Homes of the Future: Mark McCrindle discusses housing trends

Thursday, June 16, 2016

What is shaping our built environment?

The first is population growth. Australia has just reached 24 million which means we have added an extra million people in less than 3 years, and most of this growth is in our larger capital cities. This is creating a shift from suburban to urban living; from the traditional horizontal communities to the new vertical ones. In our largest capital cities, two-thirds of all new housing approvals are high or medium density rather than detached homes. This densification is creating walkable communities, multi-use areas where people live, work and play in a more localised space, and of course increased access to transit and transport hubs. The other factor shaping developments is affordability. With rising house prices, Australians are looking for financially sustainable options which meet the needs of both lifestyle and affordability, and create the flexibility for our homes to change in tune with our needs and lifestyles.

What are the current trends and will they last?

While design trends come and go with the changing fashions, there are some broader development trends that are here to stay. The increased access to open spaces, in-door out-door areas, balconies, natural light and bringing vegetation into urban environments are all timeless trends that resonates with our temperate climate and needs. Similarly, with food central to our social environment, open-plan kitchens and meal areas in homes and open social spaces in offices are trends we will see continue.

How is technology affecting it?

Today’s technology is seamlessly integrated into our lives, and we are seeing the same seamless integration into our homes. The internet of things means that lighting, sound, temperature, entertainment and security in our domestic environments are all manageable through our personal devices. The decade ahead will see our pantries and fridges talk to our devices to update shopping lists, our home entertainment experience continue playing seamlessly on our portable devices and our hydrogen cars help power our homes.

Image source: The Clipsal Smart Home range (courtesy of

What are the demographic trends?

Homes of the future will have the flexibility to accommodate multiple generations living under the one roof. They will meet the changing needs of a more culturally diverse community and have clever innovations to facilitate support to Australians living independently in their homes to a much older age than we currently see.

What does the future hold?

While Generation Z, who are just starting their careers, will have to pay more for their homes in the future, these buildings and the built environment in which they sit will far exceed what their parents experienced in their first homes. Not only will the technologies and fittings in the home be exciting but the community spaces, café culture and neighbourhood amenities will continue to adjust and adapt to meet the lifestyle expectations of the 21st Century generations.

Sydney's Rising Star Suburbs

Monday, January 04, 2016

Analysis of the Urban Living Index shows the
top 3 growth areas to watch

The Urban Living Index rates each of Sydney’s suburbs based on five key liveability factors: Community, Employability, Amenity, Accessibility and importantly, Affordability.

While some of Sydney’s most glamorous suburbs such as Bondi, Neutral Bay and Manly did very well on the first four measures, they did not do well in the affordability category. The cost of living and the cost of housing are currently red-hot issues for Sydney siders and so affordability is in many ways the priority issue with the other lifestyle measures remaining purely theoretical for those priced out of an area.

The majority of Sydneysiders (51%) believe that their area will be even less affordable in three years’ time than it is today- which is almost five times as many as those who believe their area will become more affordable. And most strikingly, almost 9 in 10 Sydney residents (88%) state that housing affordability will be a massive or significant challenge for the next generation.

With this in mind, we have analysed the Urban Living Index data of all Sydney suburbs to find the areas that have excellent affordability- but also rate very well on the other lifestyle measures.

While there are 25 suburbs that score 15 or above (out of 20) for affordability, there are three areas in this list that have great results in the other liveability categories as well.

1st Lalor Park

Lalor Park and the adjoining Kings Langley toped our hot spotting list. The affordability score (15) was excellent, and these suburbs have an amenity score (a measure of the number of shops, restaurants, arts and recreation facilities and educational options in the suburb) which was very good. In fact these suburbs scored higher on the local amenity provisions than suburbs including Newport, Wahroonga and Frenchs Forest. Similarly Lalor Park and Kings Langley scored well on accessibility (a measure that looks at public transport, employment access and walkability of an area) and above beach and harbour side suburbs like Avalon and Rose Bay.

While the overall score for Lalor Park-Kings Langley is in the “Very Good” category, its excellent affordability ranking makes it a suburb likely to boom.

2nd Menai

Menai and the adjoining suburbs of Lucas Heights and Woronora are the next suburbs set to take off based on this analysis. Relative to other Sydney suburbs, the affordability is in the excellent category and this is matched by the employability category. So the combination of good employment numbers, a significant local economy and access to housing more affordable than much of Sydney, this area in Sydney’s south is a clear hotspot.

3rd Blaxland

The third most rated area from this affordability and liveability analysis is Blaxland at the foot of the Blue Mountains and the adjoining suburbs of Warrimoo and Lapstone. Just 8 minutes from the M4 motorway, and less than 10 minutes from the Western Sydney suburbs of Penrith and Emu Plains, this area has become part of Sydney’s greater west yet the affordability, along with the community and amenity scores lift it above many areas in the outer western Sydney ring.

