Where Sydney infrastructure drives price growth
Sydney is in the midst of an enormous infrastructure programme that will build on the already strengthening market in 2020 and help increase demand for property. Infrastructure spending brings enhanced liveability, improved services and increased employment opportunities. This all adds up to good news for property owners and buyers seeking prospects with potential for capital gains.
Here’s a quick rundown of what’s underway and the areas likely to benefit from these massive builds.
Hailed as the nation’s biggest public transport project, Sydney Metro will improve commutability across the capital.
The project includes a total of 31 metro stations and more than 66 kilometres of new rail, and comprises two primary construction components:
- Sydney Metro Northwest
Opened in May 2019, the rail line connects the suburbs of Rouse Hill and Chatswood via Castle Hill and Epping.
- Sydney Metro City and Southwest
A 30-kilometre extension of the metro rail from Sydney Metro Northwest at Chatswood heading under Sydney Harbour and south west to Bankstown. The 17-kilometre section between Chatswood and Sydenham is primarily a tunnel, while the 13-kilometre section between Sydenham and Bankstown will see conversion of the existing Bankstown rail line. Metro and Southwest are due to be operational in 2024 and will encompass seven new metro stations and 11 upgraded stations in all.
Completion of the total network will improve commuting options for residents, particularly in outer locations. The infrastructure will also drive the potential for development and growth with suburbs such as Blacktown, Castle Hill, Cherrybrook, Dulwich Hill, Marrickville and Sydenham all set to benefit.
The 33-kilometre WestConnex motorway will link Western Sydney to the airport and Port Botany precinct.
Completion of the project’s three stages is currently slated for 2023.
WestConnex will comprise new interchanges, widenings and upgrades including an extension of the M4 and a duplication of the M5 East to King Georges Road. The potential benefits are set to drive development throughout the western growth corridor.
While Parramatta is already established as Sydney’s second CBD, WestConnex will further enhance its appeal. One example is the widening of the M4 between Parramatta and Homebush, creating a fast bypass of 28 traffic lights.
On the one hand, the extensive and disruptive works carried out during the WestConnex construction have had a negative affect on prices in some suburbs. However, once various stages are completed, these locations will see enhanced transport options set to help improve property prices.
Locations worth monitoring include St Peters, Homebush, Parramatta, Haberfield and Rozelle.
Western Sydney Airport
Sydney’s second major airport at Badgerys Creek is a marque project for the western corridor and has been the result of an extensive planning and site selection process.
The $2.5 billion project will be a major jobs generator during both construction and operation. The airport will not be subject to noise restrictions, so 24-hour operation will be a reality.
Construction of stage one began in September 2018 with completion slated for 2026.
Ground transport options are a vital logistic for this project too. The federal government announced that rail access will be completed in time for the start of operations.
Areas throughout Western Sydney are on track to benefit from the airport and include Mount Druitt, St Marys, Penrith, Campbelltown and Liverpool.
Sydney Light Rail
The CBD & South East Light Rail is a 12-kilometre stretch which connects with the Inner West Light Rail network. The project encompasses the now operational L2 Randwick Line running between Circular Quay and Randwick, and the L3 Kingsford Line operating between Circular Quay and Kingsford. This L3 components is due to open in March 2020, providing services between Moore Park and Kingsford at Nine Ways.
Areas set to benefit from the light rail network extensions include Moore Park, Randwick and Kingsford.
Parramatta’s urban renewal
It’s also worth noting government authorities are actively promoting Parramatta’s ‘second CBD’ status through a range of infrastructure upgrades including schools, public space, light rail and hospitals.
These will act in conjunction with projects outlined above to enhance liveability and connectivity in Parramatta and surrounds.
This concentration on the western corridor is seen as addressing some of the issues resulting from higher densities closer to the capital, such as housing affordability and lack of availability of land for redevelopment.
Extensive public works are imperative to a vibrant, international city like Sydney. By monitoring their progress, property buyers are able to spot opportunities early so they can benefit from future growth prospects.
If you need any advice on where to buy your next home or investment property, call us today on 02 9568 6330.