Australian Industrial Horizons

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LOGISTICS & INDUSTRIAL RESEARCH | INDUSTRIAL HORIZONS

SUPPLY & STATUS

Sydney Active Industrial Land Supply by Submarket

Across Sydney, there are approximately 2,850 hectares of vacant industrial zoned land (including a proportion of Enterprise zoned land within the Aerotropolis), most of which is concentrated within the Western Sydney Employment Area (WSEA) and the Aerotropolis precincts, the former of which includes the 2020 rezoned Mamre Road Precinct. Collectively, these two precincts represent over 80% of Sydney’s total industrial zoned land supply. Beyond this, vacant industrial land stocks are limited, particularly in infill markets, which has been the driver behind the uptick in multi-level warehouse development in these locations. In reality, not all of this land can be committed to by tenants given servicing and infrastructure constraints. As a result, our analysis shows there are just 828 hectares that have the ability to be developed within the next two years, while there is the potential for a further 25% of this land to be lost to internal roads, buffers, retarding basins and unusable portions etc. Land ownership also remains a significant barrier to development as fragmented private land holdings have capped the rate at which industrial development can occur. Our data shows that a significant proportion of the long-term land supply is fragmented in nature and privately owned by non-developers.

NORTH WEST 84 ha

NORTH 3 ha

OUTER WEST 626 ha

CENTRAL WEST 11 ha

WEST 25 ha

Sydney Industrial Land Status

2,849 ha Total Vacant Industrial Land Stocks

SOUTH WEST 79 ha

SOUTH 0 ha

2,021 ha Inactive Industrial Land Stocks

828 ha Active Industrial Land Stocks