Industry Analysis & Industry Trends
The Australian dream of home ownership is increasingly focused on multi-unit apartments and townhouses, which offer inner-city lifestyles, suit smaller households and avoid the high costs of residential land. Industry operators construct buildings that range from suburban flats to military barracks to designer retirement communities.
Industry revenue is projected to total $15.7 billion in 2013-14, unchanged from the previous year. Over the past five years the industry has shown strong annualised growth of 4.8%. The industry has benefited from the long-term shift of investment towards the multi-unit apartment market and away from single-unit housing. The value of new multi-unit housing construction is expected to increase by an annualised 5.0%... purchase to read more
Industry Report - Industry Investment Chapter
The principal services provided by the industry are project management and trade skills, neither of which have a high capital component. However, project management and design are increasingly using computers and apartment construction projects often require complex, large-scale lifting and pumping machinery. Direct employment costs account for just 6.5% of revenue in 2013-14, while indirect labour costs (involving payment to subcontractors and consultants) absorb about 38.5% of annual revenue.
The industry currently allocates $8.13 to labour inputs for every $1.00 spent on capital equipment... purchase to read more