Development of rail infrastructure in Melbourne good for potential investment
Melbourne's southeast region could be the next great place to consider purchasing investment property, after Premier Denis Napthine announced a $2.5 billion rail project in the area.
This aims to provide a 21st century transportation system into the Victorian capital city, benefiting both residents and investors. The project also highlights the area's increasing need for these services, which could highlight population growth in the region.
Mr Napthine announced the project earlier this week (March 6) and said it will help transform the Pakenham and Cranbourne lines, with the goal of delivering a 30 per cent boost in capacity for one of the city's busiest rail sections.
"This significant investment in next generation technology will give us high capacity trains that can carry more passengers and high capacity signalling that will allow trains to run more frequently," said Mr Napthine in a March 6 statement.
"With more trains running more often, that's an extra 4,500 people in the peak hour who can get where they need to go as quickly as possible. This initiative will cater for an additional two million passengers per year to meet growing demand."
The project aims to deliver 25 new trains into circulation, as well as new signalling technology - one of the first uses in Australia - to allow more trains to run faster and more frequently. Furthermore, new train maintenance depots and rebuilt stations across the area are also a part of the development investment.
Victorian Deputy Executive Director Asher Judah said the multi-billion dollar investment would be a valuable asset for the people in the state, with the development helping to catapult the region into a faster, more streamlined public transport future.
"Capacity constraints, road based congestion and train station modernisation challenges all along the Dandenong and Cranbourne rail lines will be addressed through this exciting project. The property industry looks forward to learning about what new urban renewal opportunities will arise from this city-shaping investment," said Mr Judah in a March 6 statement.
According to Mr Napthine, Melbourne's southeast region is one of the fastest growing areas in the Victorian capital in terms of employment and population increases. This could provide a lucrative environment for the building of an investment property portfolio.
Furthermore, more than 3,000 jobs will be created during the five-year construction period, which will start in 2015 and has a projected completion date in 2019. Now is a good time to begin investigating potential investment property options in the area.