Port Macquarie Hastings Industrial Land Strategy Review 2015 · Port Macquarie Hastings Industrial Land Strategy Review 2015 Ref: C15223 HillPDA Page 5 | 61 LIST OF ABBREVIATIONS

Prepared for Port Macquarie Hastings Council

September 2015

Port Macquarie Hastings Industrial Land Strategy Review 2015


Ref: C15223 HillPDA Page 2 | 61

QUALITY ASSURANCE

Report Contacts

Adrian Hack BTP(Hons), MLE, MPIA

Principal, HillPDA

Quality Control

This document is for discussion purposes only unless signed and

dated by a Principal of HillPDA.

Reviewed by:

Dated 2 October 2015

Report Details

Job Ref No: C15223

Version: Final

File Name: Port Macquarie Hastings Industrial Land Strategy

Review 2015

Date Printed: 2/10/2015



CONTENTS

Executive Summary ......................................................................................... 6

Introduction............................................................................................ 12 1

Study Background................................................................................... 12

Study Objectives ..................................................................................... 12

Study Methodology ................................................................................ 12

Planning & Policy Review ....................................................................... 14 2

Mid-North Coast Regional Strategy (2006-2031) ................................... 14

Port Macquarie-Hastings Industrial Land Strategy (2007) ..................... 15

Previous Industrial Land Studies ............................................................ 16

Other Studies .......................................................................................... 16

The Changing Nature of Industry ........................................................... 20 3

Analysis of Industrial Land Supply .......................................................... 27 4

Lake Road, Port Macquarie .................................................................... 27

Bellbowrie Street, Port Macquarie ......................................................... 28

Hastings River Drive, Port Macquarie ..................................................... 28

Birdon Marine, Port Macquarie ............................................................. 29

Port Macquarie Airport .......................................................................... 30

Wauchope CBD ....................................................................................... 32

Bago Road, Wauchope ........................................................................... 33

Herons Creek .......................................................................................... 35

Laurieton ................................................................................................ 36

Laurieton Working Waterfront............................................................... 37

Sancrox ................................................................................................ 37

Fernbank Creek Road ............................................................................. 39

Partridge Creek (Area 13 Thrumster) ..................................................... 40

Lindfield Park Road ................................................................................. 41

Kew ................................................................................................ 42

Proposed Development .......................................................................... 42

Industrial Zones ...................................................................................... 43

Summary of Supply ................................................................................ 46

Industrial Land Demand ......................................................................... 49 5

Population Projections ........................................................................... 49

Resident Workforce Projections ............................................................. 49

Resident Workforce by Industry ............................................................. 50

Industrial Land Demand ......................................................................... 51

Local Service Industrial Demand ............................................................ 53

Industrial Land Strategy ......................................................................... 55 6

Industrial Land Demand versus Supply .................................................. 55

Strategy Recommendations ................................................................... 55

Priority of Investigations ........................................................................ 58



TABLES

Table 1 - Supply of Industrial Land in Port Macquarie-Hastings LGA (2015) ................ 6

Table 2 - Industrial Land Demand to 2036 (2009) (hectares) ....................................... 8

Table 3 - Industrial Land Demand by Land Use to 2036 (hectares) .............................. 9

Table 4 - Additional Local Service Industrial Land Demand by Location to 2039

(hectares) ......................................................................................................... 9

Table 5 - Mid-North Coast Additional Industrial Land Demand to 2031 .................... 14

Table 6 –Supply of Industrial Land in Port Macquarie-Hastings LGA (2015) .............. 47

Table 7 - Port Macquarie-Hastings Investigation Areas (2009) .................................. 48

Table 8 - Population Forecast for Port Macquarie-Hastings to 2036 (2015) .............. 49

Table 9 - Resident Workforce Projections to 2036 (2015) ......................................... 50

Table 10 - Resident Workforce Projections by Industry to 2036 (2011) ..................... 51

Table 11 - Industrial Land Demand to 2036 (2011) (hectares) ................................... 52

Table 12 - Industrial Land Demand by Land Use to 2036 (hectares) .......................... 53

Table 13 - Additional Local Service Industrial Land Demand by Location to 2036

(hectares) ....................................................................................................... 54

Table 14 - Priority of Investigation and Supply of Future Industrial Land Areas to

2031* Subject to further investigation ........................................................ 59



LIST OF ABBREVIATIONS

ABS Australian Bureau of Statistics

ANZSIC Australian and New Zealand Standard Industrial

Classification

BTS Bureau of Transport Statistics

CBD Central Business District

DCP Development Control Plan

DoP (Former) NSW Department of Planning

DP&E NSW Department of Planning and Environment

EIA Economic Impact Assessment

ELDM Employment Lands Demand Model

FSR Floor Space Ratio

GDP Gross Domestic Product

GFA Gross Floor Area

GLA Gross Lettable Area

Ha Hectares

JTW Journey to Work

LEP Local Environmental Plan

LGA Local Government Area

MB Mesh Block

NLA Net Lettable Area

PCA Property Council of Australia

SEPP State Environmental Planning Policy

SA1 Statistical Area Level 1




SD Statistical Division

SLA Statistical Local Area

Sqm Square metre

STA Secondary Trade Area

TDC Transport Data Centre

TZ Travel Zone



EXECUTIVE SUMMARY

The Port Macquarie-Hastings Industrial Land Strategy (2007 ILS)

provided a strategic planning framework for industrial precincts and

identified appropriate locations for future industry to support and

enhance the economic competitiveness of the Port Macquarie-

Hastings Region.

HillPDA reviewed the Strategy in 2010 and the findings were fed into

the Urban Growth Management Strategy (UGMS) prepared by

Council. The UGMS deals with resident and employment growth in

the Region as a response to the recommendations in the NSW

Government's Mid North Coast Regional Strategy (2006-2031).

Summary of Industrial Land Supply

Since the 2010 review there have been some further rezonings that

increased the supply of industrial zoned land including 54 hectares of

developable on the north side of Sancrox Road, 23 hectares in

Fernbank Creek Road area and 2.4 hectares in Area 15.

The current supply of land is shown in the table below.

Table 1 - Supply of Industrial Land in Port Macquarie-Hastings LGA (2015)

Precinct Total Zoned

Land (ha)

Total Developed

Land (ha)

Total Vacant

Land (ha)

Area 13 (Thrumster) 32.4 - 32.4

Lindfield Park Road 7.3 - 7.3

Lake Road 101.0 98.1 2.9

Bellbowrie 11.1 10.8 0.3

Hastings River Drive 18.8 17.9 0.9

Birdon Marine 6.4 2.7 3.7

Airport 24.3 5.6 18.7

Wauchope CBD 14.3 12.3 2.0

Bago Road 117.2 60.8 56.4

Herons Creek 80.7 6.0 74.7

Laurieton 4.4 3.8 0.6

Laurieton Working Waterfront 1.0 0.9 0.1

Sancrox 85.4 26.2 59.2

Fernbank Creek Road 23.3 - 23.3

Kew 3.0 - 3.0

Total 530.6 245.1 285.5

Source: AEC Group (2007) updated by Hill PDA and Council (2015)



Removing what is constrained (Herons Creek 74.7ha) there is around

211ha of vacant suitable industrial land available for the market. The

upgrade of access from Pacific Highway has improved Bago Road’s

competiveness (notwithstanding that other sites such as Sancrox is

superior from a marketing perspective).

There are also three sites in the planning stages of investigation and

possible future rezoning. These are the Airport which will add around

10 hectares of developable land, Area 14 (Lake Cathie), which will

add around 4 hectares of developable land and the John Oxley Drive

and Oxley Highway area that could potentially add a further 8

hectares. This would bring the total developable area to around

232ha.

Summary of Industrial Land Demand

The 2007 ILS projected demand of around 270ha to 2026, of which at

least 185ha was possibly suitable for development (excluding Herons

Creek). This equated to an additional 89ha to 118ha of industrial land

to 2026.

Hill PDA updated demand forecasting for industrial land across Port

Macquarie-Hastings LGA from population and job participation

forecasts. In 2011 the LGA had around 75,000 residents and this is

expected to increase to 103,000 by 2036.

The workforce participation rate in 2011 was 38%. Three forecasts of

floorspace demand was undertaken based on the same adopted

workforce participation targets from the ILS being 34% (low

participation), 39% (high participation) and 45% (full participation) to

reflect scenarios of growth and change.

The same ratios of workers per hectare by industry type as per the

2007 ILS were adopted.

The table below indicates Port Macquarie-Hastings LGA demands

287ha to 344ha of industrial land in 2036. This results in 78ha to 93ha

of additional industrial land demand to 2036.



Table 2 - Industrial Land Demand to 2036 (2009) (hectares)

Low Participation (34%) 2011 2016 2021 2026 2031 2036

Heavy Industry 39 41 44 47 50 53

Modern General Industry 35 37 40 43 45 48

Transport & Warehousing 40 42 45 48 52 55

Supporting Industry 38 40 44 47 50 53

Services (roads, utilities etc) 11 12 13 14 15 16

Open Space (buffers) 46 48 52 56 59 63

Total 209 221 238 255 271 287

High Participation (39%) 2011 2016 2021 2026 2031 2036







Total 231 244 262 281 299 317

Full Participation (45%) 2011 2016 2021 2026 2031 2036







Total 251 265 285 305 324 344

Source: AEC Group (2007) and Hill PDA 2015

The above results indicate Port Macquarie-Hastings LGA will need

287ha to 344ha of industrial land to 2036. This results in demand of

78ha to 93ha of additional industrial land.

Demand forecasts are summarised below.



Table 3 - Industrial Land Demand by Land Use to 2036 (hectares)

Industrial Land Demand in 2036: Low Participation

High Participation

Full Participation

Heavy Industry 53 59 64

Modern General Industry 48 53 58

Transport, Warehousing and Storage 55 60 65

Supporting Industry 53 58 63

Services (roads, utilities etc) 16 17 19

Open Space (buffers) 63 69 75

Total 287 317 344

Additional Industrial Land Required to 2036:

Low Participation

High Participation

Full Participation







Total 78 108 135

Source: Hill PDA 2015

To determine local and district industrial land supply, the 2007 ILS

assumed 50% of demand should be met by local business and

industry. Applying the same ratio, Hill PDA forecast 39ha to 67ha of

local service industrial land demand to 2036.

