

9. The economic, employment and educational needs of all existing & future residents of Camden LGA are appropriately planned for.

10. The recreation and social needs of existing and future residents are appropriately planned for.

11. New developments are planned and constructed to contribute to the social, environmental and economic sustainability of Camden LGA.

Camden Final Report


Structure of Camden DCP 2011

The DCP consists of four parts;

Part A Administrative Provisions; sets out the administrative and operational provisions of the DCP

Part B – Controls Applying to all Land Uses; sets out the controls that apply to all development types in the Camden LGA. Part B contains the objectives & controls that underpin the orderly & sustainable development of the Camden LGA. Accordingly, this part of the DCP must be consulted in the first instance

Part C Residential Subdivision; sets out controls that apply to the development applications involving the subdividing of land in the Camden LGA. Part C specifically contains controls for subdivision in R5 zones, established residential zones and new release areas

Part D Controls Applying to Specific Land Uses/Activities; sets out controls that only apply to particular land uses or localities within the Camden LGA. This part sets out detailed site specific and developmenttype specific controls.

Appendicies

STATE ENVIRONMENTAL PLANNING POLICY (SYDNEY REGION GROWTH CENTRES) 2006 (AMENDMENT NO. 1)

On 21 December 2007, State Environmental Planning Policy (Sydney Region Growth Centres) 2006 (Amendment No. 1) was gazetted.

According to Camden Council the South West Growth Centre has been earmarked for longterm development over the next few decades and includes land in Camden Local Government Area (LGA).

South West Growth Centre

The South West Growth Centre is within the boundaries of three local government areas Liverpool, Camden and Campbelltown.

The South West Growth Centre, comprising 18 Precincts, is approximately 17,000 hectares and has capacity for around 110,000 new dwellings for 300,000 people

The precincts within Camden LGA that have been released for development are;

Camden Final Report


Oran Park

Oran Park was rezoned in December 2007. It is one of the First Release Precincts in the South West Growth Centre.

This was a record time for a rezoning of this size to occur. The construction of the Oran Park Link has commenced and residential subdivisions commenced early in 2010.

Documents & maps relating to the rezoning of Oran Park can be found on the Growth Centre’s website (www.gcc.nsw.gov.au) and the Growth Centre’s planning legislation can be found on the NSW Legislation website.

The 1,119 hectare Oran Park Precinct includes:

Potential for 7,540 new dwellings for nearly 21,500 new residents; Capacity for 4,120 jobs; Around 18 hectares of employment land; A 50,000 square metre town centre and two neighbourhood centres; 36 kilometres of walking and cycling routes; and More than 10 per cent (148 hectares) will be open space.

Development in Oran Park Town is proceeding rapidly, with the 43 home display village attracting keen homebuyers from all over Sydney. The first stages of land releases around the Oran Park Town Centre have experienced high demand, with the first residents moving into their new homes in early 2011.

The Oran Park Town Centre Development Control Plan 2007 (DCP) was amended by the Department of Planning and Infrastructure on August 2014.

The amendment updates development controls for the Oran Park Town Centre in Part B of the DCP. These controls help facilitate the development of the town centre and include a Public Domain Manual and Ecological Sustainable Development (ESD) controls for the town centre. Other minor amendments were also made to Part A of the DCP.

Camden Final Report


Turner Road (Gregory Hills, Gledswood Hills, Central Hills Business Park)

The Turner Road Precinct was rezoned in December 2007. It is one of the First Release Precincts in the South West Growth Centre.

The 536 hectare Turner Road Precinct includes:

Potential for 4,020 new dwellings for over 12,000 new residents; Capacity for 5,000 jobs; Ninetysix hectares of employment land; A 15,000 square metre town centre; 27 kilometres of walking and cycling routes; and 77 hectares of open space.

Development within this area is also proceeding rapidly.

Camden Final Report


Gregory Hills

Gregory Hills sits on land donated by Thomas Donovan to the Marist Brothers in the 1920’s.

The first residential release area in Gregory Hills was offered for sale in July 2010 and since then some 340 blocks have been offered to the market for sale. The latest land to be offered for sale is the Cumberland Release 4.

This master planned community will eventually deliver more than 2,400 new homes; feature its own Primary School, shopping centre, playing fields, parks & recreation networks.

The blocks generally range in size from 375m2 to over 700m2.

There is currently a display village on site with some 20 houses available for viewing.

Camden Final Report


Central Hills Business Park

Central Hills Business Park is a 45 hectare business park located at Gregory Hills in southwest Sydney. The business park is located in one of Australia’s largest urban growth corridors, with the region planning to deliver 110,000 new homes. The business zoned land is being sold as vacant lots and features two flexible land zonings, offering various lots sizes. Stage 1 is now complete and 65% leased, with marketing recently commencing for stage 2 of the business park.

The Hermitage Gledswood Hills

This development includes land rezoned within the Turner Road Precinct (northern section), as well as other adjoining lands to the north that run along the eastern side of Camden Valley Way, including the old El Caballo Blanco Site and Camden Valley Golf Resort.

It is advertised as follows; “The Hermitage, when complete, will be set on over 270 hectares and offer 1,800 homes set across a number of precincts. From its premium residential offerings such as “Lakeside” surrounding the renowned championship golf course, to its historical height’s precinct “Isabella's Vineyard” and its mature tree covered slope, called “Hardy’s Rise”.

The 200year ‘Gledswood Homestead sits within The Hermitage and lends a romantic value to the proposed hilltop village. The village will embrace all the best characteristics of

Camden Final Report


Gledswood as it celebrates the old with the new. It will be an authentic village hub, offering retail and entertainment facilities to meet everyday needs.”

