Australia s Northern Territory
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1 Australia s Northern Territory Australia s Northern Territory is a strategic market for tourism investment, with a long established reputation as an iconic tourism destination and its geographic location, on the doorstep to Asia, the fastest growing outbound travel market in the world. The Northern Territory is experiencing solid growth in visitor numbers driven by a strong performing economy.
2 An Invitation to invest Chief Minister of the Northern Territory, The Hon. Adam Giles MLA The tourism sector is a priority for the Northern Territory Government. In over $100 million will be invested in tourism marketing and public sector infrastructure, such as roads, national park infrastructure and urban precinct development to position the tourism sector as a key economic driver. As part of the 2015 Budget, around $130 million is being provided to improve Northern Territory national parks as well as arts and cultural activities that will have flow-on benefits that support our tourism industry. Infrastructure expenditure that connects the Territory is being boosted through a significant transport infrastructure program worth $587 million. We are investing $28 million on tourism marketing, focused on both domestic and international activity. Another $3 million is available over three years for enhancement of our rich pioneering and military heritage sites. Our aim is to grow the visitor economy to $2.2 billion by 2020, through collaborative efforts across industry and government. Pivotal to this success is investment in new and enhanced tourism experiences. Investment opportunities exist across the Northern Territory, particularly for accommodation, to meet current tourism demand and growing corporate interest on the back of numerous new resource, energy, construction, agriculture and defence projects. With high average room occupancies, solid rate and revenue growth, the accommodation sector is ripe for investment. With our unique natural landscapes and rich cultural diversity, excellent opportunities also exist to develop new and enhanced immersive nature-based experiences, innovative visitor attractions and services that leverage our existing assets and capture growth from new and emerging markets. Strategically positioned close to Asia, the Northern Territory is a competitive destination for investors looking to expand their tourism portfolio into growing Asian markets and the Northern Territory Government is actively seeking private capital investment. I encourage you to contact my team who can assist you to take advantage of the opportunities on offer. Hon Adam Giles MLA Chief Minister
3 Iconic Tourism Destinations Darwin Waterfront The Northern Territory has a strong, vibrant and multi-faceted economy and a long established reputation as a unique tourism destination centred around its extraordinary natural landscapes and rich aboriginal culture. The capital city of Darwin, situated on the doorstep to Asia, is Australia s second fastest growing capital city. Darwin is home to a state of the art convention centre, casino, some 4000 accommodation rooms, numerous attractions and an award winning international airport. Just a two hour drive from Darwin is the internationally renowned Kakadu National Park, World Heritage listed for both its unique natural environment and its living aboriginal culture. Yulara JABIRU GOVE \\ Anzac Hill, Alice Springs At the physical heart of Australia and framed by the picturesque MacDonnell Ranges is Alice Springs, a modern town with a convention centre, casino and 1500 hotel rooms; just three hours flying time from most major ports. West of Alice Springs, and directly accessible by air through the resort town of Yulara, is undoubtedly Australia s most famous icon Uluru (Ayers Rock). Northern Territory Tourism Regions
4 Industry Highlights DEMAND Total 11.3m visitor nights in the NT 27% INCREASE ON PREVIOUS YEAR NT Visitors by purpose of visit Holiday Visit friends/family Business Other purpose 5% 32% 16% 48% Visitors to the NT by origin Intra-territory Interstate International 21% 31% 48% 1. SUPPLY 7724 ESTIMATED ROOMS 9260 ESTIMATED ROOMS REQUIRED TO MEET 2020 TARGET IN THE NT / ROOMS IN DARWIN AS OF JUNE % INCREASE SINCE 2014 SECTOR PERFORMANCE NT Annual Market Indicators 2014 DARWIN ALICE SPRINGS OCCUPANCY 76.2% 63.2% RevPAR $145 $75 ADR $184 $117 Darwin Annual Hotel Performance 2014 Occupancy (%) 100% 80% 60% 40% 20% $200 $175 $150 $125 $100 $75 $50 $25 Australian Dollars ($) % Occupancy ADR RevPAR $0 Darwin Population Statistics Australian Population Statistics POPULATION Darwin Population 140,400 Whole of Territory Population 244,300 Darwin s population is younger and wealthier than Australia s as a whole 31.8 yrs MEDIAN AGE $1, AVERAGE WEEKLY EARNINGS 2.1% POPULATION GROWTH (5 yr growth rate from 2015) 37 yrs MEDIAN AGE $1, AVERAGE WEEKLY EARNINGS 1.6 % POPULATION GROWTH (5 yr growth rate from 2015) 6. Sources: 1. Tourism Research Australia (TRA); International Visitor Survey and National Visitor Survey results; YE Sep Based on Australian Bureau of Statistics (ABS); Survey of Tourist Accommodation; YE June 2014 and the NT Department of Lands Planning and Environment; June AEC Group; Darwin Accommodation Study; July ABS; Survey of Tourist Accommodation; YE Dec STR Global; Darwin region; YE Dec ABS and Deloitte Access Economics March 2015 Mindil Beach Sunset Markets Freepik CC By 3.0