Table 4 - Additional Local Service Industrial Land Demand by Location to 2039 (hectares)

Precinct Low Participation

High Participation

Full Participation

Camden Haven 3.0 4.2 5.3

Flynns Beach - - -

Kings Creek - Sancrox - Lake Innes 5.9 8.1 10.1

Lake Cathie - Bonny Hills 5.7 7.9 9.9

Lighthouse Beach - Greenmeadows 1.7 2.3 2.9

Port Macquarie - Innes Pen 1.2 1.6 2.1

Rural North 2.7 3.7 4.7

Rural West - South 1.6 2.1 2.7

Shelly Beach - Bellevue Hill 0.9 1.2 1.5

Area 13 (Thrumster) 12.2 16.8 21.0

Town Beach - CBD 1.0 1.4 1.7

Wauchope 2.8 3.8 4.8

Westport 0.4 0.6 0.7

Total 39.0 53.8 67.4




The table above indicates for example, Lake Cathie-Bonny Hills demands

an additional 6ha to 10ha of local service industrial land to 2036.

Demand versus Supply

There is 530ha of zoned industrial land in Port Macquarie-Hastings LGA,

of which around 244ha of land is developed and 285ha is zoned and

vacant. Excluding the constrained precinct of Herons Creek there

remains around 211ha of vacant suitable industrial land available to the

market.

The Port Macquarie-Hastings LGA will demand an additional 78ha to

135ha of industrial land to 2036 indicating there is sufficient current

supply to meet demand to 2036.

There is a further 22 hectares of land under investigation that could

be added to supply.

For the longer term, additional land may be required in order to

ensure that future industrial land, beyond 2036, is continued to be

made available. Such land needs to be sufficient to:

Facilitate market choice;

Maintain affordability;

Allow for expected loss of yield in some areas due to constraints;

and

Be located appropriately in relation to urban growth and market

preference.

To address long term industrial demand, an appropriate location for

investigation may be between the Sancrox Employment Precinct and

the Oxley Highway due to:

The proximity of both the Oxley and Pacific Highways;

Agglomeration opportunities with the Sancrox Employment

Precinct; and

The potential for this future land to further improve access to the

Sancrox Employment Precinct.

Priority of Investigations

The main areas for further investigation is Lake Cathie/Bonny Hills

and Kew-Camden Haven Corridor as there will be insufficient supply

of industrial zoned land to meet the demand for local industrial

employment and provision of services to 2036.



A further priority concern is the airport site to accommodate

business technology, local services growth and airport related

industries.

A final priority concern is the John Oxley Drive and Oxley Highway

precinct which could accommodate a range of land uses including

light industries, hardware and home building industries, bulky goods

and businesses with links to the Hospital and Charles Sturt University

(CSU).



INTRODUCTION 1

Study Background


provided a strategic planning framework for industrial precincts and

identified appropriate locations for future industry to support and

enhance the economic competitiveness of the Port Macquarie-

Hastings Region.

HillPDA reviewed the Strategy in 2010 and the findings were fed into

the Urban Growth Management Strategy (UGMS) prepared by

Council. The UGMS deals with resident and employment growth in

the Region as a response to the recommendations in the NSW

Government's Mid North Coast Regional Strategy (2006-2031).

Since the 2010 review there has been some further rezonings to

increase the supply of industrial zoned land – most of which is in the

Sancrox Road and Fern Creek Road area.

This report provides an update of the Industrial Lands Strategy.

Study Objectives

Council seeks a clear understanding of long term industrial and

employment land requirements up to and beyond 2036. The key

objectives of the study are therefore to understand:

What is the latent demand for industrial land in the LGA?

What type of industrial land is driving demand?

Where should future industrial land be located?

What are the longer term needs for industrial and employment

land, up to and beyond the UGMS?

Study Methodology

The tasks undertaken in the preparation of this report included a

review of:

The 2007 ILS and 2010 review and other related information as

provided by Council.

The supply pipeline and the status, role and performance of

existing industrial areas.

The planning investigations for proposed Industrial Growth Areas.

Demand utilising 2011 ABS Census Data and revised population

forecasts.



Forecast of jobs based on revised population projections.

Forecast of demand for industrial zoned land based on the

revised job forecasts.

The status of the earlier recommendations in light of changes to

supply and demand.



PLANNING & POLICY REVIEW 2

This chapter summarises the main findings and strategies relating to

growth in the Port Macquarie Hastings LGA. This includes both

regional as well as local strategies. These strategies have been

closely integrated into the UGMS (2011), which was adopted by

Council on 14 December 2010.

Mid-North Coast Regional Strategy (2006-2031)

The Mid-North Coast Regional Strategy (2006-2031) applies to the

eight local government areas of Clarence Valley, Coffs Harbour,

Bellingen, Nambucca, Kempsey, Port Macquarie–Hastings, Greater

Taree and Great Lakes. The population of the Region is around

333,400 residents.

The Regional Strategy identifies a hierarchy of centres with Port

Macquarie being a major regional centre (as well as Taree, Grafton

and Coffs Harbour), Kempsey as a Major Town, Camden Haven,

Wauchope and Lake Cathie/Bonny Hills as Town Centres.

As a Major Regional Centre Port Macquarie has the majority of

growth and employment opportunities and is the major centre for

state and regional services. This centre is also expected to have: “a

concentration of medium to high density living, business employment

and professional services, higher order shopping, warehouses,

transport logistics and bulky goods operations”.

Employment growth to 2031 translates to a need for an additional

232ha of industrial land and about 210ha of commercial land (total

442ha) in the Mid North Coast.

Table 5 - Mid-North Coast Additional Industrial Land Demand to 2031

Subregion Land Demanded

Clarence 23ha

Coffs Coast 86ha

Hastings–Macleay Valley 84ha

Manning Valley–Great Lakes 39ha

Total 232ha

Source: Mid-North Coast Regional Strategy (2006-2031)

The main economic challenges of the Mid North Coast Region are to:

Assist in creating service jobs;



Augment industrial land supply within the Region, in particular in

Coffs Harbour, Port Macquarie and Taree to accommodate future

needs;

Recognise the value of existing agricultural industries and ensure

land use planning decisions do not hinder the growth and

diversification of agricultural production;

Generate enough new export industries to employ the 11,000

people who will be in the jobs market but will not be needed to

service the extra population within the Region; and

Build on the employment sectors that are currently successful.

The main issues for employment and industrial land in Port

Macquarie – Hastings LGA as raised in the Regional Strategy include:

Residential growth is expected to occur in a number of new release

areas such as Thrumster in Port Macquarie, and the areas between

Lake Cathie and Bonny Hills, and Camden Haven– Lakewood.

Higher density development is already occurring in the central

areas of Port Macquarie, although not all potential within the

town has been taken up. As the central business district of Port

Macquarie grows in importance, it will be necessary to ensure

that the right balance of commercial and residential

opportunities is maintained.

Due to the size and roles of Coffs Harbour and Port Macquarie

substantial industrial lands are forecast to be required to support

their future growth. However, it is becoming increasingly difficult

to find suitable new industrial land.

Port Macquarie-Hastings Industrial Land Strategy (2007)


undertaken by AEC developed a strategic planning framework for

industrial precincts and identified appropriate locations for future

industry to support and enhance the economic competitiveness of

the Port Macquarie Hastings Region.

The 2007 ILS identified 10 future industrial land investigation areas with

potential to accommodate future industrial development. In total, whilst

projected demand was around 270ha, around 350ha of industrial land

was outlined for further investigation. Of this, at least 185ha was

possibly suitable for development (not including Herons Creek).

The general strategy for the Port Macquarie- Hastings region

provided for:



The majority of future industrial land supply to be concentrated

at Sancrox Precinct, with transport and logistic uses to locate in a

dedicated area in the Precinct;

Additional light and general service industrial supply to cater for

employment opportunities in the new Growth Areas being Area

13 (Thrumster), 14 (Lake Cathie/Bonny Hills) and 15

(Kew/Lakewood);

Marine expansion at Birdon Marine;

Retention of a Business Technology Park at Port Macquarie

Airport and provision of additional investigation area for other

industrial uses to account for further need for industrial land

within the Port Macquarie urban area;

Further environmental investigations to be undertaken of

existing zoned land at Heron’s Creek to assess suitability for

heavy industry; and

Promotion of Bago Road Estate and Wauchope Industrial Areas

to meet future needs of the Wauchope area and provide

affordable land to the market over time.

Previous Industrial Land Studies

Council has undertaken various industrial lands strategies and

reviews prior to the 2007 ILS being:

Hastings Industrial Land Use Strategy Discussion Paper (1995);

Hastings Industrial Land Use Strategy Review (1998);

Wauchope Industrial Study (1999);

Hastings Industrial Land Strategy (Stage 1), GHD (2003); and

Economic Development Review (2004).

Other Studies

Rail Freight Study Stage 1 (2008)

In 2007 Council engaged consultants to investigate the feasibility of

developing a regional road and rail freight facility in the Port Macquarie-

Hastings LGA. The Rail Freight Study Stage 1 (2008)evolved out of

Council receiving an application (since refused) to rezone around 70ha of

rural land at Telegraph Point to permit a road and rail transport hub.

The key findings of the study were:



Freight associated with Port Macquarie-Hastings largely comprises

non-bulk freight, which is more suited to road freight than rail

freight. Rail freight remains suited to heavy freight densities such as

coal and grain, neither of which is produced in the region.

The only destination that is potentially viable by rail is the Sydney

Metropolitan Area and ports. Demand between the Mid North

Coast and Brisbane is too low, both now and in the future, to

justify rail service.

Based on the results of the modelling, at least 1m tonnes per

annum of rail freight would be required to support a financially

viable regional intermodal terminal. This level of demand enables

daily rail services which can compete on a service delivery basis

with road transport. This amount of rail freight is unlikely to be

generated without a major intervention, such as a major retail

chain realigning its supply chain practices towards regional

distribution centres.

Domestic freight moved by rail will have a 10% price disadvantage

over road. As nearly half of the rail price comprises handling and the

short road hauls at either end of the trip, a major shift in the relative

cost of the line haul components would be necessary to make rail

cheaper than road at the distances involved.

Rail freight operations will struggle to compete effectively on

price and service in the 300km to 600km markets such as Sydney

to Port Macquarie-Hastings, due to improvements in road vehicle

technology, road infrastructure investment, service flexibility,

journey frequency and speed. Additionally, the extra transit times

by rail will remain unattractive relative to road, which is both

quicker and more frequent than rail.

