Australia Real Estate Market Outlook to 2023
By Residential (Apartment & Villas), By Retail (Regional, Sub-Regional, Neighborhood, CBD, Large Format Retail and Others), By Office (Grade A, Grade B and Premium Offices) and By Hotel (3 Star, 4 Star, 5 Star and Other Hotels)
Region:Asia
Author(s):Dhruv Sharma
Product Code:KR874
September 2019
267
About the Report
The report titled "Australia Real Estate Market Outlook to 2023 - By Residential (Apartment & Villas), By Retail (Regional, Sub-Regional, Neighborhood, CBD, Large Format Retail and Others), By Office (Grade A, Grade B and Premium Offices) and By Hotel (3 Star, 4 Star, 5 Star and Other Hotels)" provides a comprehensive analysis of the real estate space within Australia. The report covers various aspects such as overview and supply as well as demand assessment for each sector. Comparative landscape has been presented at an overall level. The report concludes with future outlook, supply-demand gap analysis, key investment pockets and recommendations.
Australia Real Estate Market Introduction and Overview
Real estate market within Australia is currently at its growing stage. The country witnessed a declining mortgage interest rate in the real estate market owing to which the demand for the real estate has increased over the years. It observed a growing demand in the office, hospitality and retail real estate sector owing to favorable demographics of the country and the increase in the number of tourist arrivals. The prices of residential dwellings were breaking all-time high records in 2017 thus, resulting in the affordability issues for the buyers. Properties in Sydney and Melbourne account for majority of the residential dwellings in Australia.
Australia Retail Real Estate Market
Australia retail real estate industry was observed to grow in past five years thus, recording a positive CAGR in terms of revenues during the review period 2013-2018 owing to the rising urban density, declining vehicle use, online retailing and the increasing popularity of prepared or semi prepared meals. The country witnessed increased opportunities for the investors to acquire major retail assets, which historically was not accessible in the country. Bulk of this supply will include neighborhood retail centers and large format retail. For the investor, stable economic growth, low interest rates and relatively attractive yields should continue to drive a strong demand when compared to many overseas markets.
Australia Hotel Real Estate Market
The hotel space within Australia real estate industry was witnessed to grow in terms of total room revenue. The hotel real estate industry of Australia showcased a five year positive CAGR during 2013-2018. Australia’s accommodation pipeline had a positive growth in year 2018 with the opening of new rooms across the ten major markets and further new rooms in Sydney and Melbourne’s hotel markets. With a strong economic backdrop and significant investments in tourism and transport infrastructure, demand is expected to absorb the additional supply as Australia’s appeal as a premium destination for visitors continues to grow.
Australia Office Real Estate Market
Office real estate industry showcased a positive growth for the present and future due to the movement of office spaces in new CBD areas such as Parramatta region. White-collar employment growth, strong rent reversion, declining national vacancy and an unprecedented infrastructure spend have all contributed to Australia’s global office strength. The eastern seaboard recorded the highest volume of investment activity and NSW dominated the office market in Australia. Amenities and building specifics such as floor space and ceiling height, and the specific layout of a building, will increase the demand of the office space for the local and international investors.
Snapshot on Co-Working Spaces in Australia
Co-working office supply within Australia has surpassed demand in 2018. Steady and robust supply increase in number of listed workspaces and increase in business movement to flexible office space is expected in next 5 years. Global players such as WeWork and Spaces have established their market presence thereby, challenging locally owned and operated companies such as Hub Australia and One Roof.
Australia Residential Real Estate Market
The residential real estate industry of Australia showcased a positive 5 year CAGR during the review period 2013-2018. The market is considered to be in a correction phase that will make housing more affordable for home buyers in the long run. The country witnessed an oversupply of residential dwellings in some major capital and sub urban areas in the year 2017 and 2018. It is expected that the prices will further decline to normal levels in the coming years, most likely, making property more available for local buyers.
Comparative Landscape within Australia Real Estate Market
The real estate industry has intensified competition on the back of an increasing demand for newer properties and commercial activities. The industry was observed to be highly fragmented. Major players include Metricon Homes PTY Ltd., Dyldam Developments PTY Ltd., Burbank Group, GJ Gardner Homes, Multiplex Group, ABN Group, MJH Group and others. Major competition parameters include land bank, location of the property, construction costs and reputation of the company.
Australia Real Estate Market Future Outlook and Projections
Retail Market: Population growth in east coast markets will be driving the growth in the neighborhood shopping centers in urban areas. An addition of 250,000 square meters of retail space for neighborhood store is expected to be delivered by the year ending 2019. For an investor, stable economic growth, low interest rates and relatively attractive yields should continue to drive strong demand for Australian retail property in the forecasted period.