A copy of the proposed Master plan for this development follows;

Catherine Fields (part) Precinct

Catherine Fields (part) Precinct was released for planning as one of two Precincts advanced under the NSW Government's Precinct Acceleration Protocol in July 2011.

Only the southern section of Catherine Fields located between the rezoned Oran Park and Turner Road Precincts has been released for planning at this stage. The 320 hectare portion is expected to accommodate around 3,000 dwellings.

The part release represents a logical and efficient boundary to urban development in the short term, based on land ownership and the natural characteristics of the site.

The release area also features larger land holdings and is less fragmented than the land in the central and northern parts of the precinct, making it more suitable to be released under the Precinct Acceleration Protocol.

The release of the southern portion of Catherine Fields can also facilitate a coordinated resolution of broader development issues in the locality including the commencement and linking of new major roads.

Camden Final Report


Precinct planning has now begun in the Catherine Fields (part) Precinct. During Precinct Planning, the Department of Planning and Infrastructure partners with Camden Council to identify the future zoning and development controls for the Precinct.

This requires extensive investigations ranging from Aboriginal and European heritage to land capability and contamination, noise, odour, transport, biodiversity, water cycle management, economics and employment, and community facilities and open space.

Camden Final Report


Leppington

The Leppington Precinct was one of the two precincts release for planning in November 2011 by the Minister for Planning & Infrastructure. The property is over 655 hectares of land with a dwelling capacity for 7,190 homes resulting in a forecast population of 24,000 people. The entire 655 hectare Precinct sits within the Camden LGA. The Precinct currently comprises of small rural holdings, farming lands, market gardens and some residential area. The Precinct sites south of the South West Rail Link, which includes Leppington railway station. The Precinct is bounded by Camden Valley Way to the east, Ingleburn Road to the north and follows several roads to the west including Cordeaux Street, Anthony Road, Joseph Road and Hulls Road.

Camden Final Report


4. IDENTIFIED SIGNIFICANT CHANGES IN USE OR DEVELOPMENTS OF PROPERTY AND OTHER FACTORS WHICH MAY AFFECT VALUATIONS

Town Planning

The effect of the State Environmental Planning Policy (Sydney Region Growth Centres) 2006,has resulted in some land parcels having a more intensive use than previously possible. The result is that land supply for new residential and business development has increased. This was done to ensure that Sydney did not have a land shortage. From an economic point of view it may lead to an oversupply of sites available to develop if economic conditions were to worsen. Despite this possible scenario land values have been increasing for the past few years, however in the long medium to long term land values in Camden may begin to plateau with population growth to be less than what was recorded in previous years.

Economy / Property Market:

As at 6 October 2015 the current cash rate is 2.0 per cent, this is left unchanged from its previous level. In a statement released to coincide with the interest rate announcement by the Reserve Bank of Australia they commented that the global economy is expanding at a moderate pace. Economic conditions have softened in China and east Asia, however growth has been stronger in the US. Overall the global financial markets remain accommodative.

The RBA stated that low interest rates are supporting borrowing and spending. Credit growth is moderate with growth in lending to the housing market now steady after regulatory measures introduced by the Australian Prudential Regulation Authority (APRA). Consequently dwelling prices have continued to rise over recent months particularly in Sydney in Melbourne. Commercial property has been supported by lower longterm interest rates, allowing both local and offshore listed property and superannuation funds to invest in prime commercial CBD real estate.

Domestically household interest rates remained stable and conditions in the residential market have continued is boom during 2015. Over the year house prices have shown positive signs growing by up to 25 percent in some suburbs. Auction clearance rates remained below levels achieved at this time last year dipping to 70% compared to 80% last year. The innercity market was found to record higher auction clearance rates than the western suburbs where there is greater affordability showing auction clearance rates of 60%. Signs in slowing investor loan approvals were also evident after the introduction by APRA of new lending criteria. The changes included increase in serviceability tests coupled with reduced ‘discounts’ pushing up effective borrowing rates for investors.

As at Base Date 01 July 2015, the official interest rate stood at 2.0 percent having fallen from 2.50 percent from the previous Base Date 01 July 2014. Monetary policy decisions are expressed in terms of a target cash rate, which is the overnight money market interest rate graphically presented below.

Camden Final Report


Source: RBA

The Australian housing markets are experiencing increases in annual prices of 12.2% annually. This is underpinned by the lowest interest rates in decades, improved consumer confidence, and a good performing economy. Australia’s market is evidently on the rise with more buyers entering the market around all capital cities. Over the June 2015 quarter Sydney median house prices increased to $1,000,616. At present Sydney is experiencing a softening of clearance rates of round 70 percent, with APRA’s regulation of the investor market cooling off residential investments.

The Reserve Banks recent decision to keep rates at a record low of 2% was a result of the housing market providing signs of reinvigorating following a softening of growth. The housing market is still witnessing record listings and strengthening auction clearance rates indicating the potential of solid price growth over spring however, the rates will be lower than what were seen in 2014.

Source: Domain Group

Camden Final Report


Court Cases

Maurici

The High Court decision Maurici v Deputy Commissioner of Land Tax requires that the valuation be made free of any influence of scarcity. In effect, the Valuer is required to have regard to the whole market and not just the vacant land sales. In order to fulfil this requirement Southern Alliance Valuation Services Pty Ltd had regard to all the sales evidence.

