Month: September 2020

Possibility of variable pensions sparks heated debate in Switzerland

first_imgOn the topic of the technical parameters that would help save costs for Swiss pension funds, most respondents cited less regulation.Werner Hertzog, managing director at Aon Hewitt Switzerland, to IPE: “For the first time, they are talking about variable pension payouts or mandatory lump-sum payments upon retirement for parts of the assets.”The data collected by the consultancy showed that the average performance over the last seven years – 2.2% – covered just 80% of the required returns, yet the average pension payout level remained the same.Hertzog said adding a variable pension element to a basic fixed pension was “one possibility to put an end to these transfers” of active members’ assets to retirees.“But it might not be the right solution for all Pensionskassen,” he added.Hertzog said he was convinced that a variable scheme would become “a standard in the above-mandatory segment sooner or later”, especially if pension funds of public organisations such as the SBB were introducing it.”Many Swiss pension experts are sceptical whether the SBB will defy unions and follow through with its proposal to introduce a variable pension element in future contracts. At the energy pension fund PKE, which is introducing a variable element from next year, three-quarters of the active members were in favour of the measure.Ronald Schnurrenberger, managing director at PKE, added: “They are aware it will be themselves who will have to live with this variable pension element of 10% of the payout – we were surprised.”But Brigitte Schmid, managing director of the Swiss Re Pensionskasse, is “completely against” the model, as “you cannot be sure it will really also lead to an increase of the pension payout at times”.“People will feel something is taken from them,” she pointed out, adding that it might be better to lower the technical parameters further.At Swiss Re, she is “rather” looking into a mandatory lump-sum payment on retirement as opposed to a life-long pension payout – “if such a measure is introduced at all”.Markus Hübscher, managing director at SBB Pensionskasse, said the debate always made it sound as if the whole pension payout would be variable in future – “but 90% or even more are fixed”.He argued that Pensionskassen “should not make promises they cannot keep”.According to Hertzog, variable pension payouts can be calibrated in different ways – for example, as an absolute means of last resort if they are combined with an already very low discount rate.“Pensionskassen,” Hertzog said, “should use the flexibilities they still have within the legal framework, and a variable pension element is not about cutting benefits, it’s about risk-sharing of retirees.”For more on Switzerland’s flexible pension payouts, see the December issue of IPE magazine. The topic of variable pension payouts generated a heated debate among delegates at the presentation of this year’s Aon Hewitt pension fund survey in Zurich.This year’s survey, Aon Hewitt’s sixth, canvassed more than 160 Pensionskassen, with more than CHF237bn (€193bn) in combined assets under management.According to Marianne Frei, actuarial expert at the consultancy, the shift from defined benefit (DB) to defined contribution (DC) continues apace.She also highlighted further cuts in technical parameters such as the discount rate ‘technischer Zins’ and the conversion rate ‘Umwandlungssatz’ in those pension funds managing above-mandatory contributions.last_img read more

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European pension sector ‘should not cry before it’s been hit’, says MEP

first_imgThe European pensions industry would do well to not cry foul over incoming financial legislation when it has yet to be impacted by major changes, a senior European legislator has said.Markus Ferber, elected deputy chairman of the influential Economic and Monetary Affairs Committee (ECON) within the European Parliament earlier this week, said recent European regulation and directives had offered a number of exemptions to pension funds – to the point where MEPs were accused of “creating a Swiss cheese” of regulation.The MEP, a member of Germany’s governing CDU party, rejected claims that financial legislation had failed to acknowledge its impact on the pensions sector.“I can’t see that,” he told IPE. “If you go through all the legislation we made in the area, we made a lot of exemptions for, especially, pension funds.” Ferber, now in his fifth term as an MEP, has been a member of ECON since 2009, and from 2010 served as rapporteur for the European Market Infrastructure Regulation (EMIR).EMIR eventually granted pension funds a temporary exemption from the obligation to centrally clear over the counter (OTC) derivatives trades.Referencing the exemptions granted the pensions sector, Ferber added: “Some even accused us of creating a Swiss cheese – so I can’t accept this kind of accusation from the sector.”He added: “You don’t have to cry before you’ve been hit. That is sometimes what I hear, especially from this sector – they start crying, but they’ve never been hit.”He also said the Parliament had now done its job with regard to the financial transaction tax (FTT) and that its introduction was a matter for the European Council, comprising the heads of the 28 member states.However, Ferber stressed that the former Parliament had been “fully supportive” of the FTT and said he – alongside newly elected ECON chairman Roberto Gualtieri of Italy’s left-leaning Democratic Party (PD) – had fought for its introduction.He said he believed Italy’s current presidency of the Council of the European Union could mean renewed momentum for the proposal, despite the fact it is supported by only 11 member states, including Germany and Italy. He noted that, in light of its deficit, Italy could be interested in “more internal revenues on the side of tax, and this could be one”.last_img read more