Based on these findings, the Rail Freight Study concluded that

developing a viable intermodal terminal in the Port Macquarie-

Hastings LGA is only remotely possible and not commercially

probable due to competition from road freight, combined with

service limitations and perceptions.

Draft Port Macquarie Airport Masterplan (2009)

Port Macquarie Airport is owned operated and managed by Port

Macquarie-Hastings Council. The Airport is operated as a commercial

business unit of Council, and is self-funded by revenue received from

Airport operations. The Port Macquarie-Hastings Airport Master Plan

2010 is the principle planning document for the Port Macquarie

Airport. The plan presents a 20-year vision for the Airport site,



setting out a framework and strategic direction to guide

development of the Airport considering airport operations, general

aviation activities and commercial property development

opportunities to underpin the region’s economic and tourism

potential.

At the end of 2013 Council completed a $21 million airside

infrastructure upgrade at the Airport. The upgrade represents the

1st stage of the implementation of the Airport Master Plan 2010 (and

Addendum), and involved the upgrade of the airside facilities

(runway, taxiway and RPT apron), including:

Strengthening, extending (by 110m to south) and widening the

existing main runway 03/21 to 1800 metres long x 45 metres

wide;

expansion of the existing regular public transport (RPT) apron

(located in front of the terminal building) to provide additional

parking positions for larger aircraft, including a new taxiway

connection to the main runway;

relocation of the helicopter landing and parking area, and general

aviation (GA) aircraft parking area; and

provision of associated infrastructure / facilities (e.g. runway,

taxiway and apron lighting, other visual aids, drainage, line

marking etc).

The PMHUGMS 2011 identifies part of the existing Airport east-west

grass runway and other land to the east of the Airport, including land

along Boundary Street, as a key site (known as the ‘Airport Precinct

Employment Lands’) for investigation for service industry and

business park industrial uses, with a notional supply timing of less

than 5 years. The Precinct would lend itself to the introduction of

higher technology, freight, logistics and aviation affiliated industries,

with the Precinct playing a regional role in ongoing economic

development of Port Macquarie LGA and the Mid North Coast.

Council has recently commenced work to prepare a planning

proposal to rezone the proposed employment lands. The aim is to

reinforce the Airport Precinct as a significant gateway to Port

Macquarie and to ensure that future development is compatible with

future airport operations, including height, lighting and other

potential impacts. Issues in the area relate to ecological constraints,

flooding and provision of service infrastructure (road network, sewer,

water supply). In addition, as the land is generally flat, stormwater

drainage patterns are poorly defined, relatively complex and involve



wetlands. The extent of land to be rezoned for employment

purposes will be determined as part of the detailed investigations

required to support rezoning of the land.

Total developed land area has been revised down from 9.6ha to

5.6ha as a result of Council’s purchase of Lot 121 DP1156615 (on the

northern alignment of Tuffins Lane, next to Newman College, 4.03ha

of which is zoned B7).



THE CHANGING NATURE OF INDUSTRY 3

This chapter highlights trends within industry which are global and

national but also have impacts down to the regional and even local

level. The purpose of highlighting these trends is to demonstrate the

impacts on demand for real estate and on the urban and regional

landscape.

Industrial Trends

The advance of modern technologies in particular has been changing

the methods of manufacturing production and the pattern of world

trading. The global economy today consists of more sophisticated

linkages between businesses which are designed to enable the

efficient sharing of information and the delivery of goods through a

global supply chain.

The globalisation and the free movement of people, goods and

services have increased the amount of competition and resulted in a

decline in the proportion of jobs within manufacturing industries.

The role of manufacturing in Australia has by necessity moved up the

value chain. Successive waves of restructuring and job shedding over

a number of decades has seen the sector move from being labour

intensive to capital and knowledge intensive. Manufacturing firms

are increasingly employing more professional and technical services

staff and utilising more office and research and development space in

facilities. Successful modern manufacturing enterprises are as much

involved in administrative and commercial activities as in physical

production. Those manufacturing sub-sectors that produce more

basic products and face strongest competition from overseas have

declined in relative importance.

Non-food manufacturing in Australia has declined considerably over

the past three decades. In 1975 it contributed 14.8% to GDP1. In

2012 its contribution represented only 5.8% of total GDP. In 1976

the Non-Food Manufacturing Sector in Australia employed 954,000

workers which comprised 17.7% of total employed persons. By 2011

this has declined to 709,000 and its proportion to total working

population has significantly decreased to 7.2%2.

As a result of these industrial trends, the development of industrial

land in NSW has generally occurred at a rate slower than

1 ABS 5206.0 Australian National Accounts 2 ABS Census 2011 and 1976 (excluding not stated or inadequately described)



employment growth. In manufacturing and wholesale trade, growth

has with only a few exceptions either declined or remained stagnant.

However demand for industrial lands for transport and storage

related industries has shown strong growth.

Industrial floorspace used primarily for transport and storage,

particularly those with low inventory turnover, are gravitating to

inexpensive land and low cost buildings.

Large-scale transport, storage and warehousing sector (or logistics)

have locational needs that are determined by efficient supply chains,

access to customers and suppliers, land availability and main road

access. This describes firms that have specific land and infrastructure

needs and potentially buffer distance requirements from residential

or other sensitive land uses.

Industrial locations next to city, major centres and waterfront areas

have been replaced over time by higher valued land uses, which

include residential and other employment uses. Low employment

generating transport and storage uses are increasingly unnecessary in

close proximity to major centres and reflect an increasingly

underutilisation of resources with low economic performance.

Office Space Trends

Economic changes to industry and technology has resulted in a

significant shift in the location of office-based activities towards

business park developments. In inner urban areas buildings have

evolved from being predominantly warehousing to office.

Business parks are now recognised as being highly successful urban

formats. Consistent across these parks are the following key

characteristics:

They are predominantly office parks with a component of

warehousing (closely aligned to the changing nature of industry

and manufacturing), and in some cases a component of research

and development and high-technology uses;

Apart from providing A-grade or similar grade commercial space,

often with cheaper rent than CBD locations, business parks

enable purpose designed buildings and plenty of on-site car

parking;

The provision of on-site amenities that attract large corporations,

such as recreation and open space facilities,



They hold a sense of prestige which is a further factor that

attracts large businesses. Tenants sign up with a business park in

part for its marketable image. There is a preference for a good

clean estate, located away from industrial areas;

Business parks enable large corporations to custom build their

headquarters, providing them with their own standalone identity,

which cannot be achieved in a centre of mixed tenants; and

They have flexible floor plates and cheaper ground rent, which

allows warehousing and office space to be integrated.

Clustering and Agglomeration

Agglomeration or clustering is the phenomenon whereby firms from

the same industry gather together in close proximity. It is particularly

evident in industries like health care but also banking, research and

development, the automotive industry, home building and

manufacturing. By clustering, businesses are able to benefit from

such things as:

A pool of expertise and skilled workers;

Ready access to component suppliers;

Information channels both formal (e.g. recognised industry

associations) and informal (e.g. social networking with

colleagues);

Increased innovation and service sophistication;

The ability to specialise and use other services to complement

business activity; and

A larger available customer and supplier market.

The consumer also benefits from the economic effect of

agglomeration through better access to choice and lower prices as a

result of price competition. The NSW State Government recognises

the economic importance of agglomeration and the need to cluster

businesses in “strategic centres”.

Modern high-tech clusters often gather around universities where

access to research and academic specialists is easier. Silicon Valley is

near Stanford University (United States of America) for example and

similar local high-tech clusters are gathered around Macquarie

University at North Ryde.

Agglomeration has seen the creation of new business park

developments and industrial zones along new transport corridors.

Many businesses have relocated to these complexes so they can ‘co-



locate’ their administration and warehouse needs. A mix of

industrial/commercial uses is seen as a legitimate need that would

not be practical or economical in an established commercial centre

with its higher land values and smaller land parcels.

Apart from universities other major catalysts are airports and

hospitals.

Agglomeration in hospital and health services is more evident than in

many other industries. A primary reason for this is that face-to-face

encounters are imperative for medical care and procedures. Health is

an industry where information flows cannot easily be performed

remotely due to the need for specialist consultants/surgeons and

complex/expensive equipment. Whilst there has been considerable

growth in remote information exchange, due largely to advances in

information technology, this has complemented rather than

substituted face-to-face encounters.

A key driver in urban development is aviation related activity. In

addition to rapid growth of passenger travel in recent decades, air

logistics has grown considerably and is seen as a major economic

development driver. Air logistics comprises air cargo, air express and

their supporting services. The types of businesses that locate near

airports comprise those with time-critical manufacturing and

distribution, entertainment, tourism, corporate offices and

businesses that require long-distance connectivity.

There are short to long term opportunities in Port Macquarie brought

about by several benefits in infrastructure including:

The airport and growth in aviation traffic;

The new Charles Sturt University campus;

The Hospital; and

The continue widening and upgrade of the Pacific Highway.

Suitable locations for new employment uses in Port Macquarie

include the airport, the Gordon Street / Grant Street mixed use zone

and the Hospital / CSU Precinct.

Employment Changes

Port Macquarie’s workforce grew 49% from 18,552 in 1996 to almost

27,700 in 2011 as shown in the figure below.



Figure 1 Port Macquarie Employment by Job Type 1996 to 2011

Source: ABS Time Series Data 1996 to 2011

There was some growth in all job categories. The lowest growth area

was “Managers” at 14% which includes farmers. This is a reflection

of the decline of jobs in agriculture partly due to increased

automation. The highest growth jobs were in “Professionals” and

“Community and Personal Service Workers” at 90% and 104%

respectively.

Employment is also changing in the industry categories as shown in

the figures below.

19962001

200620110

5001,0001,5002,0002,5003,0003,5004,0004,5005,0005,500



Figure 2 Port Macquarie Employment by Industry Type 1996 to 2011

Source: ABS Time Series Data 1996 to 2011

The highest growth industry in terms of job numbers was “Health and

Social Care” with 2,185 new jobs from 1996 to 2011 – almost

doubling the numbers. Its share of the workforce went from 12.3%

to 16.2%.

With 938 new jobs over the same period “Utilities” (power, gas,

water, etc) had the strongest percentage growth with a five fold

increase. Other strong growth areas include “Transport and

Warehousing”, “Hospitalities” and “Public administration and

Education” each with 66% growth.

