Australian planned building activity levels have revived in 2010 due largely to standout performances by Western Australia and Victoria.

Analysis of Australian Bureau of Statistics data by international construction and property consultants Davis Langdon reveals that Western Australia has unmistakably recovered from the building slump of 2009 to clearly lead the nation on planned spending on building so far in 2010.

Western Australia had approved $1,790 worth of building per head of population to the end of April 2010, compared to Victoria $1,310, Queensland $1,135, South Australia $965 and for New South Wales only $707.

Dr Andrew Wilson, Senior Economist and National Research and Development Manager for Davis Langdon said housing-per-person figures showed a telling story.

“In terms of residential construction, Western Australia has approved more housing per person in 2010 than any other state with $1,000 approved per head,” he said.

“Victoria has approved $800, Queensland $610, South Australia $495 and New South Wales $400 per head of population on housing in 2010.”

Dr Wilson said planned building levels in Australia were significantly higher in 2010 compared to the same period in 2009.

“The value of approvals is nearly $3.8bn ahead of last year,” he said.

“Again Western Australia is the significant contributor to this figure having approved an additional $1.8bn in increased activity.

“This compares to Australia’s most populous state, New South Wales, where planned building activity is only $237 million ahead of last year’s number for the same period.”

In terms of job creation potential, Western Australia’s building approval performance so far in 2010 compared to 2009 equates to the creation of an estimated 10,000 direct full time building industry jobs for one year (FTE’s).

Victoria is the only other state to come close to this potential employment performance having prospectively created over 7000 FTE jobs in 2010 with its increased planned building output.

“With ongoing strong population growth expected to continue in both Victoria and Western Australia, and the likelihood of a continued resources boom associated with a sustained general local and international economic recoveries, leadership in Australia building activity levels is likely to remain solidly to the West and South,” said Dr Wilson.

For further information, contact Meaghan Jones on +61 3 9933 8800 or email mjones2@davislangdon.com.au