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Friday people roundup

first_imgVontobel Asset Management – Mondher Bettaieb has been appointed as the Swiss asset manager’s new head of corporate bonds. Bettaieb joined the manager in 2010 and was responsible for its corporate bond mid-yield fund. Previous experience has seen him manage money at AXA Investment Management and Winterthur Asset Management, in addition to working in credit research.Zurich UK Life – Aileen Mathieson has been appointed as linked funds CIO. This is one of two CIO roles in the UK office, with the balance sheet CIO position held by Stuart Tyler. She joins from Nucleus Financial Group, where she was CFO for the last four years. She will move over to the Swiss insurer in November. Cardono Risk Management, NAPF, ALFI, Vontobel Asset Management, Zurich UK LifeCardano – Bart Oldenkamp has stepped down as chief executive after seven years in the role. He will be replaced by ING Bank director of market risk Harold Naus. Oldenkamp is stepping down at the end of September and has said he will take some time before deciding on his next move. Naus leaves ING after 17 years in various risk-management roles.UK National Association of Pension Funds (NAPF) – John Dembitz has been appointed as a non-executive director to the board for the UK industry organisation. Dembitz adds to his portfolio of seven corporate board representations, of which he chairs three. He joins the board as a member from outside the pensions industry, which the NAPF said would complement other board members elected via the membership. He joins a board of 12.ALFI – Marc-André Bechet has joined the Association of the Luxembourg Fund Industry as its new director of legal and tax. He starts at the association next week. Bechet was previously head of investment fund services at Banque Degroof Luxembourg, where he managed fund administration and custody. Before this, he spent 18 years at RBC Dexia.last_img read more

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LGPS funds could consider legal action over mandatory passive shift

first_imgHowever, John Hattersley, director at the £5.9bn (€8.2bn) South Yorkshire Pension Fund, said in a meeting late last year that, if pressed, LGPS funds with internal investment capabilities would launch a judicial review were they forced into passive strategies.He told IPE that, while the South Yorkshire fund has not formally raised it internally, he has heard it casually mentioned by a number of LGPS.The South Yorkshire scheme, alongside other Northern English funds such as West Yorkshire, Derbyshire, Greater Manchester, Lancashire and Tyne and Wear, have a long history of internal asset management.Hattersley suggested the South Yorkshire fund would also examine the possibility of becoming a CIV should government legislation go against its wishes.Like many of its peers, the scheme, responding to the government consultation, argued that a mandatory shift to passive would lower standards within the LGPS rather than improve under-performing funds with high costs.Many of the 33 LGPS in London are currently setting up a CIV to pool investments outside of government legislation.Hattersley said funds with internal capabilities should be considered to manage CIVs in order to share experience and protect these capabilities.This could also be utilised if the UK government does force through listed assets and alternatives CIVs.“We are aware some of our peer group are thinking along similar lines, and, if it were an option, it would be one we would want to explore,” Hattersley said.He added that the central government’s delay in making a decision had forced the fund to put its expansion plans to one side.“There is a blight across all LGPS funds,” he said.“In our instance, we have put certain developments on hold, as we want to make sure we know and can see our future, as, like everybody, we are under financial constraints.“We don’t want to do something we would have to unwind fairly quickly if political decisions were taken causing us to do that.”South Yorkshire’s internal team orchestrated an 8.3% investment return over 2014 after strong returns in index-linked Gilts, private equity, property and North American equities.The fund’s £79m absolute return strategy returned 7.9% and made new investments into healthcare, distressed debt and illiquid credit. Local Government Pension Schemes (LGPS) in the UK are considering legal action against the government should it force through a mandatory shift to passive listed investments via collective vehicles.The proposals, first seen last year, have yet to be finalised, with no formal decision expected until after May’s general election due to friction within government departments.As LGPS funds await a formal decision from the government, schemes with in-house investment management teams have been weighing their options, including legal action.Original proposals from the Department for Communities and Local Government (DCLG) recommended the creation of two collective investment vehicles (CIVs) for the 89 LGPS in England and Wales, one for all listed equities and bonds and one for alternatives.last_img read more

