News & Blogs

24.11.15

It’s not all Apartments! Building Commences on $291m Project For 15 New Schools

It's not all apartments

Finally we have something else to talk about other than Apartments…

Watpac has kicked off construction on the first of 15 new schools for the Victorian Government as part of its $291 PPP project. Watpac, who edged out Hansen Yuncken as the preferred builder on the project in October this year, reached final close with the government yesterday.

The first round of schools will all be under construction by the start of 2016, with the 15 schools due to be handed over within a 27 month construction program.

The new Schools will cater for the demand in high growth areas with Cranbourne North ($25m), Cranbourne West ($15m), Clyde North ($15m) Mernda ($5m) and Bannockburn ($5m) all due to start this year.

Other locations where construction will commence within the next year include Pakenham South, Point Cook, Armstrong Creek,  Epping, Geelong and Torquay

I’ve spoken to a number of contacts in the Tier 3 space over the past couple of weeks who are excited about the prospect of picking up some of the associated packages under $5m including gyms, swimming pools, adult learning facilities and early learning centres.

We are also seeing the demand for construction professionals with D&C Aged Care experience increasing. The aged Care industry believes that with the growth in Australia’s elderly population, an extra 70,000 beds need to be built in just the next seven years.

With private aged care facilities generally pocketing a $15,000-to-$25,000-per-resident annual payback, it’s little wonder that Aged Care developers are trying to build facilities as quickly as possible.

If you are interested in finding out more about opportunities or current market conditions in the commercial building sector, I would welcome a call on (03) 9867 2406 or email any time: [email protected]