SYDNEY
THE INDUSTRIAL LAND SHIFT | 15
NATIONAL OVERVIEW
MELBOURNE BRISBANE PERTH ADELAIDE CONTACT INFORMATION
Submarket State Of Play
Sydney's industrial land supply profile varies considerably across its submarkets, both in terms of the quantum of land available and its capacity to support near-term development. The Outer West accounts for the majority of active and longer-term supply, although infrastructure delivery and ownership constraints continue to influence the rate at which land can be absorbed. Elsewhere, supply is increasingly concentrated within a limited number of major estates, and development-ready land across established infill markets remains extremely scarce.
ACTIVE LAND SUPPLY
LONG TERM LAND SUPPLY
SUPPLY DYNAMICS & CONSTRAINTS
SUBMARKET
• Active supply is concentrated within the Mamre Road Precinct at Kemps Creek, which collectively accounts for around half of the submarket’s active land stocks. The balance includes select estates at Badgerys Creek and Bradfield, as well as remaining parcels at Eastern Creek, Horsley Park and Erskine Park. • Fragmented private ownership remains a constraint to development. The progression of the longer-term pipeline will ultimately depend on infrastructure delivery and servicing timeframes. • Although the headline number is substantial, servicing and associated infrastructure are expected to occur at a pace similar to demand. Data centre activity also presents upside risk to land absorption given the availability of scalable sites. • Active supply is concentrated within a small number of major estates, including ESR’s Moorebank Intermodal Precinct and Charter Hall estates at Minto and Smeaton Grange. • Opportunities outside these estates remain limited, particularly for larger requirements, with the average lot size below three hectares and the ability to deliver sites at scale constrained. • Longer-term supply is limited at just 59 hectares and is largely concentrated within smaller, privately owned lots at Leppington, Austral and Gregory Hills. Site consolidation will be important to the development of much of this land. • Active supply is underpinned by the Marsden Park Business Park and ESR’s Huntingwood Logistics Estate. • Outside these estates, land availability is fragmented and generally limited in scale, restricting opportunities for larger industrial developments. • At 132 hectares, the longer-term supply pipeline remains modest relative to the Outer West and is concentrated around St Marys and Riverstone. Several large parcels towards Marsden Park North are actively seeking rezoning to industrial use which will provide a long-term supply relief. • Development-ready land remains extremely scarce, with just 13 hectares of active supply across the West and Central West and no active supply identified within the North or South. • Longer-term supply is higher, and includes the 65-hectare Botany Industrial Park, although extensive remediation works are required before development can occur. • Future supply will increasingly rely on the redevelopment of existing industrial assets.
2,526 hectares
OUTER WEST
649 hectares
SOUTH WEST
86 hectares
59 hectares
NORTH WEST
81 hectares
132 hectares
ESTABLISHED INFILL MARKETS
13 hectares
106 hectares
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