The urbanisation of China and its demand for steel has turned iron ore-exporting Port Hedland into Australia’s pre-eminent boom town. But can the strong price growth continue?
Despite the economic turmoil of Western economies, the urbanisation of China, India and other emerging Asian economies continue to relentlessly demand iron ore and other commodities.
Today, iron ore exports (valued at $29bn in 2009) are the key reason why the mining industry now produces $4 in every $100 produced by Australian industry (over 4% of Gross Domestic Product).
Port Hedland is at the forefront of Australia’s mining boom, with its population growing from 13,000 in 2001 to some 19,000 today as tens of billions of dollars' worth of iron from the Pilbara region are shipped out of its port.
The LGA predicts that the town of Port Hedland's population will surge to 27,000 by 2015 and 40,000 by 2025, and $562m is to be spent on improving the town’s amenities over the next five years. Plus, with no easy solution to Port Hedland’s chronic land shortage, the town’s property market is likely to continue soaring for years to come.
Selling points: Positively geared property for investors, 10% plus ROI, massive constructions projects about to be announced, growing town infrastructure to support 50,000 people by year 2035 (currently 19,000 people) Gina Rhineharts new mine “Roy Hill” has been announced and is moving into town early 2014 exporting Iron Ore from Hedland in September 2015 to meet contractual agreements, Expanding of the airport and Inner harbour to facilitate extra trade winds, an LNG plant is currently being considered for Hedland at the Boodarie site, a marina has been approved for the spoilbank.
Most sought-after properties: Mostly Investors seeking 10% plus returns and companies wishing to house company employees rather than renting….four bedroom and three bedroom houses are most popular at the moment the most sort after areas are Cooke Point and Pretty Pool.
Top amenities: All four major banks are in the main street, a novel restaurant/eatery called “The Train” which is in fact a stainless steel clad train sitting in the town centre which was previously in service in America then used by BHP Billition to transport dignitaries to the Newman mine, The four and a half star Esplanade hotel restored to high standards and one of two original pubs in Hedland, direct flights to Melbourne, Brisbane, Perth, Broome and a weekly international flight to Bali, Local 25m swimming pool and gym, fishing jetty, Woolworths Supermarket, caravan park, post office, Chamber of commerce.
Local industry and business: Major Mining companies exporting Iron Ore, manganese and Salt from our natural Inner harbour, the Port Authority and its supporting service companies, fabrication and engineering companies that sub-contract to major and minor Mining companies, Qantas and Virgin airlines, Cattle export, Multiple trucking companies, tourism, visiting cruise liners, corporate cleaning/catering businesses, four major Real Estate companies,
Recent changes: The landscape around the town centre is still ongoing with greening and beautification programs, Infrastructure like Water/Power and Roads are having massive upgrades, a re-adjustment is happening with rental and sale prices, new hospital 3 years ago, new police station 2 years ago, a new town CEO, zoning changes to higher density, a slowdown in construction work but increased exports from our harbour.
Best streets: Sutherland & Kingsmill Streets as they face the ocean, streets that have high density zoning are also popular
Public transport: Buses between Port and South Hedland (13 minute drive between the two)
Main arteries: Wallwork/Great Northern Highway and Wilson Street connect Port and South Hedland, Anderson Street/Sutherland Street/McGregor and Athol Street are arterial in Port Hedland
Close