Transport For NSW
The identification of suitable mechanisms to fund transportation and urban redevelopment is a key challenge for the Government. The traditional method of seeking grant allocations from NSW State Government’s consolidated revenue as the only funding stream for transportation infrastructure its insufficient for the Government to address the backlog of necessary transport improvements and the need to modernise much of the State’s aging transport infrastructure. Part of the solution to this problem may be the ability for government to “share” in the additional economic value created through transport investment.
Role of Tenderer
In January 2015 LUTI Consulting (in partnership with Mecone Planning) were engaged to prepare a discussion paper for the NSW Department of Premier and Cabinet (The Draft Report is titled “Transportation and Urban Renewal Value Creation and Sharing”). This study explores the benefits of integrating transport projects with land use plans and outlines infrastructure funding mechanisms through which urban development can assist the business case for investment in urban renewal and transportation infrastructure in a NSW context.
In this study eighteen separate “value sharing” mechanisms were assessed using a comprehensive set of criteria to identify potential mechanisms that allow for the sharing of induced increases in land values and optimising the development opportunities created through transport infrastructure investment.
Dr James McIntosh – Lead Author and Value Creation and Sharing Lead
Dr Roman Trubka – Economics and Spatial Analysis Lead
January 2015 – July 2015