1996200120062011

0500

1,0001,5002,0002,5003,0003,5004,0004,500

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1996 2001 2006 2011

Other

Health and Social Care

Public Admin & Education

Professional & Business

Transport & Warehousing

Accommodation & Food

Retail trade

Wholesale trade

Construction

Utilities

Manufacturing

Primary Production



Manufacturing achieved only 8% growth. Its share of the workforce

fell from 7.5% to 5.5% which reflects a national wide trend. Job

numbers in Primary production (agriculture and mining) actually fell

by 20% to 816 and jobs in “Wholesaling” also fell by 15% to 735.

Impacts on Industrial Lands

The decline in manufacturing has not negatively impacted the

demand for industrial land as space is increasingly required for the

storage and distribution of goods that are now manufactured

offshore. Jobs in transport and storage has held constant. In some

areas these jobs have declined, however these trends are the result

of increased automation which does not translate to a loss in

demand for industrial lands. It simply means that employment

density (workers/hectare) rate in some industrial areas has reduced.

A further important consideration is the need to accommodate land

uses which are sometimes deemed not compatible in business

and/or residential zones (and in other cases may not be viable due to

added land cost). These uses include entertainment facilities (such as

ten pin bowling and laser tag as well as sex services, places of public

worship and the like. Industrial zones provide a buffer for these land

uses away from more sensitive residential areas and even

commercial centres.



ANALYSIS OF INDUSTRIAL LAND SUPPLY 4

This chapter provides a description of the supply of industrial and

employment zoned land (including land zoned IN1, IN2 and B5) by

precinct. The role of each precinct is described as well as the

principle land uses, advantages and disadvantages and opportunities

for further development.

Lake Road, Port Macquarie

The Lake Road precinct is around 3.5km south-west of Port

Macquarie CBD and is located to the north and south of Lake Road

between Fernhill Road and Barton Crescent. The Lake Road Precinct

is the major industrial area in the LGA playing a regional role in the

provision of industrial land. Light industrial is the predominant land

use, although there has been an increase in the provision of bulky

goods retailers in the Precinct.

Whilst the Lake Road Precinct has historically been the main

industrial precinct for the LGA and has served this purpose well, the

Precinct has evolved into a location for bulky goods clusters. Bulky

goods are mainly located on Lake Road and include retailers such as

Spotlight, The Good Guys, Everyday Living, Sleep City and Bunnings.

Other light industrial land users include the likes of electrical

contractors, Amber Tiles, building supplies, smash repairers, auto-

servicing and transport industries. Some recreational users also exist

in the Precinct including Jumbos Playland, Hastings Dance Centre,

Vicki’s Swim Centre, and Centre of Gravity Indoor Adventure Centre.

The major attributes of this Precinct as highlighted in the 2007 ILS were:

The precinct is largely built out with 90.4% of 80 hectares of land

already developed.

The majority of sites within the Precinct are small in the range of

1,000-2,000sqm.

Lake Road already carries significant traffic volumes at peak

hours being the key east/west link for traffic movements

between Ocean Drive and Oxley Highway.

Council is investigating options to cater for existing and future

traffic growth along Lake Road.

The Precinct is generally well buffered from surrounding residential

land uses and is easily accessed from Oxley Highway or via Hindman

Street and Fernhill Road.



The 2006 Land Inventory indicated there was also 4ha of vacant land

in the Precinct. A survey by Council in June 2015 identified 11 vacant

sites totalling 2.9 hectares.

The few vacant sites and take up since the 2007 ILS indicates the

Precinct is performing well. The Precinct is in good proximity to the

existing urban area of Port Macquarie, has always been developed

and promoted as Port Macquarie’s main industrial area, has little

room for expansion due to encroaching residential development and

vegetation and restricts bulky goods development to land fronting

Lake Road.

Bellbowrie Street, Port Macquarie

The Bellbowrie Precinct is located around 2km north-west of Port

Macquarie CBD and is surrounded by Hastings River Drive, Bellbowrie

Street, Newport Island Road and Denham Street. The Precinct plays a

local service industrial role for the northern portion of the LGA, with

the provision of small scale light industrial land users.

The most predominant industrial land users in the Precinct are

automotive services and smash repairers, tyres and other automotive

parts and servicing. There are several bulky goods and DIY industries

including carpets, lighting, paints and Cascade Pool & Spa Centre.

There are only two small sites that are vacant (No.s 51 and 101B

Hastings River Drive) with a total site area of less than 3,000sqm.

Hastings River Drive, Port Macquarie

The Hastings River Drive Precinct is around 3km north-west of Port

Macquarie CBD and only 900m north-west from the Bellbowrie Street

Precinct. The Hastings River Drive Precinct is adjacent to the existing

Melaleuca Caravan Park and immediately south of Stuart Park. Low

density residential uses surround the Precinct to the north and south.

Like the Bellbowrie Street Precinct, the Hastings River Drive Precinct

plays a local service industrial role for the northern portion of the

LGA, however with a stronger focus towards bulky goods retailing.

The most prominent bulky goods retailers in the Precinct are part of

Port Home Zone which includes Forty Winks, Harvey Norman, Oz

Design Furniture, BCF Camping & Fishing and Fantastic Furniture.

The most predominant industrial land users in the Precinct are

automotive services and smash repairers McGuigan BMW, Watson’s

Caravans, Warren Plowrigh Toyota, John Patrick Prestige Cars,



Miedecke Ford, Beaurepairs, Hyundai, Port Macquarie Motor World,

Belbowrie Motors and Hastings Marine.

The following attributes of the Hastings River Drive Precinct were

highlighted in the 2007 ILS:

The 16.5ha Precinct is largely built out with 96% already

developed.

The Precinct has largely occurred as a ribbon commercial

development corridor.

The majority of lots are around 4,000sqm to 10,000sqm.

The Precinct is suitably located in terms of road access with good

access off Hastings River Drive.

In 2007 96% of the precinct was developed and few sites remained.

Today there are only five small sites that are vacant with a combined

area of less than 9,000sqm. Significant changes since 2007 include

the expansion of the caravan sales yard, a new 1,400sqm ALDI

Foodstore on part of the Caravan Park site and John Patrick Used

Cars.

Analysis of the Precinct indicates the land has relatively flat

topography (much better than Lake Road area), good direct access to

Hastings River Drive and the urban areas of Port Macquarie, but is

largely built out and has limited opportunities for expansion due to

surrounding residential development and open space.

Birdon Marine, Port Macquarie

The Birdon Group marine industrial development, operating on the

eastern side of the Dennis Bridge adjacent to the Pacific Highway,

includes boat building, slipway and commercial wharf activities. The

primary operations site comprises approximately 1.9 hectares and

was rezoned to Zone IN4 Working Waterfront under the Port

Macquarie-Hastings Local Environmental Plan (PMHLEP) 2011.

In July 2015, 3.6ha of land on the western side of the Dennis Bridge,

Glen Ewan Road was rezoned to IN4 Working Waterfront to build on

the existing marine based industry and slipway infrastructure in the

area. An existing internal road connection under the Dennis Bridge

provides direct access to the Hastings River via the slipway and wharf

facilities adjoining to the east.

The PMHUGMS 2011 also identified an investigation area at the

intersection of Hastings River Drive and the Pacific Highway,

immediately adjoining the existing Birdon development to the south



and east, for potential expansion of marine related industry in the

long-term. This land is not associated with the existing Birdon Marine

development group and the likelihood of development in this area is

significantly reduced given the recent rezoning of land to the west of

the Pacific Highway.

Current zoning is IN4 Working waterfront under Port Macquarie-

Hastings Local Environmental Plan 2011.

The main advantages with the precinct include the following:

Dedicated precinct for marine related industry;

Direct access to waterfront;

Proximity to key local transport and freight corridors via Pacific

and Oxley Highways;

Large single ownership parcel; and

Proximity to expanding labour markets in the Port Macquarie

Wauchope Urban Growth corridor.

The main disadvantages with the precinct include the following:

Full utilisation of the western precinct is subject to completion of

the upgrade of the Pacific Highway or upgrading of the Glen

Ewan Road /Pacific Highway intersection; and

Cost of establishment and development due to servicing

requirements, appropriate building form and design, and flood

management.

Port Macquarie Airport

The Port Macquarie Airport Business Park precinct comprises 25.5ha

of land around 5km north-west of Port Macquarie CBD along Hastings

River Drive. The precinct was converted to zone B7 Business Park

with the introduction of Port Macquarie-Hastings Port Macquarie-

Hastings Local Environmental Plan 2011 in February 2011 and

development in the area includes a new senior Technical Tertiary

College on land fronting Boundary Street in the north eastern sector

of the precinct. Other land uses in the area have remained relatively

unchanged over the last 10 years with occupiers mainly including

aircraft related industries (e.g. scenic flights, learn to fly, car hire,

general aviation hangers etc).

Developable land supply in the existing Business Park has been

revised down from 9.6ha to an estimated 5.6ha as a result of

Council’s purchase of Lot 121 DP1156615 (on the northern alignment

of Tuffins Land, next to Newman College, 4.03ha zoned B7) for



runaway extension and airport operations. Whilst the site formerly

had a tourist oriented recreational activity operating from the site it

is now currently Operational Land.

At the end of 2013 Council completed a $21 million airside

infrastructure upgrade at the Airport to underpin the region’s future

growth, economic development and tourism potential. The upgrade

marks a significant milestone for the Airport, with the upgraded

runway now providing the capability for up to 180-seat B737 / A320

aircraft for the first time in the Airport’s 60 year history. The project

was supported by $15 million in funding assistance from the

Australian Government.

The upgrade represents the 1st stage of the implementation of the

Airport Master Plan, and involved the upgrade of the airside facilities

(runway, taxiway and RPT apron), including:

Strengthening, extending (by 110m to south) and widening the

existing main runway 03/21 to 1800 metres long x 45 metres

wide;

Expansion of the existing regular public transport (RPT) apron

(located in front of the terminal building) to provide additional

parking positions for larger aircraft, including a new taxiway

connection to the main runway;

Relocation of the helicopter landing and parking area, and

general aviation (GA) aircraft parking area; and

Provision of associated infrastructure / facilities (eg runway,

taxiway and apron lighting, other visual aids, drainage, line

marking etc

The PMHUGMS 2011 identifies 41.5ha of additional land at the

Airport, including land east-west grass runway and other land to the

east of the Airport, along Boundary Street, as a key site (known as the

‘Airport Precinct Employment Lands’) for investigation for service

industry and business park industrial uses, with a notional supply

timing of less than 5 years. The proposed additional land would lend

itself to the introduction of higher technology, freight, logistics and

aviation affiliated industries, to underpin the Airport’s regional role in

ongoing economic development of Port Macquarie LGA and the Mid

North Coast.


proposal in relation to rezoning these proposed employment

lands. The aim is to reinforce the Airport Precinct as a significant



gateway to Port Macquarie and to ensure that future development is

compatible with future airport operations, including height, lighting

and other potential impacts.

