City of Logan Investment Profile

Page 1

City of LOGAN PROFILE

MARCH 2016 PROUDLY

office of Economic Development


Contents City of Logan................................ 3 Snapshot....................................... 5 The City of Logan at a glance...... 6 Population..................................... 9 Demographics............................ 11 Employment and labour force... 12 Business..................................... 15 Building and construction.......... 17 Residential market.......................... 19 Industrial market.......................... 21 Resources and definitions......... 23


City of LOGAN Logan City

AUSTRALIA

Noosa Heads

The City of Logan is located in South-East Queensland, situated between the City of Brisbane to the north and City of Gold Coast to the south. The Logan local government area — the gateway to Queensland and the Asia Pacific region — covers 957 square kilometres and has a population of approximately 308,700 people, or 6.4% of Queensland’s population.

Kilcoy

Looking ahead to the next 20 years, Logan will continue to be one of the fastest growing cities Coolum Beach in Queensland. The population is expected to increase by close to 200,000 people and the City of Logan’s objective is to create at least 53,000 jobs to support this Mooloolaba population growth.

business and community services, property and construction, and transport and logistics. This already diverse economy has the potential to grow and diversify further with emerging sectors including AgTech, food and beverage processing, health and aged care. Given its central geographic location and available young workforce, Logan is ideally placed for continued growth in the South-East Queensland region.

Logan is a major economic destination within South-East Caloundra Queensland. Key industries in the city’s economy include manufacturing and retail sectors,

SUNSHINE COAST

Esk CITY OF LOGAN Brisbane Airport

Brisbane Gatton

Port of Brisbane

AUSTRALIA

Ipswich

CITY OF LOGAN

Beenleigh

Rail link Major arterial roads Major roads

Gold Coast Boonah

Beaudesert Surfers Paradise Gold Coast Airport

Tweed Heads

3



Snapshot The City of Logan is home to approximately 308,700 people from more than 215 different cultures. We celebrate our diversity and the rich and varied lifestyle it offers. The Logan local government area is also a very young city with around 50% of residents aged 30 or younger. This adds energy and enthusiasm to our community and gives us a real vibrancy. The City of Logan’s residential neighbourhoods continue to flourish, giving locals a wide range of lifestyle options, from leafy suburbs to bushland acreage. Many older suburbs predating the city’s short history have been revitalised through urban and community renewal partnership projects between Logan City Council and the Queensland Government. Given its strategic geographic location and capable young workforce, the City of Logan has thriving commercial, retail and manufacturing precincts, as well as healthy service and wholesale industries. Logan is ideally located between Brisbane, Ipswich and the Gold Coast, and has direct access to the national highway and rail networks. It has thriving light industrial precincts at Marsden, Crestmead, Slacks Creek, Loganholme and Berrinba, which are continuing to expand to meet the demand of quality, responsible industry.

The City of Logan has nearly 950 environmental and recreational parks, many featuring dog offleash areas, exercise facilities, play equipment and skate ramps. There are pristine bushland reserves and wetlands, as well as manicured waterfront parks along the Logan and Albert Rivers. The natural environment is an important facet to life in Logan, and a popular place to enjoy the bush and its wildlife is the Daisy Hill State Forest and Daisy Hill Koala Centre. There is plenty to do in the City of Logan for lovers of sport and recreation. A wide range of activities are available around the city, from the traditional cricket, rugby, football, netball and tennis to ‘newer’ sports like futsal. We have everything from pigeon racing and model sail boating to bocce, kayaking, martial arts and rocket launching. Our facilities include meticulously manicured golf courses, spectacular aquatic facilities and the multi-purpose Insports Centre, which features basketball courts as well as a gymnasium, rock-climbing wall, cafe and function room.

Logan has a range of attractions that capture the city’s history and cultural diversity. Visitors can step back in time at one of Logan’s oldest houses, Mayes Cottage, in Kingston, which has been converted into a house museum circa 1930s, or they can wander through the tranquil gardens of the Chung Tian Buddhist Temple at Priestdale, tucked away in a natural bushland setting. Cultural pursuits feature strongly at the regional Logan Art Gallery which showcases the best works by local and visiting artists. Art can also be found on display in commercial galleries around town, as well as at the historic Kingston Butter Factory and Community Arts Centre. The Butter Factory is home to the Butterbox Theatre (used by local performing arts groups), the Buttermaid’s Kitchen, the Logan City Historical Museum and an arts and craft co-op. The opening of the Logan Entertainment Centre in 2002 ushered in a new era for events and entertainment in the city. The city has its own venue for conferences, seminars and major functions. The centre allows locals to see major touring acts without having to leave the city.

