Susie O’Brien: Property developer’s avocado economics are rotten

A SMUG property tycoon lecturing would-be-homebuyers on the cost of a cup of coffee should count his billions and leave the sermons to others, writes Susie O’Brien.

• ‘Want to own your own home? Stop buying $4 coffees’
• OPINION: More Susie O’Brien columns

TIM Gurner, you may be a Young Rich Lister with a property portfolio worth $2.7 billion. But you’re also a rolled gold wanker.

Someone who started out thanks to a handout from a family member is not in a position to suggest others can do the same if they just had the good sense to drink Nescafe rather than $4 lattes.

Gurner had the advantage of family money ($34,000 given to him to buy a gym), a university education and impeccable contacts (he worked for legendary developer Morry Schwartz).

And yet he still wants to tell everyone else they have to stop eating brunch and buying coffee at $4 a pop.

Property developer Tim Gurner on site at a property in South Melbourne.

How offensive this arrogant young man is. I’ll bet everyone reading this while blowing the home deposit funds on a ham roll to eat at their desk won’t like being told they’re not doing enough to get ahead.

The reality is that house prices have outstripped wages growth in this country. It’s as simple as that.

Australia is second to only Hong Kong in housing costs, with the average house costing 5.6 times the median household income. But in Sydney houses cost 12.2 times more than the average income, and in Melbourne it’s 9.7 times more.

Let me tell you, a latte or two isn’t going to make one bit of difference with figures like these.

Gurner may have been lucky to get a foot on the property ladder before these inflated prices, but that leaves everyone else high and dry.

Columnist Susie O'Brien. Picture: Nicole Garmston

Gurner notes that the “market has changed”. Well, property tycoons like him have been part of why it’s changed and no one on average incomes can afford decent houses anymore.

Gurner thinks everyone just needs to be smarter — just like him.

But there are lots of people out there working their butts off, drinking 7-11 coffee and eating brunch at home who can’t do what he has done.

Sure, there may be some Kardashian types who constantly moan about their lack of designer goods and international travel, but most people don’t behave like that. And I don’t know anyone who thinks a Bentley is “normal”. What total rot.

Just because Gurner’s friends are idiots, it doesn’t mean everyone is. The reality is that high flyers like Gurner are making it harder for everyone else.

Who doesn’t love avocado on toast?

I’ll bet the units he’s building are unaffordable for the average family. I’ll bet he doesn’t put aside any low-cost social housing. I’ll bet he doesn’t care about coming into areas and changing the entire housing price structures with massive inflationary developments average people can’t afford.

Gurner has also admitted he’s making money off the Chinese property boom, which is one of the main reasons why houses in desirable suburbs in Sydney and Melbourne are so unaffordable for everyone else.

He also brags about the strength of the rental market — which is a real sign that he doesn’t care about the impact of his business on anyone but himself.

A Tim Gurner development in South Melbourne.

Tim Gurner says people should stop buying $4 coffees.

The rental market is so strong because there are so few affordable properties that people are forced to pay outrageous sums to landlords.

Here’s the point, Gurner: people can do everything right and still not make $2.7 billion in property by the time they’re 40.

So what are you doing to help anyone else except hand out half-baked wisdom to people who at least appreciate the value of a decent cup of coffee? Nothing. Just count your billions and leave the smug sermons to others.

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