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Norwegian oil fund says effects of stock exchange fragmentation ‘worrying’

first_imgThe manager of Norway’s sovereign wealth fund, the Government Pension Fund Global (GPFG), says the fragmentation and increased competition in the stock exchange sector has led to “worrying developments”, and that exchanges must adapt to new circumstances.In a research note on the role of exchanges in well-functioning markets, Norges Bank Investment Management (NBIM), which manages the NOK7.2trn (€793bn) fund, said it wanted exchanges to consider changes, such as a return to local exchanges.NBIM said: “We view exchanges as critical to well-functioning markets, both in their function as listing venues, and as the final arbiter of the price discovery process. “However, if they are to re-assert their central role, they must adapt and innovate to enhance their attractiveness to institutional investors who have supplanted the many small retail investors that exchanges were originally designed to serve,” it said. Its main concerns were that stiffer competition between exchanges and alternative trading systems could lead to poorer regulation and governance and that the efforts by exchanges and dealers to keep up with the speed race could end up harming all market participants.“For-profit exchanges are now challenged to maintain their regulatory and corporate governance duties in this competitive landscape,” it said.As an example of how the push to increase speed of communications could be detrimental, NBIM cited the current speed race amongst providers of network infrastructure, so-called microwave data-link providers.These providers were able to earn increasingly “super-normal” profits, it believed, to the detriment of all financial market participants. “We support efforts to remove complexity that leads to this form of over-investment,” the manager said.”We view the current latency race as ultimately a dead-end,” it said.Efforts by exchanges to increase availability of liquidity in size would be welcome, it said.“Supporting the development of batch auctions and experimenting with size versus time priority models are all initiatives in the right direction, in our view,” it said.NBIM also said it was worried about the fall in the number of listings in the US and Europe in recent years.“We do not believe economies benefit when going public simply means cashing in, rather than raising capital,” it said.It added: “We encourage exchanges to develop new solutions in this area, be they in the form of new listing classes, or potentially even a return to local exchanges.”,WebsitesWe are not responsible for the content of external sitesLink to NBIM research notelast_img read more

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Carbon price inevitable despite lack of progress in Paris, says AP4

first_img“I would like to have a price on carbon at some point,” Andersson told IPE. “It’s not ‘if’, it’s ‘when’, and the sooner the better.”His view was shared by Edward Mason, head of responsible investment for the UK’s Church Commissioners, responsible for the Church of England’s endowments and pension funds.Mason said carbon pricing was “here to stay” but was less certain about how universal its application would be.“It will be patchy, uneven and potentially quite unpredictable,” he said.“There is tremendous value in investors engaging about [carbon pricing].”Andersson argued that a carbon price would alter investors’ behaviour immediately.“Once we have the carbon price, you will immediately see a flow of capital being re-allocated from the fossil industry or the fossil-dependent industry into other sectors – and you will get the companies to address this in an even more serious way.”He cited the success of the “substantial” carbon tax in place in Sweden as evidence that growth and a carbon price were not incompatible.Andersson and Mason were nevertheless positive about the conference’s achievements in Paris.“All of us ignore the collective aspiration of governments at our peril,” Mason said.He praised the inclusion of a ‘ratchet’ mechanism in the final agreement, which will see national reduction targets revisited every five years to scale up the level of reduction – the only way the current carbon-reduction targets, estimated to result in warming of 2.7°C above pre-industrial levels, will be able to meet the 1.5°C target envisaged.Andersson said institutions should also begin “chasing” companies failing to pay enough attention to their carbon footprint.AP4 is a founding member of the Portfolio Decarbonization Coalition, which has attracted support of asset owners worth $3.2trn (€2.9trn), willing to decarbonise $600bn in holdings.Mason agreed with the importance of continued action, citing the need for investors to be “future-makers” and engaging with companies to ensure the new targets are being taken seriously.“If [companies] are not thinking about business plans that are not consistent with a low-carbon economy,” he said, “then there is real risk attached to that.” Asset owners must keep up pressure on governments and regulators to introduce a price for carbon emissions, after the Paris climate agreement failed to commit to concrete action.Mats Andersson, managing director of Sweden’s AP4, said the UN Climate Change Conference was undoubtedly a “great success”.But he argued that the most important matter was not the conference itself but what occurs in the wake of the agreement reached by nearly 200 governments last week.He said a price on carbon was inevitable despite the agreement’s only including wording that recognises the “important role” of reducing carbon emissions through policies such as carbon taxes and emissions trading schemes.last_img read more