Issues in the area relate to ecological constraints, flooding and

provision of service infrastructure (road network, sewer, water

supply). In addition, as the land is generally flat, stormwater

drainage patterns are poorly defined, relatively complex and involve

wetlands. The extent of land to be rezoned for employment

purposes will be determined as part of the detailed investigations

required to support a rezoning.

The benefits of further industrial development at the Airport include:

Its proximity to Port Macquarie CBD and its broader urban area;

Its proximity to Hastings River Drive and the Airport operations

itself;

The availability of relatively flat, vacant, unconstrained land ready

for development; and

Available land is appropriate for a range of aviation related uses

including - couriers, freight, logistics, services relating to airport,

manufacturing, light aircraft manufacture, aircraft maintenance and

repairs, search and rescue, aerial surveillance, aircraft

instrument/electrical installation, charter operations, aircraft

restoration, flight training, petrol/fuelling, skydiving operations,

helicopter operations and emergency services.

Any surrounding development must not interfere with Airport

Operational requirements.

Wauchope CBD

Wauchope CBD is around 20km west of Port Macquarie CBD.

Wauchope has three industrial precincts playing a local service

industrial role for the township. These precincts are:

High Street/Oxley Highway 3.5ha;

Cameron Street 6.8ha;

Randall Street 3.4ha;

High Street/Beechwood Road 0.6ha.

2015 Observations include:

The most predominant industrial land users in the High Street/Oxley

Highway Precinct are agricultural, building and light industrial uses,



including Inland Ag, CBS Chainsaw & Brushcutter Specialists,

Thompson’s Farm Gear, Wauchope Rural Centre, Hastings Mower

Service, Mud ‘N’ Tar Motor Cycles and Customline Joinery, Hastings

Kitchen Company, various service industrial activities, service stations

and fuel depots. There is only one vacant lot in the industrial zoned

area being 1,956sqm lot on the corner of Oxley Highway and

Blackbutt Drive.

The Cameron Street precinct includes a range of users including

Aromatics, Beaurepairs, Marshall’s Auto Spares, Car wash facilities

and Five Start Fitness. However, various vacant buildings and

dwellings are also evident.

The main users of the Randall Street Precinct included Hastings

Valley Dairy, Rail Corp, self-storage units and Farm & Produce

Supplies.

There are few hardware and bulky goods retailers in industrial zones

in Wauchope, with the majority such as Mitre 10 and Thompsons

Building Centre being located in the Wauchope CBD.

The attributes of Wauchope industrial areas include:

There are no development constraints on remaining vacant land;

Almost half of the lots are sized between 1,000-2,000sqm with

limited lots greater than 4,000sqm;

Access from Oxley Highway; and

Strategically access from Pacific Highway to Wauchope is poor

and generally inefficient for heavy vehicle movements.

Bago Road, Wauchope

The Bago Road industrial area is around 3.6km south of Wauchope

CBD.

Current zoning is IN1 General Industrial under Port Macquarie-

Hastings Local Environmental Plan 2011.

The precinct plays a service industrial role for Wauchope and the

surrounding rural catchment.

At the time of Hill PDA’s inspections, the main users of Wauchope

Industrial Estate were light industry, building materials and

agricultural businesses. This included North Coast Fire Systems,

Holiday Coast Manufactured Homes, Aquasonic, A Class Auto

Refinishers, Herc Equipment, Wauchope Frames & Trusses, Redhead



Machinery Sales, Slade Refrigerator Transport, Heritage Wholesale

Blinds, and Wauchope Mower & Hire Centre.

From recent aerial photography it is estimated that there is around

59 hectares of vacant zoned land in the precinct – which is around

61% of the total precinct area.

Advantages with the precinct include the following:

Major dedicated site for local and regional businesses;

Large area offering range of serviced lot sizes;

Potential medium to longer term pipeline of supply relatively

close to Wauchope;

Separation from other sensitive land uses including residential -

reducing the potential for land use conflicts;

Competitive land values compared with other industrial areas

closer to PMQ;

Presence of other industrial users;

Mix of landholdings and owners offering opportunities for a

diverse range of business;

Access to local labour market; and

Opportunities for Greenfield industrial development allowing for

customised operations.

Disadvantages with the precinct include the following:

Distance from regional infrastructure corridors including Oxley

and Pacific Highways;

Distance from freight corridors and local distribution centres and

networks such as Wauchope CBD, PMQ Airport and PMQ CBD

Represents competitive disadvantage from other established

areas closer to local centres;

Lack of existing catalyst or anchor infrastructure affecting ability

to attract investors;

Lack of existing retail & business amenity in some areas to attract

/support further investment;

Incomplete or substandard road infrastructure affecting ability to

attract new business and investment; and

Strategically not well positioned.



Herons Creek

The Herons Creek industrial area is around 28km south-west of Port

Macquarie CBD and 14.5km north-west of Laurieton.

Current zoning is IN3 heavy Industrial under Port Macquarie-Hastings

Local Environmental Plan 2011.

The precinct is a long standing heavy industry precinct initially

conceived to accommodate the regions. The main development in

the Herons Creek Precinct is Boral’s $24m Timber Processing Plant,

completed in 2006. It is understood concerns over the ecological

significance of much of the land has limited its expansion potential.


The largest dedicated heavy industrial site in the LGA;

Proximity to Boral’s $24m Herons Creek Timber Processing Plant

completed in 2006;

Large undeveloped industrial area allowing for a range of lots

sizes and business opportunities;

Potential medium to longer term pipeline of supply;

Separation from other sensitive land uses reducing potential for

land use conflicts;

Proximity to major Regional transport corridor - Pacific Highway;

Opportunities for Greenfield industrial development allowing for

customised heavy industry operations; and

Significant supply of dedicated industrial land in single ownership

parcels facilitating major economic or social infrastructure

development overtime


No land sales in the precinct since 2006;

Distance from major population densities and labour markets;

Poor standard of existing road infrastructure;

Lack of transport options due to northern railway crossing;

Lack of existing industrial development to attract investment;

Lack of infrastructure and services networks (water, sewer,

telecommunications) requirements;

Topographical constraints and environmental concerns limiting

feasibility and certainty of development for industrial purposes;

and



Cost of establishment and development due to topographical

constraints and infrastructure.

Laurieton

The Laurieton industrial area is around 40.4km south of Port

Macquarie CBD along Pacific Highway or 33km south along Ocean

Drive. The Laurieton precinct plays a local industrial service role for

the residents of the local area and the southern end of the LGA.

Current zoning is IN2 Light industrial under Port Macquarie-Hastings


At the time of Hill PDA’s inspections, the users of the Laurieton Bay

Industrial Park included a mix of auto repairs and building suppliers

including East Coast Screw Piers, Dollar Saver Building Products,

Camden Haven Panel Works, Goodison B & B Smash Repairs, and

Camden Haven Motor Cycles, Laurieton Mufflers & Mechanics,

Camden Haven Auto Electrician, Laurieton Joinery, Boral Concrete,

Curtain Haven & Blinds, Moore Hire & Scaffold, Bayside Upholstery,

and Alloy Gates & Fences.

The following attributes of the Laurieton industrial area were


The Laurieton Precinct comprises 6 properties covering 3.91ha of

zoned land of which 85.2% is fully developed.

The remaining vacant land is unconstrained for future

development.

Half the lots are less than 1,000sqm.

The Laurieton industrial area is considered self contained and

serviced by an internal road layout linking with Ocean Drive.

There is limited scope for expansion.

The precinct is in a good location relative to the Laurieton town

centre, is relatively flat but has little room for further expansion.

Council’s Land Inventory (2006) indicated there was around 0.6ha of

vacant industrial land in the Precinct. From aerial photography our

estimate is 1.1 hectares (the area of land entirely surrounded by

Bayside Circuit) which represents 28% of the total precinct size.


Self-contained dedicated industrial area;

Large single ownership parcels;

85% developed;



Vacant supply is fully serviced, unconstrained flat industrial land;

Proximity to local centre, population density, labour market and

transport and distribution networks;

Good amenity; and

Presence of existing businesses


Limited scope for expansion; and

Lack of opportunities for investment in land due to ownership

(single owner/developer )

Laurieton Working Waterfront

The precinct is located on the edge of the Camden Haven River

approximately 450m south of the Laurieton CBD.

The precinct plays a servicing role supporting the local fishing

industry and includes the Laurieton Fish Co-Op and adjoining Marina

and berthing facilities.

The precinct is 1 hectare and currently zoned IN4 Working

Waterfront


Self-contained dedicated working waterfront precinct;

Fully serviced;

Proximity to Laurieton CBD, Camden Haven Waterways and River

entrance;

Precinct has high amenity; and

Anchor business as catalyst to surrounding development.

The main disadvantage with the precinct is having very little scope for

expansion.

Sancrox

The Sancox industrial area is located 12km from Port Macquarie CBD.

The following attributes of the Sancrox industrial area were


The Sancrox Precinct, which is only three land parcels, comprises

16.36ha of zoned land of which 58.5% was fully developed.

The Precinct remains the most recent precinct to be rezoned to

4(a) General Industrial to accommodate the existing Expressway



Spares premises and to facilitate the development of an

engineering workshop on adjoining land to the south.

The RTA, Council and landowners are negotiating an overpass

south of Sancrox Road to enable improved access to Precinct

to/from the upgraded and realigned Pacific Highway.

Council’s Land Inventory in 2006 indicated there was around 6.8ha

of vacant industrial land in the Precinct. Late 2014 aerial

photography showed that all the sites south of Sancrox Road were

fully developed.

Since the last review 54 hectares of developable land north of

Sancrox Road was rezoned to IN1 and IN2. Current zoning in Sancrox

is IN1 General Industrial (71.4ha) and IN2 Light Industrial (14ha)

under Port Macquarie-Hastings Local Environmental Plan 2011.

The precinct is a new industrial release area intended for a range of

new businesses and industrial opportunities. The role of the precinct

is to meet longer term industrial employment demand.

The area is ideal for further industrial expansion, predominantly for

warehousing, transport, logistics and some manufacturing. Its

attributes are:

The Precinct is not quite flat, with pockets of vegetation but in

comparison to other locations is relatively unconstrained.

