15. APP J. Economic Needs Report

     •    For every $1m of economic output for typical office-based industries, there is an estimated retail input of
          $5,000; and
     •    In terms of employment multipliers, this is equivalent to approximately $5,000 retail input for every 10
          employees or $500 per employee.
A visual inspection of the nearby business precincts yields an estimated 200,000m2 of potential commercial and
industrial floorspace.1 Assuming one worker per 17m2 of commercial development, the area can accommodate an
estimated 11,764 workers. If each spends on average $1,680 on local groceries and takeaway food, this equates to
an additional $19.76m of retail expenditure brought into the area above and beyond the base retail expenditure
of permanent residents.
In the context of the area’s total population of approximately 7,731 persons (2011), the daily influx of workers into
the area is not insignificant. Even on the basis that at present an estimated 40% of available developable
floorspace is developed, the current situation is that there could be some 4,700 workers in the precinct each day.


4.7 DISCUSSION
Consumer demand is driven by expenditure from:
     •    Permanent residents;
     •    Local businesses;
     •    Local workers (coming from outside the area); and
     •    Tourist expenditure.
The discussion above has focused on estimating the drivers of consumption revolving around the permanent
residential base and the surrounding business/employment context. Given the location of the subject site, UAA’s
opinion is that tourist expenditure would be a negligible component of overall demand. As at 2012-13 the Trade
Area’s total retail expenditure across categories of interest was estimated to be $13m. The broad estimates of
employment in the area suggest that the consumption demand (particularly for takeaway foods) from workers in
nearly business/employment precincts could add significantly to the estimated total of residential expenditure of
$68.8m.




1
 These are broad estimates only, intended for indicative analysis only, based on site inspections and analysis of aerial photo
images. The inspection was undertaken by the author on 10 December 2014.




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