5


The City of Logan at a glance Logan’s Gross Regional Product (GRP) is estimated at $10.345 billion. Logan represents 5.80% of South East Queensland’s GRP of $178.232 billion, 3.49% of Queensland’s Gross State Product (GSP) of $296.341 billion and 0.65% of Australia’s Gross Domestic Product (GDP) of $1.584 trillion.

72,745 19,502 Businesses (2014)

Jobs (2011)

133,823

GRP

Labour Force Residents (2014)

$10.345bn (2014)

$37,206 GRP per capita (2014)

308,681 Population (2015)

23.2%

an

yo

0-14 uth

se

105,142

rs 65+ nio

Families (2011)

9.5%

Log

Log

an

Age breakdown of residents (2011)

8.02% (unemployment Dec 2015)

Output $20.125b (2014)

outh 0-14 dy ls an

13.1%

Value-added $9.221b (2014)

Que en

Que en

Workforce Qualifications (2011) nd sla

3% Postgraduate Degree Level 2% Graduate Diploma and Graduate Certificate Level % 19 Bachelor Degree Level 17% Advanced Diploma and Diploma Level % 58 Certificate Level

seniors 65+ 20.2%

Regional Exports $4.151b (2014)

Regional Imports $4.747b (2014)

2004 to 2014 population 55,949 increase

Change in Dwellings 9,114 increase (2006 to 2014)


Emerging industries include: • transport and logistics • food manufacturing and processing • advanced manufacturing • health care • education and training • AgTech

Out of the 565 local governments in Australia, the City of Logan ranks fifth in population and has a budget allocation of $839 million in 2015/16 financial year.

By 2041 Logan will be home to two satellite cities — Yarrabilba (45,000 residents) and Greater Flagstone (120,000 residents).

Logan City Council is working with these industries to help the economy grow even further.

GRP ($B)

Output ($B)

Value Added ($B)

Regional Exports ($B)

Regional Imports ($B)

City of Logan

$ 10.345

$ 20.125

$ 9.221

$ 4.151

$ 4.747

South East Queensland

$ 178.232

$ 364.050

$ 165.929

$ 100.524

$ 70.595

Queensland

$ 296.341

$ 625.272

$ 277.652

$ 471.864

$ 101.591

Largest Employing Sector 15.9% Retail Trade

Largest Job Growth Sector 2,753 Health Care & Social Assistance

Largest Business Sector 4,940 Construction

7



Population The current population is 308,681 and is expected to increase by up to 200,000 people within the next 20 years and City of Logan’s objective is to create at least 53,000 jobs to support this population growth.

Population forecast Between 2016 and 2036, the population of Logan LGA is projected to increase by 205,736 people. The average annual projected population growth between 2016 and 2036 of 2.54% is greater than the average growth rates experienced over the previous 10 years (2.11%).

Actual

500,000

Projected

400,000 300,000 200,000 100,000 0 2001

Projections by age The proportion of the City of Logan population aged 65-79 years is expected to continue to increase from 9.39% of Logan LGA’s total population in 2016 to 11.43% in 2036. The proportion of persons aged 80 years or more is expected to more than double during this time (from 2.13% to 4.78%).

City of Logan Population

600,000

2006

0 –14

15 –29

2016

72,483

2021

83,999

2026 2031 2036 2016–2036

2011

2016

2021

2026

2031

2036

30 – 49

50– 64

65 –79

80+

Total

67,036

87,229

52,849

29,686

6,731

316,013

73,185

100,193

59,931

37,682

9,207

364,197

95,489

82,660

113,879

67,859

45,778

13,421

419,087

105,400

93,417

126,565

75,875

52,312

19,358

472,927

113,366

103,556

134,852

85,397

59,657

24,921

521,749

40,884

36,520

47,623

32,548

29,971

18,190

205,736

Source: Queensland Government Population Projections, 2014 (QGSO)

9



Demographics Resident age profile Overall, 23.25% of the population is aged between 0 and 14, and 14.77% is aged 60 years and over, compared with 19.7% and 18.42%, respectively, for South-East Queensland.

