The NSW infrastructure projects that will impact property prices the most: JLL

A new report has identified the New South Wales infrastructure projects that will have the greatest impact on property prices.

The Sydney Light Rail (CBD and South East), the Sydney Metro Northwest and the Sydney Metro City and South West will have the greatest effect on the NSW property market, according to JLL’s new report, NSW economic growth drivers and infrastructure: Assessing the impact on property markets.

JLL’s Head of Research — Australia Andrew Ballantyne said the group looked at the 10 major projects in the NSW infrastructure pipeline.

“Infrastructure changes real estate markets,” he said.

“While all 10 of the major projects will have an impact on the NSW commercial and residential property sectors, these three — and specifically the placement of stations along the routes — will have the greatest effect through reducing travel times and costs, connecting people with job opportunities and connecting products with markets.”

Source: JLL

 1. Sydney Light Rail (CBD and South East)

Property close to the light rail stations are likely to increase in value, while the route is also likely to change the mix of retail in the region.

JLL’s Managing Director — NSW Daniel Kernaghan said:

“George Street is going to become a more desirable location for retailers in the luxury and food-and-beverage categories. 

“Improved connectivity within the CBD will mean organisations can look beyond the core CBD to secure lower office rental rates.

“Average A-grade rents on Goulburn Street are 31% lower than for comparable A-grade core CBD assets.” 

2. Sydney Metro (Northwest) 

New stations create dfor the project will stimulate further residential development.

“This project is going to deliver a reliable public transport service to the region which has the highest car ownership levels per household in NSW,” Ballantyne said.

3. Sydney Metro (City and South West)

The project will support the continuing development of the North Sydney’s office market, which is expected to increase to 930,000 square metres of space by 2024.

“Additionally, a revitalised Central Station will act as a regenerative magnet for the southern Sydney CBD, creating a vibrant new mixed-use precinct,” Kernaghan said.