According to the recent State of the City report released by the Brisbane City Council, Brisbane is Australia's fastest-growing major capital city and is on the cusp of an economic transformation. With a projected economy of $275 billion by 2041 and its selection as the host city for the 2032 Olympic and Paralympic Games, Brisbane is poised to become a powerhouse in the Asia-Pacific region [1].
This article explores the key factors driving Brisbane's growth and the opportunities driving investment that is expected to continue to bolster the Brisbane property market.
Economic Foundations and Competitive Advantages
Brisbane's strategic location serves as a gateway to the Asia-Pacific region, positioning it perfectly to capitalise on its economic growth engine, not to mention its position in the heart of South East Queensland [2].
As businesses thrive and expand, they generate a number of employment opportunities that attract both interstate and international talent to the region. This influx of skilled professionals not only enhances the city's labour market but traditionally also fuels demand for housing.
The growing population necessitates residential development, typically we see a supply-demand imbalance in the housing sector which supports property values to grow or remain stable.
Brisbane's business-friendly environment is a significant factor driving the expected population growth, with an active strategy by the Brisbane City Council (BCC) to attract companies eager to establish or expand their operations here.
The city's robust and growing talent pipeline, supported by world-class universities and research institutions, also contributes to population growth. Brisbane boasts the highest concentration of innovation hubs per capita in Australia, with over 140 hubs promoting collaboration among industry, academia, and government. This vibrant ecosystem is cultivating a skilled workforce eager to drive innovation, further attracting individuals seeking opportunity and advancement. [3]
Quality of life also plays a vital role in population growth, and Brisbane excels in this aspect. With 240 days of sunshine a year, ample green spaces, and a lively cultural and culinary scene, the city offers a desirable work-life balance that appeals to professionals and families from around the globe, encouraging them to make Brisbane their home.[4]
Major Infrastructure Projects and Investments
Brisbane is experiencing a transformative $25 billion infrastructure boom that not only reshapes the city and creates numerous job opportunities but also stimulates the economy during these projects. In the long run, this investment will enhance liveability for residents, making the city an even better place to live and work [1].
Key projects include:
- Brisbane Metro: A high-frequency public transport system that will revolutionise city commutes [5].
- Cross River Rail: A new underground rail line that will significantly enhance the city's public transport capacity [6].
- Green Bridges Program: New pedestrian and cyclist bridges connecting key areas of the city [7].
- $5 billion Brisbane Airport expansion: Enhancing the city's global connectivity and trade capabilities [8].
Urban renewal projects are transforming Brisbane's skyline and creating new economic hubs, enhancing liveability by developing world-class entertainment precincts. This transformation is expected to continue bolstering population growth and boosting the property market by continuing to shape Brisbane as a desirable place to live.
- Queen's Wharf Brisbane: A $3.6 billion integrated resort development set to become a world-class entertainment precinct [9].
- Waterfront Brisbane: A $2.5 billion development revitalising the Eagle Street Precinct with premium office space and public areas [10].
- Brisbane Live Arena: A $2.5 billion entertainment venue that will cement Brisbane's status as a major events destination [11].
Additionally, $11 billion in new health infrastructure projects across Queensland is strengthening Brisbane's position as a leader in healthcare and medical research [12].
Key Economic Sectors and Opportunities
Brisbane's economy is supported by a number of key industry pillars, and having multiple industries sustaining the economy provides a broad industrial base that not only enhances the city’s economic resilience but also serves as a vital indicator of stability. As various industries expand simultaneously, they create a multifaceted economic landscape that operates at different speeds, thereby mitigating the risks associated with abrupt market fluctuations. Such diversity ensures that when one sector experiences a downturn, others can often sustain momentum, contributing to a more balanced and robust economy.
- Health Ecosystem: As home to the largest health ecosystem in the Southern Hemisphere, Brisbane offers significant opportunities in clinical trials, MedTech, and BioTech commercialisation. The sector is forecast to grow by 36% over the next decade [1].
- Building Economy: With the strongest absorption for prime-grade real estate in Australia and a 41% growth forecast over ten years, Brisbane's construction and property sectors are booming [1][15].
- Transport and Logistics: Boasting Australia's most efficient freight network and a 43% growth forecast, Brisbane is becoming a key logistics hub [1][16].
- Advanced Manufacturing: Manufacturing exports from Brisbane are growing five times faster than the rest of Australia, with a 29% growth forecast [1][17].
- Knowledge Economy: Brisbane's professional services sector is experiencing the highest growth in Australia, with a 50% increase projected over the next decade [1].
- Experience Economy: With the strongest post-COVID tourism recovery in Australia and a 41% growth forecast, Brisbane's tourism and hospitality sectors are thriving [1][18].
Final Thoughts
With strong competition for stock, Brisbane's property market is showing all the right signs for potential sellers. The city benefits from a thriving economy, driven by robust employment growth and a continually expanding talent pool. With significant urban renewal projects reshaping the skyline and enhancing liveability, now represents an excellent opportunity for property owners looking to sell.
With over 60 years of combined property experience, Christina and Grant offer an in-depth understanding of the local property market dynamics. Whether you're curious about the current market trends or looking to get an accurate valuation of your property, we are here to help. Reach out to chat about your area, or book a complimentary property appraisal to discover how much your property is worth.
References
[1] Brisbane Economic Development Agency. (2024). State of the City Report 2024.
[2] Department of State Development and Infrastructure. (2023). ShapingSEQ 2023.
[3] Australian Government Trade and Investment Commission. (2024). Innovation Map.
[4] Brisbane City Council. (2024). Climate and weather information.
[5] Brisbane Metro. (2024). Project overview.
[6] Cross River Rail. (2024). Project overview.
[7] Brisbane City Council. (2024). Green Bridges Program.
[8] Brisbane Airport Corporation. (2024). BNE's New Runway.
[9] Queen's Wharf Brisbane. (2024). Project overview.
[10] Dexus. (2024). Waterfront Brisbane.
[11 Brisbane Live. (2024). Project overview.
[12] Queensland Health. (2024). The Queensland Health and Hospitals Plan.
[13] Knight Frank. (2023). Australian Horizon Report.
[14] BITRE. (2023). Freight Vehicle Congestion in Australia's 5 Major Cities.
[15] ABS. (2023). International Trade, Australia.
[16] Tourism and Events Queensland. (2023). Domestic Tourism Snapshot.
[17] 2THINKNOW. (2023). Innovation Cities Index: 2022-2023.
[18] ABS. (2023). Labour Force, Australia.
[19] Brisbane Economic Development Agency. (2024). Invest in Brisbane.