A recent report on Sydney development activity revealed a growing rate of activity values of over $62 billion that encompasses government infrastructure development, office, hotel and residential.
"Sydney’s development boom is set to drive economic development," Cushman & Wakefield said in their recent research publication Sydney's Building Boom.
"Infrastructure, office, hotel and residential projects will make transport easier as well as support population, employment, retail and tourism growth.
"This should provide the underlying structure to support ongoing growth in tenant demand for office space in the CBD over the coming decades.
"The Sydney CBD office market has experienced strong growth in both tenant and investment demand over the past few years, this growth is likely to continue, largely as a result of transport infrastructure developments - $50 billion - in and around the CBD as well as office, hotel and residential projects valued in and around the CBD.
"These developments will help drive economic growth by making it faster and easier to move around the CBD, promote Sydney as a destination and create the space to absorb future business growth."According to the report, Sydney is experiencing a wave of hotel developments with around 3,000 additional rooms and an estimated value of over $4 billion.
The development wave, according to the Tourism Accommodation Australia, comes after a hotel building drought that followed the Sydney Olympics in 2000 and 'will set up the city for a decade-long tourism boom'."