The Precinct is well located for good access to other regional

locations like Kempsey and Taree.

Regional based businesses are more appropriate for the area

than local service oriented industries.

There are few land use conflicts with surrounding residential

land.

Port Macquarie is expanding west with significant residential

growth planned for between Wauchope and Port Macquarie with

70% of residential growth to be located in this corridor.

The main advantages with Sancrox include the following:

Major dedicated employment precinct;

Proximity to key regional transport and freight corridors via

Sancrox Interchange including Pacific and Oxley Highways,

Airport and distribution networks;

Proximity and access to significant local and growing labour

market in the broader Port Macquarie-Hastings area;



Well positioned for regional based business, distribution

warehousing, logistics and manufacturing;

Large expanse of land offering range of investment and

development opportunities;

Opportunities for Greenfield industrial development allowing

for diverse or customised industry operations;

Proximity to expanding urban growth corridor PMQ-

Wauchope; and

Existing major industrial development as catalyst to attract

further business industrial development.

The man disadvantages with Sancrox include the following:

Some topographical constraints in parts limiting development

feasibility;

Gaps in infrastructure and servicing; and


constraints and servicing requirements.

Fernbank Creek Road

Since the last review 23 hectares of land at Fernbank Creek Road was

rezoned to IN1 General Industrial and IN2 Light Industrial. The

precinct is on the east side of the Pacific Highway from Sancrox and

around 7km from Port Macquarie CBD.

The precinct is viewed both as a future extension of the Sancrox

Employment Precinct given the opening of the overpass due at the

end of 2015. Potentially the precinct could also develop local service

industries to meet demand following the full absorption of industrial

land in Area 13.

The main advantages with Fernbank include the following:

Major dedicated industrial precinct;

Proximity to key regional transport and freight corridors via

Sancrox Interchange including Pacific and Oxley Highways,

Airport and distribution networks;

Proximity and access to significant local and growing labour

market in the broader Port Macquarie-Hastings area;

Large land parcels in single ownership;


for diverse or customised industry operations;



Well positioned on fringe of expanding urban growth corridor;

and

Proximity to growing resident labour market to support local

service industry operations.

The main disadvantages with Fernbank include the following:

No existing or catalyst industry east of the highway;

Gaps in infrastructure and servicing; and


constraints and servicing requirements.

Partridge Creek (Area 13 Thrumster)

Partridge Creek Industrial Precinct is located south of the Port

Macquarie Airport.

Current zoning is IN2 Light industrial under Port Macquarie-Hastings


The main advantages with Fernbank include the following:

Dedicated industrial precinct

Proximity to key local transport and freight corridors via Oxley

Highway

Proximity to key employment hubs including Port Macquarie

Airport, Tertiary Education Campuses and Health Services

Infrastructure (Port Macquarie Base Hospital)

Well positioned in expanding urban growth corridor

Proximity and access to resident population as catalyst to local

service industry development

Access to growing labour market in key growth corridor

Large land parcels in single ownership


for diverse or customised light industry operations

Potential to attract local service industrial investment

Separation from other sensitive land uses reducing potential

for land use conflicts;

The main disadvantages with Fernbank include the following:

Lack of established infrastructure and servicing;




constraints and servicing requirements;

Some topographical and airport operational constraints may limit

final development outcomes; and

Lack of direct access to John Oxley Drive

Lindfield Park Road

The Lindfield Park Road precinct comprises 7.4ha of land on the

northern side of the proposed Oxley Highway bypass at the

intersection of Oxley Highway and Lindfield Park Road. This area is

zoned IN2 Light Industrial.

Hill PDA’s review of the Port Macquarie-Hastings Retail Strategy

(2010) indicated there is a shortage of sites in the LGA for future

growth of bulky goods retailing. Given that there are no remaining

sites in Lake Road and Hastings River Drive for this land use, the best

location for further bulky goods expansion is around Lindfield Park

Road, north and south of new and old Oxley Highway. Around 6ha to

8ha would be required to accommodate this option.

The main advantages with Lindfield Park Road include the following:

Dedicated light industrial precinct;

Proximity to key local transport and freight corridors via Oxley

Highway;

Proximity to key employment hubs including Port Macquarie

Airport, Tertiary Education and Health Services Infrastructure

(CSU, Port Macquarie Base Hospital);

Well positioned in expanding urban growth corridor;

Proximity and access to resident population as catalyst to local

service industry development;

Large single ownership parcels; and

Opportunities for greenfield.

The main disadvantages with Lindfield Park Road include the

following:

Lack of established infrastructure and servicing; and

Cost of establishment and development due to servicing

requirements, including water quality management.



Kew

The Kew Industrial Precinct is a dedicated light industrial precinct

servicing Kew Village and surrounds. The precinct comprises a single

parcel of land 1.2ha zoned IN2 light industrial to the north of the

village and 1.8ha of IN2 land to the southeast of the village. Both

parcels are largely vacant.

The precinct plays a local servicing role for residents of Laurieton,

Kendall and the surrounding rural catchments.

The main advantages with Kew include the following:

Self-contained dedicated light industrial area/s servicing local

residents;

Proximity to local business centre, local population, and key

regional and local transport and distribution networks - Pacific

Highway and Ocean Drive;

large single ownership parcels;

Greenfield release areas;

Vacant supply is relatively unconstrained and in close proximity

to existing services;

Good amenity; and

Presence of existing businesses in adjoining village

The main disadvantage with Kew is gaps in infrastructure.

Proposed Development

Area 14 (Lake Cathie/Bonny Hills)

The Area 14 Masterplan (2004) encompasses the existing urban areas of

Lake Cathie and Bonny Hills as well as relatively constraint free land

around the villages. The total projected industrial land requirement in

the Masterplan was 15.9ha. The location of employment land in this

location is advantages for the following reasons:

Relatively flat.

Good location on the main coastal road.

Local industrial services will be attracted to the site.

However the majority of the site is subject to flooding. As a result

only around 4ha is considered developable.



North Kew

The 2007 ILS included land identified as North Kew (around 1km

north of Kew village) as suitable for investigation as future industrial

land supply, notwithstanding a lack of access to the realigned Pacific

Highway, and other constraints.

The site has not been included within the urban footprint in the Mid-

North Coast Regional Strategy (2006-2031) and is consequently not

included in the Urban Growth Strategy.

North West Interchange

It is recognised the Mid-North Coast Regional Strategy (2006-2031)

proposes employment land on the north-western side of the

intersection of the Oxley and Pacific Highways. Industrial

development on this site may not be the most appropriate kind of

employment land use given the ‘point of arrival’ or ‘gateway’

characteristics of this location.

Industrial Zones

The main zones for industrial and out of centre business zones in Port

Macquarie Hastings are:

IN1 (General Industrial);

IN2 (Light Industrial);

B5 (Business Development); and

B7 (Business Park).

IN1 General Industrial

The objectives of the zone are as follows:

To provide a wide range of industrial and warehouse land uses;

To encourage employment opportunities;

To minimise any adverse effect of industry on other land uses;

To support and protect industrial land for industrial uses; and

To enable other land uses that provide facilities or services to

meet the day to day needs of workers in the area

The list of permissible land uses include Depots; Freight transport

facilities; General industries; Hardware and building supplies;

Industrial training facilities; Kiosks; Landscaping material supplies;

Light industries; Medical centres; Neighbourhood shops; Plant



nurseries; Pubs; Roads; Rural supplies; Take away food and drink

premises; Timber yards; Vehicle sales or hire premises; Warehouse or

distribution centres

There is an extensive list of prohibited land uses including rural,

residential and commercial (office and retail). Any use not prohibited

is permissible with consent.

The purpose of this zone is to accommodate industrial uses and

employment and to protect land for these purposes. This zone is

used extensively in the large industrial estates including the Lake

Road area, Sancrox and Bago Road.

IN2 Light Industrial

The objectives of the zone are as follows:

To provide a wide range of light industrial, warehouse and

related land uses.

To encourage employment opportunities and to support the

viability of centres.

To minimise any adverse effect of industry on other land uses.


meet the day to day needs of workers in the area.

To support and protect industrial land for industrial uses.

This zone has similar permissible land uses to IN1 except that freight

transport facilities and general industries are not permissible. Light

industries are permissible along with hardware, building supplies,

landscape supplies and the other uses in the IN1 zone.

The purpose of this zone is to ensure that heavier industries or

industries that can potentially interfere with amenity are excluded.

This zone is used in smaller precincts, particularly precincts that are

in close proximity to residential and commercial zones. A number of

them are located on the fringe of commercial centres to provide local

urban services and support those centres. Examples include Kew and

Laurieton.

IN3 Heavy Industrial

The purpose of this zone is to provide land for heavy industry in a

location with adequate separation from other land uses. Permissible

uses in the zone include Depots; Freight transport facilities; General

industries; Hazardous storage establishments; Heavy industries;

Kiosks; Offensive storage establishments; Roads; Take away food and



drink premises; Warehouse or distribution centres. Light industrial

uses are excluded – presumably this is to preserve these sites for

heavy industry uses.

The only area with an IN3 zone is Herons Creek which was initially

conceived to be Port Macquarie Hastings heavy industry precinct. It

includes Boral’s Timber Processing Plant, completed in 2006.

IN4 Working Waterfront

The objectives of the IN4 zone are as follows:

To retain and encourage waterfront industrial and maritime

activities.

To identify sites for maritime purposes and for activities that

require direct waterfront access.

To ensure that development does not have an adverse impact on

the environmental and visual qualities of the foreshore.

To encourage employment opportunities.

To minimise any adverse effect of development on land uses in

other zones.


meet the day to day needs of workers in the area.

To ensure that industrial activities located in the zone require

direct waterfront access or are associated with other industrial

activities that require direct waterfront access.

Permissible uses include Boat building and repair facilities; Boat

launching ramps; Industrial training facilities; Jetties; Kiosks; Light

industries; Roads; Take away food and drink premises; Wharf or

boating facilities.

This zone only applies in two areas – Birdon Marine and Laurieton

Working Waterfront.

B5 Business Development

The objectives of the B5 zone are as follows:

To enable a mix of business and warehouse uses, and bulky

goods premises that require a large floor area, in locations that

are close to, and that support the viability of, centres.

To minimise conflict between land uses within the zone and with

adjoining zones.



To ensure that new developments make a positive contribution

to the public domain and streetscape.