Hotel Market: The transaction activities are expected to increase in the upcoming years as majority of hotel assets are currently being marketed or are in pipeline. Key upcoming supply includes DoubleTree by Hilton, Northbridge, Ritz-Carlton and others.
Office Market: Metro office markets in Australia will have a growing role to play in accommodating employees in the future. Office supply will be driven by improved infrastructure, such as Sydney’s Northwest and City and Southwest Metro rail project and Melbourne’s proposed underground suburban rail loops, which will further open up suburban markets to office occupiers.
Residential Market: The residential space in Australia is estimated to be driven by rising population, increase number of local and international migrants and the trend of shifting towards the apartment living.
Key Topics Covered in the Report
- Real Estate Market Scenario in Australia, 2013-2018
- Australia Macro Economic Overview
Australia Retail Real Estate Market
- Market Overview and Genesis
- Factors Inflecting the Retail Space
- Current and Future Demand
- Current and Future Supply
- Demand Supply Gap Analysis
- Regional Landscape
- Retail Market Outlook, Opportunities and Future Development Trends
- What Gaps Exist in the Retail Sector??
- Recommendations / Success Factors for Developing Retail Centers
- Key Features and Characteristics
- Key Pocket Opportunities
Australia Hotel Real Estate Market
- Market Overview and Genesis
- Factors Inflecting the Hotel Space
- Current and Future Demand
- Current and Future Supply
- Demand Supply Gap Analysis
- Regional Landscape
- Hotel Market Outlook, Opportunities and Future Development Trends
- What Gaps exist in the Hotel Sector??
- Recommendation / Success Factors for Developing Hotels
- Key features and Characteristics
- Key Pocket Opportunities
- Snapshot on Lifestyle Hotels
Australia Office Real Estate Market
- Market Overview and Genesis
- Factors Inflecting Office Space
- Current and Future Demand
- Current and Future Supply
- Demand Supply Gap Analysis
- Regional Landscape
- Office Market Outlook, Opportunities and Future Development Trends
- What Gaps exist in the Office Sector??
- Recommendations / Success Factors for Developing Offices
- Key Features and CharacteristicsKey Pocket OpportunitiesSnapshot on Co Working Spaces
Australia Residential Real Estate Market
- Market Overview and Genesis
- Factors Inflecting the Residential Space
- Current and Future Demand
- Current and Future Supply
- Demand-Supply Gap Analysis
- Regional Landscape
- Residential Market Outlook, Opportunities and Future Development Trends
- What Gaps Exist in the Residential Sector??
- Recommendations / Success Factors for Developing Residential Dwellings
- Key Features and Characteristics
- Key Pocket Opportunities
- Trends and Developments
- Issues and Challenges
- SWOT Analysis
- Snapshot on Brokerage Market
- Property Buying Process
- Comparative Landscape
- Does the Real Estate landscape is forecasted to be positive and encouraging to invest in Australia?
Products
Key Target Audience
- Real Estate Developers
- Independent Investors
- Real Estate Consulting Companies
- Third Party Real Estate Companies
- Independent Architects
- Government Associations and Agencies
Time Period Captured in the Report:
- Historical Period - 2013-2018
- Forecast Period - 2019-2023
Companies
Key Segments Covered
Australia Retail Real Estate Market
By Type:
- Regional
- Sub-Regional
- Neighborhood
- CBD
- Large Format Retail
- Others (Small Retail Stores and Independent Stores)
By Geography:
- New South Wales
- Victoria
- Queensland
- Western Australia
- South Australia
- Northern Australia
- Tasmania
- Australian Capital Region
Australia Hotel Real Estate Market
By Type:
- 3 Star Hotels
- 4 Star Hotels
- 5 Star Hotels
- Others (Less than 3 Star Hotels)
By Geography:
- New South Wales
- Victoria
- Queensland
- Western Australia
- South Australia
- Northern Australia
- Tasmania