5 Why invest? Australia s Northern Territory is a strategic market for tourism investment, with its long established reputation as a global tourism destination and its geographic location on the doorstep to Asia, the fastest growing outbound travel market in the world. The Northern Territory is experiencing solid growth in visitor numbers driven by a strong performing economy. The Northern Territory is poised for growth with incoming investment accelerating the potential of the region. Investing now provides a strategic opportunity to position your business in the Northern Territory and ride the wave of prosperity. Proximity to Asia is the Northern Territory s advantage The Northern Territory holds an enviable location as Australia s Gateway to Asia. Darwin is closer to Asia than any other capital city in Australia, within four hours by flight: In order to promote private sector participation in the major infrastructure required to develop the north of Australia the Australian Government has announced a $5 billion Northern Australia Infrastructure Facility. This initiative demonstrates a significant commitment to build Australia s north, and importantly, will boost major infrastructure project developments that will both directly and indirectly benefit the tourism sector. Strong Performing Economy Deloitte Access Economics estimate that the Northern Territory economy will expand by 4.2 per cent in , the highest estimated growth rate of all jurisdictions and 1.3% above the national average. The five year outlook for the NT is extremely positive with the Territory outperforming the rest of the nation across all key economic indicators. Future outlook for the NT /18 To the north - 8 capital cities, 36 major trading ports, 69 international airports, and 485 million people just over 20 times Australia s population To the south - 6 mainland capital cities, 20 major trading ports, 23 international airports, and just under 23 million people With more than half the world s middle class predicted to come from Asia by 2020, the Northern Territory s proximity provides a key competitive advantage. Australian Government s commitment to developing Northern Australia Australia Northern Territory Northern Australia s economic development is a priority for the Australian Government who see it as vital to the nation s economic future, long-term security and regional engagement. GDP/GSP Growth % Private Consumption % Population Growth % Deloitte Access Economics Outlook March 2015 Employment Growth %
6 Open for Investment The Northern Territory provides unlimited opportunity for investors to develop, expand and acquire tourism assets: vast areas of land available for greenfield development in prime locations in CBD and coastal areas opportunities to invest in short-term accommodation, luxury lodges, camping facilities, and resorts exceptional natural landscapes and a rich cultural heritage from which to build experiential nature based accommodation, immersive tourism attractions and experiences, adventure tourism, wildlife tourism and wellness retreats opportunities for public-private partnership in transport infrastructure projects, including airports, cruise terminals and roads. Investment Services Tourism NT provides the following services free of charge: research data and market insights (where available) to support the development of your business or project introductions to relevant agencies across the Northern Territory Government to aid the approval processes for your project access to networks to suit your business requirements advice on grants and support programs to assist your business coordination of site inspections feedback on development proposals and high level advice on the strategic direction of tourism in the NT to enable you to align your investment aspirations. Contact Rachel Telford Tourism Investment Manager T M E rachel.telford@nt.gov.au Valerie Smith Director Policy and Planning T M E valerie.smith@nt.gov.au Tourism NT GPO Box 1155 Darwin NT 0801
Australia s. The Northern Territory is experiencing solid growth in visitor numbers driven by a strong economy. Northern Territory
Australia s Northern Territory Australia s Northern Territory is a strategic market for tourism investment, with its well established reputation as an iconic tourism destination located on the doorstep
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