Value of homes hit by bus corridor plan ‘could drop by up to 25%’
Property experts suggest major public transport initiative a case of ‘short-term pain for long-term gain’
Houses affected by the National Transport Authority’s plan to create 16 high-speed bus routes in Dublin could fall in value by a quarter, one property expert has suggested.
More than 1,000 homes in Dublin will lose gardens and parking places under plans to create 230km of expanded bus lanes and 200km of cycle lanes within a decade.
Property experts warned that houses losing part of their gardens, or parking would suffer significant falls in value, but unaffected houses nearby would jump in price because of being close to high-speed public transport.
Speaking openly, Keith Lowe, chief executive of DNG said a lot of home-owners will be “very nervous” about the NTA’s move that could cut between 20 and 25 per cent from the value of their homes.
Houses in places such as Belmayne in north Dublin could rise by up to 10 per cent if fast bus routes got people into the city centre in 20 minutes compared to 40 minutes today.
The Phibsborough area in Dublin’s north inner city has become a “red hot” property district and popular with homebuyers as a result of the new Luas line, he noted.
However, houses such as those on Kimmage Road Lower, which might sell for about €500,000, could drop by about €100,000 if there was no car-parking area and a bus was running straight past the house.
Angela Keegan, managing director of MyHome.ie, which is owned by The Irish Times, urged the NTA to authority to begin talks with affected homeowners as quickly as possible.
Some houses that could be be impacted, such as those on Terenure Road East, have big gardens and are “hugely sought after”. She said the impact of the changes would also be seen coming into Rathmines.
Housebuyers now carefully research amenities, schools and transport when looking for a home, she said: “I would have to welcome the initiative to get people to work faster and spending less time commuting,” she added.
The chief executive of the Institute of Professional Auctioneers and Valuers, Pat Davitt, said the value of the houses losing gardens would “drop considerably”, but he welcomed moves to cut gridlock.
Áine Myler, director general of the Society of Chartered Surveyors Ireland, also noted the positive impact new transport infrastructure such as the Luas had had on particular areas.
She said Dublin was clearly expanding and the population was growing and plans to upgrade the transport network was a necessity to deal with the sheer volume of people who needed to travel in and out of the city.
Ireland also needed to reach global and European sustainability targets and the plan would help deliver those.
But Ms Myler said open and transparent consultation was needed, particularly with the residents who would be impacted. The society recently made a submission to the Law Reform Commission on improvements to the compulsory purchase legislation. Ms Myler said she believed the use of compulsory purchase would probably increase and would come to be seen as a feature of upgrading infrastructure.
It was a case of “short-term pain for long-term gain”, she said.