MARKET OUTLOOK Williams Landing is a newly established suburb in ’s west, located a 20 minute drive from the CBD.

WILLIAMS LANDING ACCOMODATES ALL THREE OF THE URBIS FUNDAMENTALS THAT MAKE A SUSTAINABLE SUBURB - POPULATION, INFRASTRUCTURE AND EMPLOYMENT.

Prepared exclusively for Cedar Woods Properties September 2016 Top: Shopping centre; Left: Parks and recreation space; Right: Train station 01 PROXIMITY & AMENITY

WILLIAMS LANDING IS LOCATED IN Melbourne’s west is experiencing significant population growth. The area’s proximity to the CBD with good road and MELBOURNE’S WEST. RESIDENTS HAVE rail connections has increased its desirability, encouraging EASY ACCESS TO MELBOURNE’S CENTRAL change within the area as old industrial and greenfield sites BUSINESS DISTRICT VIA ROAD AND RAIL LINKS. are converted to residential uses, driving population growth. Recent upgrades to public transport infrastructure and more particularly the development of new railway stations have supported this shift.

Melbourne CBD

Lawrie Emmins Reserve RAAF Golf Course

SAYERS RD Williams Landing Town Centre PALMERS RD Oxford Apartments

Newton Apartments

Federation bike trail

Williams Landing ASHCROFT AVEShopping Centre

FORSYTH RD

2 Market Outlook Williams Landing Why Melbourne? In August 2016 the Economist Intelligence Unit voted Gallery of , Arts Centre Melbourne, Queen Victoria Melbourne as the World’s Most Liveable City for the sixth Market, Royal Botanic Gardens, the Royal Melbourne Zoo consecutive year. The ranking recognises Melbourne’s and Werribee Open Range Zoo. health, education and infrastructure facilities, along with The city hosts various global events annually including the city’s culture, clean environment and political stability. the Melbourne Formula One Grand Prix, the Australian As a tourism destination, Melbourne attracted 2.4 million Open Tennis Grand Slam and the Melbourne Cup Horse international visitors in the year to March 2016. Tourists Racing Carnival. These events contribute to Melbourne’s come to visit notable destinations such as; the National reputation as a destination for sports and culture.

Highway/Freeway

Williamstown Train station

Port Phillip Bay Bike path

Williams Landing 275 Ha Total Area 55 Ha Conservation Reserve 15 Ha Parks & Recreation Area 50 Ha Masters Princes Fwy Town Centre Drive time: Woolworths 20 mins to CBD 21 Specialty Shops FREEWAY INTERCHANGE PALMERS RD Medical Centre & Pharmacy Williams Landing Train Station Masters Train time: 28 mins Point Cook Town Centre – 1km 2 levels (Express to Southern Cross station) of office space 19km PRINCES FWY Conservation to Melbourne CBD Reserve & wetland Future

Entertainment Offices Accomodation Aged Care Additional Health & Medical Facilities

Prepared exclusively for Cedar Woods 3 02 MELBOURNE’S WESTERN SUBREGION

THIS SUBREGION IS ESTIMATED New residents Capital City comparison, 2010-2015 TO REQUIRE SOME 155,000 500,000 450,000 420,000 ADDITIONAL DWELLINGS BY 2031. 400,000 370,000 350,000 300,000 260,000 Greater Melbourne experienced the largest population 250,000 200,000 growth of all Australian capital cities between 2010 and 200,000 2015, adding 420,000 residents. Migration arrivals into 150,000 100,000 Victoria played a major part of this population growth with 60,000 50,000 30,000 10,000 10,000 53% of new residents coming from overseas. 0 MEL SYD PER BRI ADE CAN HOB DAR Source: ABS Western subregion to 2031 The Victorian State SUNBURY Government’s planning

CRAIGIEBURN strategy, Plan Melbourne, sets out the plan for future growth. The Western Subregion is expected to 0 4 accommodate some 1.1

million people by 2031, an 0 increase of approximately MELTON 3 BROADMEADOWS 400,000 from today’s GLADSTONE PARK population of 700,000. SYDENHAM TULLAMARINE GLENROY There are many infill and AIRPORT WEST greenfield areas that will NIDDRIE - accommodate the growing CAROLINE SPRINGS KEILOR RD NORTH ST ALBANS ESSENDON COBURG population of the west. BRIMBANK ESSENDON Williams Landing is one MOONEE BRUNSWICK PONDS of the closer areas to the DEER PARK HIGHPOINT ASCOT VALE - UNION RD SUNSHINE Melbourne CBD that will PARKVILLE accommodate a sizeable FOOTSCRAY proportion of this growth,

