Melbourne New Land Market - "The New Normal"
The
UDIA presentation looks at the external and internal factors influencing the performance
of the Melbourne market with the aim of better understanding what Melbourne can
expect going forward.
The presentation uses the findings
from the National Land Survey Program (NLSP) September 2012 Quarter Results -
Melbourne Chapter.
The defining attribute of the NLSP since
inception is its aspiration of providing independent, verifiable, timely and accurate
data and insight about this major property industry and market sector to better
inform policy debate about the myriad of issues that residential land, as an essential
input into the housing industry, has the potential to effect. The NLSP is founded
upon a proprietary database created through extensive field and remote surveying
of over 770 residential and estates in the Greenfield regions of Australia's.
Presenter
Colin Keane, Director of Research4 and
the National Land Survey Program (NLSP)
For
further information regarding the NLSP
Colin Keane Director of Research4
colin.keane@researchfour.com
Robert Papaleo Director of Charter
Keck Cramer
Robert.papaleo@charterkc.com.au
www.nlsp.com.au
Overview
The Melbourne new land market once held
the mantle of being the largest for the nation. Of the six major capital cities,
Melbourne once accounted for forty three percent (2010 year) of new land sales,
it now accounts for sixteen (2012 year) percent.
Melbourne experienced from June 2009 through
to the close of 2010 a surge in demand for new land across its outer fringe. This
"boom" period was largely the result of a combination of external factors
converging and overwhelming the industry profile at the time.
The net result from this period has been
a loss of affordability, product choice and a buildup of industry capability at
a time when market conditions are weakening.
The
challenge for the Melbourne land market is to re-set expectations around what
is "normal" which will involve assessing the suitability of product
offering and industry capability in light of changing market conditions