In Adam

The In Adam judgement has had an effect on the way that heritage listed properties are to be valued. The court determined that it is appropriate to apply a “Heritage Cost Penalty” as an additional reduction to the land value. The “Heritage Cost Penalty” reflects the difference between the cost of construction to build, new, a non heritage restricted building with the same NLA as the current building, and the cost to build, new, the heritage restricted building. This determination is currently subject to appeal.

5. ADDED VALUE OF IMPROVEMENTS

Residential

Camden LGA is a rapidly developing area and as such there is a plentiful supply of vacant land sales upon which to rely. However as these vacant land sales are primarily within new residential developments, improved sales were also analysed to ensure that the full breadth of the residential market was assessed. This is of particular importance as there are also well established residential areas in Camden where vacant land sales are not available for analysis.

The use of improved sales, along with the vacant land, assists in determining the market levels for land values and also negates any possibility of a scarcity factor. The Paired Sales Approach was used throughout the Camden LGA where necessary. Under this approach the land value (demonstrated by vacant land sales) is taken from the sale price of improved properties to determine the added value of the improvements.

The table on the next page summarises the results from the analysis for the Camden LGA valuation area. The schedule provided is general in nature and each analysed sale is assessed individually when determining the added value of improvements to capture specific features e.g. renovations, pools, landscaping, no. of levels, topography etc.

Camden Final Report


Property Type Condition Added value of Improvements from Paired Analysis

Fibrous Cement & Permalum Clad dwellings. 2 to 3 bedroom.

Fair to Good. Approx. 40 to 60 years in age of construction.

$30,000 to $70,000

($500m2 to $750m2) Brick dwellings. 2 to 3 bedroom. Fair to Good. Approx. 60 to

100+ years in age of construction

$70,000 to $120,000

($650m2 to $950m2) Brick dwellings. 2 to 3 bedroom. Good. Renovated. Approx.

60 to 100+ years in age of construction

$90,000 $150,000

($850m2 to $1,200m2) Brick dwellings. 3 to 5 bedroom. Fair to Good. Approx. 60 to

100+ years in age of construction

$130,000 $180,000

($650m2 to $950m2) Brick dwellings. 3 to 5 bedroom. Good. Renovated. Approx.

60 to 100+ years in age of construction

$150,000 $220,000


60 years in age of construction

$90,000 $140,000

($750m2 to $1,100m2) Brick dwellings. 2 to 3 bedroom. Good. Renovated. Approx.

20 to 60 years in age of construction

$120,000 $170,000


60 years in age of construction

$140,000 $200,000

($750m2 to $1,10m2) Brick dwellings. 3 to 5 bedroom. Good. Renovated. Approx.

20 to 60 years in age of construction

$150,000 $250,000

($900m2 to $1,800m2) Brick dwellings. 3 to 6 bedroom. Modern construction.

Typically project homes $170,000 $400,000

($1,500m2 to $2,500m2) Brick dwellings. 3 to 6 bedroom. Modern construction.

Architect designed. $350,000 $500,000 +

($2,000 m2 +)

Camden Final Report


Examples of Paired Sales Analysis within Camden Local Government Area:

Vacant site sale at 16 McKenzie Bvd, Gregory Hills. Sold 17/12/2015 for $410,625. Dimn: 15 x 30 Area: 450.0 sqm

Paired with:

8 Lancaster St, Gregory Hills Sold 18/05/2015 for $695,000. Dimn: 15 x 30 Area: 450.0 sqm. Deduced land value from above $410,000 (similar condition, location & frontage). Newly built house, the property comprises of a single storey brick residence containing 4 bedrooms, 2 bathrooms and double lock up garage. GBA 304.8 sqm approx. Shows total $285,000 ($935/ sqm approx.) for this type of improvement.

Or

26 Healy Ave, Gregory Hills Sold 16/06/2015 for $665,000. Dimn: 12.5/12.5 Area: 408.7 sqm. Deduced land value from above $410,000 (similar condition, location & frontage). Newly built house, the property comprises of a single storey brick residence containing 3 bedrooms, 2 bathrooms and double lock up garage. GBA 262.6 sqm approx. Shows $255,000 ($971/sqm approx.) for this type of improvement, incl. pool, outdoor entertainment area etc.

Vacant site sale at 20 Paxton St, Gledswood HillsSold 23/09/2014 for $290,000. Dimn: 12.5/12.5 x 33.34/33.34 Area: 416.7 sqm

Paired with:

25 Amberley Street, Gledswood Hills Sold 17/05/2015 for $630,000 Dimn: 14.515/11.12 x 34.06 IRR/33.89 Area: 428.2 sqm. Deduced land value from above $300,000 (larger block, slightly superior). The property is a single storey brick house with corrugated metal roof. The house contains 4 bedrooms, 2 bathrooms and double lock up garage. GBA 190.7 sqm approx. Shows total $330,000 ($1,730/sqm approx.) for this type of improvement.

Camden Final Report


Vacant site sale at 1 Village Circuit, Gregory HillsSold 22/04/2015 for $370,000. Dimn: 17.245/16 x 27/30 Area: 475.5 sqm.

Paired with:

4 Carpenter Street, Elderslie Sold 19/03/2015 for $670,000.

Dimn: 15/15 x 32/32 Area: 480.0 sqm. Deduced land value from above $375,000 (slightly larger, comparable frontage) The property is a single storey brick house with tile roof. The house contains 4 bedrooms, 2 bathrooms and double lock up garage. GBA 302.4 sqm approx. Shows total $295,000 ($975/sqm approx.) for this type of improvement

Vacant site sale at Lot 4344 Lawler Drive, Oran ParkSold 13/03/2015 for $300,500. Dimn: 15/32 x 32/32 Area: 480.0 sqm.