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Low-cost, passively run funds outperformed in 2016: researchers

first_imgPassively managed pension funds with the lowest costs produced the best outperformance last year, a survey by a Dutch pension research bureau has suggested.The Pensions Rating Agency (TPRA), an independent research group, ran a cost monitor based on 213 of the approximately 235 Dutch schemes last year. The group also found that active management hadn’t resulted in a consistent outperformance.TPRA said asset management costs of the examined pension funds ranged from 0.06% at the Dutch pension fund of ExxonMobil to 1.69% at the Mars scheme.According to the research bureau, the €3.1bn Delta Lloyd Pensioenfonds – which reported costs of 0.12% – outperformed by 1.5 percentage points. The €253m scheme of PepsiCo Netherlands – with costs of 0.17 – exceeded its benchmark by 1.8 percentage points. The €1.4bn Mars Pensioenfonds, which incurred the highest recorded level of costs at 1.69%, still outperformed but only by 1.3 percentage points, TPRA said.The research group reported that the average cost of asset management had dropped two basis points to 0.55% last year.The research bureau found that pension funds had experienced only limited success in driving down their costs of pensions administration: the average cost per participant fell by just €0.13 compared to a year earlier.TPRA’s methodology involved adding costs paid by the sponsor as well as those reported by the pension funds, which it said made the figures more representative.According to TPRA, 93 pension funds had managed to reduce costs by 11% on average, while 99 schemes saw their costs increase by 17% on average.Of the five largest Dutch pension funds, only the €389bn civil service scheme ABP and the €186bn healthcare scheme PFZW – with administration costs of €79.42 and €67.57 per participants respectively – were among the 10 pension funds with the lowest costs.With €133.28, €101.31 and €100.92 per participant respectively, the large metal schemes PME (€45bn in assets) and PMT (€67bn) as well as building sector scheme BpfBOUW (€54bn) incurred costs that were too high for their scale, in the opinion of TPRA.The pension research bureau reported that the causes of rising costs included a drop in the number of participants as well as the introduction of new pension arrangements. However, it also reported that significant savings could be achieved through switching to a new pensions provider.With €1,941.35 per participant, the pension fund of polymer and fibre producer Invista had the highest costs of pensions provision.In contrast, costs at the industry-wide scheme Personeelsdiensten were €42.63 per participant.The group’s survey covering 2015 showed that costs had risen by 5.5% in the wake of the introduction of the new financial assessment framework (nFTK) and the adjustment of the tax-facilitated pensions accrual.last_img read more

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Politician demands answers over regulator’s oversight of USS

first_imgSource: Warwick University UCU branchUCU members striking at Warwick University in 2018 over proposals to shut USS’ DB sectionWriting in response to the interview on USS’ website, Sir David Eastwood, chairman of the USS trustee board, refuted some of Hutton’s claims and said the board was “hugely saddened” by Hutton’s statements.He wrote: “It is important for you to know the board is clear in its view that Professor Hutton’s concerns have no material impact on the decisions that have been made in relation to recent valuations.“Professor Hutton recently decided to recuse herself from the board pending the outcome of an entirely separate and independent investigation into her conduct over an extended period of time. The board commissioned this independent investigation to determine the facts.”Sir David said he wanted to “set the record straight by clarifying that the issues which led to this ongoing investigation are entirely separate from other investigative work examining ‘whistle-blowing’ allegations Professor Hutton has made about the valuation process and outcomes”. Source: UK ParliamentFrank Field, chair of the Work and Pensions Select CommitteeField’s letter came as former trustee Jane Hutton spoke out about her concerns on national radio, prompting a strong rebuttal from USS’ trustee board.In an interview with BBC Radio 4’s Today programme on 26 June, Hutton – a professor of statistics at the University of Warwick – claimed she had been suspended from the board of the defined benefit (DB) scheme after she raised concerns about the way in which USS calculated its deficit.She said: “I’m an internationally recognised statistician. That’s why I was appointed to the [trustee] board, and I’ve simply not been able to get the information I require in order to satisfy myself of the quality of the work. What I have seen is not of a quality I’m happy with.”The £64.4bn (€71.9bn) USS reported a funding deficit of £7.5bn in November 2017, but this shortfall was later lowered to £3.6bn following the panel’s report. While initial plans to shut the defined benefit section of the scheme have been shelved, employers and employees have been asked to accept higher contributions in a bit to plug the shortfall.Hutton has been suspended from the trustee board pending an investigation into what the pension fund claims is an unrelated matter.She told the BBC: “My lawyer in fact asked on 5 June in a letter for precise details of why I’d been suspended. We haven’t received those at all yet. There are simply allegations of misconduct, but those allegations have not been given in detail.” TPR has yet to respond to Mr Field’s letter.In a report published in September last year, the panel criticised TPR for not recognising the collective strength of the 350 higher education establishments that sponsor USS. This had also encouraged an overly cautious approach as USS’ trustee board worked to keep the scheme in line with changing regulations, the panel said.center_img An influential politician has written to the UK’s Pensions Regulator (TPR) to flag concerns about its oversight of the country’s largest pension fund, the Universities Superannuation Scheme (USS).Work and Pensions Select Committee chairman Frank Field wrote to TPR’s new chief executive Charles Counsell this week to question the watchdog’s delayed response to concerns raised by a former trustee about how the scheme’s funding deficit was calculated.In his letter, Field said: “The concerns were first raised with TPR on 20 March 2018. Might you please tell us why TPR did not then write to USS until 3 April 2019?”He added: “The USS Joint Expert Panel said that TPR appeared to have a disproportionate influence on the valuation and may have steered the employer. How does TPR intend to respond to these findings please?”last_img read more

