Regional migration could support commercial property in Victoria
If property developers need any more evidence that Australians are increasingly looking to regional areas, the emphasis being placed on upgrading infrastructure away from capital cities should provide it.
Minister for local government Simon Crean announced last week (November 17) that a review of infrastructure financing will be conducted with regional areas being prioritised.
"It's essential with a growing population, the demands on local services and the need to secure our future prosperity that we build on existing local, state and federal programs and leverage all opportunities for funding," he said.
Victorian premier Ted Baillieu has similarly announced that his government is committed to upgrading infrastructure in regional areas of the state, telling The Australian that federal funding will be needed to address the issue of population growth in the state.
The reasons for migration are several, including the booming mining sector which is creating jobs in regional areas and the high cost of living in major cities that is making day-to-day life less affordable for many households.
The demographic of the people who move away from the big smoke includes young couples who cannot afford a home in the city and want to set up base in a regional town where they plan to start a business or continue their careers.
This shift in population naturally comes with an increasing demand for commercial spaces and amenities like retail outlets, providing plenty of scope for investment in commercial and retail property.