Guardian Funds has an investment mandate to partner with leading Australian land developers in high growth and low supply markets that deliver value. That mandate has driven investments in Sydney’s northwest and southwest – supply constrained regions with consistently strong demand, low price-volatility, and significant infrastructure investment.
Why Sydney?
- It is Australia’s economic powerhouse and financial capital.
- By 2056, Sydney’s population is projected to reach 8 million (increasing from 5,185,000 in January 2024).
- The Greater Sydney Commission has developed a visionary three city plan, which would see most residents living within 30 minutes of their jobs, education, and health services.
Supply And Demand
The interplay of supply and demand and its effect on market depth has a direct impact on the pace and value of sales in a property development project. Our deep understanding of these dynamics allows our team to mitigate sales risk, ensuring the consistent success of our funds.
Supply Constraints
The supply of new housing in Greater Sydney is severely constrained, with a shortfall forecast till 2033. Below are significant factors contributing to this constraint.
- National Parks to the north, south and west of the greater Sydney region.
- The Pacific Ocean to the east.
- 40,000 hectares of flood prone land.
- Lengthy rezoning time, with rural to residential rezoning taking up to ten years from initial planning to rezoning.
- Critical services lags were delivery of critical services significantly lag behind rezoning.
- Public push back on projects and the tendency of some communities to be resistant to development.