A new report has shown there is ample space for more real estate in Melbourne to be built in the future, which could lead to potential investment opportunities over the coming years.
The report, released by the Urban Development Program (UDP) on January 24, found that five out of the six growth areas identified in Melbourne have enough residential land supply to last for approximately 25 years. The sixth growth area, located in Whittlesea, has a sufficient supply to last 22 years.
This translates into an approximate total of 412,600 residential house lots across the growth areas, which can go a long way to catering for the expected population surge that will occur over the next 20 years.
Another significant finding from the report surrounds apartments in Melbourne. According to the research, the number of potential apartments in Melbourne's activity centres has doubled since 2008-09.
However, it's not just residential real estate lots that are in abundance across Melbourne. The report also found that the state capital's more prominent industrial precincts have over 20 years supply of land for industrial real estate.
This could pave the way for potential job growth and a boost in business investment as the population continues to grow over time.
Strong population growth predicted
This information comes after the release of data from the Australian Bureau of Statistics (ABS), which predicted strong population growth for Australia.
By 2075, the ABS projects the Australian population will double to 46 million people.
The overall population of Victoria will rise by 50 per cent from 5.6 million to 8.4 million by 2040.
However, growth is expected to be the strongest in Sydney and Melbourne, after both state capitals reach 7.9 million people each by 2053.
"Based on our projections, with medium growth, Australia will double its population by the year 2075," said ABS Director of Demography Bjorn Jarvis in a November 26 statement.
"But under our high and low scenarios it could be as early as 2058, or after 2101."
Projections were based on assumptions of future levels of fertility, migration, recent population trends and life expectancy.
Coupled with an abundance of residential land supply, these significant population increases could lead to lucrative opportunities for property investors in Melbourne.
