Motor Vehicle White Paper | Which way forward?
The shutdown of the motor vehicle industry in Victoria is due to be felt in the market around 2017, when all Ford, Holden and Toyota manufacturing will be shutdown.
The Victorian industrial property sector will see significant impacts of this, as we are home to a number of large manufacturing sites. These include the Ford sites in Campbellfield and Geelong and Toyota site in Altona North. In total, approximately 260 hectares of land is due to be vacated by car manufacturers in Victoria, 205 hectares of which is in Melbourne itself.
The closure of the manufacturing plants, while providing some challenges to the market, also represents opportunity. The greatest opportunity lies in Toyota’s site in Altona North, and Holden’s and Toyota’s sites in Port Melbourne. The Altona North market is notoriously tightly held, and it is expected that a number of industrial developers will be eyeing the opportunity to redevelop or redeploy the site.
While our manufacturing sector is certainly going through a period of significant structural change, the logistics and transport sector is filling the demand void left behind. This is evident when looking at demand trends in the industrial property sector.
Colliers International have completed a White Paper on the changes within the Victorian automotive industry.