Paired with:

14 Beechey Circuit, Oran Park Sold 15/12/2014 for $790,000. Dimn: 16 x 30 Area: 480.0 sqm. Deduced land value from above $300,000 (comparable lot size). Two storey, quality, 5 bedrooms, 3 bathroom, brick & tile residence with double garage, GBA – 333.7 sqm approx. Shows total of $490,000 ($1,468/sqm approx.) for this type of improvement.

Vacant site sale at 10 Promise Ave, Leppington. Sold 11/05/2015 for $450,000. Dimn: 15/15 x 30/30 Area: 450.0 sqm.

Paired with:

24 Condron Cct, ElderslieSold 6/03/2015 for $635,000 Dimn: 23.87/13.95 x 33.32/31.84 Area: 451.7 sqm. Deduced land vale from above $450,000 (comparable lot size). Single level, rendered brick & metal roof with inground pool and double car garaging. GBA – 248.8 sqm approx. Shows $185,000 ($744/sqm approx) for this type of improvement.

Camden Final Report


Commercial / Retail/Industrial

Due to the lack of sufficient vacant land sales in the Camden, Narellan and Mount Annan for the above zone categories, the Replacement Cost approach was applied when analysing sales evidence. The Replacement Cost approach is based upon the principle that the informed purchaser would pay no more than the cost to reproduce the sale property. Hence the methodology used on analysis is as follows:

Replacement Cost Methodology: Reasonable allowance for refurbishment costs added to the sale price to bring the improvements to an as new replacement standard where the returns would be equivalent to as new.

An appropriate entrepreneurial profit and risk allowance. On average between 15% – 20% in the Camden LGA valuation area.

Allowance for interest on funds during the hypothetical construct to completion period. This is inclusive of holding charges and construction costs. Depending on borrowings 6% to was applied.

The adjusted sale price can now be analysed for land content by using industry accepted cost estimates for the as new building and development expenses.

As a general summary, the costs new applied in the Camden LGA are as follows: Single storey retail shop $1,200 to $1,800m2 gross building area Two storey retail shop with office above $1,500 to $2,200m2 gross building area Industrial depending on construction type $500 to $1,200m2 gross building area

The residual amount following this exercise will show the adjusted land value at the base date.

Other costs accounted for are:

All professional fees Costs of site works in preparation for building Cost of stamp duty and legal charges on purchase of site Costs of rates and taxes over development period Loss of interest on capital outlaid on purchase of site Loss of interest on capital outlaid on construction (av. 50% of dev. period). Legal costs and commission on sale for development sites.

Critical to the analysis is that the added value only is to be captured and taken from the Sale Price to show the Residual Land Value.

Camden Final Report


6. CHANGES TO COMPONENTS ILLUSTRATED BY CHANGES TO THE EXISTING VALUE RELATIONSHIPS.

From the analysed sales evidence available at the commencement and during the programme, the amount of variation applied to the value of properties within each zone & component is as follows;

Value Levels – Typical Properties

Typical Dwelling Site -Camden

Dimensions 18.29 x 39.62

Site Area 720.8 sqm

BD 0714 Land Value $255,000

Rate per square metre $354

Factor Update 1.220



Typical Dwelling Site - Camden South


Site Area 735 sqm



Factor Update 1.214



Typical Dwelling Site - Narellan


Site Area 697 sqm



Factor Update 1.217



Camden Final Report


Typical Dwelling Site – Mount Annan

Dimensions 18.06/20 x 34.42/34.67

Site Area 655.6 sqm



Factor Update 1.213



Typical Dwelling Site – Currans Hill

Dimensions 17.08/16.83 x 33.76/33

Site Area 534.1 sqm



Factor Update 1.214



Typical Dwelling Site – Spring Farm

Dimensions 20.49/19.355irr x 30.91/30.81

Site Area 614.9 sqm



Factor Update 1.238



Camden Final Report


Typical Dwelling Site – Oran Park

Dimensions 17.76/20.76 x 30/31.25

Site Area 618.3 sqm



Factor Update 1.235



Typical Dwelling Site – Gregory Hills

Dimensions 19.77/22.76 x 31.24 irr/30

Site Area 678.7 sqm



Factor Update 1.233



______________________________________________________

Typical Commercial Site – Camden


Site Area 506.2 sqm


Rate per square metre $1,148

Factor Update 1.138


Rate per square metre $1,306

Camden Final Report


Typical Industrial – Smeaton Grange

Dimensions 42 x 48

Site Area 2016 sqm



Factor Update 1.000



Camden Final Report


District 217 – Camden LGA 2015 Variation of Total Land Values within Zone/Category between 2014 to 2015

COMPONENT MOVEMENT BD 1/7/2014 to 1/7/2015

District 217 – Camden LGA 2015 Component Variation of Total Land Values

Zone Code Description New Factor

R2 AAA R2 STH CAMDEN EXCEPT AJA 1.214R2 ABA R2 PONDEROSA EXCEPT AJA 1.213R2 ACA R2 CAMDEN W BROUGHTON ST EXCEPT AJA 1.209R2 ADA R2 CAMDEN EBROUGHTON ST EXCEPT AJA 1.223R2 AEA R2 NEPEAN HEIGHTS EXCEPT AJA 1.231R2 AFA R2 ELIZABETH MACARTHUR EXCEPT AJA 1.229R2 AGA R2 ELDERSLIE EXCEPT AJA 1.231R2 AHA R2 NARELLAN OLD AREA 1.218R2 AJA R2 FLOOD AFFECTED 50% OR MORE 1.216R3 AKA R3 MEDIUM DENSITY CAMDEN, CAMDEN SOUTH, ELDERSLIE 1.215

