Employment and Demand in the Industrial Sector

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Beyond the Headline Figures

The typical methodology frequently used to project industrial floorspace demand has been to look at the change in the 'headline' employment figures of those industry sectors that traditionally occupy industrial zoned land (i.e. Manufacturing, Wholesale, Trade, and Transport, Postal and Warehousing). However, the questions needs to be raised - Is this the most accurate method of forecasting demand for industrial space where historically there has been an inverse relationship between the headline employment in manufacturing (decreasing) and the demand/net absorption for industrial floorspace (increasing)?

This paper highlights the following:

  • The headline ABS employment trend figures for the traditional industry sectors occupying industrial zoned land
  • The sub-industry sectors that have experienced growth within the overall declining Manufacturing and Wholesale Trade Industries
  • The need to look at a basket of employment industries that could potentially occupy industrial zoned land/be a part of an industrial business
  • The implication for industrial space going forward, with respect to new (retail) entrants into then Australian market

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Employment and Demand in the Industrial Sector

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Malcom Tyson

Managing Director | Industrial

Sydney CBD

Malcom joined Colliers International in 1994 in the North Sydney office as an industrial sales and leasing agent. Colliers International is known in the market for their progressive, collaborative and innovative culture, and he was very determined to join their team. Now as a leader in the business, he facilitates that collaboration across our service lines both domestically and internationally to achieve our goals. Over his 26 years at Colliers, Malcom has developed and grown multiple teams; his current role is Managing Director of Industrial where he heads up the largest and most specialised industrial division in Australia.

In 2005, Malcom joined the ANZ Executive where the leadership group has steered Colliers International to reach incredible growth and further developed our brand and client offering. Malcom became the NSW State Chief Executive in 2006, and leads the 730+ staff in the NSW team across six offices and dozens of on-site management teams. Our NSW business is the Centre of Excellence for the broader Australia and New Zealand teams, and our team leads the business in innovation and best practice.

Malcom's speciality is the sales and leasing of institutional-grade industrial property, and he works to provide his clients with insights into the future of industrial property and where they can reap the most value. Having sold over $6bn+ of property over my career,  Malcom gets a great deal of satisfaction being a trusted advisor and expert for his clients.

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