With predictions of a population explosion for South East Queensland that will see the number of residents in the area grow from the current 2.8 million to a staggering 4.4 million by 2031, the state government has launched a new development blueprint.
The government has drafted its proposal in a bid to prevent the inevitable urban sprawl that comes with such a population boom, instead encouraging the growing population to settle in areas with existing transport infrastructure such as rail and bus lines. The plan takes in a region of 22,980 square kilometres, stretching 240 kilometres from Noosa in the north to the NSW border in the south and 160 kilometres west to Toowoomba.
The Plan estimates that 754,000 new homes are required in the region to cope with the massive influx of new residents expected over the next two decades, with at least half of these new dwellings to be constructed amidst areas with existing, established housing. In Brisbane alone, 156,000 additional homes are required with 138,000 being infill housing. Overall, this represents an average of 93 new homes being constructed in the area each day over the next 20 years.
Of course this type of population explosion is great news for Brisbane property investors, particularly given the development restrictions being imposed by the state government. With increasing demand for housing and an apparent tightening of supply, property values look set to rise significantly over the coming years. Also, the changing household structure and reduction in average household size will mean the percentage growth in housing demand will continue to be higher than the population growth rate.