WESTERN MELBOURNE with the majority of other 0

SUBREGION 2 ALTONA NORTH greenfield areas being a TARNEIT further distance from the WILLIAMS CBD. 1 LANDING 0 WILLIAMSTOWN ALTONA WERRIBEE MANOR LAKES PLAA HOPPERS POPULATION CROSSING GROWTH EAST WERRIBEE WERRIBEE CENTRAL EMPLOYMENT PRECINCT 400,000 WERRIBEE

PLAN MELBOURNE DWELLING METROPOLITAN ACTIVITY CENTRE - EXISTING REQUIREMENT ACTIVITY CENTRE - EXISTING AND FUTURE WESTERN SUBREGION 155,000 Source: Plan Melbourne

4 Market Outlook Williams Landing 03 DEMOGRAPHICS & EMPLOYMENT

Population Demographics Williams Landing was previously an aviation base and was Compared to Greater Melbourne, Williams Landing is home to only 700 residents. From 2008, the aviation base characterised by a younger demographic who are typically was sub-divided and lots became available for people to living with a partner and are likely to have children. On build a new home. This precipitated a boom in population, average, households have high incomes which have increased with the suburb increasing to some 6,200 residents. Over significantly from 2006. Additionally, the proportion of white the next decade, it is expected that the population will collar workers in Williams Landing is now consistent with the grow to over 10,000. average for Greater Melbourne at 72%.

Who lives in Williams Landing? Population forecast Williams Landing Key demographic Williams Greater 12,000 (2011) Landing Melbourne 10,300 10,000 9,400 Aged 20-34 39% 23% 8,000 Average household income $102,737 $86,412 6,200 6,000 White collar workers 72% 72% 4,000 Asian born 30% 12% 2,600 2,000 Source: ABS, Urbis 700 0 WILLIAMS LANDING HAS A GROWING 2017 2011 2013 2015 2021 2019 2025 2023 2001 2007 2005 2003 2009 POPULATION THAT IS CHARACTERISED Source: ABS, ForecastID, Urbis BY YOUNG FAMILIES AND HIGH HOUSEHOLD INCOMES.

Employment Jobs growth Current jobs - western subregion In 2014, the Western Subregion supported over 173,000 jobs. By 2031 it is anticipated that the area will support Future jobs approximately 110,000 additional jobs. National 2632 Employment Clusters in East Werribee and Sunshine are emerging to become significant areas for supporting future jobs. These employment clusters include a range of employment opportunities in a variety of industries as well as education facilities, which are supported by good infrastructure networks. Jobs in 2014 Growth to 2031 East Werribee has a focus on health, education and high- 73 25 tech research jobs. Sunshine will see a focus on tertiary education, health-related training, healthcare, retail and professional services, and facilitation of private investment. The Williams Landing Town Centre will also play a significant role in supporting more than 5,000 of these future additional jobs in the Western Subregion.

Source: Plan Melbourne

Prepared exclusively for Cedar Woods 5 04 RESIDENTIAL MARKET

THE LOW MORTGAGE RATE ENVIRONMENT HAS SPURRED ON MELBOURNE’S RESIDENTIAL PRICES OVER RECENT YEARS.

Median rent Median weekly rent growth - year to March 2016 The City of Wyndham Local Government Area has experienced good growth in median weekly rent for houses and apartments/units at 6.1% and 5.4% respectively over HOUSE 6.1%P.A. the year to March 2016. Weekly median asking rent for houses in Williams Landing registered $410 for the year to March 2016. This is 17% APARTMENT/UNIT 5.4%P.A. above that of the median asking rent for the City of Wyndham, indicating the premium that Williams Landing Source: APM Price Finder; Urbis attracts over its neighbouring suburbs.

Median price House - median asking rent premium Comparing the most recent quarterly data on the median house price for Williams Landing against the surrounding suburbs, it is evident that Williams Landing has one of the WILLIAMS LANDING highest median house prices of the local area, at $496,000. VS WYNDHAM LGA 17% This is significantly above that of the City of Wyndham Local Government Area which registered $400,000. Williams Landing has also experienced significant long term median Source: APM Price Finder; Urbis price growth of 13.7% per annum over the decade.

