May 2017 :: Market Updates
MELBOURNE HAS A GREAT FUTURE!
THE LUCKIEST COUNTRY IN THE WORLD, THE LUCKIEST CITY IN AUSTRALIA, THE LUCKIEST REGION IN THE CITY
THE LUCKIEST COUNTRY IN THE WORLD, THE LUCKIEST CITY IN AUSTRALIA, THE LUCKIEST REGION IN THE CITY?
In industrial property we have a lot to be thankful for and excited about. Australia has long been called the luckiest country in the world.
But is Melbourne currently the luckiest city in Australia?
The dramatic figures below suggest yes. Melbourne’s population growth of 107,770 in 2016 led the next closest city, Sydney, by 23%.
Melbourne has had a stellar year |
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|
2015/16 |
2014/15 |
2013/14 |
2012/13 |
2011/12 |
Sydney |
82,797 |
84,900 |
82,632 |
78,911 |
67,169 |
Melbourne |
107,770 |
95,963 |
94,335 |
91,110 |
83,092 |
Brisbane |
41,135 |
35,090 |
37,402 |
42,124 |
45,880 |
Perth |
27,428 |
31,075 |
38,0560 |
65,147 |
71,291 |
Adelaide |
9,371 |
12,346 |
13,431 |
12,606 |
14,509 |
Annual population growth in Australia
With increased population comes increased demand in housing, appliances, cars, clothing — the list goes on. There has been increased demand in all areas, which has had a real flow-on effect on the industrial property market.
As demand on supplies increases, warehousing demand increases in proportion.
Which regions within Melbourne will experience the greatest growth?
Well, according to Bernard Salt — columnist with The Australian and Herald Sun newspapers and partner of KPMG — Melbourne is starting to “flip”. For the first 100 years of Melbourne’s development, it grew east then south east. Now in 2017, with people living and commuting 80 km from the south east to the CBD, people are starting to look at the western and the northern regions only 20 to 30 km from the CBD.
Bernard Salt predicts exceptional growth in Melbourne’s western and northern regions over the next five to 10 years — and at Rutherford’s so do we. All the logic points that way.
So this is all great news for Melbourne. We’re in a really lucky place indeed! Expect the best in industrial property over the next three to five years.
