SEQ Catalyst Projects - Winter 2018
June, 2018 – Since our Autumn Catalyst Projects report, several projects in South East Queensland’s pipeline of major projects have progressed and several new projects have been added to the pipeline.
This report includes an update on key SEQ projects as well as a focus on major projects happening in the Toowoomba Region and their potential effects on the property market
Update on SEQ Catalyst Projects
One of the most significant projects that has progressed during the past quarter is the Brisbane Metro, which has recently received Federal Government funding for the final third of the project that remained unfunded. The project will be jointly funded by the Brisbane City Council and the Federal Government. Based on receiving this funding, we expect the project is likely to proceed and be completed in 2023.
The recently released Federal and State Budgets also included funding for several other key transport infrastructure projects across South East Queensland which are of great significance. Provided they proceed, these projects will vastly enhance connectivity and travel times across the various areas of SEQ. The key projects that have recently received funding are as follows:
- Brisbane to Gold Coast M1 Upgrade (Eight Mile Plains to Daisy Hill and Varsity Lakes to Tugun): The Federal and State Governments have each allocated $879.5 million of funding to this upgrade;
- Bruce Highway Upgrades, including Pine River to Caloundra: The Federal Government has allocated $880 million to the upgrade of the Bruce Highway between Pine River and Caloundra (estimated total cost of $1.1 billion);
- Cunningham Highway, Yamanto to Ebenezer interchange: The Federal Government has allocated $140 million to this $330 million project; and
- Sunshine Coast Rail Upgrade (Beerburrum to Landsborough): The Federal Government has agreed to fund $390 million of the project and the State Government will fund $160 million. Funding is yet to be decided for the remaining $234 million.
In the private sector, Dexus has recently revealed plans for the redevelopment of the Eagle Street Pier. Whilst this project is still in the early stages of planning, it has attracted significant attention. The redevelopment is proposed to include two new 70-storey towers (either residential, hotel or commercial), dining and retail space and public space. The project has a six-year timeframe.
Furthermore, R&F have released plans for a 1.6-hectare site they acquired in 2015 at West End. The Chinese-based company is proposing to develop 1,032 apartments, retail and commercial space over seven buildings. Another recent announcement is that The Port of Brisbane and Carnival Australia have agreed to conditions for the new $158 million cruise terminal at Luggage Point. Construction can now begin on the project, with completion targeted for mid-2020. On the Sunshine Coast, John Holland Group has been awarded the $225 million contract to deliver the new runway at the Sunshine Coast Airport.