Masterbuilders: NSW construction to reach eight year high
BUILDING and construction in New South Wales will reach an eight-year high this year, according to Master Builders Australia's building and construction industry forecasts.
Master Builders chief executive officer Peter Jones said construction work in the state would increase 15% on last year to more than $50 billion.
"Growth is predicted across the board with residential building leading the way with a forecast rise in dwelling commencements of 11% in 2015 driving an increase of over 17% in the value of residential building work done to be around $16.5 billion in 2014/15," Mr Jones said.
"The forecast highest levels of residential building in seven years will result in the value of the work done on detached housing and apartments rising by over 22% ($7.3 billion) and 12% ($6.7 billion) respectively this year.
"An increase in the value of work done on renovations is also forecast to rise by over 17% ($2.5 billion) over the same period."
Growth in commercial building was expected to be modest, but on the cusp of a recovery driven by strong predicted growth in recreation and entertainment construction.
"Accommodation construction is another bright spot where the value of work done is forecast to rise by over 19% to around $645 million," Mr Jones said.
"Engineering construction is also tipped to see an upswing, with the value of work done predicted to rise by around 20% in 2014-15 to be around $25 billion, driven mainly by increased Federal and NSW Government-funded construction activity in transport infrastructure and heavy industry."
Upgrades to the Pacific Hwy in the Northern Rivers will contribute to a predicted 5% statewide increase in road construction to $6.5 billion.
Scheduled work to build a new crossing over the Clarence River in Grafton will play a role in a predicted 110% increase to bridges, rail and harbour construction, equal to $4.8 billion in NSW.