City of Melbourne Census of Land Use and Employment Profile 2015

City of Melbourne Census of Land Use and Employment Profile 2015

The City of Melbourne's latest release on land use and employment across the entire municipality, the Census of Land Use and Employment (CLUE) 2015, is now available. This annual update highlights key statistics and changes in the municipality over the last two years.

Employment

Current state 2015

In 2015, employment reached 450,300 jobs across 16,300 business establishments in the municipality. The industries with the largest employment are business services (also known as professional scientific and technical services) (78,000 jobs), finance and insurance (62,700) and public administration and safety(40,900).

Figure 1: Employment per block in the City of Melbourne 2015

Figure 2: Employment in business services per block in the City of Melbourne 2015

Figure 3: Employment in finance and insurance per block in the City of Melbourne 2015

Figure 4: Employment in public administration and safety per block in the City of Melbourne 2015

Figure 1 shows the distribution of employment for these major industries across the municipality, while Figures 2-4 shows employment by block for the top employing industries. The major industries are concentrated in Melbourne's CBD and Docklands, but can also be found in significant numbers in Southbank, Melbourne (remainder)/South Yarra, and East Melbourne.

Change since 2013

In the last two years, 11,100 new jobs have been created in the municipality, representing growth of 3 per cent. The largest employment growth has been in business services (11 per cent), finance and insurance (4 per cent) andelectricity, gas and waste services (17 per cent). At the same time there has been a decline in the number of jobs in information, media and telecommunications (-11 per cent), transport, postal and storage (-3 per cent), and construction (-6 per cent) (Figure 5).

Figure 5: Top three industries in terms of change in number of jobs 2013-15

In addition to these changes in industry structure, there have been shifts injob location in the last two years. While the Melbourne CBD still has the greatest employment, with over 219,000 jobs (change of -1 per cent since 2013), there are now 53,300 jobs in Docklands (39 per cent) and 41,800 jobs (-2 per cent) in Southbank (Figure6).

Figure 6: Employmentchange in City of Melbourne small areas 2013-15 (number of jobs in 2015 and change since 2013)

Floor space

Current state 2015

Of the 31.9 million m2built floor space in the municipality, the greatest uses are residential accommodation (6.1 million m2), office space (5.3 million m2) and car parking (including commercial, residential and private) (4.0 million m2).

Change since 2013

An additional 2.4 million m2of floor space has been added in the municipalitybetween 2013 and 2015, representing growth of 8 per cent. The greatest growth was in space under construction (133 per cent), residential floor space (12 per cent) and parking floor space (7 per cent) (Figure 7). The largest declines were in hospital and clinic space (-10 per cent), storage and wholesale space (-4 per cent), and manufacturing space (-6 per cent). The change in hospital and clinic space is expected to be temporary due to construction and renovation in some of the city's key health assets including the new Victorian Comprehensive Cancer Centre and the existing Royal Melbourne and Royal Children's Hospitals.The decline in storage, wholesale and manufacturing space is indicative of the shift away from conducting these activities at a large scale within central Melbourne.

Figure 7: Top three uses of floor space, in terms of changes 2013-15 (m2)

Residential use and change

There are 68,100 residential dwellings in the municipality, of which 86 per cent are residential or student apartments and 14 per cent are houses or townhouses.

Some 9400 dwellings were added to city's dwelling stock in the last two years, growing by 16 per cent. Residential dwelling growth has been concentrated in the CBD (5100 new dwellings), Southbank (1400) and Docklands (1000).

Office space use and change

Employment in offices is central to the municipality's economy, accounting for 283,700 jobs or 63 per cent of total jobsin 2015. Since 2013, the number of people employed in officeshas increased by 2 per cent.

There was on average 18.7m2 of office space per office employee across the municipality in 2015. Comparing the major employment areasof the municipality (Figure 8) reveals a material difference. The CBD had a floor space ratio of 18.4m2 per office employee, Southbank 18.2m2per office employee and Docklands 14.9m2 per office employee.

Figure 8: Office floor space ratios (m2 per employee) in major employment areas in the City of Melbourne

Around 47 per cent of the municipality's office space is either of premium or of A grade condition. Premium and A grade office floor space has grown by 49,900m2 in the last two years. In that time vacant Premium and A grade office floor space has increased by

40,000m2. This is a result of new office facilities in areas such as Docklands drawing tenants from older office stock in areas such as the CBD. This vacant space is likely to be taken up by new tenants over time, potentially by smaller establishments not previously able to lease space in the municipality.

Other important sectors

Health, education and research use and change

There are 38,800 health care and social assistance jobs in the municipality. This number increased by 500 jobs or more than 1 per cent in the last two years. Jobs in this sector are concentrated around key health care sites in Parkville, East Melbourne and South Yarra (Figure9).

There is 604,600m2 Hospital and clinic space in the city, with space for 2353 hospital beds.

There are 24,700 education and training jobs in the municipality, increasing by 1100 jobs or 5 per cent in the last two years. Jobs in this industry are concentrated in Carlton and the CBD (Figure10).

The municipality has some 1.4 millionm2 used for education and research purposes, which has increased by 62,300m2 or 5 per cent in the past two years.

Figure 9: Employment in health care and social assistance per block in the City of Melbourne 2015

Figure 10: Employment in education and training per block in the City of Melbourne 2015

Retail, food and beverage use and change

There are19,800 retail trade jobs in the municipality (Figure 7). Between 2013 and 2015, 440new retail trade jobs were added, an increase of 2 per cent.

There was 811,800 m2of floor space used for retail in 2015. This increased by 17,700m2or 2 per cent in the previous two years. While the municipality gained significant retail floorspace with the new Emporium shopping centre in Melbourne's CBD, its contribution to the overall retail floor space is offset by Australia on Collins' temporary closure for renovation.

There are 33,500food and beverage services jobs in the municipality (Figure 8). There were370 new jobs added to this industry in the past two years, an increase of 1 per cent.

Food and beverage floor space totalled 646,600m2. Space used in this industry increased by 21,700m2compared to the previous two years.

Figure 7: Employment in retail trade per block in the City of Melbourne 2015

Figure 8: Employment in food and beverage services per block in the City of Melbourne 2015

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