Economic Spotlight on Subiaco

Economic Spotlight on the City of Subiaco

In 2022, our consultants conducted an Economic Health Check for the City of Subiaco which encompasses the suburb of Subiaco ('Subi'), a key hospitality precinct in Perth centered around Rokeby Road. The suburb was known to many as the home of football in WA before the relocation of matches to the new Optus Oval. Here's what we found.

Subiaco's largest industry - Healthcare - is undergoing substantial change

Most employment in Subiaco is provided by the Healthcare and Social Assistance industry. Until recently, the City of Subiaco incorporated the King Edward Memorial Hospital and Princess Margaret Hospital. However, the former is set to be closed and the latter was closed in 2018. This exodus of hospital activity will have considerable flow on impacts to complementary health services and retail/hospitality supported by hospital workers.

Subiaco's tourism and hospitality industry has experienced some lean years

Subiaco has historically been known as a regional destination for local and interstate visitors but was hit hard by the relocation of AFL and impacts of COVID-19. The industries most impacted by the reduced visitation were Accommodation and Food Services and Retail Trade. 

CBD proximity and high skilled resident base supports the knowledge economy

Professional services is the second largest employing industry in Subiaco and benefits from strong accessibility to the CBD and a resident base who were twice as likely to be degree qualified than the metro average in 2021 (60% vs 29%). The City also has specialisations in other 'knowledge economy' areas such as information media and finance supported by quality medium size office space.

Forecast population uplift will shift economic activity towards local sales away from export orientated industries

A number of new residential developments are set to drive stronger population growth which will support demand for a range of local services (e.g. retail, hospitality, health, entertainment). However, these industries will be targeted more toward local sales and will not support higher productivity and exports compared to other industries.

Growth in commodity prices will support short-term expansion in mining and engineering businesses

Recent rebounds in mining and exploration activity in Western Australia will have flow on effects to resource, environmental science, and engineering companies in Subiaco.

Greater workforce flexibility and remote work may benefit Subiaco

Post-COVID has seen a greater acceptance of flexible working patterns and in some cases the downscaling of office space to reflect lower needs for full occupancy. Subiaco had a higher share of remote workers than the metro average in 2021 and a higher share of professionals working from home would support local sales. In addition, Subiaco may be even more attractive to larger companies looking to down scale from the CBD to high-amenity inner-suburban sites.

About our economic consulting team

Our economic consulting team is engaged by councils and organisations across Australia to provide in-depth insights behind the data. Our experts draw on their knowledge of urban and regional economic development and years of experience working with decision makers across Australia. This information is used by councils to develop evidence based economic development strategies, investment attraction plans and support grant applications.

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