Chelsea

Population growth drivers in Chelsea are strong compared to national averages based on AreaSearch's ranking of recent, and medium to long-term trends

As of November 2025, the estimated population of the Chelsea statistical area (Lv2) is around 8,966, reflecting a 7.4% increase since the 2021 Census which reported a population of 8,347 people. This growth was inferred from an estimated resident population of 8,888 based on AreaSearch's examination of the latest ERP data release by the ABS in June 2024 and an additional 80 validated new addresses since the Census date. The Chelsea (SA2) has a population density ratio of 3,422 persons per square kilometer, placing it in the upper quartile relative to national locations assessed by AreaSearch. The area's population growth exceeded that of its SA3 region at 7.4% compared to 5.6%, marking it as a growth leader. Overseas migration contributed approximately 86.0% of overall population gains during recent periods, driving primary population growth in the area. AreaSearch is adopting ABS/Geoscience Australia projections for each SA2 area, released in 2024 with a base year of 2022.

For areas not covered by this data, AreaSearch utilises VIC State Government's Regional/LGA projections released in 2023, adjusted employing a method of weighted aggregation of population growth from LGA to SA2 levels. Considering these projections, an above median population growth is expected for the Chelsea (SA2), with an increase of 1,599 persons projected by 2041, reflecting a total gain of 15.4% over the 17 years.

AreaSearch analysis of residential development drivers sees Chelsea recording a relatively average level of approval activity when compared to local markets analysed countrywide

Based on AreaSearch analysis of ABS building approval numbers, allocated from statistical area data, Chelsea has recorded approximately 39 residential properties granted approval annually. Over the past five financial years, between FY-21 and FY-25, around 197 homes were approved, with an additional eight approved so far in FY-26. On average, about 1.5 new residents per year arrived per new home over these five financial years, suggesting balanced supply and demand conditions. However, this figure has increased to 4.8 people per dwelling over the past two financial years, indicating rising demand and tightening supply.

Development projects averaged $671,000 in construction value during this period, reflecting developers' targeting of the premium market segment with higher-end properties. In FY-26, Chelsea has recorded $14.2 million in commercial development approvals, suggesting balanced commercial development activity compared to previous years. Relative to Greater Melbourne, Chelsea shows 15.0% lower construction activity per person while it ranks among the 53rd percentile of areas assessed nationally. New development consists of approximately 37.0% detached houses and 63.0% attached dwellings, indicating a trend towards denser development that caters to downsizers, investors, and entry-level buyers.

With around 299 people per dwelling approval, Chelsea indicates a developing market with growing competition for buyers as population increases. According to the latest AreaSearch quarterly estimate, Chelsea is expected to grow by approximately 1,378 residents through to 2041.

Chelsea has strong levels of nearby infrastructure activity, ranking in the top 30% nationally

The performance of an area can significantly influenced by changes in local infrastructure, major projects, and planning initiatives. AreaSearch has identified two projects that are expected to impact the area. Notable projects include The Dell developed by Stockland, Bonbeach Station Precinct Redevelopment & Level Crossing Removal, Rossdale Golf Course Redevelopment Aspendale, and Aspendale Beachside Structure Plan. Below is a list of those most likely to be relevant:.

Professional plan users can use the search below to filter and access additional projects.

Denotes AI-based impression for illustrative purposes only, not to be taken as definitive under any circumstances. Please follow links and conduct other investigations from the project's source for actual imagery. Developers and project owners wishing us to use original imagery please Contact Us and we will do so.

Employment performance in Chelsea has been below expectations when compared to most other areas nationally

Chelsea has an educated workforce with professional services well represented. Its unemployment rate was 6.7% as of September 2025.

Employment stability was maintained over the past year. The current unemployment rate is 2.1% higher than Greater Melbourne's rate of 4.7%, while workforce participation is similar at 64.1%. Key industries for employment are health care & social assistance, education & training, and construction. Education & training has a particularly high share of employment, at 1.4 times the regional level.

Accommodation & food services have limited presence, with 4.4% employment compared to 6.4% regionally. Employment opportunities locally appear limited due to the predominantly residential nature of the area. Between September 2024 and September 2025, employment levels increased by 0.1%, labour force by 0.6%, raising unemployment rate by 0.5 percentage points. In contrast, Greater Melbourne saw employment growth of 3.0% and labour force growth of 3.3%, with a rise in unemployment rate of 0.3 percentage points. State-level data to November 25, 2025 shows Victoria's employment grew by 1.13% year-on-year, with an unemployment rate of 4.7%. National forecasts from May 2025 suggest total employment growth of 6.6% over five years and 13.7% over ten years. Applying these projections to Chelsea's employment mix indicates local employment should increase by 6.7% over five years and 13.7% over ten years, though this is a simple extrapolation for illustrative purposes only.

