Why change is the only constant

Why change is the only constantChange and growth ran through the narrative of The Property Congress last week, as the industry’s leaders gathered at Hamilton Island for a shot in the arm of knowledge and networking.The blue sky and clear Whitsunday waters weren’t enough to lure more than 700 delegates away from a packed program of insights and inspiration at the 39th annual conference.Professor Greg Clark CBE, global advisor on cities, kick-started the conversation with an examination of how Australia’s cities were keeping pace with globalisation, technological innovation and demographic change.”Artificial intelligence, virtual reality, autonomous vehicles, big data, smart systems, the Internet of Things, block chain, robotics, new energy systems, and the global war for talent – these are the things that are driving the preference for competitive middle-weight cities,” he said, adding that Australia’s cities were well placed to capitalise on the new world economy.City Deals were a deep discussion point in the following panel session. Read our article on why our panellists think the rise of cities demands a new deal.The captains of industry who made up the Fast Five session were all positive in their outlook. “Australia is really well positioned,” said Scentre Group’s Chief Executive Officer, Peter Allen. “Our population is growing by a million people every three years and this underlines our GDP growth.”There were, however, some concerns that taxes on foreign investment were starting to bite. “Capital doesn’t have to flow to Australia,” warned Charter Hall’s managing director David Harrison (pictured, with Kylie Rampa and Turi Condon).”We are in a competition for capital – and whether it’s mining, manufacturing or real estate. If Australian governments keep taxing real estate, then we’ll hit that inflection point and investment will go elsewhere.”On display were three of the world’s best projects – the Canary Wharf Crossrail and Francis Crick Institute in London and the Quay Quarter Development in Sydney – which all adapt to a future where work is mobile, where workplaces are flexible and adaptable, and where collaboration is imperative.Speaking in a Future Directions session for emerging leaders, Mirvac’s managing director and chief executive officer Susan Lloyd-Hurwitz mused on the massive disruption facing our workforces.”Ninety per cent of what professionals do will be done better by artificial intelligence. What does this mean for society? And how we use our spaces?”Business strategist Holly Ransom was excited by the technological and demographic change underway, and inspired the Future Directions audience with possibilities in the pipeline.”Fifth per cent of the world’s population is under 30. The sheer weight of a generation will shift the way we live,” she said.While slow growth was a cause for concern for panellists in the Retail Revelation session, the mood was nevertheless optimistic. The retail sector in Australia has “a remarkable ability to keep bouncing back – and I think that’s because we are in touch with our customers,” observed JLL’s head of retail, Tony Doherty.The ‘smashed avocado’ debate raged during many of the breaks, with panellists in the Resi Prophecy session putting in their two-cents worth. Chief Economist at REA Group, Nerida Conisbee showed slides which underscored the problem of housing affordability.”That $20 saved by not ordering breakfast will not help you into the Sydney housing market,” she said. Instead, a number of factors are at play – including outdated and inflexible planning regimes and changing consumer expectations, the panel agreed.”When my parents built their first house we hung sheets at the window, but the world has changed. The expectations of generations have changed” and buyers no longer expect to save to buy curtains, observed AVJennings’ managing director Peter Summers.Later, Mirvac’s co-founder Bob Hamilton looked back on his legacy and agreed. “Compared with the past, we are building the Rolls-Royce of housing. But that comes at a cost,” he said.A spectacular harbourside carnival did not deter delegates on Day Two, and TV personality Adam Spencer blew the audience’s collective mind with an exploration of where “brain power” is taking us. Everything from mathematics to medical advancements, 3D printing to astronomy were under the microscope. “I don’t know what technology will be like in 10 years, but it won’t blow my mind because mine is already popped. It will blow the mind of my nine-year-old, and she’s not impressed by a phone that essentially drives my car,” he said.Catherine Ball, an environmental scientist at the forefront of drone research, agreed, saying “some of the science fiction we’ve seen in the last 30 years is now becoming science fact.”Tiziana Bianco, the Commonwealth Bank’s head of innovation, gave the audience a sneak peek of her team’s invention agenda, and advised them to “get rid of the word ‘innovation’ from your vocabulary, because it’s over-used, and replace it with ‘growth’.”The overriding message of The Property Congress was confidence, and the property industry is well placed to weather the technological and economic storms ahead.”Our industry has the answers to many of the economic and social challenges of our country,” said Stockland’s chief and national president of the Property Council, Mark Steinert.”But we can’t just be thought leaders. We need to be thoughtful leaders – and to create a total value proposition that delivers on both economic and social dividends.”In 2017, The Property Congress will be held from 18-20 October in Cairns. To celebrate 40 years of Congress events, the Property Council is giving our members the chance to win the ‘VIP Ruby Experience’. Express interest before 31 January 2017 and complete your registration during the super early bird period to win.Image: Kylie Rampa, Chief Executive Officer – Property, Australia at Lendlease; David Harrison, Managing Director and CEO at Charter Hall; and Turi Condon, Property Editor at The Australia. The Property Congress 2016.