Infrastructure investment is a key indicator that many investors look for when they’re pinpointing a location to start their property search. And it makes good sense.
The key categories of infrastructure investment that property investors look for are transport (airports, roads and rail) and social (schools, hospitals and community facilities) because, historically, they’ve driven economic growth, employment and productivity. This drives up property values and rental demand. People want to live in places that are connected and have social networks – and you want to invest where people want to live.
Areas that are benefiting from infrastructure investment right now are:
- Northern NSW/SE Qld – Bruce Highway; Queens Wharf; Coolangatta and Sunshine Coast airports; Logan, Tweed Valley & Lismore Base hospital upgrades, submarine broadband connectivity, business centres, shopping centres – to name a few
- Newcastle/Lower Hunter – Pacific Highway, RAAF base, Williamtown airport, shopping centres
- Geelong/Ballarat – rail connections
If you’re looking to invest, do some research into existing and planned infrastructure. It’s by no means the only indicator to look for, but it is a good one.