Reservoir - South East
Statistical Area - sa2

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

Reservoir - South East's population is approximately 14,125 as of August 2025. This represents an increase of 1,326 people, a 10.4% rise since the 2021 Census which reported a population of 12,799. The growth was inferred from ABS's estimated resident population of 13,875 in June 2024 and an additional 350 validated new addresses since the Census date. This results in a density ratio of 3,379 persons per square kilometer, placing it in the upper quartile nationally according to AreaSearch's assessments. Reservoir - South East's growth exceeded both national (8.6%) and state averages, positioning it as a growth leader in the region. Overseas migration contributed approximately 90.9% of overall population gains during recent periods.

AreaSearch is utilising ABS/Geoscience Australia projections for each SA2 area released in 2024 with a base year of 2022. For areas not covered, they employ VIC State Government's Regional/LGA projections from 2023, adjusted using weighted aggregation methods to SA2 levels. Growth rates by age group are applied across all areas for years 2032 to 2041. According to population projections, exceptional growth is predicted over the period, with an expected increase of 6,754 persons to 2041, representing a total gain of 46.0%.

AreaSearch assessment of residential approval activity sees Reservoir - South East among the top 30% of areas assessed nationwide

Reservoir - South East has received approximately 129 dwelling development approvals per year. The Australian Bureau of Statistics produces this data on a financial year basis, showing 649 homes approved over the past five years from FY-20 to FY-25, with 16 approvals so far in FY-26. On average, 0.6 new residents have arrived per new home each year during these five financial years. This pace of new construction is matching or exceeding demand, providing more housing options and enabling population growth that could surpass current projections.

The average expected construction cost value for new homes is $387,000, which is below regional norms, indicating more affordable housing options for buyers. In FY-26, commercial approvals totaling $1.2 million have been registered, suggesting minimal commercial development activity. Compared to Greater Melbourne, Reservoir - South East has slightly higher development activity, with 25.0% above the regional average per person over the past five years. This balance of buyer choice supports current property values. The new development consists of 18.0% detached dwellings and 82.0% attached dwellings, marking a significant shift from existing housing patterns (currently 62.0% houses).

This trend towards denser development offers accessible entry options for downsizers, investors, and entry-level buyers. With around 134 people per approval, Reservoir - South East reflects an area with ongoing development. By 2041, the population is expected to grow by 6,504 residents. If current development rates continue, housing supply may struggle to keep pace with population growth, potentially intensifying buyer competition and supporting property price increases.

Reservoir - South East has strong levels of nearby infrastructure activity, ranking in the top 40% nationally

Changes to local infrastructure significantly influence an area's performance. AreaSearch identified seven projects that may impact this region. Notable projects include The Plenty Residences, Summerhill Shopping Centre Redevelopment, Reservoir Suburban Revitalisation Program, and Reservoir Leisure Centre Redevelopment. Details about these projects follow.

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

Employment performance in Reservoir - South East has been below expectations when compared to most other areas nationally

Reservoir - South East had an unemployment rate of 5.5% as of June 2021 with estimated employment growth of 3.1%. As of June 2025, the unemployment rate was 6.4%, 0.8% higher than Greater Melbourne's rate of 4.6%.

Workforce participation was 57.8%, significantly lower than Greater Melbourne's 64.1%. Leading industries were health care & social assistance, retail trade, and education & training. The area had a specialization in public administration & safety with an employment share 1.3 times the regional level, while professional & technical employed only 8.1% of local workers compared to Greater Melbourne's 10.1%. Employment levels increased by 3.1% during June 2024 to June 2025, with a labour force increase of 1.4%, leading to a 1.5 percentage point decrease in unemployment rate.

In comparison, Greater Melbourne had employment growth of 3.5%, labour force growth of 4.0%, and an unemployment rate rise of 0.5 percentage points. As of Sep-25, Victoria's employment grew by 1.08% year-on-year with a state unemployment rate of 4.7%. National employment forecasts from May 2025 suggest Reservoir - South East's employment may grow approximately 6.5% over five years and 13.5% over ten years, based on national projections mapped against local industry mix.

The area's income profile falls below national averages based on AreaSearch analysis

AreaSearch aggregated latest postcode level ATO data released for financial year 2022. Reservoir - South East had a median income among taxpayers of $53,397 and an average income of $63,288. These figures are slightly lower than national averages of $54,892 and $73,761 for Greater Melbourne respectively. Based on Wage Price Index growth of 10.11% from financial year 2022 to March 2025, estimated median income is approximately $58,795 and average income is $69,686 in Reservoir - South East. Census 2021 data shows household, family, and personal incomes rank modestly between the 26th and 29th percentiles in the area. The largest income bracket comprises 29.8% earning $1,500 to $2,999 weekly, with 4,209 residents falling into this category. This trend is similar to the broader area where 32.8% occupy this income range. Housing affordability pressures are severe in Reservoir - South East, with only 80.5% of income remaining after housing costs, ranking at the 24th percentile. The area's SEIFA income ranking places it in the 5th decile.

