The CCCLM recognises the importance of effective transport infrastructure in delivering clear economic and social benefits to Australia’s cities, and also recognises the budget constraints of all levels of Government.
In recent years, local governments have seen funding through grants and subsidies reduced which has put increased pressure on capital and major cities to deliver infrastructure and services, therefore CCCLM is supportive of developing alternative equitable and sustainable funding and financing models, such as value capture.
It is well established that improving transport infrastructure and connectivity, is likely to result in an increase in land and property values, whereby land in more accessible locations will attract a higher price, leading to a higher yield or higher-value use of that land, making value capture a potential source of infrastructure funding.
For example, with the delivery of the Mandurah rail line in 2007, land values within a 400m catchment of rail stations increased by 40% due to the accessibility provided by the new rail system.
Value Capture – CCCLM Discussion Paper response – Final