0-4 years

8.16% 6.73%

5-9 years

7.48% 6.46%

10-14 years

7.59% 6.51%

15-19 years

7.78% 6.80%

20-34 years 35-49 years 50-59 years 60-64 years 65-69 years 70-84 years 85+ years

Resident Age Profile

20.99% 21.25% 21.09% 21.57% 12.06% 12.27% 5.30% 5.49% 3.59% 4.15%

Logan

4.97% 7.08%

South East Queensland

1.00% 1.70%

5%

Weekly individual income Overall, 7.8% of the population earn a high income, and over 34% earn between $400–999 per week compared with 12.2% and 31.87% respectively for South-East Queensland.

Nil income $1-$199 $200-$299 $300-$399 $400-$599

$800-$999 $1,000-$1,249 $1,250-$1,499 $1,500-$1,999 $2,000 or more Not stated

0%

20%

25%

30%

Logan South East Queensland

2%

Housing tenure

15%

Weekly Individual Income

0.63% 0.57% 7.55% 7.31% 7.54% 7.20% 10.20% 9.52% 9.32% 9.49% 11.99% 11.89% 12.70% 11.07% 10.03% 8.91% 8.83% 8.44% 5.41% 5.85% 4.85% 6.48% 2.99% 5.72% 7.94% 7.55%

Negative income

$600-$799

Compared with South-East Queensland, there is a higher proportion of households paying off their dwelling in Logan and a lower proportion of the population who own their properties freehold.

10%

4%

6%

8%

10%

12% 14%

Housing Tenure Owned with a mortgage

40.93% 34.22%

Rented

29.91% 31.27%

Owned outright

22.22% 27.09%

Not stated

1.36% 1.80% 5.57% 5.62%

Other Tenure type 0%

10%

Logan South East Queensland 20%

30%

40%

Source: Logan City Council Online Community Profile: www.communityprofile.com.au/logan

50%

11


Employment and labour force It is estimated that 72,745 people work in Logan. Logan represents 6.14% of the 1,185,378 people working in South-East Queensland and 3.7% of the 1,967,425 people working in Queensland.

Industry Sector Profile 2006 to 2011 Despite a fall in some industries such as ‘Manufacturing’ (-603) and ‘Rental, Hiring and Real Estate Services’ (-102), there was an overall increase of 6,946 jobs in City of Logan between 2006 and 2011. The largest employment changes by industry were: • Healthcare and Social Assistance (+2,753) • Professional, Scientific and Technical Services (+839) • Public Administration and Safety (+691)

Source: Remplan

Employment in Logan Retail Trade -11,567 Health Care & Social Assistance - 9,226 Manufacturing - 8,549 Education & Training - 7,349 Construction - 6,720 Accommodation & Food Services - 4,574 Wholesale Trade - 3,652 Public Administration & Safety - 3,389 Professional, Scientific & Technical Services -3,274 Transport, Postal & Warehousing - 3,264 Other Services - 3,192 Administrative & Support Services - 2,394 Rental, Hiring & Real Estate Services - 1,522 Financial & Insurance Services - 1,423 Arts & Recreation Services - 707 Electricity, Gas, Water & Waste Services - 689 Agriculture, Forestry & Fishing - 589 Information Media & Telecommunications - 525 Mining- 140

0 2,000

6,000

10,000

14,000


Of the 123,619 employed residents in the City of Logan, 45,009 live and work within the city. In addition to the daily export of 78,610 people, the City of Logan imports 27,736 people who come to work in the city each day.

Workers (working in Logan) by Age 15-19 20-24 25-34 35-44 45-54 55-64 65-74 75-84 over 84

Managers Professionals Technical and Trades workers Community and Personal Service workers Clerical and Administrative workers Sales workers Machinery Operators and Drivers Labourers Not Stated - Inadequately described

6,097 7,262 15,169 16,639 15.695 9,995 1,742 140 6

0

Workers (working in Logan) by Occupation

5

10 15 (1,000s)

20

8,651 11,998 10,021 7,762 11,212 9,804 5,213 7,424 661

0

2

4 6 (1,000s)

8

10

12

Skills Profile Professionals

11.89% 12.58%

Clerical and Administrative Workers

16.49% 22.57%

Technicians and Trades Workers

13.78% 12.38%

Sales Workers

10.67% 10.14%

Managers

15.41% 16.94%

Community and Personal Service Workers

13.48% 10.60%

Labourers

7.17% 5.48%

Machinery Operators and Drivers

10.21% 8.30%

Not stated - Inadequately described

0.91% 1.02%

Work in Logan

0

5

10

15

20

25

30

Work in South East Queensland

Source: Remplan

13



Business Business Counts by Industry

Business Counts by Industry

As at June 2014, there were 19,502 businesses operating in the City of Logan. The largest number of registered businesses is in the ‘Construction’ sector (4,924 businesses), followed by ‘Transport, Postal and Warehousing’ (1,929). Between 2012 and 2014, the number of registered businesses declined by 1,228 from 20,730. The ‘Construction’ sector experienced a decline in business numbers (-80). The manufacturing sector has increased by 44 businesses in a 12 month period to June 2014.

