Metrolink Expansion Would Boost Property Prices

A study commissioned by Manchester Enterprises into the proposed Metrolink expansion shows that the current proposals could lead to an increase to the total value of housing stock in Greater Manchester of between £295 and £515 million.

The study shows that travel time savings of between one and 15 minutes could be associated with house price increases of between 0.4 and 5.4 per cent. This could equate to an increase in house prices from £3,000 up to £12,000 in the areas that would impact from the Metrolink expansion.

The study on the economic impact of the Metrolink extension was commissioned by Manchester Enterprises, the economic development agency for Greater Manchester, and carried out by a specialist consultancy Volterra.

Current investment proposals include a major expansion of the Metrolink network to Ashton, East Didsbury, Wythenshawe, Manchester Airport, Oldham, Rochdale and Trafford Park, as well as an increase in rolling stock and a second city centre crossing.

The findings also show that by 2026 the Metrolink expansion alone will be facilitating just over 3,200 completely new jobs in the city region which are each creating output of between £4k and £10k more per annum due to their location in the urban core. Cumulatively to 2026, the expansion of Metrolink will result in additional output of £139m from people 'moving to more productive jobs' in the city centre and £20m from 'pure agglomeration' (benefits arising from a greater density of businesses/employees).

Mike Emmerich chief executive of Manchester Enterprises says:
'It is important to understand the impact the expansion programme would have on businesses and the people who live and work in the region.

'This report focuses on the Metrolink expansion alone, which is just one proportion of the total package.

'As GM assesses the TIF package, this study provides a further source of information to enable people to judge its merits. It demonstrates that the proposed Metrolink expansion could significantly increase individual house prices. Some of the most deprived areas in Greater Manchester will benefit most from these house price increases, boosting the regeneration of these communities.'

Documents

Economic Benefits of the Metrolink extension Report - August 08