As the urban living index data shows, liveability depends on more than just water views and beach access- the practical factors of educational options, employment access, public transport and other built amenity and of course affordability all make an area desirable and facilitate lifestyle. That is why each of these areas have rated on the Index above the well-heeled suburbs of Palm Beach, Belrose and Vaucluse and it is why they stand out as rising stars.

This research we conducted for Urban Taskforce Australia is an example of robust research generating significant media activity and reader interest. This particular piece was summarised in the Sydney Morning Herald here, and as you can see from the image below was in the top 5 most read columns on the day in the Sydney Morning Herald, the Melbourne Age and the Brisbane Times.

For more information

The Urban Living Index was developed by McCrindle for Urban Taskforce Australia. More information and interactive maps are available at

Hooray for the Urban Living Index: A new evidence base to help urban planners & policy makers

Wednesday, December 23, 2015

The co-authors of the newly developed Urban Living Index – The Urban Taskforce and McCrindle Research – rightly state that the challenge in planning for Sydney’s future is to ensure that population growth does not compromise its “world-beating lifestyle”. By tracking five key categories that produce a measure of liveability in a city, the Index is a great first step in developing an evidence base to monitoring changes as the Sydney metropolitan area as it grows – both outwards and upwards.

A key theme in most media reporting about the Index is that upwards growth – through increased residential density – is the way to ensure high levels of amenity and accessibility are maintained as Sydney grows, and that a reliance on outwards expansion may compromise such liveability standards. Although the Index broadly shows that denser residential areas rate highly from a liveability perspective, we need to dig a bit deeper to understand what it is about these areas that make them liveable. It is not just a case of these highly rated areas being dense, which is actually just a relative measure of compactness. There are many more factors at play than compactness in making a place liveable and sustainable.

The structure of the overall city, with its public transport and road network and its layout of employment and retail locations, influences transport choice more than most other factors. At the local level, good walking and cycling connectivity to local shopping and public transport services is the key to how we move around. Of course, there is also the influence that individual behaviours, intentions and beliefs have on how a community might inhabit and use places and spaces. Density also plays a role, especially population density, as this helps underpin social and economic sustainability in local areas. But density is not the end game – far from it.

For example, the Index shows that Marrickville has a relatively low high density component for an inner city area (40%) but a very high liveability ranking. On the other hand, Woollahra has a higher high density component (50%) but a relatively low liveability ranking for an inner urban area. If one interrogates the rankings, you’ll see that Marrickville ranks highest for accessibility (which considers the factors I mention above), whereas Woollahra has a relatively low ranking for accessibility. This example, and there are many others across the metropolitan region, shows that higher density areas do not necessarily guarantee higher levels of accessibility.

The upshot of policy makers and planners thinking that increased density inevitably produces more liveable and sustainable urban areas has resulted in, until recently, a saturation of multi-level apartment construction in infill areas. And some of these areas have been bereft of the factors that the Index shows achieves high levels of amenity: within walking distance to rail or priority light rail and bus routes that connect to employment locations; within walking distance to a plentiful supply of local shops and services; well-connected and safe walking and cycling routes; and a range of different residential options that help create a vibrant social mix of different family types.

I think the Index helpfully shows that density is just part of the story. The Index is comprised of twenty separate measures- and many of these are not at all reliant on densification. As I’ve shown above, we cannot simply assume that areas of high density automatically generate liveable and sustainable outcomes. There are simply too many factors at play to make this conclusion.

Dr Michael Grosvenor, Principal MGC

An event recap of the Urban Living Index launch

Monday, December 14, 2015

It was a privilege for two of our team, Mark McCrindle and Annie Phillips to attend and present at Urban Taskforce’s launch of the Urban Living Index on Thursday 10th December.

The event was an opportunity to showcase the Urban Living Index and how it can be best utilised as Sydney continues to grow and increase in densification.

The Urban Living Index

Earlier this year we had the opportunity to develop The Urban Living Index, which is going to be used as an ongoing measure for the liveability of suburbs in Sydney. This instrument considers the affordability, community, employability, amenity and accessibility of an area to determine how liveable it is. The challenge for Sydney’s future is to ensure that it responds to population growth yet maintains its world-beating lifestyle and that its liveability rises to match its increasing density. While a city can always improve, the results of the Index show that the city planning and unit development are creating thriving urban communities, as evidenced by the results that show superior liveability in high density Sydney suburbs.

To read the full report, visit the Urban Living Index website here.

Sydney’s most liveable suburbs

Crows Nest-Waverton
Surry Hills
Potts Point – Woolloomooloo

In the media

Sydney Morning Herald - Measuring urban living across Sydney

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