Construction - 4924 Transport, Postal and Warehousing - 1929 Professional, Scientific and Technical Services - 1766 Rental, Hiring and Real Estate Services -1716 Retail Trade - 1303 Manufacturing - 1224 Other Services - 1175 Financial and Insurance Services - 1054 Administrative and Support Services - 869 Wholesale Trade - 741 Health Care and Social Assistance - 645 Accommodation and Food Services - 562 Not Classified - 465 Agriculture, Forestry and Fishing - 421 Arts and Recreation Services - 209 Education and Training - 204 Information Media and Telecommunications - 99 Public Administration and Safety - 90 Electricity, Gas, Water and Waste Services - 63 Mining - 43 0 1,000

Number of Businesses:

19,502 (2014)

Largest Employing Sector

25.40%

15.90%

(Construction - 4,940 businesses) (2014)

Retail Trade (2014)

14,000 2012

12,000

2013 2014

10,000 8,000 6,000

1-4 staff

5-19 staff

433

420

446

1,855

1,894

1,885

5,522

5,326

5,618

11,674

11,845

12,769

4,000

Non employing

7,000

Workforce size

16,000

0

5,000

Largest Sector by Business Count

Business Counts by Industry

2,000

3,000

20-199 staff

12

12

18

200+ staff

Between June 2013 and June 2014, there was an increase in businesses employing between 1 to 4 staff of 3.7%. In the same period, there was also an increase in businesses employing between 20-199 staff of 3.10%. The number of businesses with at least 200 staff has increased from 12 to 18 in Logan. The largest fall in business counts occurred in non-employing businesses, with a decrease of -1.44% from 2013 to 2014. The decline in the number of self-employed businesses is in line with national trends.

Source: Logan City Council Online Economic Profile: www.economicprofile.com.au/logan

15



Building and construction There was a significant increase in the number and value of residential dwelling approvals between 2013/14 and 2014/15 rising from 1,540 approvals with a value of $344.9 million to 2,310 approvals with a value of $517.8 million.

Building Approvals - Number 3,000 839

320

Residential

2,500

Other

2,000 1,500

424

200

1,000

202

242

355

516

219

85

195

673

638

827

780

1,066

873

1,874

855

844

1,185

2,310

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

2010-11

2011-12

2012-13

2013-14

2014-15

500 0

8.30%

Building Approvals - Value 1,000

Residential Other

2004-05

2006-07

2007-08

2008-09

2009-10

2011-12

2012-13

Source: Logan City Council Online Economic Profile www.economicprofile.com.au/logan

$517.80

$142.11 $344.87

$283.41 $296.83

$118.25 2010-11

$260.29

$590.69

$226.51 $143.91

$282.48 $153.77

$246.24

$235.51 2005-06

$387.57

0

673

$269.57

300

$222.77 $286.60

400

$216.81 $192.77

600

$144.00

$208.43

800

2013-14

2014-15

17



Residential market Between 2006 and 2014, the highest number of annual lot approvals occured in 2011, a peak of 2,987 lots, with 82% of these being in larger projects of more than 50 lots. 2014 experienced an increase in new lot registrations. There were 969 new lot sales in the City of Logan in 2014. Vacant land sales generally account for the majority of new lot sales, with house and land package lots generally accounting for approximately 20% of sales.

Lot Approvals and Registrations 3,500 3,000 2,500 2,000 1,500 1,000 500 0

2006

2007 2008 2009 2010 Total Lot Approvals

There were a total of 5,785 new and established house and unit sales.

2011 2012 2013

2014

Total Lot Registrations

Median sales prices for house and land have been relatively stable over the last 5 years. Median rents in Logan have remained steady over the last four years. Four bedroom houses attract the highest rents. Three bedroom product for houses and units attract a similar rental rate.

