You can read more about these projects in our latest Spring McGrath Report 2013, which for the first time contains a dedicated section on infrastructure.
We chose to run a dedicated section because there are several significant projects underway in both Sydney and Brisbane and historically speaking, major new infrastructure is a major catalyst for price growth in those areas.
Here are what we believe to be the most significant projects.
Legacy Way Motorway
This 4.6 km tunnel will enable motorists to take a direct high-speed route to the airport and Australia TradeCoast precinct, which is expected to become South-East Queensland’s second biggest employment area. The motorway will also reduce traffic on Milton Road and Coronation Drive. Legacy Way is the fourth project in the TransApex plan, designed to reduce congestion and increase connectivity on Brisbane’s road network.
Areas to benefit: Auchenflower, Chapel Hill, Kelvin Grove, Kenmore, Milton, Newmarket, Paddington, Toowong and surrounds
Brisbane CBD Redevelopment
This project involves the redevelopment of state-owned land along Brisbane River between the water and George Street and between Alice and Queen Streets. The main feature is a 43-floor tower at 1 William Street, which will become the largest commercial tower in the state. Around 15,000 sqm of office space will be available for lease to the private sector, with the surrounding area to include a range of new facilities. The building will reduce the Government’s need for offices in the CBD, which will save taxpayers $60 million per year.
Completion: End 2016
Areas to benefit: Brisbane CBD and inner city suburbs such as West End, Fortitude Valley and Spring Hill
Southport Hospital and Light Rail
The new 750-bed Gold Coast University Hospital in Southport and the recently upgraded Robina Hospital will generate about 400 new jobs. A private hospital will also be built down the track. The University Hospital will be a terminal station for Queensland’s first light rail, connecting the new Health and Knowledge precinct. There will be 16 stations including one at Main Beach, with a capacity for 10,000 passengers per hour.
Completion: Hospital Late 2013; Light Rail 2014
Areas to benefit: Ashmore, Broadbeach, Labrador, Southport, Surfers Paradise and surrounds
Commonwealth Games Infrastructure
The Commonwealth Games will create 30,000 new jobs and $2B in economic investment. The development of the Parklands site from October 2013 will make way for the Games Village. The village will become a mix of new residential and commercial facilities as part of the new Health and Knowledge precinct. This will provide important diversification to an economy currently reliant on tourism and construction.
Areas to benefit: Gold Coast region from Hope Island in the north to Coolangatta in the south
Sunshine Coast University Hospital
Australia’s largest hospital project, the Sunshine Coast University Hospital (SCUH) is a new public tertiary teaching hospital being built at Kawana. It means an estimated 10,000 patients per year will no longer have to travel to Brisbane for complex treatment. The SCUH site, known as the Kawana Health Campus, will also have a 200-bed private hospital. The development will bring thousands of new jobs and property growth to the area. The staff of 3,500 will grow to 6,000 by 2021.
Completion: Private Hospital Dec 2013, SCUH Late 2016
Areas to benefit: Birtinya, Buddina, Buderim, Kawana, Minyama and Warana
Next week, I will give you my thoughts on the Brisbane market and my predictions for property prices in 2014.