R3 AMA R3 MEDIUM DENSITY NARELLAN VALE, CURRANS HILL, MOUNT ANNAN 1.210

R2 ANA R2 CURRANS HILL 1.215R1 ANB R1 RESIDENTIAL ENGLOBO LANDS CAMDEN LGA NORTH 1.283R2 APA R2 NARELLAN CAMDEN VIEWS ESTATE 1.200R2 AQA R2 MOUNT ANNAN 1.213R2 ARA R2 NARELLAN VALE NORTHERN PART 1.213

0.7000.8000.9001.0001.1001.2001.3001.4001.500

District 217 - Camden LGA 2015 Variation of Total Land Values within Zone / Category between 2014 to 2015

2014 to 2015

Camden Final Report


R2 ASA R2 NARELLAN SOUTHERN PART 1.225R2 ATA R2 NARELLAN VALE SOUTHERN PART 1.225

R1 AUA R1 ELDERSLIENEW AREA ON TOP OF HILL TO STUDLEY PK GOLF COURSE 1.250

R2 AVA R2 HOMESTEAD HILL SUBDIVISION AT MOUNT ANNAN 1.212R2 AWA R2 HARRINGTON PARK 1.227R2 AXA R2 NARELLAN GARDENS (SEE MAP) 1.227R2 AZA R2 GARDEN GATES AT MT ANNAN 1.210B2 BAA B2 LOCAL CENTRE CAMDEN CENTRAL 1.138B2 BBA B2 LOCAL CENTRES NARELLAN & MOUNT ANNAN 1.222B1 BCA B1 NEIGHBOURHOOD CENTRES 1.137B4 BDA B4 MIXED USE CAMDEN FRINGE FLOOD FREE 1.145B4 BEA B4 MIXED USE CAMDEN FRINGE FLOOD LIABLE 1.167B5 BFA B5 BUSINESS DEVELOPMENT 1.189

R2 CAR R2 RESIDENTIAL ENGLOBO LANDS CATHERINE FIELDS & LEPPINGTON 1.300

R1 EAA R1 SPRING FARM RESIDENTIAL ENTRIES 1.239R1 EEA R1 RESIDENTIAL ENGLOBO LANDS CAMDEN LGA SOUTH 1.244R3 ENA R3 MEDIUM DENSITY NARELLAN 1.250R2 EUA R2 HARRINGTON GROVE COMMUNITY TITLE PLAN 1.209IN1 FAA IN1 GENERAL INDUSTRIAL NARELLAN 1.000IN2 FBA IN2 LIGHT INDUSTRIAL 0 SMEATON GRANGE 1.000

IN2 FCA IN2 CAMDEN LITTLE ST AREA INCL BROUGHTON & CAWDOR RD 1.000

IN1 FGA IN1 GENERAL INDUSTRIAL SMEATON GRANGE 1.000IN2 FHA IN2 LIGHT INDUSTRIAL NARELLAN 1.000RE1 GAA RE1 PUBLIC RECREATION 1.000RE2 GBA RE2 PRIVATE RECREATION 1.000R1 GCA R1 ORAN PARK & COBBITTY RESIDENTIAL 1.236B2 GCB B2 LOCAL CENTRE ORAN PARK BUSINESS 1.000E4 GCD E4 ENVIRONMENTAL LIVING ORAN PARK 1.200IN1 GCI IN1 GENERAL INDUSTRIAL TURNER RD 1.000

R1 GCJ R1 GLEDSWOOD, GREGORY HILLS & OFF TURNER RD RESIDENTIAL 1.236

RE1 GCR RE1 PUBLIC RECREATION SRGC 1.000B5 LBD B5 BUSINESS DEVELOPMENT LEPPINGTON 1.366B7 LBP B7 BUSINESS PARK LEPPINGTON 1.334B3 LCC B3 COMMERCIAL CORE LEPPINGTON 1.334IN2 LLI IN2 LIGHT INDUSTRIAL LEPPINGTON 1.154R3 LMD R3 MEDIUM DENSITY LEPPINGTON (SRGC) 1.131B4 LMU B4 MIXED USE LEPPINGTON 1.334R2 LRS R2 SRGC LEPPINGTON RESIDENTIAL 1.257E1 PAA E1 NATIONAL PARKS & NATURE RESERVES 1.000E2 PBA E2 ENVIRONMENTAL CONSERVATION 1.000E4 PCA E4 ENVIRONMENTAL LIVING NON ORAN PARK 1.353R5 RAA R5 CATHERINE FLDSUP TO & INCL 1 HA 1.124R5 RBA R5 CATHERINE FLDSOVER 1 HA 1.119R5 RCA R5 ELLIS LANE AND GRASSMERE 1.104

Camden Final Report


RU4 REA RU4 BRINGELLY LEPPINGTON 1.223E4 REL E4 RESIDENTIAL ENGLOBO LANDS 1.250R5 RFA R5 COBBITTY VILLAGE 1.117RU1 RGA RU1 CAMDEN SOUTH UP TO 8HA 1.057RU1 RHA RU1 CAMDEN SOUTH 8HA TO 50HA 1.057RU2 RJA RU2 OTHER 1.052RU1 RLA RU1 CAMDEN NORTH UP TO 8HA 1.057RU1 RMA RU1 CAMDEN NORTH 8HA TO 50HA 1.056R5 RNA R5 CAMDEN NORTH LARGE LOTS 1.119RU6 RUA RU6 TRANSITION LEPPINGTON 1.000RU1 RZA RU1 CAMDEN LGA OVER 50HA 1.061SP1 SAA SP1 SPECIAL USES SPECIAL ACTIVITIES 1.107SP2 SBA SP2 SPECIAL USES INFRASTRUCTURE 1.100