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

In Reservoir - South East, as per the latest Census evaluation, 61.6% of dwellings were houses while 38.5% consisted of other types such as semi-detached homes, apartments, and 'other' dwellings. This compares to Melbourne metropolitan's figure of 60.2% houses and 39.8% other dwellings. Home ownership in Reservoir - South East stood at 29.7%, similar to Melbourne metro's level. The remainder of dwellings were either mortgaged (27.2%) or rented (43.1%). The median monthly mortgage repayment in the area was $1,967, lower than Melbourne metro's average of $2,000. Meanwhile, the median weekly rent figure was recorded at $349, compared to Melbourne metro's $371. Nationally, Reservoir - South East's mortgage repayments were higher than the Australian average of $1,863, while rents were lower than the national figure of $375.

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

Family households account for 58.4% of all households, including 24.4% couples with children, 21.2% couples without children, and 11.0% single parent families. Non-family households constitute the remaining 41.6%, with lone person households at 35.4% and group households comprising 6.3%. The median household size is 2.3 people, which is smaller than the Greater Melbourne average of 2.4.

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

Reservoir-South East has 34.5% of residents aged 15+ with university qualifications, exceeding Australia's average of 30.4%. Bachelor degrees are the most common at 22.2%, followed by postgraduate qualifications (9.1%) and graduate diplomas (3.2%). Vocational credentials are also prevalent, with 27.1% of residents holding such qualifications - advanced diplomas (10.6%) and certificates (16.5%).

Educational participation is high at 29.9%, including primary education (7.7%), tertiary education (7.7%), and secondary education (6.4%). The area has five schools with a combined enrollment of 1,770 students as of the latest data. Reservoir-South East's Index of Community Socio-Educational Advantage is 1030, indicating typical Australian school conditions with balanced educational opportunities. There are three primary and two secondary schools serving distinct age groups, with a capacity exceeding residential needs (12.6 places per 100 residents vs the regional average of 10.3), suggesting the area serves as an educational hub for the broader region.

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

Reservoir - South East has 98 active public transport stops offering a mix of light rail and bus services. These stops are served by 8 different routes that together facilitate 6,744 weekly passenger trips. The area's transport accessibility is rated excellent, with residents on average being located 143 meters from the nearest stop.

Service frequency across all routes averages 963 trips per day, equating to approximately 68 weekly trips per individual stop.

Health performance in Reservoir - South East is lower than average with common health conditions somewhat prevalent across the board, though to a considerably higher degree among older age cohorts

Reservoir South East faces significant health challenges with common health conditions prevalent across all age groups, but notably higher among older residents.

Approximately 51% of its total population (~7,232 people) has private health cover, slightly lower than the average SA2 area. Mental health issues and arthritis are the most common medical conditions in the area, affecting 9.3% and 8.0% of residents respectively. About 69.0% of residents report being free from medical ailments, compared to 70.2% across Greater Melbourne. The area has a higher proportion of seniors aged 65 and over at 18.0%, or 2,538 people, compared to the 15.2% in Greater Melbourne. Health outcomes among seniors require more attention than those of the broader population.

Reservoir - South 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

Reservoir-South East has a high cultural diversity, with 37.3% of its population born overseas and 41.6% speaking a language other than English at home. The predominant religion is Christianity, making up 46.8%. Islam is overrepresented, comprising 7.1%, compared to the Greater Melbourne average of 6.1%.

In ancestry, the top groups are English (16.8%), Australian (15.1%), and Other (13.1%). Notably, Greek (6.5% vs regional 6.1%) and Italian (10.9% vs regional 12.3%) are underrepresented, while Macedonian remains at the same level regionally (2.1%).

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

The median age in Reservoir - South East is close to Greater Melbourne's average of 37 years and equivalent to Australia's median of 38 years. Compared to Greater Melbourne, Reservoir - South East has a higher concentration of residents aged 25-34 (19.2%) but fewer residents aged 5-14 (8.8%). Between the censuses conducted on 2 August 2021 and 9 August 2021, the population aged 35 to 44 grew from 14.7% to 15.9%, while the 45 to 54 age group declined from 12.3% to 11.3%. By 2041, Reservoir - South East is expected to see significant shifts in its age composition, with the 45 to 54 age group projected to grow by 62%, reaching 2,580 people from the previous count of 1,593 people.