Transport For NSW
Sydney Metro has been identified as a major rail project in Sydney’s Rail Future, extending the NWRL under Sydney Harbour, through the CBD with a western extension to Bankstown. Together with a broader program of rail upgrades, Sydney Metro is expected to result in significant increase in the network capacity, reducing travel time and providing modern, and safe transit facilities. These benefits will be experienced not only within the catchments of Sydney Metro stations, but across the entire transport network.
Combined with enabling works such as infrastructure upgrades along the Western Line, the Sydney Metro is expected to allow up to 60 per cent additional trains every hour across the entire network.
Role of Tenderer
In January 2015 LUTI Consulting (in partnership with Mecone Planning) were engaged to prepare a Sydney Metropolitan wide revealed preference hedonic price modelling of the land market ‘Willingness to Pay’ (WTP) for transit accessibility across all transportation infrastructure for the period 2000-2014. This revealed preference analysis was used to conduct bottom up land market analysis for the purpose of understanding the land market response to the investment in the Sydney Metro.
The LUTI Team then undertook financial modelling of the impact of the Sydney Metro on the existing land and property taxes, calibrated by the WTP and bottom up property market analysis. The final report to TfNSW outlines the opportunities for the NSW State Government to share in the value created from the investment in the Sydney Metro, and proposes a methodology the use the revenue streams to defray the cost of the project.
Dr James McIntosh – Project Integration and Value Creation Lead
Dr Roman Trubka – Economics and Spatial Analysis Lead
January 2015 – November 2015