Residential crane count across Australia still near peak: RLB Crane Index Q1 2023
Residential cranes across Australia's capitals and major cities are still at near peak levels, Rider Levett Bucknell (RLB's) Q1 2023 Crane Index found.
The residential index representing the number of cranes on residential projects across the country has eased off very slightly from 172 index points to 171 index points. The results are similar to those recorded in the 2015-2017 property boom.
Over the last six months, 292 new cranes were added to new development sites, but 300 were removed from projects nearing completion. There are 835 cranes up across the country, a 3.8 per cent decrease from the 868 cranes in RLB's last edition of the report. The 835 cranes in the Q1 2023 report is still the second highest number of cranes seen since the inception of the RLB Crane Index in 2012.
The number of cranes across Australia. Image credit: RLB Crane Index Q1 2023
Domenic Schiafone, RLB’s Oceania Director of Research and Development said the continuing strong number of cranes observed correlates with the strong national activity numbers.
Large fall in crane numbers in Melbourne CBD, but residential cranes holds firm
Melbourne recorded a fall of eight per cent in the Q1 2023 RLB Crane Index.
Across Melbourne, a total of 84 new cranes were added to projects, and 101 cranes removed, representing a net loss of 17 cranes across the region, bringing the current number of cranes to 189, down from 206 recorded in the previous edition.
There were two less cranes for residential projects across Melbourne compared to the Q3 2022 Crane Index. Approval values grew over the 2022 calendar year, up 1.5 per cent.
"The apartments sub-sector saw total approvals grow by 42.8 per cent to $6.1 billion, although still below CY 2017 peaks," Schiafone noted in the report.
The report found that inner-city remains the region with the highest prevalence of cranes, accounting for 44 per cent of all of Melbourne’s cranes.
Residential cranes in Melbourne account for 53 per cent of crane activity.
To read more about Melbourne crane activity, click here.
Sydney still the main driver of crane count, but residential tapers off
Sydney continues to be the main driver of the crane count. Of the 836 cranes sighted across Australia, 365 were in Sydney.
But the residential pipeline in Sydney is shrinking. Approvals for houses were up 2.3 per ent, but apartment approvals were down by 23.1 per cent.
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The residential sector saw a total of 78 cranes removed and 65 new cranes added, bringing the overall number of cranes in the sector down to 246 cranes.
Inner Sydney (CBD & Surrounds) saw the addition of only 18 cranes, against the removal of 27 cranes. This brings the total number of cranes down to 89 cranes. Losses were almost entirely attributed to the residential sector, which recorded a net decrease of 13 cranes.
Sydney's crane activity is still the second highest on record.
To read more about Sydney's crane activity, click here.
South East Queensland reaches a new high
The crane count in Brisbane declined slightly during Q1 2023, down by five cranes from 35 to 30.
The residential sector continues to be the largest in Brisbane, accounting for 39 per cent of all cranes (30 of 77 cranes), slightly lower than the 43 per cent share recorded in the previous count.
Schiafone says it is interesting to note that that the current 39 percent share that the residential sector maintains in Brisbane is significantly lower than both Melbourne and Sydney, where residential cranes account for 53 per cent and 67 per cent of each city respectively.
While Brisbane recorded a net loss in overall crane numbers, the Sunshine Coast and Gold Coast have performed stronger, bringing the total number of cranes across South East Queensland to a new high of 153 cranes.
Queensland should see a strong pipeline of activity over the next few years, with approval values for 2022 growing 6.2 per cent compared to 2021.
To read more about the South East Queensland crane activity, click here.