Interest rates Median house price growth Williams Landing In August 2016 the Reserve Bank of (RBA) dropped the cash rate to its historical low of 1.5%. This has led to mortgage rates concurrently dropping 10 YEARS TO MARCH 2016 to historical lows, with standard variable rates below 6%. This has precipitated a favourable environment 13.7%P.A. for borrowers, who continue to benefit from a low cost of finance. Source: APM Price Finder; Urbis

Interest rates Cash rate & home loan rate

10% Home loan rate 9% RBA cash rate 8% 7% 6% 5% 4% 3% 2% 1% 0% JUL 2011 JUL 2014 JUL 2012 JUL 2015 JUL 2013 JUL 2016 JUL 2010 JUL 2007 JAN 2011 JAN 2014 JAN 2012 JAN 2015 JAN 2013 JAN 2016 JUL 2008 JUL 2006 JUL 2009 JAN 2010 JAN 2007 JAN 2008 JAN 2009

Source: RBA

6 Market Outlook Williams Landing 05 CASE STUDY

A Case Study: Caroline Springs WILLIAMS LANDING REGISTERED A Caroline Springs is located to the north of Williams Landing, 24% MEDIAN HOUSE PRICE PREMIUM 21km from the Melbourne CBD, and provides an example of a suburb that has recently been developed from greenfield OVER THE CITY OF WYNDHAM. land. Caroline Springs is further along in its development cycle and as such has a sizeable stock of apartments. Median house price premium 12 months to March 2016 Comparing the two suburbs with their surrounding areas, in this case the Local Government Areas of Melton and Suburb price premium Suburb price premium Wyndham, respectively both suburbs show a premium for 32% 24% their housing stock over their respective local areas. $496,000 $480,000 $400,000 Caroline Springs therefore provides a good case study for $365,000 Williams Landing. Caroline Springs is further advanced, having started development in 1999, and now has relatively Caroline Springs City of Melton Williams Landing City of Wyndham new apartment stock in its market. A sample of 60 sales Source: APM Price Finder; Urbis of apartment stock generated a median price of $395,000 over the year to March 2016. The median sale price for Median Apartment Price two bedroom apartments during this period registered Caroline Springs $410,000 in Caroline Springs.

2 Bed EPPINGMin: $300,000 Med: $395,000 Max: $510,000

Median house price Note: Base on a sample of 72 apartment sales between April 2011 and March 2016. Suburbs within 20 minutes drive time of CBD Source: APM PriceFinder, Urbis

RESERVOIR 603

CAROLINE SPRINGS TULLAMARINE 40 ELTHAM COBURG NORTH 645

PRESTON ESSENDON DONCASTER 1,250

BALWYN NORTH SUNSHINE 1,2 BOX HILL 1,30 MELBOURNECBD

WILLIAMS LANDING CAMBERWELL 46

WILLIAMSTOWN ST KILDA 1 0 OAKLEIGH ALTONA MEADOWS 63 445 BRIGHTON 2,23

CLAYTON

2 0 BENTLEIGH EAST 6 MOORABBIN

Prepared exclusively for Cedar Woods 7 This publication is prepared on the instruction of Cedar Woods Properties and is not suitable for use other than by the party to whom it is addressed. As the publication involves projections and assumptions it can be affected by a number of unforeseen variables. The forecasts and assumptions are a prediction and whilst Urbis has made every effort to ensure that the forecasts and assumptions are based on reasonable information, they may be affected by assumptions that do not necessarily eventuate or by known, or unknown, risks and uncertainties. It should be noted that past performance is not necessarily a reliable indication of future performance. The information in the publication does not represent financial advice and should not be regarded as such. It has been prepared without taking into account your financial situation or investment objectives. You should consider the appropriateness of the information in regards to your current financial situation or needs. Urbis accepts no responsibility for the accuracy or completeness of any such material. The information is subject to change without notice and Urbis is under no obligation to update the information or correct any assumptions which may change over time. This study has been prepared for the sole use of Cedar Woods Properties and is not to be relied upon by any third party without specific approval from Urbis. This publication is subject to copyright. Except as permitted under the Copyright Act 1968, no part of it may, in any form or by any means (electronic, mechanical, photocopying, recording or otherwise) be reproduced, stored in a retrievals system or transmitted without prior written permission. Enquires should be addressed to the publishers. EMR0881