Little capital appreciation likely in six new Melbourne suburbs due to lack of transport: Monique Sasson Wakelin

A lack of infrastructure and long commutes are likely to prevent property values rising in Melbourne’s six new suburbs, says market commentator Monique Sasson Wakelin.

Speaking on ABC radio, Wakelin said one of the limitations of people who live out there will be that they will be “reliant on V-Line [trains] and/or their car”.

“Given the distances we are talking about out of the city, where most of the employment opportunities are, there limitations to what people can expect in the medium term and even in the long term in terms of capital appreciation,” Wakelin says.

The six new suburbs are Diggers Rest near Sunbury, Lockerbie near Greenvale, Lockerbie North, Manor Lakes in Wyndham, Merrifield West in the city of Hume and Rockbank North near Melton.

They extend Melbourne’s urban growth boundary by almost 6,000 hectares of former farm and green wedge land.

They are between 20 to 40 kilometres from the Melbourne CBD, with Lockerbie North the furthest away and Rockbank North the closest at about 20 kilometres.

Rockbank North and Lockerbie are serviced by nearby but busy V/Line rail stations, with a rail station is ''proposed'' in Lockerbie but there is no timeline for its completion.

However, Wakelin says for those aspiring to buy own homes but have very limited funds to do it, “this is a fabulous opportunity to get in”.

She says the new suburbs present opportunities for those wanting their own home on a relatively large block and with access to the bush – as long as buyers don’t mind the commute.

“It’s a heck of a commute – let’s face it … and not very green either if you are taking the car or going by train,” she says.

“If you’re feeling energetic, on a nice day when it’s not teeming with rain or very hot, you could push-bike it in.”

Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

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