Melbourne’s new construction boom is being driven by a combination of new government incentives, an influx of private investment, and an improving economic outlook.
With a growing population and demand for housing and a growing number of new housing projects, Melbourne is a key battleground for the state’s construction industry, with more than $8 billion in investment over the past year.
As Melbourne’s housing market is starting to show signs of slowing down, it is becoming increasingly important for the industry to develop its long-term strategy to ensure it is able to survive the downturn.
Key points: A key factor for the growth of the Melbourne construction industry is the increase in the number of private projects completed over the last year, with nearly 20,000 construction contracts signed in the first quarter of 2018 Source: Melbourne Construction Industry Association (MCEA) map and statistics: MCEA Melbourne Construction Association ( MCEAA ) head of marketing, Matt Kwan, says it is crucial to recognise the role that the recent growth of private investments has played in Melbourne’s growth.
“There is a lot of speculation going on about whether the construction boom will continue, but I think we’re seeing it through the lens of the broader economy, which is growing very fast,” he said.
“The construction industry has been around for a very long time, so it is not surprising that we see a lot more new projects completed, and a lot less construction workers that are being laid off.”
It’s about finding new ways to use existing construction to create new employment and create new housing.
“That’s why there’s been so much investment in the CBD, and in the surrounding areas.
We’ve had a big investment in our new CBD precinct, and we’ve got the second largest apartment block in Melbourne, which has helped to create a boom in apartments.”
We’re also seeing the increase of new construction on the periphery of our city centre.”‘
A new boom’ Melbourne is in a new boom period.
According to the MCEa, the construction industry in Melbourne grew by 9.8 per cent between 2015 and 2018, with construction activity in the city up by 1.8 percentage points.
“As you look at our population and the growth we’re going to see, it’s about providing a much bigger workforce, which means we need to keep up the pace of our investments in infrastructure and the supply of housing.” “
I think that’s going to continue and it’s going be a really strong growth story in the next couple of years,” Mr Kwan said.
“As you look at our population and the growth we’re going to see, it’s about providing a much bigger workforce, which means we need to keep up the pace of our investments in infrastructure and the supply of housing.”
The industry is also seeing an influx in private investment.
Construction Industry Australia (CIA) chief executive Tim Killeen said that the construction sector is benefiting from the recent Federal Government changes that allow for a more rapid ramp-up of investment.
“The recent Federal Budget, which allowed for the construction of new homes, is a major step forward for the sector,” Mr O’Keefe said.
Construction projects in Melbourne have been increasing for the past few years, particularly in the areas of new residential housing and new commercial buildings.
“This is a new kind of boom period for the Melbourne Construction industry, and the sector is growing at an impressive rate,” Mr Smee said.