0.9000.9501.0001.0501.1001.1501.2001.2501.3001.3501.4001.4501.500

2014 to 2015

District 217 - Camden LGA 2015Component Variation of Total Land Values -

Residential between 2014 to 2015

Camden Final Report


0.9000.9501.0001.0501.1001.1501.2001.2501.3001.3501.4001.4501.500

2014 to 2015


Business between 2014 to 2015

0.8000.8500.9000.9501.0001.0501.1001.1501.2001.2501.3001.3501.4001.4501.500

2014 to 2015


Industrial between 2014 to 2015

Camden Final Report


7. MARKET COMMENTARY

A thorough investigation of all categories of property was undertaken for the 2015 revaluation programme to determine the state of the market. The basis of this investigation involved the analysis of as many sales of vacant land, knockdowns and improved sales as was necessary to determine the level of land values as at the 1 July 2015 base date.

The number of sales that occurred after the 1st of September 2014, which have been analysed & benchmarked, as at the date of this report are as follows;

o Residential 376 o Commercial 50 o Industrial 37 o Environmental 41 o Rural 35 o Special Use 0

Sales analysis for Base Date 1 July 2015 will be ongoing for the remainder of the year.

As at Base Date 01 July 2015, the official interest rate stood at 2.0%, falling from 2.5% from the previous Base Date 01 July 2014. These low interest rates have caused a boom in the residential market which has seen investors and owner occupiers drive up the value of house prices and robust auction clearance rates. This type of growth has not been witnessed in years and is a positive sign for the residential sector. However, lately the residential market appears to have softened due to increased supply in the housing market and new APRA regulations.

A positive sign for the industrial market is the lower Australian dollar, which is good for exporters and local manufacturing companies. This should see manufacturing and industrial output improve over the next few years, resulting in higher land values.

The commercial sector is experiencing growth in the CBD core areas and this is slowly filtering out in the suburban areas with capital values in some areas showing steady growth. This is particularly the case with institutional grade property with demand from the AREITS and offshore superannuation funds. This has seen some compression in capitalisation rates resulting in higher capital values. Also driving the CBD commercial market is the opportunity for investors to undertake residential conversions of older office buildings capitalising on the strength of the residential market.

Residential

Recent indicators continue to point to a softening in the Sydney housing market with interest rates expected to rise and new supply of housing beginning to meet demand. The latest Australian Property Monitors House Price Report indicated that Sydney median house prices rose by 8.4 per cent over the June Quarter, this was the highest recorded quarterly growth of any capital city in Australia. Whilst in the other cities, Melbourne continued with its revival, Brisbane price growth remained modest, Perth house price continue to fall and Canberra’s

Camden Final Report


market continued strengthening. There was growth observed in the majority of the residential property market within the Canterbury Local Government Area during 2014 and 2015.

Generally the residential market within the Camden Local Government Area, over the previous twelve months (1 July 2014 to 1 July 2015), has proven to be moving towards the peak of the property cycle, demonstrating strong growth in the residential sector through the Camden district.

It is important to point out land value assessed at 01 July 2015 takes into account market conditions at that point in time and the impact of interest rate changes & other market influences can only be assessed by monitoring future market transactions.

There was substantial growth observed in the majority of the residential property market within the Camden Local Government Area during between Base Date 1 July, 2014 and 2015. On average, residential lands have shown increases in value of 21%. The majority of englobo land values have also recorded a similar increase in values, depending on size & location.

The new housing developments such as Oran Park Town and Gregory Hills are showing good levels of sales activity with asking prices being achieved. The Spring Farm and Mount Annan subdivisions also continue to steadily turnover vacant blocks. Harrington Grove, which is aimed at a more affluent market, is also showing reasonable turnover, albeit at somewhat higher prices.

Additionally, the larger lot home sites are showing good sales prices, particularly to those that are relatively easy to build on, close to Camden & offering an excellent ‘rural type’ outlook.

The established home market is also still attracting plenty of buyers, particularly those that still want to be well located to the local amenities. The area directly around Camden continues to hold its value levels.

Overall the residential market of Camden LGA is remaining relatively buoyant, offering plenty of choice between buying an established home close to amenities in an already well established neighbourhood, buying a new home in an establishing neighbourhood, or purchasing a vacant block of land in one of the many new subdivisions and building a dream home.

The number of building approvals for Camden was 1,967 in the 2014/15 financial year an increase of 31.6% on the previous year. This is a positive sign for the new housing and unit market demonstrating that there is a pent up demand in the district after several years of reasonably subdued building activity.