Permissible land uses include Bulky goods premises; Child care

centres; Food and drink premises; Garden centres; Hardware and

building supplies; Kiosks; Landscaping material supplies; Light

industries; Neighbourhood shops; Passenger transport facilities; Plant

nurseries; Respite day care centres; Roads; Self storage units; Vehicle

sales or hire premises; Warehouse or distribution centres.

The three main precincts zoned B5 are part Lake Road precinct (Lake

Road, Central Road, Barton Cres and Milton Cres), Bellbowrie and

Hastings River Drive. The land uses in these zones include hardware

and home supplies, bulky goods, wholesale businesses, car sales

yards and the like.

Where used, the B5 zone has been applied to land close to existing

centres, where employment generating uses such as offices,

warehouse, large format retail premises and automotive retailing and

services are to be encouraged to support the viability of the centre.

B7 Business Park

The main difference between B7 and the other above zones is that

office premises are permissible. Notwithstanding a key zoning

objective is that development does not conflict with the hierarchy of

business and retail centres.

The only area of B7 in Port Macquarie is the airport site.

Summary of Supply


examined and surveyed all industrial zoned land across the LGA,

providing recommendations as to industrial land supply, demand and

priority of locations for further investigation. It’s understood supply

in the 2007 ILS was deduced from Council’s GIS mapping data.

The 2007 ILS indicated there was around 333.51ha of zoned industrial

land of which 202.84ha was developed and 130.67ha was vacant. The

2007 ILS also indicated that only 70.61ha (54%) of total vacant land

was unconstrained and available for development. Land that is

heavily constrained is concentrated in Herons Creek.

A further constraint to industrial land supply is the take up of land

zoned for industrial land use by bulky goods retail in the Bellbowrie,



Hastings River Drive and Lake Road precincts which has increased

industrial land supply pressures in those areas.

Hill PDA has updated the supply side in 2009-10 and again in 2015 to

reflect new development, rezonings and changes in the market (as

indicated in preceding sections of this Chapter) since the 2007 ILS,

with results indicated in the following table.

Table 6 –Supply of Industrial Land in Port Macquarie-Hastings LGA (2015)

Precinct Total Zoned

Land (ha)

Total Developed

Land (ha)

Total Vacant

Land (ha)

Area 13 (Thrumster) 32.4 - 32.4

Lindfield Park Road 7.3 - 7.3

Lake Road 101.0 98.1 2.9

Bellbowrie 11.1 10.8 0.3

Hastings River Drive 18.8 17.9 0.9

Birdon Marine 6.4 2.7 3.7

Airport 24.3 5.6 18.7

Wauchope CBD 14.3 12.3 2.0

Bago Road 117.2 60.8 56.4

Herons Creek 80.7 6.0 74.7

Laurieton 4.4 3.8 0.6

Laurieton Working Waterfront 1.0 0.9 0.1

Sancrox 85.4 26.2 59.2

Fernbank Creek Rd 23.3 - 23.3

Kew 3.0 - 3.0

Total 530.6 245.1 285.5

Source: AEC Group (2007) updated by Hill PDA and Council (2015)

The table above indicates there is currently 530ha of zoned industrial

land across the LGA, of which around 245ha of land is developed and

286ha is zoned and vacant.

Removing what is constrained (Herons Creek 75ha) there is around

211ha of vacant suitable industrial land available to the market.

There are also a couple of sites in the planning stages of investigation

and possible future rezoning as shown below.



Table 7 - Port Macquarie-Hastings Investigation Areas (2009)

Proposed Development Total Site Area (ha) Developable Land (ha)

Airport Precinct 40 10

Area 14 (Lake Cathie/Bonny Hills) 9 4

Total 49 14

Based on the preceding analysis in this Chapter, there is around 14ha

of land currently under investigation for industrial land development,

which is considered developable. This brings total developable

vacant land supply to around 225ha.



INDUSTRIAL LAND DEMAND 5

The previous chapter provided an appraisal of industrial land supply

in the LGA. This chapter forecasts demand for industrial land based

on population growth and considers the need, if any, for future

rezoning of land.

Population Projections

In 2006, the total population of the local government area was

estimated to be 71,285 people. By 2011 it had increased to 74,955 – an

average annual increase of 1.01%. Population growth is to continue

until 2016, with the strongest growth anticipated between 2016 and

2036 (1.3% per annum). The forecast of population is provided below:

Table 8 - Population Forecast for Port Macquarie-Hastings to 2036 (2015)

Locality 2011 2016 2021 2026 2031 2036

Camden Haven East 5,941 6,023 6,156 6,250 6,347 6,451

Camden Haven West 3,084 3,205 3,673 4,015 4,407 4,753

Flynns Beach 2,144 2,181 2,231 2,244 2,267 2,301

Hastings River Canals 2,513 2,762 2,891 2,895 2,884 2,880

Inner West Port 2,343 2,337 2,439 2,590 2,814 3,033

Innes Peninsula 3,110 4,109 5,151 6,276 7,030 7,318

Lake Cathie - Bonny Hills 6,024 6,559 7,433 8,341 9,219 10,143

Lighthouse Beach - Greenmeadows 11,805 11,950 12,441 12,825 12,979 13,016

Lord Street 1,739 1,862 1,963 2,124 2,357 2,592

Port Macquarie Rural Fringe 3,386 3,596 3,866 4,119 4,664 5,320

Rural 6,564 6,801 7,024 7,258 7,478 7,675

Shelly Beach - Bellevue Hill 11,060 11,242 11,371 11,452 11,556 11,693

Thrumster 162 754 2,362 3,958 5,647 7,682

Town Beach - CBD 900 1,118 1,241 1,384 1,484 1,611

Wauchope 6,911 7,290 7,661 8,063 8,446 8,883

Westport 7,268 7,354 7,378 7,481 7,493 7,575

Total 74,955 79,144 85,280 91,276 97,072 102,926

Source: Forecast.ID

Resident Workforce Projections

To forecast resident workforce growth the 2007 ILS assumed that the

total available resident workforce is generally around 45% of the

total population. However, this proportion assumes full employment

and no leakage of employees to outside the LGA.



To reflect scenarios of growth and change, the 2007 ILS adopted

three workforce participation rates being:

Low Workforce Participation of 34%;

High Workforce Participation of 39%; and

Full Workforce Participation of 45%.

In 2011 there were 27,625 working residents, equivalent to around

38% of the population (ABS Census 2011). Whilst this is lower than

the AEC assumption of 45%, it is more representative of a regional

location. Even so, HillPDA has adopted a resident workforce

participation rate scenario of 45% of the population as a target for

the LGA.

Adopting:

revised population growth projections;

the 2011 actual resident workforce as indicated in the ABS

Census; and

the ILS assumptions of low, high and full scenarios of growth and

change (34%, 39% and 45% respectively) -

the following resident worker projections result.

Table 9 - Resident Workforce Projections to 2036 (2015)

Scenario 2011 2016 2021 2026 2031 2036

Low Participation (34%) 25,485 26,909 28,995 31,034 33,004 34,995

High Participation (39%) 29,232 30,866 33,259 35,598 37,858 40,141

Full Participation (45%) 33,730 35,615 38,376 41,074 43,682 46,317

Source: ABS 2011 Census and Hill PDA 2015

The revised projections result in a slightly lower forecast resident

worker growth than previously calculated in the 2007 ILS. This is due

to both lower forecast population growth and a lower actual

workforce participation rate in 2011 than previously assumed in the

2007 ILS.

Note that for the purpose of land use planning the scenario of full

participation should be adopted to ensure sufficient supply of land.

Resident Workforce by Industry

The 2007 ILS further broke down resident workforce by sector, based

on the proportion of the workforce employed in each industry sector

as reported in the 2001 Census. This assumed:

2.73% work in heavy industry;



4.10% work in modern general industry;

3.10% work in transport, warehousing and storage; and

4.47% work in supporting industry.

Using these same assumptions, resident workforce by industry is

forecast below.

Table 10 - Resident Workforce Projections by Industry to 2036 (2011)


Heavy Industry 701 740 798 854 908 963

Modern General Industry 1,053 1,112 1,198 1,283 1,364 1,446

Transport, Warehousing and Storage 796 841 906 970 1,031 1,094

Supporting Industry 1,148 1,212 1,306 1,398 1,487 1,577

Total 3,699 3,906 4,209 4,505 4,791 5,080


Heavy Industry 773 816 880 942 1,001 1,062


Transport, Warehousing and Storage 878 927 999 1,069 1,137 1,206


Total 4,079 4,307 4,640 4,967 5,282 5,601


Heavy Industry 840 887 955 1,023 1,088 1,153


Transport, Warehousing and Storage 954 1,007 1,085 1,161 1,235 1,309


Total 4,430 4,677 5,040 5,394 5,737 6,082


Again, these estimates are lower than those forecast in the 2007 and

2010 studies due to both:

Slightly lower than projected population growth; and

The resident workforce in 2011 (based on ABS Census data) being

lower than that assumed by the 2007 ILS for the same year.

Industrial Land Demand

In calculating employment land demand the 2007 ILS assumed the

following rates of employees per hectare:



Heavy industry – 18 employees per hectare;

Modern general industry – 30 employees per hectare;

Transport, warehousing and storage – 20 employees per hectare;

and

Supporting land uses – 20 employees per hectare.

Based on these assumptions, the 2007 ILS forecast demand for an

additional 89ha to 118ha of industrial land to 2026.

The worker per hectare ratio is reasonable and generally accords

with non-metropolitan average. Hill PDA applied the above ratios of

employees per hectare to the amended resident worker forecasts to

determine forecast demand for industrial floorspace. However, Hill

PDA has assumed 30 employees per hectare for supporting land uses.

Table 11 - Industrial Land Demand to 2036 (2011) (hectares)




Transport and Warehousing 40 42 45 48 52 55




Total 209 221 238 255 271 287








Total 231 244 262 281 299 317








Total 251 265 285 305 324 344




The above results indicate Port Macquarie-Hastings LGA will need

287ha to 344ha of occupied industrial land to 2036. From the table

above growth in demand is 78ha to 93ha of additional occupied

industrial land. This is around 20 to 25 hectares less land than

required in the 2009 forecast. The above forecasts are summarised

by land use type below.

Table 12 - Industrial Land Demand by Land Use to 2036 (hectares)

Industrial Land Demand in 2036:

Low Participation

High Participation

Full Participation







Total 287 317 344

Additional Industrial Land Required to 2036:

Low Participation

High Participation

Full

Participation







Total 78 108 135


Given the current vacant supply of 211 hectares (net of Herons

Creek) plus 48 hectares in the pipeline, we estimate that there is

around 2 to 3 times more land than required by 2036.