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​Alecta takes ‘moral’ stand against gambling and tobacco

first_imgSweden’s largest pension fund Alecta has declared its formal opposition to investment in the gambling and tobacco sectors, saying it wants to clarify its position on the issues – despite the fact it has not invested in such companies for years.The SEK960bn (€91bn) pension fund said it would be publishing three statements this month, explaining its investment decisions on commercial gambling, tobacco and human rights, having already done this for other controversial issues of coal, weapons, remuneration within listed companies and government bonds.Because the fund’s investment strategy had to be long-term, the Stockholm-based fund said it had to centre around well-managed sustainable businesses: “But there is also a moral dimension to Alecta’s statements,” it said.Peter Lööw, sustainability manager at Alecta, said: “We have considered that business models involving an increased risk of gambling addiction are not compatible with a broader view of long-term value creation due to high risks of costly losses for both individuals and society.” He said the fund no longer saw coal, for example, as a viable investment option, because it had “passed its best-before date” as an energy source due to its large carbon footprint.However, he said commercial gambling was something Alecta was choosing not to invest in for other reasons.“We have assessed that business models involving an increased risk of gambling addiction are not compatible with a broader view of long-term value creation due to high risks of costly losses for both individuals and society,” Lööw said, adding that there were also regulatory risks in the business model itself.Earlier this month, Norwegian municipal pensions giant KLP announced it was divesting from more companies on the grounds of gambling business, including Hong Kong-listed Landing International Development and Japanese arcade game firm Universal Entertainment Corporation.In March, Swedish pensions and insurance group Folksam said it was blacklisting gambling firms, with its head of responsible investment describing the sector as “a breeding ground for developing gambling addiction”.Looking for IPE’s latest magazine? Read the digital edition here.last_img read more

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Step inside Brisbane’s ‘Batcave’

