The Brisbane Infrastructure Plan
Infrastructure improvements are often connected with strong demand in Real Estate. That’s why property developers and investors alike look for locations with a strong infrastructure pipeline for future capital growth.
In this post, we are going to offer a sneak peek at some of the main projects underway in Brisbane.
Firstly, when looking to purchase, it is important to consider all factors that affect the location of a property. This includes existing amenities such as the proximity to schools, universities, and transport such as train stations.
Another important consideration are the infrastructure pipeline. This includes improvements to transport infrastructure, new health, education or employment precincts, or an extension to the local shopping centre. These are typically indicators of lifestyle and also employment in the area.
People like to live convenient to where they work, and also convenient to access important amenities. Understanding the infrastructure available in an area helps you to identify suburbs which are going to be in demand now, and in the future.
Being in a sought-after suburb means maximising your potential rental return and capital growth. At it’s simplest, good infrastructure attracts people to the area.
Developments that affect the accessibility of the precinct, like road upgrades and public transport options are often a key consideration.
Especially interesting is the ‘Train Station Rule’, that measures the variable capital growth of a property in relation with its proximity to a train station. This is a study that found that the proximity to Train Stations had a notable effect on the prices of surrounding residential properties.
According to The Transit and Urban Renewal Value Creation report, properties located between 800m and 1.6km from a train station improve by 0.3% their value. While residences that are 400m to 800m away experience a 1.3% value increment on average, that grows up to 4.5% in homes that are located less than 400m away from a train station.
Let’s take a look at the major infrastructure developments set to help grow Brisbane in the next few years. These projects are ear-marked to create significant new job opportunities, bring a boost in tourism and boost the Brisbane economy.
Amongst the many major developments that are set to reshape Brisbane, seven projects are the most anticipated and relevant, with budgets totalling $12.4 billion.
They are expected to generate more than 65,000 new jobs and benefit the city with a 70% increase in international tourists/visitor nights in the next ten years; leading to more than 105 million visitor nights by 2026
A World-class resort development that will deliver over 1,000 new hotel rooms across five hotels, a residential precinct with 2,000 apartments, a 100m sky deck signature with over 50 restaurants and bars, topped with a walking bridge that will connect with Southbank.
Edward Street Vision
This project will transform Edward Street into an exciting retail precinct with a characteristic tree-lined boulevard that will become the green gateway to the street.
Howard Smith Wharves
Valued at $110 million, this project will remodel 3.4 hectares under the Story Bridge in the CBD into a riverside precinct that will encompass an exhibition space, restaurants, a parkland and a 5-star hotel.
Cross River Rail
To help declutter traffic for the forecasted 90,000 people that will commute to work every morning by 2036, the city has projected a $5.4 billion rail network, with a 10.2-kilometre rail link (5.9 kilometres of tunnel under the CBD and Brisbane River) connecting northern and southern train networks.
Brisbane’s first integrated, mixed-use precinct, developed in a complete city block in George Street with Adelaide Street and Anne Street, and will include Australia’s first purpose-built W Hotel, two levels of riverside dining and luxury retail shopping beneath a 40 storey state-of-the-art Prime Grade office tower, as well as an 82 storey luxury residential apartment building. Valued at $1 billion, this development is due in 2019.
Recently confirmed as a High Priority Project on the nation’s Infrastructure Priority List, this project is set to create a high capacity and frequency public transport system running a 21km route with 18 stations.
The Business Case for this $2 billion development is currently being produced. Brisbane Live would be a world-class entertainment precinct on top of the Roma Street rail interchange hub. It would include a 17,000-seat arena, multiplex cinemas, an amphitheatre and commercial, residential and hotel towers.
As we have seen before in many other cities, these projects should reinvigorate the Brisbane market and provide plenty of opportunities going forward.
Outside of these projects, there are also various developments that are likely to improve the lifestyle of the suburbs.
At Which Property we specialise in tailored property solutions for investors and owner-occupiers alike. We can help you understand your goals and find property solutions suited to you.
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