SE Queensland currently is the third largest capital city region in Australia. The phenomenal growth in the area over the next 25 years means an additional 1.65 million jobs will be created. The tourism industry alone will grow to $14 billion per annum. Dwellings will increase by more than a million. The Gold Coast Commonwealth Games in 2018 and several infrastructure projects are driving strong property market growth. A combination of value, relaxed coastal lifestyle and employment has made SE Queensland very appealing, especially when comparing the property prices to Sydney and Melbourne. The future of SE Queensland is bright.
SE Queensland leads the state’s and probably the country’s economic growth with major infrastructure development in retail, health, education and tourism.
What makes SE Queensland so appealing?
A perfect combination of value, coastal lifestyle (see Coolum beach pictured on right) population growth, employment and massive infrastructure spending. The Sunshine Coast Airport, pictured above will be expanded in a $347 million dollar project.
SE Queensland is one of Australia's fastest growing regions
Queensland is expected to have the strongest economic growth of any state in 2016-17 and 2017-18. This rebound will be underpinned by a surge in overseas exports, as LNG production drives the value of Queensland exports to around $100 billion in 2019-20.
In terms of population, one in every seven Australians already live in South East Queensland and the population in the region has been growing by 67,000 annually - in fact over the next 25 years, SE Queensland is expected to grow from about 3.5 million to 5.3 million people.
With limited areas available for housing in the Brisbane area, SE Queensland is expected to require 30,000 new dwellings annually and one million new jobs to cater for the population growth. It has been forecast that Ipswich will grow by 130% over the next 20 years and will play a major role in accommodating the SE Queensland population growth. In line with the increased population, major construction projects and expansion of existing services will create the jobs required.
Large scale infrastructure spending and transport connectivity are the future
Public spending on infrastructure in SE Queensland is the highest in Australian history. More than $25 billion has been budgeted to be spent before 2031. In the Brisbane CBD, major projects such as the $5.4 billion Cross River Rail and the $3 billion Queens Wharf will create thousands of jobs and make Brisbane a more attractive destination for tourists.
SE Queensland’s satellite cities and master planned areas are experiencing strong investor confidence. For example, in Springfield (Ipswich) over $11.7 billion was spent and North Lakes (Moreton Bay) a fast-growing city with total spending capacity of over $4 billion. Significant capital investment is underway in the Sunshine Coast. A new CBD in Maroochydore is being developed and the new $1.8 billion Sunshine Coast University Hospital opened in 2017. The Sunshine Coast Airport will be expanded in a $347 million dollar project to deliver Australia's next international airport and an A$81 million expansion of the University of the Sunshine Coast was completed in 2015. These are exciting times for SE Queensland as the region becomes home to major revitalised and new Australian urban and economic centres.
over 4 years
Cross River Rail project
Destination Brisbane Consortium's landmark designs for Queen’s Wharf Brisbane
Queen’s Wharf will be a transformational development for Queensland
Queen’s Wharf will be Brisbane’s new entertainment and lifestyle precinct with 50 new bars, restaurants and cafes. The project will create 8,000 new jobs and another 2,000 will work on its construction. It’s estimated Queen’s Wharf will attract an additional 1.39 million visitors to Brisbane. The project includes restoration of beautiful heritage buildings and in a way that seemlessly merges old with new.
Satellite cities of SE Queensland will record consistent capital growth
With planned growth in population, and that growth being supported by the government and private investors with infrastructure projects, the opportunity to invest or buy in the SE Queensland region has never been better. For example, homes in Logan, just a half hour drive from Brisbane, have a median price of $395,000. Ipswich, for which has been planned enormous infrastructure developments and increased housing, the median price for a house is $325,000. Sales activity in the areas of Ipswich and the Sunshine Coast have grown by 125% in the past 5 years. While house prices have increased slowly, the plans for satellite cities and a deliberate move away from Brisbane means that the situation is likely to improve exponentially in the next couple of years.
Queensland's housing shortage is set to continue with a forecast shortage of over 15,000 dwellings in 2018. For investors this means low vacancy rates and high rental yeilds.
South East Queensland Regional Plan (Shaping SEQ) August 2017, "Future of South East Queensland Housing” report, Urbane Homes, RP Data Core Logic, Residex, Sunshine Coast Daily, Courier Mail.
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