“Numerous large projects supported by public and private investment of around $11bn are either under way or in the pipeline,” the report says.

“These include projects in defence, transport, tourism, energy and education which would create 1500 jobs.”

The report says the development of Adani’s Carmichael coal project is also spurring the economy with contracts worth in excess of $500m awarded from the company’s headquarters in Townsville.

The report says the city’s new sports stadium opened in February 2020 and numerous upgrades to road and rail transport, costing close to $1bn, are being carried out.

“Unemployment continues to trend downwards while the housing market has seen good price growth in the last year, supported by tight vacancy rates,” the report says.

The Hotspotting report forecasts continuing substantial price growth for the region.

According to the REIQ Quarterly Market Monitor for the September Quarter, Townsville recorded the second highest price growth in the state – 3.1 per cent, just behind Noosa at 3.6 per cent and ahead of the Sunshine Coast at 1.8 per cent.

In the same quarter, data from property firm Herron Todd White showed house sales were trending around 260 per month, the highest level since 2009.

This was 37 per cent above the level of September 2019 and was likely boosted by the federal government’s HomeBuilder grants scheme.

According to the report, the biggest uplift in prices in Townsville over the past 12 months was recorded at Hermit Park where the median house price is $340,000 following a 23 per cent increase.

Mt Louisa recorded an 11 per cent rise, producing a house median of $375,000.

It says housing affordability is a key attraction of the Townsville market.

Six suburbs have median house prices of $350,000 or under, while Cranbrook, Gulliver and Kelso have median prices in the $200,000s.

The prestige market in Townsville is also gaining momentum with an increase in sales volume of houses priced over $1.5m.