METRONET will drive the economic bounce back
Industry experts are feeling positive for the year ahead off the back of METRONET that will help drive growth in all property sectors in 2018.
A well distinguished panel from across all sectors shared their insights and unpacked the critical questions about the industry’s prospects for the year ahead, at a recent industry lunch hosted by the Property Council of Australia.
The biggest project currently underway in Perth right now is METRONET, the location of stations and availability of adjacent land for development will be critical.
Metronet will drive WA’s economic bounce back through job creation and connecting our city to the suburbs,” Property Council WA Executive Director Lino Iacomella said,
“Infrastructure will drive investment decisions for the short and longer terms.”
Anthony Kannis, Project Director of the METRONET Office recapped the importance of this project, “the State Government’s long-term public transport plan of METRONET aims to create connected and vibrant communities, reduce road congestion and act as a vehicle for enhanced land use planning outcomes”.
“All sectors of WA property have turned the corner and can expect some growth in 2018,” Mr. Iacomella said.
Retirement villages are going to “hit the industry like a tsunami,” Masonic Care CEO ML MacDonald said.
“The wave of seniors is coming and legislation must now play catch up. It is essential we see the partial lifting of memorials from the retirement living act, to enable industry to create mixed use centres that is interest specific, rather than age.
“We’ll see centres focused around a love of the arts, or the beach or whatever it is. People want to live round people with shared values, not necessarily the same age,” Ms MacDonald said.
Samantha Reece, Director of PropertyESP, shared positives insights into the residential market and remarked: “apartment living is shaking stereotypes”.
“It is not just the elderly couple looking to downsize anymore, or first home owners entering the market, the lifestyle of apartment living is reaching families with recent increases in the sales of three-bedroom units.
Retail is also on the up. Scentre Group’s Damon Dimitrijvic explained that there is currently billions of dollars’ worth of development happening across almost every major shopping centre in the state. Utilizing a downturn in the mining sector to enable a readily available workforce and value for money has enabled large sale investment in the state.
These retail centres will be well positioned to draw in big business as consumer confidence continues to grow in 2018.
Other industries are set for a slower but steady recovery in 2018, including commercial property and the industrial sectors.
Both have seen slight increases in current vacancy ate sin the past 6 months, with small but steady declines predicted to continue in 2018.
“Overall, there is a real sense of optimism across industry, largely driven to the increased level of investment by the WA Government through t delivery of METRONET,” Mr Iacomella said.