Camden Final Report


MARKET MOVEMENT – ADJUSTMENT OF LAND VALUE TO BASE DATE

SALES & RESALE’S WITHIN CAMDEN LGA 2014 – 2015

The preferred and primary approach for time adjustment in the Camden LGA is to use evidence of sales and resales or sales of like properties at different dates. Evidence collated to date is as follows:

* Excludes resales which have been redeveloped and nonmarket sales

32 Barratt Ave, Camden South Sold 05/02/2015 $562,000 Resold 18/05/2015 $675,000 Shows 20.1% increase

76 Fairwater Dr, Harrington Park Sold 13/12/2014 $662,500 Resold 11/05/2015 $730,000 Shows 10.2% increase

21 Hawkey Cres, Camden Sold 06/03/2015 $396,000 Resold 13/08/2015 $550,000 Shows 38.8% increase

35 Kensington Dr, Harrington Park Sold 03/09/2014 $595,000 Resold 10/06/2015 $600,000 Shows 0.8% increase

Results from the Department of Housing Sales Tables (March 15 Quarter – NonStrata) indicate the following:

Camden Final Report


Location Median Value Change in Median (Qtly)

Change in Median (Annual)

Camden (LGA) $621,000 6.2% 17.2%

Greater Sydney $752,000 -7.7% 10.6%

Please note a variety of factors can contribute to anomalies in the sale price and the end statistical data. The above information is viewed as a reference only for reporting purposes.

Camden Final Report


Other evidence:

SAVS subscribes to and monitors other publications and press releases relating to market movements and statistical data such as

RP Data (Rismark Home Value Index) APM (Australian Property Monitors) Department of Housing quarterly statistical updates

8. MANAGEMENT OF COMPONENTS, VERIFICATION & HANDCRAFTING

Components

There are seventy three (73) components in total over each zone which allows each property to be componentised so that properties can be sorted into sections allowing statistical analysis and mass valuation.

Below is a table outlining the current components for Camden LGA.

Zone Code Description R2 AAA R2 STH CAMDEN EXCEPT AJA R2 ABA R2 PONDEROSA EXCEPT AJA R2 ACA R2 CAMDEN W BROUGHTON ST EXCEPT AJA R2 ADA R2 CAMDEN EBROUGHTON ST EXCEPT AJA R2 AEA R2 NEPEAN HEIGHTS EXCEPT AJA R2 AFA R2 ELIZABETH MACARTHUR EXCEPT AJA R2 AGA R2 ELDERSLIE EXCEPT AJA R2 AHA R2 NARELLAN OLD AREA R2 AJA R2 FLOOD AFFECTED 50% OR MORE R3 AKA R3 MEDIUM DENSITY CAMDEN, CAMDEN SOUTH, ELDERSLIE

R3 AMA R3 MEDIUM DENSITY NARELLAN VALE, CURRANS HILL, MOUNT ANNAN

R2 ANA R2 CURRANS HILL R1 ANB R1 RESIDENTIAL ENGLOBO LANDS CAMDEN LGA NORTH R2 APA R2 NARELLAN CAMDEN VIEWS ESTATE R2 AQA R2 MOUNT ANNAN R2 ARA R2 NARELLAN VALE NORTHERN PART R2 ASA R2 NARELLAN SOUTHERN PART R2 ATA R2 NARELLAN VALE SOUTHERN PART

R1 AUA R1 ELDERSLIENEW AREA ON TOP OF HILL TO STUDLEY PK GOLF COURSE

R2 AVA R2 HOMESTEAD HILL SUBDIVISION AT MOUNT ANNAN R2 AWA R2 HARRINGTON PARK R2 AXA R2 NARELLAN GARDENS (SEE MAP) R2 AZA R2 GARDEN GATES AT MT ANNAN B2 BAA B2 LOCAL CENTRE CAMDEN CENTRAL B2 BBA B2 LOCAL CENTRES NARELLAN & MOUNT ANNAN B1 BCA B1 NEIGHBOURHOOD CENTRES

Camden Final Report


B4 BDA B4 MIXED USE CAMDEN FRINGE FLOOD FREE B4 BEA B4 MIXED USE CAMDEN FRINGE FLOOD LIABLE B5 BFA B5 BUSINESS DEVELOPMENT R2 CAR R2 RESIDENTIAL ENGLOBO LANDS CATHERINE FIELDS & LEPPINGTON R1 EAA R1 SPRING FARM RESIDENTIAL ENTRIES R1 EEA R1 RESIDENTIAL ENGLOBO LANDS CAMDEN LGA SOUTH R3 ENA R3 MEDIUM DENSITY NARELLAN R2 EUA R2 HARRINGTON GROVE COMMUNITY TITLE PLAN IN1 FAA IN1 GENERAL INDUSTRIAL NARELLAN IN2 FBA IN2 LIGHT INDUSTRIAL 0 SMEATON GRANGE IN2 FCA IN2 CAMDEN LITTLE ST AREA INCL BROUGHTON & CAWDOR RD IN1 FGA IN1 GENERAL INDUSTRIAL SMEATON GRANGE IN2 FHA IN2 LIGHT INDUSTRIAL NARELLAN RE1 GAA RE1 PUBLIC RECREATION RE2 GBA RE2 PRIVATE RECREATION R1 GCA R1 ORAN PARK & COBBITTY RESIDENTIAL B2 GCB B2 LOCAL CENTRE ORAN PARK BUSINESS E4 GCD E4 ENVIRONMENTAL LIVING ORAN PARK IN1 GCI IN1 GENERAL INDUSTRIAL TURNER RD R1 GCJ R1 GLEDSWOOD, GREGORY HILLS & OFF TURNER RD RESIDENTIAL RE1 GCR RE1 PUBLIC RECREATION SRGC B5 LBD B5 BUSINESS DEVELOPMENT LEPPINGTON B7 LBP B7 BUSINESS PARK LEPPINGTON B3 LCC B3 COMMERCIAL CORE LEPPINGTON IN2 LLI IN2 LIGHT INDUSTRIAL LEPPINGTON R3 LMD R3 MEDIUM DENSITY LEPPINGTON (SRGC) B4 LMU B4 MIXED USE LEPPINGTON R2 LRS R2 SRGC LEPPINGTON RESIDENTIAL E1 PAA E1 NATIONAL PARKS & NATURE RESERVES E2 PBA E2 ENVIRONMENTAL CONSERVATION E4 PCA E4 ENVIRONMENTAL LIVING NON ORAN PARK R5 RAA R5 CATHERINE FLDSUP TO & INCL 1 HA R5 RBA R5 CATHERINE FLDSOVER 1 HA R5 RCA R5 ELLIS LANE AND GRASSMERE RU4 REA RU4 BRINGELLY LEPPINGTON E4 REL E4 RESIDENTIAL ENGLOBO LANDS R5 RFA R5 COBBITTY VILLAGE RU1 RGA RU1 CAMDEN SOUTH UP TO 8HA RU1 RHA RU1 CAMDEN SOUTH 8HA TO 50HA RU2 RJA RU2 OTHER RU1 RLA RU1 CAMDEN NORTH UP TO 8HA RU1 RMA RU1 CAMDEN NORTH 8HA TO 50HA R5 RNA R5 CAMDEN NORTH LARGE LOTS RU6 RUA RU6 TRANSITION LEPPINGTON RU1 RZA RU1 CAMDEN LGA OVER 50HA SP1 SAA SP1 SPECIAL USES SPECIAL ACTIVITIES

