With billions of new investment dollars in the pipeline, the Karratha property market in Western Australia’s North West is expected to show signs of life in the face of the recent recession.
Colin Baker, General Manager of Peard Real Estate in Karratha, disclosed that close to $10 billion worth of new investments will be injected into the local economy, including Perdaman’s $4.3 billon fertiliser plant, which will be built on the Burrup Peninsula. Perdaman anticipated that over 2000 jobs will be created during the three-year construction of the project.
“The company has already spent $200 million proving up the project and it is estimated that 200 full-time workers, who would be sourced from the Pilbara, would be needed once the factory was operating,” shared Baker.
Additionally, oil giant Chevron had confirmed a $5.1 billion investment for the second phase of Australia’s biggest resources project, Gordon Gas plant. This is projected to create 700 local jobs by the end of 2021 and will offer about 1400 job openings over the course of the venture.
While the aforementioned projects could already lift Karratha property market up from the doldrums, New Zealand’s Todd Corporation will also enter as one of the industry players in the city.
“The billionaire Todd family recently signed a State Agreement with the WA Government that will pave the way for a $5 billion iron ore Balla Balla project near Karratha that is ramping up [which] will create 3000 jobs during construction and 900 workers would be recruited during production.”
This upcoming development is a potential game changer for Karattha, given the large number of new workers that will enter the city. The city, which has a population of only 22,000, has had no major new residential construction for several years as a result of the property downturn.
“Currently, the Karratha market is now at rock bottom with the median price in the city falling from $780,000 in 2012 to around $300,000 currently.” However, this may change in the near future, considering the signs of stability in property prices recorded by Peard Real Estate Group since the start of the year.