Why Orange is the New Black!
8 November 2018
Orange NSW - Its "So Hot Right Now!"
There has been a lot of noise in the media of late about the increasing popularity of living and investing in larger regional cities, and one of those cities is Orange NSW. It has been touted as a real “Hot Spot” for property investors and owner occupiers a like, in addition to a great food and entertainment destination.
We decided to have look at what is making Orange “So Hot Right Now!”
From an economic stand point, there is an enormous amount of investment coming into Orange across several sectors, coupled with a proactive Local Government, which is helping pitch Orange as the financial, medical and R &D centre of Regional NSW.
Some of the main headline investments for 2018/2019 are as follows:
· Regional Development Fund - $4 Billion Government Loan Fund, Head quartered in Orange with 32 new jobs
· SparkLabs Cultiv8 – Collaborative Ag Tech R & D Hub, combining government and private funding to enhance and accelerate agri tech solutions and companies, attracting domestic international companies into the region
· Department of Primary Industries relocation - $30 million development with room for 900 staff
· Bloomfield Medical Centre - $50 million development, incorporating a new 82 Room motel with function centre, Allied Health Clinic, and retail space, creating around 500 new jobs
· New Quest Apartments – $10.5 million 77 Room motel, conference and retail space development and associated job creation
Whilst these are the main investments there are a significant number of smaller investments, and other yet to be announced larger investment schemes for the Orange region.
Orange is positioning itself as the Medical and Education Hub , with tertiary education provided by the Orange Tafe, and Charles Sturt University, contributing to approx. $28 million annually to the Orange economy and supplying over 400 jobs. With long term success of the University the main goal of CSU, further investment in the Orange Campus could be expected.
Kinross Wolaroi Private School provides the opportunity for access to a similar or better caliber of education and school facilities as some of the top Sydney private schools and is often a deciding factor for tree changing families to settle in Orange.
Significant investment from the NSW Health Department in the development of the New Orange Base Hospital in 2012, has set the foundation for a rapid increase and concentration of specialist doctors and health facilities to be based either at the new hospital or within Orange.
The Health and Social services industry currently provide approx. 21% of the employment base in according to the 2016 ABS data.
Another is the regions mining sector which adds approx. $2.6bill in export revenue annually and provides over 3,500 jobs across the regions 3 main sites.
This broad multi
facet economy is offering the career-oriented jobs that attracts, those with
specialist skills and higher incomes.
Employment opportunities is only one side of the equations, what turns short term positions into life long careers is the ability to attract and retain the right kind of people into those positions.
This is where Orange has another strong game.
The Lifestyle factor, coupled with the strength and dominance of the of the local food and wine industry and associated business, has boosted the quality and quantity of the what the town has to offer.
With many social events and tourism-based activities, the great sporting, recreation and leisure facilities. The ability to engage and entertain the residents is key to retaining people in the city.
The introduction of direct flights to Brisbane and Melbourne, in addition to the existing Sydney flights, means that business and holiday options are suddenly more accessible and affordable, opening further opportunities, and adding to the lifestyle and tourism benefits.
Infrastructure
improvement has also taken place with the multi million upgraded facilities of
Orange airport to cater for larger planes and $250 million upgrade to the Great
Western Highway between Katoomba and Lithgow.
Its this combination of lifestyle, Jobs, facilities, infrastructure and education that are combing to create a very desirable destination for the weekend or for a more permanent stay. The rising number of tree changers who are either retiring or moving their families out of ever increasing congested and over priced capital city is rising every year, with population predictions expected to hit 60,000 in the not too distant future.
So how does all this impact on the property market?
Average House Prices Increased approx. 11% in past 12 months
Current V acancy Rate 1.78% (anything under 2.0% – 2.5%is desirable)
Gross Rents increased approx. 5.88% in past 12 months
(Source; realestateinvestar.com.au)
Part of the reason behind this is investors looking for more affordable property, but there is a significant sector of tree changers and inter regional movement as Orange has become a destination of choice for many retiring farmers or regional based workers looking to take advantage of the cities offerings.
To Find out more about buying in Orange please contact Aspect Buyers Agency - Your Regional Property Experts.