Camden Final Report


SP2 SBA SP2 SPECIAL USES INFRASTRUCTURE

Verification

As part of Southern Alliance Valuation Services contract with the Department of Lands and the Valuer General, 100% of Risk Rating 1, 33%50% of Risk Rating 2 and 16.67% of Risk Rating 3 are to be verified within Camden annually to ensure the correctness of values. The components that have been verified within the Camden Local Government Area during 2015 include (but are not limited to) the following:

Risk Rating 1; Total number of entries verified 366 excluding analysed sales out of total of 366, equates to 100% verified Total number of entries verified 675 including analysed sales out of total of 366

Risk Rating 2; Total number of entries verified 1,437 out of total of 3,198, equates to 45% verified

Risk Rating 3; Total number of entries verified 6,421 out of total of 24,151, equates to 26% verified

A component break up is available within the issued VAR.

9. QUALITY ASSURANCE

In accordance with Southern Alliance Valuation Services own internal QA manual and the Office of the Valuer General guidelines, the following quality checks have been made in the delivery of services:

• Ensuring all properties have been valued. • Ensuring the valuations are within the set parameters. • That a zone/component code integrity check has been made. • An in depth value check on those properties that have considerably higher values in relation to the average for land. • Ensure that current and proposed Development Control Plans and planning changes that affect the valuations have been taken into account. • Where the land value of a property has been amended on objection, the alignment of values with nearby properties has been checked. • That all Statutory concession valuations and allowances have been supplied, including

Allowances for development on and off the land. Heritage Values. Land Rating Factors. Apportionment of Values. Mixed Development Apportionment Factors.

The following statistical checks have been carried out for residential zoned properties.

Camden Final Report


Coefficient of Dispersion (COD)

This measures the relative consistency and, when viewed with the other measures, the relative accuracy of values in relation to the sales. It shows the amount of variation or the consistency of the values and also the relative accuracy of the values as the relationship between values and sales widens.

The accepted measure for the COD is 0 – 15.

Mean Value to Price Ratio (MVP)

This calculates the mean relative accuracy, or level of values, relative to the sales. It shows the mean level of accuracy of the values assigned compared to the sales evidence. The MVP is to be calculated only in single dwelling residential categories, including rural home site areas.

The accepted measure for the MVP is 85100%.

Price Related Differential (PRD)

This test measures the progressive value to sale relativity across the range of values in the sample. It demonstrates the variations of relativity between the sales and the assigned values and indicates if there is a progressive change in relativity across the value range.

The accepted measure for the PRD is 0.98 – 1.03.

Valuation Analysis Report (VAR)

A Valuation Analysis Report was provided to LPI on the 13th of October 2011, along with the Final Values Load & Market Data File for Camden LGA. This report provided all statistical analysis (as outlined above) for Base Date 1/7/2011, along with any explanations of anomalies. Also included in the VAR was the Quality Statement for Camden LGA.

Purpose of this Report

The purpose of this report is to describe the process and considerations for the 1 July 2015 revaluation of Camden Local Government Area. The report has been produced on behalf of the Valuer General.

The land values have been specifically made for rating and taxing purposes. Land values produced as part of this process should not be used for any other purpose without the specific agreement of the Valuer General.

Land values must have regard to specific requirements and assumptions in rating and taxing legislation. Consequently these valuations may vary from market levels.

The land values were made using a mass valuation process that involves assessing large numbers of properties as a group. While valuations have been prepared with all due care,

Camden Final Report


mass valuations are, by their nature, likely to be less accurate than individually assessed valuations.

Town planning, land use and other market information contained in this report has been compiled based on enquiries undertaken during the valuation process. Third parties should make their own inquiries into these details and should not rely on the contents of this report.

The Valuer General disclaims any liability to any person who acts or omits to act on the basis of the information contained in this report.

More information on the valuation process is available from the Department of Lands website at www.lands.nsw.gov.au

C Stening AAPI Certified Practising Valuer Registered Valuer No. VAL 030548

Steven Halias AAPI Certified Practising Valuer Registered Valuer No.3100

Camden Final Report


CAMDEN BD 2015 – STATISTICS COMPONENT BASIS

Camden Final Report