- Australian Capital Region
Australia Office Real Estate Market
By Type:
- Grade A Office
- Grade B Office
- Premium Office
By Geography:
- New South Wales
- Victoria
- Queensland
- Western Australia
- South Australia
- Northern Australia
- Tasmania
- Australian Capital Region
Australia Residential Real Estate Market
By Type:
- Apartments
- Villas
By Geography:
- New South Wales
- Victoria
- Queensland
- Western Australia
- South Australia
- Northern Australia
- Tasmania
- Australian Capital Region
Companies Covered:
- Metricon Homes Pty Ltd
- Dyldam Developments pty limited
- Burbank Group
- GJ Gardner Homes
- Multiplex Group
- ABN Group
- MJH Group
- Stockland Corporation Limited
- Frasers Property Australia Pty Ltd
- Henley Properties, Australia
- Lendlease group, Australia
- Probuild Constructions (Australia) Pty Ltd
- CPB Contractors
- John Holland, Australia
Table of Contents
1. Executive Summary
2. Research Methodology
2.1. Market Definitions
2.2. Abbreviation
2.3. Market Research Approach
Market Limitations
Final Conclusion
3. Australia Real Estate Market, 2013-2018
3.1. Real Estate Market Scenario in Australia (Market Overview, Growth Drivers, Challenges in
the Market and Regional Analysis)
3.2. Macro Economic Overview
GDP of Australia
Population in Australia
Number of Households in Australia
Real Estate Interest Rates
Number of Migrants in Australia
4. Retail Real Estate Market of Australia, 2013-2023
4.1. Market Overview and Genesis (Market stage, Current Trends in the Market, Growth Drivers
and Future Growth Expectations)
4.2. Factors Inflecting Retail Real Estate Sector
Population of Australia
Trends in the Investment Market
Income and Wages of Australians’
Changing Trends in Food and Beverage Sector
Retail Spending
4.3. Current and Future Demand for Retail Space on the Basis of Floor Area in Square Meters,
2013-2023
4.4. Current and Future Supply for Retail Space on the Basis of Floor Area in Square Meters,
2013-2023
4.5. Demand Supply Gap Analysis (Historical, Current and Future Scenario)
4.6. Regional Landscape, 2018
New South Wales (Sydney)
Victoria (Melbourne)
Queensland (Brisbane and Gold Coast)
South Australia (Adelaide)
Western Australia (Perth)
Large Format Retail Sector
4.7. Retail Market Outlook, Opportunities and Future Development Trends
4.8. What Gaps Exist in the Sector??
4.9. Recommendations and Key Pocket Opportunities for developing retail centres
4.10. Key features and characteristics
5. Hotel Real Estate Market of Australia, 2013-2023
5.1. Market Overview and Genesis (Market stage, Current Trends in the Market, Growth Drivers
and Future Growth Expectations)
5.2. Factors Inflecting Hotel Real Estate Sector
Increase in Number of International and National Tourists
Emergence of Lifestyle hotel Segment
Government Initiatives towards Tourism in Australia
Increase in Tourist Expenditure
Presence of Branded hotel Operators
Tourism Contribution to the Australian GDP
5.3. Current and Future Demand and Supply on the Basis of new rooms added, 2013-2023
5.3.1. Current Supply and Demand
5.3.2. Future Supply and Demand
5.3.3. Significant Transactions
5.4. Demand Supply Gap Analysis (Historical, Current and Future Scenario)
5.5. Regional Landscape, 2018
New South Wales (Sydney)
Queensland (Brisbane)
Victoria (Melbourne)
Queensland (Cairns)
Queensland (Gold Coast)
Tasmania (Hobart)
Western Australia (Perth)
South Australia (Adelaide)
Canberra
5.6. Hotel Market Outlook, Opportunities and Future Development Trends
5.7. Key Expected Upcoming Hotel Supply
5.8. What Gaps Exist in sector?
5.9. Recommendations / Success Factors for Developing Hotels within Australia
5.10. Key Features and Characteristics
5.11. Key Pocket of Opportunities
5.12. Snapshot on Lifestyle Hotels (Overview, Key Features, Luxury Lifestyle and Major Trends),
2013-2018
6. Office Real Estate Market of Australia, 2013-2023
6.1. Market Overview and Genesis (Growth / Market Stage, Growth Drivers, Market Trends and
Future Growth Expectations)
