What does the future hold for Melbourne property?
What does the future hold for Melbourne property?
Since 2006, Australia’s population has increased by 3.8 million people, according to the Australian Bureau of Statistics (ABS). Australia’s capital cities account for 77 per cent of total growth and Melbourne has been the most popular of all.
Melburnians don’t need the ABS to know we’ve picked up some new residents in the last ten years – 964,000 to be precise. We can see it on the train to Flinders in the morning and when we visit busy suburbs like Footscray or Coburg that were much quieter a few years ago.
When a city grows, changes must be made to accommodate for new residents. Several trends are already shaping the forecast for Melbourne’s future, all of which will affect those looking to buy, sell or rent Melbourne property.
The Australian megamall is here to stay
Melbourne is already home to Australia’s largest shopping centre, Chadstone, and if you didn’t think it could get any bigger, you were wrong. Chadstone is slated for a $660 million facelift that will make this megamall even more massive.
Proximity to the CBD will no longer be as much of a priority for those who want access to a range of amenities.
According to TimeTrade, the majority of consumers don’t think retailers are providing VIP service. The Australian megamall – packed with restaurants, cafes, cinemas, and children’s areas – is here to stay as bricks and mortar establishments compete with online shopping by providing a unique, world class customer experience.
Buying Melbourne property in close proximity to the CBD will no longer be as much of a priority for those who want access to a range of amenities. In the March quarter 2017, nearly $9 billion worth of non-residential construction projects took place in Australia. Soon enough, wherever you live in Melbourne, you’ll have access to a major shopping centre like Chadstone, Northland, Highpoint and Doncaster. This will have major implications for the property values in suburbs currently slated as ‘too far’ from the city.
The CBD is moving northward
Melbourne’s CBD is expanding and it’s going north. This is evident in the five-year renewal plan for the Queen Victoria Market precinct. The $250 million project will make space for 628 small businesses and have a $1.2 billion net benefit to the community.
Fans of the iconic Queen Vic Market have been hesitant to embrace the project, but the City of Melbourne has been clear that currently, “the market is lacking in amenities, facilities and spaces to adequately provide for present-day and future needs.”
In light of these changes, Melbourne’s north – particularly suburbs like Fitzroy and Carlton on the cusp of the CBD – will be even more attractive for those who work in the city or simply enjoy living there. Property in suburbs like Preston and Ascot Vale will also increase in value as the CBD moves northward – rendering them much closer to town and more appealing to renters than they already are.
We’re also seeing expansion within the CBD from other urban renewal projects, including the development of Melbourne’s Docklands. The renewal of Melbourne’s Docklands began in 1997 and is slated for completion around 2025. Currently, the Docklands Community and Place Plan has identified 30 projects – including heritage trails, performance venues, and community centres – all of which will make this vibrant part of Melbourne even more popular among residents and visitors alike.
Melbourne is going even greener
All over Melbourne, thing are looking greener. The transformation of Southbank Boulevard slated for 2020 plans to add new bike lanes and tree covered footpaths, the Green Your Laneway project is already adding lush flora to one of Melbourne’s 200 laneways, and the Urban Forest Fund plans to make a number of sustainable changes to Melbourne CBD’s buildings, including:
- 6 hectares of green roofs
- 4.6 hectares of green facades
- 0.9 hectares of green walls
- 40,000 new trees
Melbourne Metro is even getting in on the action. The Victorian government has just announced a $10.9 billion plan for five new underground stations based on biophilic design principles – or the idea that humans prefer buildings with natural connections. New stations will include pedestrian and cyclist access, increased vegetation, and open, green spaces. One such station will be at Arden Street in Melbourne’s inner North – another indicator of the CBD’s expansion.
For city-dwellers, having access to pleasant, outdoor spaces can be a real property dealmaker. Whether you want to buy an investment property or purchase a home for yourself, we recommend checking out which public recreations areas – like the gorgeous Edinburgh Gardens or the expansive Merri Creek Trail – exist or are currently underway.
A lot is going to change in Melbourne and Melbourne property in the next few years, but one thing remains the same: the northern suburbs are a great place to live. If you want to know more about property in the Melbourne’s north, reach out to the experts at Nelson Alexander.