Plans for Sydney's light rail lines are already having an effect

Real estate agents are seizing the likelihood that suburbs along the mooted light rail lines in Sydney will benefit the surrounding housing market.

 

Randwick, which would be connected to the city via the south east light rail, has experienced added value from investors as as a result of the mooted tram link, said agent Theo Karangis from NG Farah Coogee.

“I could already see now a big of movement upwards, we’re achieving some really good results. We’ve sold over 40 apartments this year alone and our open for inspections has definitely increased,” he said.

Some $423 million from the state budget has been set aside to allocated over four years to the 12km light rail connecting Circular, Central and George Street to the entertainment precincts of Randwick Racecourse, Moore Park’s sports grounds, and hubs University of NSW and Prince of Wales Hospital.

The Randwick area, which has a significant student population who attend nearby universities, is currently serviced by buses and can experience traffic congestion to Sydney’s CBD during peak times.

Recently, more families of tertiary students have been buying into the area for their children to live in while they study at nearby universities and then using the property as an investment when their children graduate.

These investors could capitalise on the growing house prices, said Karangis.

“We’re achieving the higher end prices in Randwick. Before that, those prices were just in Coogee,” he said.

The light rail could also bring in a new lifestyle to the suburbs they service.

Dulwich Hill, whose 5.6km extension to the inner west light rail extension is currently under construction, has seen urban gentrification with more retail opportunities and stores like Gleebooks and gourmet deli The Larder joining the suburb.

The new transport has quickened the pace of the lifestyle change, offering the cafe lifestyle to a more affordable part of the inner west, said agent Adrian Abrook from LJ Hooker Dulwich Hill.

“This just gives us another opportunity to get other buyers who may be looking at this market to explore it,” he said.

 

Dulwich Hill will be one of nine stops on the extension planned to open next year. Nine new stops will be added to the current services. $76 million over four years was allocated to the inner west line from the state budget.

However, some residents in Surry Hills lobbying against the proposed route of the South East Light Rail are concerned the tram link will have a negative impact on their properties.

The transport construction and long term effects of the light rail will impact on surrounding retail as well as the liveability of the suburb, said Venietta Slama-Powell, founder and convenor of community lobby group PUSH (People Unite Surry Hills).

“Properties directly on the route are at risk of being severely financially affected. Considerations to increase in noise, visual outlook, traffic congestion, safety, property access and importantly parking. We have been advised that loss of parking can reduce a property by 20%,” she said.

The light rail route is planned for Surry Hill’s Devonshire Street via Chalmers Street to reach the city centre.

The community group would like to work with the state government to ensure the tram line doesn’t impact upon residents and existing retails.

“PUSH and many community members support the concept of light rail, a Surry Hills route and stops. But our team and Engineering Panel believe the initial Government proposal can be greatly improved by the application of local input, as happened with the Eastern Distributor, and a solution that is more likely to have a positive impact on most, if not all property prices,” she said.