Preston - East
Statistical Area - sa2

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

Preston - East's population was around 23,152 as of August 2025. This reflected an increase of 2,441 people since the 2021 Census, which recorded a population of 20,711. The growth was inferred from ABS estimates showing a population of 22,596 in June 2024 and 716 new addresses validated since the Census date. This resulted in a density ratio of 2,987 persons per square kilometer, placing Preston - East in the upper quartile nationally according to AreaSearch assessments. The area's growth rate of 11.8% since the 2021 census exceeded both national (8.6%) and state averages, positioning it as a growth leader regionally. Overseas migration contributed approximately 82.4% of overall population gains in recent periods.

AreaSearch adopted 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 utilized VIC State Government's Regional/LGA projections from 2023, adjusting using a weighted aggregation method from LGA to SA2 levels. Growth rates by age group were applied across all areas for years 2032 to 2041. Based on these projections, Preston - East is predicted to experience exceptional growth, placing it in the top 10 percent of national areas. By 2041, the area's population is expected to increase by 13,695 persons, marking a total rise of 56.8% over the 17-year period.

AreaSearch assessment of residential development activity positions Preston - East among the top 25% of areas assessed nationwide

Preston - East has recorded approximately 311 residential properties granted approval annually. The Australian Bureau of Statistics produces development approval data on a financial year basis, with 1,558 dwellings approved over the past five financial years from FY-21 to FY-25, and 27 approved so far in FY-26. Over these five years, an average of 0.6 new residents per year per dwelling constructed has been recorded. This suggests that new construction is keeping pace with or exceeding demand, providing buyers with more options and enabling population growth that may surpass current expectations.

The average expected construction cost value for new homes in the area is $427,000, aligning with regional trends. In FY-26, commercial approvals totalling $209.4 million have been registered, indicating strong commercial development momentum. Compared to Greater Melbourne, Preston - East shows 89.0% more development activity per person, offering buyers greater choice and reflecting strong developer confidence in the area. New development primarily consists of townhouses or apartments (94.0%), with a smaller proportion of detached houses (6.0%). This shift towards higher-density living creates more affordable entry points for downsizers, investors, and first-home buyers, marking a significant departure from existing housing patterns, which currently comprise 54.0% houses. With around 78 people per dwelling approval, Preston - East exhibits characteristics of a growth area. By 2041, the area is projected to grow by approximately 13,139 residents.

Development activity appears to be maintaining a reasonable pace with this projected growth, although buyers may face increasing competition as the population expands.

Preston - East has strong levels of nearby infrastructure activity, ranking in the top 30% nationally

Twenty-eight infrastructure projects have been identified by AreaSearch as potentially impacting a specific area. Notable projects include Preston Market Precinct Redevelopment, Housing Choices Preston Development, Future Preston Central Activity Centre, and 18a Miller Street Development - Small Sites Pilot Program. The following list details those considered most relevant.

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

The employment landscape in Preston - East shows performance that lags behind national averages across key labour market indicators

Preston - East has a highly educated workforce with strong representation in professional services. The unemployment rate was 4.6% as of June 2025, with an estimated employment growth of 3.0% over the past year.

There were 13,711 residents employed at this time, with an unemployment rate matching Greater Melbourne's 4.6%. Workforce participation was 67.3%, slightly higher than Greater Melbourne's 64.1%. The leading employment industries among residents are health care & social assistance, education & training, and professional & technical services. Preston - East shows particular strength in public administration & safety, with an employment share of 1.4 times the regional level.

However, construction employs only 7.1% of local workers, below Greater Melbourne's 9.7%. The worker-to-resident ratio is 0.9, indicating substantial local employment opportunities. Between June 2024 and June 2025, employment increased by 3.0%, while the labour force grew by 1.5%, leading to a decrease in unemployment of 1.4 percentage points. In comparison, Greater Melbourne saw employment grow by 3.5% during this period. State-level data from Sep-25 shows Victoria's employment growth was 1.08% year-on-year, adding 39,880 jobs, with an unemployment rate of 4.7%. Nationally, the unemployment rate was 4.5%, and employment growth outpaced the national average of 0.26%. Jobs and Skills Australia's national employment forecasts from May 2025 project overall employment growth of 6.6% over five years and 13.7% over ten years. Applying these projections to Preston - East's employment mix suggests local growth of approximately 6.8% over five years and 13.9% over ten years, though these are simple extrapolations for illustrative purposes only.

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

Preston-East's median income among taxpayers was $56,364 in financial year 2022. The average income stood at $69,700 during the same period. Compared to Greater Melbourne's figures of $54,892 and $73,761 respectively, Preston-East's incomes were higher. Based on a Wage Price Index growth rate of 10.11%, current estimates for median income in Preston-East would be approximately $62,062 as of March 2025, with average income estimated at $76,747 during the same period. According to Census 2021 data, incomes in Preston-East cluster around the 56th percentile nationally for household, family, and personal incomes. The largest segment comprises 34.1% of residents earning between $1,500 and $2,999 weekly. This is consistent with broader trends across metropolitan regions where 32.8% fall into the same income category. High housing costs consume 17.6% of income in Preston-East. Despite this, disposable income ranks at the 51st percentile nationally, placing the area in the 6th decile based on its SEIFA income ranking.

