Docklands achieving higher apartment prices and rentals than Melbourne CBD
Docklands has historically outperformed the Melbourne CBD for property sale price growth, according to a report by Urbis.
With a median sale price growth of 19.2% between June 2009 and June 2014, it sat higher than the 10.9% recorded for the Melbourne CBD over the same period.
Docklands also recorded a higher median sale price, at $600,000 compared to $400,000 for the Melbourne CBD as at the June 2014 quarter.
"Ultimately, the sale price growth within Docklands has been supported by the scarcity of inner city waterfront sites with close proximity to the Melbourne CBD," the report noted.
The location also attracts a rental premium for investors with apartments within Docklands achieving between 12.5% (two bedroom product) and 23.2% (three bedroom product) over the Inner Melbourne Catchment at March 2014.
The residents of Docklands registered a median personal income that was 79% higher than the median personal income registered within Greater Melbourne, acccording to the Census 2011 data.
Melbourne's Docklands has a higher proportion of residents in the top tier income bracket, with 20.5% earning over $2,000 per week, compared to only 9.4% across Greater Melbourne.
This strong income profile can be credited to a high proportion of young professional residents in Docklands, with high levels of spending power and disposable income.
The Docklands-Southbank Statistical Local Area is forecast to increase by over 25,398 new residents between now and 2031.
This is in line with historic growth and equates to over 1,209 new residents per annum over the period, indicating a requirement for approximately 637 dwellings per annum and increasing residential density, according to an Urbis Study.
This projected population growth highlights the long-term potential for additional dwellings within Melbourne’s inner city.
Between 2006 and 2011, the Docklands-Southbank Statistical Local Area (SLA) registered an increase of around 726 new residents per annum.
Australian Bureau of Statistics Census 2011 data indicates that the largest demographic residing within the suburb of Docklands is the 25 to 29 age group, at 18.3% of the population.
The proximity of this catchment to CBD employment and activity are key drivers for a young professional demographic, with a desire to embrace inner city living and low maintenance dwellings, particulary in key locations such as Docklands.