MPM Property | Logan Outlook

G O L D C O A S T • I P S W I C H • M A C K AY

LOGAN OUTLOOK Logan is a thriving city situated between Brisbane to the north and Gold Coast to the south. The city is a major economic destination with key industries including manufacturing, retail, business and community services, the property sector, construction and agricultural industries.

LOCATION: Positioned in the Brisbane growth corridor with the Gold Coast to the south.

YATALA ENTERPRISE AREA: The 127

hectare industrial hub is projected to inject $1 billion in the economy over the next 10 years (More Gold Coast 2016).

A combination of affordable property prices, a solid pipeline of development and infrastructure, and the proximity to job hubs is making Logan an ideal choice.

MAY 2016

Over the next 20 years Logan will continue to be one of the fastest growing cities in Queensland. Given its central geographic location and available young workforce, Logan is ideally place for continued growth in the southeast Queensland region.

EMPLOYMENT GROWTH: Logan is currently

RENTAL GROWTH: Median rental yields

132,690 people. Over 53,000 new jobs will be

are showing market momentum, with 7.7%

home to 19,490 businesses, employing

created in the Logan area to accommodate expected population growth.

for both apartments and houses in Logan

returns for apartments and 6.3% for houses (Commonwealth Bank 2016).

PROPERTY PRICE GROWTH: The 12-month

growth for houses in Logan Central is 11.61%

Many of the region’s older suburbs have been revitalised through urban renewal projects.

A new emphasis on social factors such as dining, entertainment, recreation and cultural diversity is rounding out the city’s new image.

ECONOMIC OUTLOOK:

YATALA ENTERPRISE AREA

Logan produces a Gross Regional Product (GRP) of $9.70 billion – 3.3% of Queensland’s Gross State Product (GSP).

The Yatala Enterprise Area (YEA), one of Queensland’s

The city’s key industries include manufacturing, retail, business and community services, the property sector, construction and agricultural industries. This already diverse economy has the potential to grow and diversify further, while also adding a strong focus on technology and knowledge-based industries.

In terms of development, the YEA is focused around

premier industrial addresses, is set to be a market leader in

terms of innovative industrial development and will facilitate

growth in long-term employment (Beenleigh & Region 2015). attracting businesses in advanced manufacturing in food and beverage, construction materials, machinery and

equipment, plastic and chemicals, warehousing, transport and distribution. The YEA has enough capacity to sustain development until 2046.

EMPLOYMENT GROWTH

Logan’s population is expected to top 473,000 by 2031 and the Logan City Council has a Priority Infrastructure Plan in place to help manage the city’s growth in terms of housing and employment.

Logan is home to 19,490 businesses, employing 132,690 people. It will continue to be one of the fastest growing cities in Queensland. With this in mind, Logan City

Council has pledged to create at least 53,000 jobs to support the population growth.

Logan is ideally positioned in the centre of one of southeast Queensland’s highest growth employment hubs. With booming industrial development at its core, Queensland’s capital to the north and the bustling Gold Coast to the south, Logan’s job market is expected to grow significantly over the next few years.

The $9 million Beenleigh Town Centre project is one of the city’s major redevelopments and will deliver on Logan City Council’s vision for the area’s central business district.

The project will provide business and employment opportunities, and catalyse development and small business investment.

E M P LOY M E N T G R O W T H O P P O R T U N I T I E S : • Wembley Road and Logan Motorway Interchange: will create 3,000 new jobs • Upgrade of Mt Lindesay Highway: will create 30,000 new jobs • Yatala Enterprise Area: will create 40,000 new jobs

RESIDENTIAL MARKET INSIGHTS Due to its central geographic location and available young workforce, Logan is ideally placed for continued growth in the South East Queensland region.

Logan’s property market is expected to be a hotbed of activity during the next decade due to its proximity to Brisbane and the Gold Coast, offering multi-sector employment opportunities and a beach lifestyle on weekends.

Its bushland setting, established retail infrastructure, proximity to the Logan River and easy access to Brisbane and the Gold Coast make it an attractive prospect for buyers.

The Logan area is about to embark on a major growth phase due to land availability (Urban Developer 2015). Median rental yields for both apartments and houses in Logan are showing market momentum with 7.7% returns for apartments and 6.3% for houses (Commonwealth Bank 2016).

High-level growth is a result of affordable properties with above-average rental yields, widespread transport links, a diverse mix of industries providing employment and a growing economy.

• 41.2% of the Logan population is in the process of purchasing a home, 22.3% own their own homes and 30.5% are currently renting.

• Market characterised by lower property entry price and high rental yields.

• Housing supply is consistent with population demand (Propertyology 2015).

HOUSING SUBURB PROFILES: SNAPSHOT OF LOGAN MEDIAN PRICE

LO G A N C E N T R A L K I N G S TO N

$289,000 $295,000

TA N A H M E R A H

$415,000

LO G A N H O L M E

$410,000

HOLMVIEW BEENLEIGH

$361,250 $307,500

W E E K LY M E D I A N A D V E R T I S E D R E N T

LO G A N C E N T R A L K I N G S TO N

$320 $330 $420

TA N A H M E R A H LO G A N H O L M E HOLMVIEW BEENLEIGH

$375 $390 $345

G R O S S R E N TA L Y I E L D

LO G A N C E N T R A L

5.58%

K I N G S TO N

5.82%

TA N A H M E R A H

5.26%

LO G A N H O L M E

4.76%

HOLMVIEW

5.62%

BEENLEIGH

5.83%