Median Property Prices (Residential) House

$370,000

Unit

$245,000

Median Rental Prices (Residential) Two Bed Units / Flats

$260

Three Bed Units / Flats

$300

Three Bed Houses

$340

Four Bed Houses

$400

Two Bed Townhouses

$280

Three Bed Townhouses

$335

SEIFA Index of Relative Socio-Economic Disadvantage

Source: Residential Land Development Activity Profile, June Quarter 2015, Logan

971

19



Industrial market The Logan Motorway is strategically located less than 25 kilometres from Brisbane’s CBD and is adjacent to the Ipswich, Gateway and Pacific Motorways. It has easy access to Brisbane Airport and the Port of Brisbane. The City of Logan is a nexus for industrial and road-dependent industries making it an attractive region for these businesses. Logan Motorway Corridor Between March 2014 and March 2015: • New Stock (Total: 73,636 Sq M) • New Stock (>=3,000Sq M): 47,491 Sq M • New Absorption: (>=3,000Sq M): 50,678 Sq M • Gross Absorption: 50,678 Sq M

Gold Coast/Logan Corridor Low Rental Net Effective ($/Sq m) Yield Market (%) IRR (%) Outgoings - Total ($sq m) Capital Value ($sq m)

ATCO: Amalgamation of three separate facilities elsewhere to 97,000 Sq M site early 2014

CEVA Logistics: Opened a 56,000 Sq M complex in Berrinba in December 2013

Empirica Management Ltd: DA approval for 10,605 Sq M industrial facility in Berrinba (sold) Sigma Pharmaceuticals: Construction of new 14,990 Sq M warehouse and distribution centre commencing April 2016

High

Low

High

100

125

70

95

7

7.75

8.75

9.5

8.75

9.75

10

10.5

15

25

15

20

1,300

1,800

750

1,250

Land Value 3000-5000 ($/Sq m)

Properties

Secondary

225–300

Source: Savills, Spotlight Brisbane Industrial, Quarter 4, 2015

Logan Motorway Corridor Industrial Supply Summary

Businesses that have moved to the area to capture the City of Logan’s geographical advantages:

Prime

No. %

Floorspace

NSQM %

March 2014

March 2015

<3,000 Sq M

>=3,000 Sq M

Vacant

>=3,000 Sq M

188

222

200

227

45.9%

54.1%

46.8%

53.1%

345,538

3,788,813

371,683

3,836,304

8.4%

91.6%

8.9%

91.1%

Source: Property Council of Australia - Queensland, Industrial Vacancy Report, April 2015, AEC

Industrial Sales– Logan City Sales Period

Built Form

Vacant Land

01/01/2005 to 24/04/2015

01/01/2005 to 24/04/2015

Price

Area (Sq M)

Price

Area (Sq M)

Lowest

$60000

75

20000

1039

Highest

$9,415,000

43460

$14,135,000

61840

Average

$894,306

2861

$1,697,812

7375

Median

$550,000

429

$1,182,104

4159

No. Sales

355

82

Source: Property Data Solutions Pty Ltd 2015. The State of Queensland (Dept of Environment and Resource Management)

The GPT Group: Purchased 21ha of land in Berrinba to develop a transport and logistics park (2015) 21



Resources and Definitions • Logan City Council: www.logan.qld.gov.au • Logan City Council Online Economic Profile: www.economicprofile.com.au/logan • Logan City Council Online Community Profile: www.communityprofile.com.au/logan • Queensland Government Population Projections, 2014 (QGSO) • Australian Bureau of Statistics • Department of Employment, Small Area Labour Markets Australia • Residential Tenancies Authority Queensland • Residential Land Development Activity Profile, Logan Regional Council, Queensland Treasury and Trade, Government Statistician • Valuer-General’s 2015 Property Market Movement Report • Savills, Spotlight Brisbane Industrial, Q4/2015 • King & Co Property Consultants, King’s Counsel, Issue 41, Winter 2014 • Property Council of Australia – Queensland, Industrial Vacancy Report, April 2015, AEC • Property Data Solutions Pty Ltd 2015, The State of Queensland (Dept. of Environment and Resource Management)

Disclaimer: All figures and data presented in this document are based on data sourced from the Australian Bureau of Statistics (ABS), and other government agencies. Using ABS datasets, the regional economic modelling software ‘REMPLAN Economy’, has been applied to generate industrial economic data estimates. This document is provided in good faith with every effort made to provide accurate data and apply comprehensive knowledge. However, REMPLAN does not guarantee the accuracy of data nor the conclusions drawn from this information. (07) 5689 1499 / (03) 5444 4788 www.remplan.com.au

23


Logan Office of Economic Development www.loed.com.au (07) 3412 4888 loed@logan.qld.gov.au


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.