Market update reveals strong residential pipeline

Market update reveals strong residential pipelineMore than three quarters of a million new residential units are in planning, tender or construction phases around Australia, according to new data released by CoreLogic.Tracking all projects with an expected end date after September 2016, CoreLogic finds that 18,615 projects are currently underway – with 3,278 projects under construction.”Victoria leads the charge, with 1,061 projects under construction set to deliver 53,054 individual units,” says CoreLogic’s Richard Crnek, head of commercial and building services.”When combined with the projects at planning and tender stages, we’re looking at a whopping 245,481 units.”The story is similar across the border in NSW, with 988 developments under construction delivering 60,010 individual units. In total, 292,853 units are at the planning, tender or construction phases.”Nationally, the pipeline for future developments is strong with 1,333 development projects at tender stage representing 31,966 units nationally. A further 14,004 projects are in planning stage. Should all of these go ahead, an additional 590,168 units could go onto the market,” Crnek adds.Among the projects underway in NSW are two residential towers in Parramatta. A planning proposal from developer Statewide Planning has been approved for a 43-storey residential and commercial tower, while Dyldam has acquired a 3,306 sqm car dealership site and is planning a 35-storey residential tower and three storey hotel.In Victoria, development approval has been awarded to the $ million Ballarat Station Precinct upgrade project, which will potentially include a hotel and convention centre with retail and restaurants, as well as a station upgrade.In the ACT, a number of new developments are set to revitalise Canberra’s Northbourne Avenue corridor. Development applications submitted in the last month include a $41 million, 209 apartment development in Turner. Other projects on the horizon for Canberra’s gateway include a 3-apartment and hotel development on the former NMRA House site.Meanwhile, the West Australian Government has announced the sale of two lots next to the Perth Arena to Far East Consortium International Ltd, which intends to build a 2-room hotel and 3 apartments. “CoreLogic is the provider of Australia and New Zealand’s most comprehensive residential and commercial property data. Our acquisition of Cordell in 2015 means CoreLogic now delivers the most extensive construction and building insights on the market,” says Crnek. Each month, Cordell tracks the construction and development market across the full gamut of project types. The latest monthly construction update is available online.