6.2. Factors Inflecting Office Real Estate Sector
Government Policies
Co-Working Spaces
Building Specifics of the Office Space
Soft demand for development sites
Location of the Office Building
Amenities provided in the office Space
Demand, Supply and Affordability of Offices
Infrastructure Provided for the Office Space
6.3. Current and Future Demand of Office Space on the Basis of Floor Area in Square Meters,
2013-2023
6.4. Current and Future Supply of Office Space on the Basis of Floor Area in Square Meters,
2013-2023
6.5. Demand and Supply Gap Analysis (Historical, Current and Future Scenario)
6.6. Regional Landscape (Overview, Demand, Supply, Vacancy, Rental and Significant
Transactions), 2013-2018
6.6.1. New South Wales (Sydney)
6.6.2. Victoria (Melbourne)
6.6.3. Queensland (Brisbane)
6.6.4. Western Australia (Perth)
6.6.5. South Australia (Adelaide)
6.6.6. Australian Capital Territory (Canberra)
6.7. Office Market Outlook, Opportunities and Future Development Trends
6.8. What Gaps Exist in the market?
6.9. Recommendation’s about Success Factors for Developing Office Spaces
6.10. Key Features and Characteristics
6.11. Snapshot on Co-Working Office Spaces (Overview, Growth Drivers, Target Locations and
Major Players)
7. Residential Real Estate Market of Australia
7.1. Market Overview and Genesis (Market stage, Current Trends in the Market, Growth Drivers
and Future Growth Expectations)
7.2. Factors Inflecting Residential Real Estate Sector
Population Growth
Job Creation and Employment
Economic Growth
Overseas Migration
New Residential Supply
7.3. Current and Future Demand for Residential dwellings
Factors Affecting the Demand
7.4. Current and Future Supply for Residential Dwellings
7.5. Demand and Supply Gap Analysis (Historical, Current and Future Scenario)
7.6. Regional Analysis (Overview, Demand, Supply, Vacancy, Rental & Significant Transactions)
New South Wales (Sydney)
Victoria (Melbourne)
Queensland (Brisbane)
Western Australia (Perth)
South Australia (Adelaide)
Northern Territory (Darwin)
Canberra- Australian Capital Territory (ACT)
Tasmania (Hobart)
7.7. Residential Market Outlook, Opportunities and Future Development Trends
7.8. What Gaps exist in the Sector?
7.9. Recommendation about Success Factors for Developing Residential Dwellings
7.10. Key Features and Characteristics of Residential Dwellings
7.11. Key Pocket of Opportunities for Residential Developments
8. Australia Real Estate Industry Analysis
8.1. Trends and Developments
Payment Schemes for First Time Buyers
The Role of Technology
The Role of Digitalization
Tax Deductions for Real Estate Buyers
Massive Inflow of Chinese investors
8.2. Issues and Challenges
Economic Environment
Socio-Political Environment
Industrial Relations Environment
Project Environment
Physical Environment
Project Team Leadership
8.3. SWOT Analysis
9. Snapshot on Brokerage Market of Australia
Types of Real Estate Agent Fees
Real Estate Agents
Real Estate Agent Commission Rates for Sale of a Property
Real Estate Agent Commission Rates for Rental of a Property
Other Broker Fees and Charges Involved
10. Property Buying Process in Australia (The settlement Process, Documents Required, Rates and
Taxes, Stamp Duty, Grants, Taking possession, Withdrawing from the contract of sale, Extra
costs when buying a property, Rent and Tenancy and Exemptions, Concessions and the First Home
Owner Grant)
11. Comparative Landscape in Australia Real Estate Market
11.1. Competition Scenario (Competition Stage, Major Real Estate Developers and Competition
Parameters)
11.2. Company Profiles (Company Overview, USP, Business Strategies, Financial Matrix, Focus
Area, Focus Region, Major Projects, Employee Strength, Property Portfolio, Recent Developments,
Future Developments & Awards & Achievements) of Major Real Estate Developers
Metricon Homes Pty Ltd, Australia
Dyldam Developments pty limited, Australia
Burbank Group, Australia
GJ Gardner Homes
Multiplex Group
ABN Group
MJH Group
Stockland Corporation Limited
Frasers Property Australia Pty Ltd
Henley Properties, Australia
Lendlease group, Australia
Probuild Constructions (Australia) Pty Ltd
CPB Contractors
John Holland, Australia
Other Real Estate Developers
12. Does the Real Estate landscape in Australia is forecasted to Be Positive and Encouraging to Invest in this Sector?
Residential Real Estate market
Hotel Real Estate Market
Retail Real Estate Market
Office Real Estate Market
Disclaimer
Contact Us
Why Buy From Us?
What makes us stand out is that our consultants follows Robust, Refine and Result (RRR) methodology. i.e. Robust for clear definitions, approaches and sanity checking, Refine for differentiating respondents facts and opinions and Result for presenting data with story
We have set a benchmark in the industry by offering our clients with syndicated and customized market research reports featuring coverage of entire market as well as meticulous research and analyst insights.
While we don't replace traditional research, we flip the method upside down. Our dual approach of Top Bottom & Bottom Top ensures quality deliverable by not just verifying company fundamentals but also looking at the sector and macroeconomic factors.
With one step in the future, our research team constantly tries to show you the bigger picture. We help with some of the tough questions you may encounter along the way: How is the industry positioned? Best marketing channel? KPI's of competitors? By aligning every element, we help maximize success.
Our report gives you instant access to the answers and sources that other companies might choose to hide. We elaborate each steps of research methodology we have used and showcase you the sample size to earn your trust.
If you need any support, we are here! We pride ourselves on universe strength, data quality, and quick, friendly, and professional service.