Notwithstanding strong supply the geographical distribution of the

vacant land may not always match demand as described in the next

section.

Local Service Industrial Demand

To determine local and district industrial land supply, the 2007 ILS

assumed 50% of demand should be met by local business and industry.

The 2007 ILS divided this local service industrial demand into heavy,

modern general, transport/ warehousing/ storage, supporting

industry, services and open space. Hill PDA would question whether



heavy industry would locate on land reserved for local service

industries in small urban areas (e.g. Lake Cathie/Bonny Hills). For this

reason, Hill PDA only calculated total local service industrial demand

based on population forecasts and this is presented in the table below.

Table 13 - Additional Local Service Industrial Land Demand by Location to 2036 (hectares)

Precinct Low

Participation High

Participation Full

Participation

Camden Haven 3.0 4.2 5.3

Flynns Beach - - -

Kings Creek - Sancrox - Lake Innes 5.9 8.1 10.1

Lake Cathie - Bonny Hills 5.7 7.9 9.9

Lighthouse Beach - Greenmeadows 1.7 2.3 2.9

Port Macquarie - Innes Pen 1.2 1.6 2.1

Rural North 2.7 3.7 4.7

Rural West – South 1.6 2.1 2.7

Shelly Beach - Bellevue Hill 0.9 1.2 1.5

Area 13 (Thrumster) 12.2 16.8 21.0

Town Beach – CBD 1.0 1.4 1.7

Wauchope 2.8 3.8 4.8

Westport 0.4 0.6 0.7

Total 39.0 53.8 67.4


The table above indicates for example, Lake Cathie-Bonny Hills demands

an additional 6ha to 10ha of local service industrial land to 2036.



INDUSTRIAL LAND STRATEGY 6

Industrial Land Demand versus Supply

There is 530ha of industrial zoned land in Port Macquarie-Hastings

LGA, of which around 245ha of land is developed and 285ha is zoned

and vacant. However removing Herons Creek, which is constrained,

there is around 210ha of vacant suitable industrial land available to

the market.

Based on population forecasts the Port Macquarie-Hastings LGA will

demand an additional 78ha to 93ha of industrial land to 2036

indicating there is sufficient supply to meet demand.

However there is the possibility that the takeup of land in the

Sancrox will be higher than expected given its attributes in the wider

region. Also there remain a couple of areas – namely Lake Cathie/

Bonny Hills and Camden Haven/Kew where suitable zoned land is still

insufficient to meet future demand for local services.

For the longer term, additional land may be required in order to

ensure that future industrial land, beyond 2036, is continued to be

made available. Such land needs to be sufficient to:

Facilitate market choice;

Maintain affordability;

Allow for expected loss of yield in some areas due to constraints;

and

Be located appropriately in relation to urban growth and market

preference.

To address long term industrial demand, an appropriate location for

investigation may be between the Sancrox Employment Precinct and

the Oxley Highway due to:

The proximity of both the Oxley and Pacific Highways;

Agglomeration opportunities with the Sancrox Employment

Precinct; and

The potential for this future land to further improve access to the

Sancrox Employment Precinct.

Strategy Recommendations

The general industrial land strategy for Port Macquarie-Hastings as

provided in the 2007 ILS should be maintained. Namely, that:



The majority of future industrial land supply is to be

concentrated in the Sancrox Precinct;

Additional light and general service industrial supply to cater for

employment opportunities in the new Growth Areas being Area

13 (Thrumster), 14 (Lake Cathie/Bonny Hills) and 15

(Kew/Lakewood); and

Retention of a Business Technology Park at Port Macquarie

Airport and provision of additional investigation area for other

industrial uses to account for further need for industrial land

within the Port Macquarie urban area.

Notwithstanding the above, the following should also be considered:

Bago Road, Wauchope

It is recognised that Port Macquarie is expanding west with

significant residential expansion planned for between Wauchope and

Port Macquarie, with 70% of growth to be located in this corridor.

Whilst Wauchope has received much of this residential growth, the

Bago Road Industrial area has historically had slow take up rates due

to its location.

The location of Bago Road has been a major constraint to its

expansion with poor accessibility and isolated location from the

Pacific Highway. Furthermore, its inferior location to other industrial

precincts in the LGA such as Lake Road and Hastings River Drive has

hampered its marketability.

Upgrade works on Pacific Highway and Oxley Highway will improve

the access issues for Bago Road making it a locational choice for

future businesses. It’s likely however that regional businesses,

transport and warehousing will find Sancrox more attractive due to

its proximity to the Pacific Highway.

Given that the precinct has around 56 hectares of vacant

employment lands and growth in demand is modest, alternative land

uses and/or rezoning could be considered by Council.

Port Macquarie Airport

The PMHUGMS 2011 identifies 41.5ha of additional land at the

Airport, including land east-west grass runway and other land to the

east of the Airport, along Boundary Street, as a key site (known as the

‘Airport Precinct Employment Lands’) for investigation for service

industry and business park industrial uses, with a notional supply

timing of less than 5 years. The proposed additional land would lend



itself to the introduction of higher technology, freight, logistics and

aviation affiliated industries, to underpin the Airport’s regional role in

ongoing economic development of Port Macquarie LGA and the Mid

North Coast.


proposal in relation to rezoning these proposed employment

lands. The aim is to reinforce the Airport Precinct as a significant

gateway to Port Macquarie and to ensure that future development is

compatible with future airport operations, including height, lighting

and other potential impacts.

Its proximity to Port Macquarie CBD and its broader urban area.

Its proximity to Hastings River Drive and the Airport operations

itself.

The availability of relatively flat, vacant, unconstrained land ready

for development.

The land is appropriate for a range of aviation related uses including -

couriers, airfreight, logistics, services relating to airport,

manufacturing, light aircraft manufacture, aircraft maintenance and

repairs, search and rescue, aerial surveillance, aircraft

instrument/electrical installation, charter operations, aircraft

restoration, flying training, petrol/fuelling, skydiving operations,

helicopter operators, and emergency services.

Apart from aviation related uses, the site is appropriate for high

technology and campus style business park development.

John Oxley Drive and Lindfield Park Road

Lindfield Park Road, north and south of new and old Oxley Highway

provides a good location for future hardware, building and landscape

supplies given its proximity and visibility. It is understood that bulky

goods is not permissible however the area is currently under

investigation. The northeast corner of the area bounded by John

Oxley Drive and Oxley Highway has recently been rezoned to permit

a large format bulky goods and/or hardware retailer.

Around 16 hectares is further under investigation. This could

accommodate uses that may have a synergistic relationship with the

Hospital and CSU precinct.



Area 14 (Lake Cathie/Bonny Hills)

The demand analysis within this report indicates the Lake Cathie/Bonny

Hills area demands around 6 to 10ha of local service industrial land. Hill

PDA understands there is only around 4ha of land developable within

the identified growth area of Lake Cathie/Bonny Hills due to flooding

constraints. Either an alternative site or additional land will be required

to meet demand in this location.

Area 15 (Camden Haven/Kew)

The above analysis indicates Camden Haven area will demand around

3ha to 4ha of additional local service industrial land. 3.0 hectares was

recently zoned IN2 Light Industrial being two parcels of land – 1.2

hectares immediately north of the village centre and 1.8 hectares in the

southeast at No. 2 Ocean Drive. These two sites are probably sufficient

in the short term but insufficient in size to meet long term growth (say

beyond 2026).

Priority of Investigations

Table 9.1 in the 2007 ILS provides the summary of the strategy. It

prioritises the investigations and rezoning of land based on time and

site types. The site types are described in Section 8.3 of the 2007 ILS

are reinstated as follows:

Site Type (I) - Large dedicated industrial sites capable of

accommodating staged development for a range of larger, export

orientated industrial uses, including transport, logistics and light

and general industry in a location on the Pacific Highway not

constrained environmentally, on flat land, proximate to the

labour force and with access to essential infrastructure services.

Site Type (II) - Smaller, appropriately sized industrial areas to provide

local services to emerging populations, including Area 13

(Thrumster) ha, Area 14 (Bonny Hills) and Area 15 (Camden Haven).

Site Type (III) - Large dedicated site close to the urban area of

Port Macquarie to accommodate future local services growth,

accommodate any transferred demand from the rezoning of

industrial areas to commercial, and to accommodate emerging

business technology park style development.

Site Type (IV) - Identification of a site to cluster additional marine

industry with existing operations and major marine infrastructure

such as the slipway.

Furthermore, the UGMS uses the following terms:



Short term: within 10 years;

Medium term: 10 to 20 years; and

Long term: more than 20 years.

Site Type (I) has now been addressed with the rezoning of land in the

Sancrox and Fernbank Creek Road areas and the construction of the

overpass.

The following table prioritises investigations of potential future

industrial land areas.

Table 14 - Priority of Investigation and Supply of Future Industrial Land Areas to 2031* Subject to further investigation

The area south of Sancrox to the Oxley Highway provides potential

for long term industrial growth if, and when, demand is warranted.

Should the market take up of land in the Sancrox and Fernbank Creek

Road area occur faster than expected then the rezoning of this land

can be advanced.

Site Type

Site Role & Land Use Total Site Area (ha)

Estimated Develop-able Land

(ha)

Investi-gation Timing (years)

Notional Supply Timing (years)

Zone

III Airport Precinct Major new Port Macquarie site for business technology and local services growth

40 10 < 3 < 5 B7

II Area 14 (Lake Cathie/Bonny Hills)

Local industrial area meeting Area 14 needs

9 4 < 3 < 5 IN2

III John Oxley Drive and Oxley Hwy

Possibilities include hardware, home supplies, bulky goods, light industrial and/or businesses associated with Hospital and CSU

8 8 Current < 5 IN2 and/or B5

II Area 15 (Camden Haven/Kew)

Local industrial site meeting Area 15 needs. Additional land to be identified

5-10 5-15 IN2

TOTAL 57 22



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Level 27 Santos Place, 32 Turbot Street

Brisbane QLD 4000

GPO Box 938 Brisbane QLD 4001

t: +61 7 3181 5644


mailto:[email protected]

Documents

Port Macquarie Hastings Industrial Land Strategy Review 2015 · Port Macquarie Hastings Industrial Land Strategy Review 2015 Ref: C15223 HillPDA Page 5 | 61 LIST OF ABBREVIATIONS