Meriton founder Harry Triguboff calls for lowered interest rates

Harder than ever before, Harry Triguboff says of residential development.

After six decades of business on the east coast, multi-billionaire Harry Triguboff, says he will stop developing as many apartments given the difficulty in selling them thanks to high interest rates which are sitting at six to seven per cent for homeowners.

“It is harder to sell apartments now than ever before,” said the Meriton Apartments founder, who has just put the finishing touches to his $515m Uccello apartment towers in Sydney’s Pagewood.

“The market for selling is definitely not rising…and it won’t rise much until we drop our interest rates,” he says.

In Pagewood he has sold the majority of the remaining 275 units, with a further 100 units leased.

From next week, Mr Triguboff will tip another 275 rental units in Pagewood on the market as he opens a 1500sqm Coles supermarket and 23 shops in the development.

Next month he will start leasing 270 units in Sydney’s Homebush in his $600m Atrium development and will start settling the sale of a further 270 apartments.

He recently started building 320 waterfront apartments in nearby Rhodes in his $460m

Baia development, while he has also started building 300 units in Sydney’s north-west Castle Hill in a $350m development.

In nearby Carlingford he has commenced building an astounding 784 units in an $850m project.

The Cypress, developed by Harry Triguboff on a key Surfers Paradise site.

Further north on Queensland’s Gold Coast he is will conduct a sales release next month at the $1.85bn Cypress Palms, one of Queensland’s tallest towers at 90 levels.

“The market for leasing is strong, but the prices are steady,” said Mr Triguboff, worth $26bn.

“Of course, I will not be starting so many flats again,” he said explaining that he has started building so many at the same time because of the by local councils.

“Our big problem, which delays everyone and I think the Prime Minister is to be informed, is that no job in Sydney moves smoothly,” he said.

“Every department is given a certain number of days to do something before approval is granted. The matter might take five days but they are given 20 days.”

Mr Triguboff said ‘the other problem’ is that Councils meet very seldomly.

“They should meet more often, so that the approvals are reviewed by them quicker. A new system must be created at once. We never had such problems before because we never needed so many approvals.”

Mr Triguboff also came out swinging at the Reserve Bank saying it is very proud of bringing lower the inflation.

“Holding the interest rates high stops production, and does not succeed in lowering inflation so far.”

Harry Triguboff

“So far, the success has been small. But while they are bringing down the inflation and then the interest rates people are not doing well.

“It’s very good that people are assisted by the

government. But really, they must be given a chance to earn more. And the young

ones have to use all the super.

“Our people (buyers) do financially worse than before because things in China are nowhere as good as before.

“The migrants we bring must be from everywhere.

“Even though the Chinese are very good. Many countries have residents who would be only too happy to come. Many people suffer overseas and they are often very well educated and used to hard work. We must have both of these.”