Income analysis reveals strong economic positioning, with the area outperforming 60% of locations assessed nationally by AreaSearch

The suburb of Chelsea has an above-average income level nationally, per latest ATO data aggregated by AreaSearch for financial year ending 30 June 2023. Chelsea's median income among taxpayers is $62,863 and average income stands at $76,022, compared to Greater Melbourne's figures of $57,688 and $75,164 respectively. Based on Wage Price Index growth of 8.25% from financial year ending 30 June 2023 to September 2025, estimated incomes would be approximately $68,049 (median) and $82,294 (average). Census data indicates personal income ranks at the 73rd percentile ($951 weekly), with household income at the 46th percentile. Income distribution shows that 31.7% of Chelsea residents earn between $1,500 and $2,999 weekly (2,842 individuals), similar to the regional figure of 32.8%. Housing affordability pressures are severe, with only 82.4% of income remaining after housing costs, ranking at the 45th percentile. The suburb's SEIFA income ranking places it in the 7th decile.

Chelsea features a more urban dwelling mix with significant apartment living, with a higher proportion of rental properties than the broader region

Chelsea's dwelling structure, as per the latest Census, consisted of 34.7% houses and 65.3% other dwellings (semi-detached, apartments, 'other' dwellings), compared to Melbourne metro's 54.8% houses and 45.2% other dwellings. Home ownership in Chelsea was at 29.8%, with mortgaged dwellings at 37.7% and rented ones at 32.5%. The median monthly mortgage repayment in the area was $2,008, below Melbourne metro's average of $2,167. The median weekly rent figure in Chelsea was $375, compared to Melbourne metro's $410. Nationally, Chelsea's mortgage repayments were higher than the Australian average of $1,863, while rents were comparable at $375.

Chelsea features high concentrations of lone person households, with a lower-than-average median household size

Family households account for 61.0% of all households, including 25.1% couples with children, 24.0% couples without children, and 11.0% single parent families. Non-family households make up the remaining 39.0%, with lone person households at 36.0% and group households comprising 3.0%. The median household size is 2.2 people, smaller than the Greater Melbourne average of 2.4.

Chelsea shows strong educational performance, ranking in the upper quartile nationally when assessed across multiple qualification and achievement indicators

The area's university qualification rate is 33.7%, significantly lower than the SA4 region average of 46.0%. Bachelor degrees are most common at 22.9%, followed by postgraduate qualifications (7.0%) and graduate diplomas (3.8%). Vocational credentials are prevalent, with 33.5% of residents aged 15+ holding such qualifications, including advanced diplomas (12.2%) and certificates (21.3%). A total of 24.9% of the population is actively engaged in formal education, comprising 8.5% in primary, 5.7% in secondary, and 3.9% in tertiary education.

A substantial 24.9% of the population actively pursues formal education. This includes 8.5% in primary education, 5.7% in secondary education, and 3.9% pursuing tertiary education.

Transport servicing is good compared to other areas nationally based on assessment of service frequency, route connectivity and accessibility

Chelsea's public transport analysis shows 36 active stops operating within the area. These include a mix of train and bus services. The stops are served by 10 individual routes that together facilitate 3,401 weekly passenger trips.

Transport accessibility is rated excellent, with residents located an average of 195 meters from their nearest transport stop. Service frequency averages 485 trips per day across all routes, equating to approximately 94 weekly trips per individual stop.

Health performance in Chelsea is lower than average with prevalence of common health conditions notable across both younger and older age cohorts

Chelsea faces significant health challenges, with common health conditions notably prevalent across both younger and older age cohorts. Approximately 57% of Chelsea's total population (~5,096 people) have private health cover, compared to 59.5% across Greater Melbourne.

Mental health issues and asthma are the most common medical conditions in the area, impacting 9.2% and 8.5% of residents respectively. Sixty-six percent of residents declare themselves completely clear of medical ailments, compared to 70.4% across Greater Melbourne. Chelsea has 20.8% of residents aged 65 and over (1,864 people), which is higher than the 19.3% in Greater Melbourne. Health outcomes among seniors present some challenges, broadly in line with the general population's health profile.

The level of cultural diversity witnessed in Chelsea was found to be slightly above average when compared nationally for a number of language and cultural background related metrics

Chelsea's population shows above-average cultural diversity, with 25.4% born overseas and 15.4% speaking a language other than English at home. Christianity is the predominant religion in Chelsea, comprising 45.6% of its population. Notably, Judaism is overrepresented in Chelsea compared to Greater Melbourne, making up 0.6% versus 1.1%.

The top three ancestry groups are English (27.7%), Australian (22.5%), and Irish (9.7%). Some ethnic groups show notable differences: Russian (1.0% vs 1.0%), French (0.8% vs 0.6%), and Hungarian (0.4% vs 0.4%) are overrepresented in Chelsea compared to the regional averages.

Chelsea's median age exceeds the national pattern

Chelsea's median age is 41 years, which is significantly higher than Greater Melbourne's average of 37 years and somewhat older than Australia's median age of 38 years. Compared to Greater Melbourne, Chelsea has a notably over-represented cohort of 75-84 year-olds at 7.4%, while the 15-24 year-old group is under-represented at 8.0%. According to the 2021 Census, the 75 to 84 age group has grown from 6.4% to 7.4% of Chelsea's population. Conversely, the 25 to 34 age cohort has declined from 14.4% to 13.4%. Demographic modeling suggests that by 2041, Chelsea's age profile will change significantly. The 75 to 84 cohort is projected to grow by 65%, adding 432 residents to reach a total of 1,096. Residents aged 65 and older are expected to represent 62% of the population growth. However, population declines are projected for the 25 to 34 and 0 to 4 age cohorts.