Property industry optimistic about South Australia's economic future, but supply
challenges remain
The South Australian property sector remains bullish on the state's economic growth opportunities in the next 12 months following the release of a key property industry sentiment survey.
The Procore/Property Council Industry Sentiment Survey revealed confidence in South Australia's property sector is up over 9 per cent from the previous quarter, with forward work expectations well above the historical average.
However, South Australian Executive Director of the Property Council Bruce Djite said that while members are positive about the state's economic growth prospects over the next 12 months, key challenges remain in the present that policy makers play a role in addressing.
"Strong expectations of capital growth in residential housing are being accompanied by a decline in expectations of residential construction activity over the next 12 months; an ominous sign of a deepening housing crisis," Mr. Djite said.
"With the state's relative affordability rapidly eroding, faster action to unlock housing project constraints and address affordability through supply are required.
"Similarly, construction activity in Australia for industrial property has dropped significantly below the national average driven in South Australia by an undersupply of development-ready land.
"South Australian members report the highest capital growth expectations for industrial property in Australia over the next 12 months because there is plenty of demand.
"However, unless development-ready industrial and strategic employment land is released it will put a handbrake on job creation and economic growth."