Preston - East displays a diverse mix of dwelling types, with a higher proportion of rental properties than the broader region

The latest Census showed that in Preston-East, 53.9% of dwellings were houses, with the rest being semi-detached, apartments, or other types. This compares to Melbourne's metro area, where 60.2% of dwellings were houses. In Preston-East, home ownership stood at 25%, with mortgaged dwellings at 30.5% and rented ones at 44.5%. The median monthly mortgage repayment in the area was $2,000, matching Melbourne's metro average, while the median weekly rent was $391, slightly higher than Melbourne's $371. Nationally, Preston-East's mortgage repayments were higher at $2,000 compared to Australia's average of $1,863, and rents were also higher at $391 against the national figure of $375.

Preston - East features high concentrations of group households and lone person households, with a lower-than-average median household size

Family households comprise 59.6% of all households, including 23.3% couples with children, 24.5% couples without children, and 9.6% single parent families. Non-family households account for 40.4%, with lone person households at 31.4% and group households making up 8.9%. The median household size is 2.3 people, which is smaller than the Greater Melbourne average of 2.4.

The educational profile of Preston - East exceeds national averages, with above-average qualification levels and academic performance metrics

Educational attainment in Preston-East is notably higher than broader benchmarks. As of 2021, 42.1% of residents aged 15 and above hold university qualifications, compared to the Australian average of 30.4% and the SA4 region average of 32.8%. Bachelor degrees are the most common at 26.9%, followed by postgraduate qualifications (11.0%) and graduate diplomas (4.2%). Vocational pathways account for 23.9% of qualifications, with advanced diplomas at 10.7% and certificates at 13.2%.

Educational participation is high, with 27.7% of residents currently enrolled in formal education as of 2021. This includes 8.5% in tertiary education, 6.9% in primary education, and 5.2% pursuing secondary education. As of 2021, 11 schools serve a total of 3,183 students in Preston-East, which demonstrates above-average socio-educational conditions with an ICSEA score of 1054. The educational mix includes 3 primary schools, 5 secondary schools, and 3 K-12 schools. School capacity exceeds typical residential needs, with 13.8 places per 100 residents compared to the regional average of 10.2, indicating that Preston-East serves as an educational center for the broader region. Note: For schools showing 'n/a' for enrolments, please refer to their parent campus.

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

Preston - East has 148 active public transport stops. These include train, light rail, and bus services. There are 20 individual routes operating in total.

Each week, these routes facilitate 17,645 passenger trips. The average distance from residents to the nearest stop is 151 meters. Daily service frequency averages 2,520 trips across all routes, equating to around 119 weekly trips per stop.

Preston - East's residents are healthier than average in comparison to broader Australia with prevalence of common health conditions quite low among the general population though higher than the nation's average across older, at risk cohorts

Health data for Preston - East shows relatively positive outcomes with a low prevalence of common health conditions among its general population.

However, certain cohorts such as older and at-risk individuals have higher rates compared to national averages. Approximately 54% (~12,594 people) of Preston - East's total population has private health cover, which is very high. The most prevalent medical conditions are mental health issues (11.1%) and asthma (7.9%), while 69.5% claim to be completely clear of medical ailments, compared to Greater Melbourne's 70.2%. Preston - East has a lower proportion of residents aged 65 and over at 13.1% (3,035 people), compared to Greater Melbourne's 15.2%, but these older individuals require more attention than the broader population.

Preston - East is among the most culturally diverse areas in the country based on AreaSearch assessment of a range of language and cultural background related metrics

Preston-East has a high level of cultural diversity, with 35.3% of its population born overseas and 36.7% speaking a language other than English at home. Christianity is the predominant religion in Preston-East, comprising 38.2% of its population. Buddhism is notably overrepresented in Preston-East compared to Greater Melbourne, making up 4.0% versus 3.4%.

The top three represented ancestry groups are English (17.9%), Australian (15.6%), and Other (11.4%). Notably, Greek (7.2%) and Macedonian (2.6%) populations are overrepresented compared to regional averages of 6.1% and 2.1%, respectively.

Preston - East's population is slightly younger than the national pattern

Preston-East has a median age of 36 years, nearly matching Greater Melbourne's average of 37 and slightly below Australia's median of 38. Compared to Greater Melbourne, Preston-East has a higher proportion of residents aged 25-34 (21.1%) but fewer residents aged 5-14 (8.2%). This concentration of 25-34 year-olds is significantly higher than the national average of 14.5%. Between the 2021 Census and now, the proportion of Preston-East's population aged 35-44 has grown from 17.7% to 19.1%, while the proportion aged 45-54 has declined from 13.6% to 12.7%. Demographic projections suggest significant changes in Preston-East's age profile by 2041, with the strongest growth expected in the 45-54 age group, which is projected to increase by 76%, adding 2,249 residents and reaching a total of 5,192.