While the growth in popularity of The Great Southern is bringing investment dollars and growth, it hasn’t come without challenges. Julie-anne Sprague reports.
The Great Southern region is experiencing a boom in tourism and population numbers as both short-term visitors and those seeking a lifestyle change look beyond the now built-up areas such as Margaret River.
In turn, property prices are surging and new tourism developments are opening to cater to increasing demand.
But the growth is placing pressure on infrastructure in the region, to the point where one shire spoken to by WA Business News is pushing for increased State and Federal funding to ensure quality in services.
According to recent figures from the Department of Land Information (not including properties to settle in 2004) the median price of property jumped 28.13 per cent in Denmark between 2003 and 2004. In Mt Barker the figure was 22.48 per cent, and 15.63 per cent in Albany.
The Shire of Denmark’s population had grown at about 4 per cent for the past few years, according to the shire’s chief executive officer Pascoe Durtanovich.
He said the seachange trend had resulted in significant growth in many coastal regional shires, but that growth was now putting pressure on infrastructure.
“There’s demand for property in Denmark but there’s very little left, prices have jumped up 30 per cent,” Mr Durtanovich told WA Business News.
Denmark was the 10th fastest growing regional centre in Western Australia in 2003.
But City of Albany chief executive officer Andrew Hammond said a real surge in growth was yet to occur in Albany, which according to the Australian Bureau of Statistics was WA’s 51st fastest growing region in 2003.
“We are planning for a growth spurt and putting processes and systems in place that will help us when it happens,” he said.
“I think it’s the calm before the storm right now. Our research shows we have not yet hit the growth pattern of other west coast councils. We still have affordable real estate with views.
“Population growth is 1.8 per cent to 2 per cent and we anticipate 4 per cent growth in a couple of years.”
Mr Hammond said a number of significant tourism developments would be announced this year in response to growing, and anticipated growth, in tourism numbers.
“There will be some very high-profile and significant developments announced this year,” he said.
Domestic tourist numbers to The Great Southern defied a drop-off rate throughout the State as a whole with a significant spike between 2001 and 2003.
The Shire of Denmark has spent $400,000 upgrading its airstrip and will contribute $550,000 to a new $850,000 visitors’ centre.
The new centre will replace the Denmark Visitors’ Centre located off the main street.
The new site will be on the corner of South Coast Highway and Ocean Beach Road with construction expected to get under way in two to three months’ time.
The region’s winery owners are also developing their properties to cater to demand.
Albany winery Oranje Tractor Wines opened a cellar door last December.
Harewood Estate opened a cellar door 11 months ago and its owner and winemaker James Kellie said it was to take advantage of more wine tourists.
He said there had been an increase in tourist traffic in the past few years.
And cellar door sales are also on the increase at West Cape Howe.
Joining the wineries is the recently opened Denmark Farmhouse Cheese, a cheese factory that also has a vineyard on the property.
But Mr Durtanovich doesn’t believe the area will become as built up as Margaret River.
“There are two things. It’s further away [from Perth], which means people normally have to wait for a long weekend or holidays to come down; it’s not really ideal for the weekend,” he said,
“Also, when you look at Albany, Mt Barker, Hopetown and Bremer Bay, there is lots of tourist things but they’re spread out through the region.”