From
http://www.telegraph.co.uk/finance/n...erty-boom.html

By Anna White, Property correspondent
7:40PM BST 27 Sep 2014

Crossrail, the high speed train service that will stretch across central
London, is already adding value to homes along its route, even though it is
not due to open for business for four years.

Europe’s largest infrastructure project has driven house prices up by 96pc
over the past decade, according to a study by the online estate agent
eMoov, which also estimated that the average house price of property near
the route would rise another 36pc by 2020.

But the study found that homes clustered around some stations will see a
larger spike than others.
“Tottenham Court Road has long been portrayed as the epicentre of the
Crossrail project with huge amounts of development in the area and it is
also one of the main central stations,� said Russell Quirk, the founder of
Essex-based eMoov. Prices in the area are now over four times higher than
10 years ago, the report showed. In 2004 an average flat was worth
£240,000, but has risen by 439pc to more than £1m.

Outside London, Reading has recorded an 11pc increase in the price of a
flat since 2004, but larger properties in the area increased by between
40pc and 63pc. “Reading is fast becoming as one of the country’s hottest
property areas,� said Mr Quirk. “And we predict prices in the area will
grow as much as 50pc over six years.�

The extension of Crossrail into Essex means some areas have doubled in
value over the past 10 years.
The price of detached properties in Brentwood has risen from £400,000 to
£800,000.

Forest Gate in east London could see one of the largest increases, topping
£100,000 over the next six years, he said.
It is estimated that 200m passengers will use Crossrail every year,
increasing the capital’s transport network by 10pc, and creating a domino
effect as the London suburbs one stop away from a Crossrail station also
increase in price.
Homes in Maidenhead, Slough, Iver, Burnham and Langley are also expected to
increase in value by up to £150,000 by 2020.

“The London market has overheated but there are still pockets of the
capital and the South East which represent opportunities for property
investment,� said Mr Quirk. “Crossrail locations can expect significantly
elevated increases in prices in the coming years compared with
non-Crossrail areas.�

On Sun, 28 Sep 2014 10:59:38 -0500 Recliner wrote :
But the study found that homes clustered around some stations will see a
larger spike than others.
“Tottenham Court Road has long been portrayed as the epicentre of the
Crossrail project with huge amounts of development in the area and it is
also one of the main central stations,” said Russell Quirk, the founder of
Essex-based eMoov. Prices in the area are now over four times higher than
10 years ago, the report showed. In 2004 an average flat was worth
£240,000, but has risen by 439pc to more than £1m.

If the UK had a more sensible way of taxing property than Council Tax, then
the public purse would see some return from massive investments like
Crossrail. Instead AIUI CT is just levied on the 1991? value. There is of
course a lesser gain from Stamp Duty when such properties are sold.

--
Tony B, Melbourne, Australia

Tony Bryer wrote:
On Sun, 28 Sep 2014 10:59:38 -0500 Recliner wrote :
But the study found that homes clustered around some stations will see a
larger spike than others.
“Tottenham Court Road has long been portrayed as the epicentre of the
Crossrail project with huge amounts of development in the area and it is
also one of the main central stations,” said Russell Quirk, the founder of
Essex-based eMoov. Prices in the area are now over four times higher than
10 years ago, the report showed. In 2004 an average flat was worth
£240,000, but has risen by 439pc to more than £1m.

If the UK had a more sensible way of taxing property than Council Tax, then
the public purse would see some return from massive investments like
Crossrail. Instead AIUI CT is just levied on the 1991? value. There is of
course a lesser gain from Stamp Duty when such properties are sold.

Actually, Crossrail did benefit from additional property taxes:

"Most important, however, the project’s planners managed to attract a
substantial amount of private-sector money. Crossrail is being financed by
a combination of government grants, fares and an enhancement of land
values. A business-rate supplement of 2p on non-domestic properties with a
rateable value of £55,000 or more created £4 billion for the project,
nearly as much as the government is providing. Shining new offices will be
built above stations by developers; this is novel in Britain, but a common
way of funding infrastructure elsewhere.

Future projects could learn from Crossrail’s funding structure. “We need to
assume that public-sector funding is the last resort,� says Isabel Dedring,
deputy mayor for transport. Business levies could be used more widely while
existing taxes, such as the congestion charge, could be used more
effectively or extended. Others think more taxes should be kept in London:
the mayor gets a mere 7% of all taxes raised in the city. Better
assessments of the rise in land values near a new station would help, too."

From
http://www.economist.com/news/britai...-not-so-boring

On Sun, Sep 28, 2014 at 10:59:38AM -0500, Recliner wrote:

Crossrail, the high speed train service that will stretch across central
London, is already adding value to homes along its route ...

Europe???s largest infrastructure project has driven house prices up by 96pc
over the past decade, according to a study by the online estate agent
eMoov, which also estimated that the average house price of property near
the route would rise another 36pc by 2020.

And what will happen to the price of comparable properties not on the
Crossrail route? House price inflation in Clapham, for example, is 45%
over 5 years, so we can extrapolate that to just over 100% over 10
years.

Everywhere on Crossrail already has fairly decent public transport
compared to its surrounding area - it involves no new stations at all -
so I wouldn't expect to see any massive changes.

Tottenham Court Road has long been portrayed as the epicentre of the
Crossrail project with huge amounts of development in the area and it is
also one of the main central stations,??? said Russell Quirk, the founder of
Essex-based eMoov. Prices in the area are now over four times higher than
10 years ago, the report showed. In 2004 an average flat was worth
??240,000, but has risen by 439pc to more than ??1m.

Central London prices go up a lot in a decade. I'm shocked.

Outside London, Reading has recorded an 11pc increase in the price of a
flat since 2004, but larger properties in the area increased by between
40pc and 63pc.

Inflation over the last 10 years was 38%. House price inflation over the
same period was 34% nationally, 43% in the area around the metropolis,
and 77% in Greater London. I don't think this shows that Crossrail has
had any effect on Reading at all.

--
David Cantrell | A machine for turning tea into grumpiness

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