first_imgVideo Player is loading.Play VideoPlayNext playlist itemMuteCurrent Time 0:00/Duration 0:39Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -0:39 Playback Rate1xChaptersChaptersDescriptionsdescriptions off, selectedCaptionscaptions settings, opens captions settings dialogcaptions off, selectedQuality Levels720p720pHD432p432p270p270p180p180pAutoA, selectedAudio Tracken (Main), selectedFullscreenThis is a modal window.Beginning of dialog window. Escape will cancel and close the window.TextColorWhiteBlackRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentBackgroundColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentTransparentWindowColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyTransparentSemi-TransparentOpaqueFont Size50%75%100%125%150%175%200%300%400%Text Edge StyleNoneRaisedDepressedUniformDropshadowFont FamilyProportional Sans-SerifMonospace Sans-SerifProportional SerifMonospace SerifCasualScriptSmall CapsReset restore all settings to the default valuesDoneClose Modal DialogEnd of dialog window.This is a modal window. This modal can be closed by pressing the Escape key or activating the close button.Close Modal DialogThis is a modal window. This modal can be closed by pressing the Escape key or activating the close button.PlayMuteCurrent Time 0:00/Duration 0:00Loaded: 0%Stream Type LIVESeek to live, currently playing liveLIVERemaining Time -0:00 Playback Rate1xFullscreenInside Brisbane’s best man cave00:40A SECRET entrance, a hidden gym that could rival a fitness franchise, and a sparkling resort-style pool. Even the garage has been given the luxe touch, and is adorned with basalt lava stone. Take a look inside the home of one of Brisbane’s leading agents — a man who sold close to $100 million worth of other people’s property last year. 2 Waverley Street — April 29, 2018 — $2.52 million 20 Midvale Lane — June 17, 2018 — $1.9 million From blah …. Source: CoreLogic The house before the reno. Source: CoreLogic *** And the back of the house.“Craig (of Channon Architects) is a very clever guy who has worked on some of Brisbane’s most high-end residences,” Mr Lancashiresaid. “He’s a local and understands the code of the area and we were able to get exactly what we wanted using the original cottageas the platform to create something architectural off the back which flows really well and pays respect to the original foundations.” Everything from the VJ walls to the ceilings were replaced, with the home known as ‘c50house’ undergoing an almost complete rebuild. … to ooh la laA much-loved area of the three level, four-bedroom home is the open-plan living, kitchen, dining, lounge, entertaining, outdoorbarbecue and pool zone. “Craig’s work is special and he’s clever about working with indoor-outdoor spaces, including our big outdoor area which has5m ceilings wrapped in battened timber,” Mr Lancashire said. “It’s a space we use all year round. He’s also got an extremely good eye for detail so there are so many minute details throughoutthe property which you wouldn’t know existed unless you went through.” Mr Lancashire said the home’s location was also a massive lure, as it is within walking distance of the city, the river, parks,restaurants and cafes. And what lies beyond the secret passage.“We poured a lot of consideration and effort into every inch of what has been a wonderful home for our family,” Ray White New Farm principal Matt Lancashire said. CoreLogic property data shows that Mr Lancashire and his wife Caitlyn bought 50 Crase St at Teneriffe for $895,000 in 2012. The secret door to the Lancashire’s hidden gym. Pic Annette Dew And what it looks like now.There is also four bedrooms including one with a deluxe master retreat, three luxury bathrooms, a fireplace, wine cellar,and smart home technology throughout. The back of the houseMr Lancashire said they were selling because “I really want a tennis court”, and hoped the house would go to another family.They have engaged Ray White New Farm’s Nicholas Given and Scott Darwon to manage the sale of their home, which is scheduledto go to auction at Ray White’s ‘Under the Stars’ event on November 13, if not sold prior. “Superb architecture has created a home perfectly suited to Queensland living but with a vibe reminiscent of life in the islandparts of Greece or Italy,” Mr Darwon said. “The attention to detail is something to behold and not one finish is of a standard less than perfect. Given the location,finish, feeling and atmosphere the house omits, this is going to be a home that will truly be enjoyed by its residents formany, many years to come.” *** TOP SALES — TENERIFFE (houses)center_img And the kitchen now with its Calacatta marble benchtops.Today, it comes with an extensive list of luxury features but perhaps the most impressive of them all is the concealed gym,which is hidden behind a secret stone rock wall with pin code access. Often called the “Batcave”, it is accessed via a door that leads to a tunnel and then into the large open-plan space.“A lot of people have that WTF? look when they see it,” he said. “They are mesmerised by it.”Other features include a custom Vanguard louvre system, a heated mosaic tiled swimming pool, custom French oak floors, a bespokesolid French oak floating staircase and a vast outdoor entertaining room. 32 Teneriffe Drive — June 4, 2018 — Sale Price $4.405 million The front of the house now. (Source: CoreLogic) 42 Beeston Street — July 7, 2018 — $3.7 million The old living room. Source: CoreLogic 282 Kent Street — June 16, 2018 — $2.125 million More from newsParks and wildlife the new lust-haves post coronavirus16 hours agoNoosa’s best beachfront penthouse is about to hit the market16 hours agoThe kitchen before the renovation … Wine, anyone?Teneriffe is sandwiched between Newstead and New Farm, making a kind of golden triangle of exclusive suburbs. The median house sales price in Teneriffe is currently $1.825 million, but many prestige houses have sold for double that figure, or more. Matt Lancashire, his wife Caitlyn, and kids Monty 3yrs and Lulu, 1. Pic Annette DewBuilt in the 1930s, the property had been used as a share house and needed a lot of work.Working alongside Channon Architects and Black Developments, the Lancashire’s embarked on a 16 month long renovation journey. last_img read more

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