Almost 60,000 new homes will be built in Geelong in the next 20 years, according to a forecast by an Australia-wide building research company.
M3property research on Tuesday predicted a surge in building supply after residential approvals skyrocketed in 2020-21.
Geelong residential approvals increased by almost half in a year with 4606 in 2020-21, up on 3109 the previous financial year, according to data provided by the researcher.
Most of the approvals occurred in the growth areas of Charlemont and Mount Duneed.
Builders completed 2620 dwellings in Geelong during 2020, with M3property expecting this to increase due to the strong approvals this financial year.
“Geelong’s residential supply has become increasingly diverse with medium and high-density dwellings representing a higher proportion of total dwelling approvals,” the group’s national residential development director Luana Kenny said.
“Geelong also has an increasingly diverse economy with a range of current and emerging industry sectors such as construction, health, education, retail, accommodation and food services and advanced manufacturing.”
The total value of all Geelong approvals increased by more than half a billion dollars during 2020-21, according to M3property.
The increase of $530.7 million (48.2 per cent) from $1.1 billion in 2019-20 to $1.63 billion in 2020-21, reflected both an increase in approvals and property values, Ms Kenny said.
Median house prices in Geelong increased by almost 20 per cent over the 2020-21 financial year while units rose by 21.5 per cent over the same period to $532,000, according to M3property.
Ms Kenny cited the duplication of both Barwon Heads Road and railway from South Geelong to Waurn Ponds as projects that would further drive population growth.
She added the regional city had become an increasingly popular residential, lifestyle and employment destination, driven by a range of factors including proximity to Melbourne, relative affordability and improving infrastructure.
