New Brisbane Infrastructure – Metro Light Rail
When researching locations to buy property there are certain fundamentals that must be ticked off to consider it a ‘BUY’ and one of those is transport infrastructure. To go one step further, new planned infrastructure is even better, as it usually means an area is yet to see price growth as a direct result of the new infrastructure. I read with interest today that the Brisbane City Council has brought forward plans to commence construction of the new Brisbane Metro. The project is expected to cost $944 million delivering a benefit cost ratio of 1.91 which means for every $1 of expenditure, the project is forecast to return $1.91 of benefits to the Brisbane economy.
There is no doubt that a mass transport system can deliver time and cost savings for the challenges Brisbane’s current public transport system faces. The Brisbane Metro is designed to address the challenges the current bus network has, as it is at capacity at numerous inner city locations. Brisbane Metro will run over 21 km’s linking Eight Mile Plains, Royal Brisbane Hospital and the University of Queensland busway stations and using existing busway infrastructure. The two Metro lines are to be from Eight Mile Plains busway station to Roma Street busway station and RBH station to UQ Lakes busway station. They will be serviced by a new fleet of approximately 60 trackless, rubber-tyre ‘Metro Vehicles’, each with the capacity to carry up to 150 passengers. The vehicles will service 18 stations and will arrive every 3 minutes in peak period.
The new Brisbane Metro will undoubtedly have a positive impact on property prices in areas that it services both inner city and the suburbs, particularly those to the south along the existing busway. Residential properties within walking distance of the Metro stations at Buranda, Greenslopes, Holland Park, Upper Mt Gravatt and Eight Mile Plains will all benefit directly from the new infrastructure. The project is due to be completed in 2022, so preparing to buy now and securing a property within those locations in the next 12 months is a sound strategy that will no doubt provide capital growth in the medium term.
The Metro project has been given an ‘elevated status’ by Infrastructure Australia clearly because it is able to use existing infrastructure to leverage from and has a shorter project timeline than something like the Cross River Rail project. The overall benefit to the Brisbane transport system as a whole will be significant, and on completion of the project we will see an immediate impact on traffic. As mentioned above, the flow on effect to property (both residential and commercial) will be gradual but also sustained due to the convenience the new system will provide and the small businesses looking to service the needs of passengers. Although the project has been given the elevated status, it still remains one piece in the puzzle of the greater transport infrastructure plan for Brisbane and South East Queensland as a whole. With that in mind, keep an eye out for other projects on the drawing board and monitor their progress as well as the corridors they are to occur in it could provide you with information for your next property purchase.