The month in review: Adelaide

By Herron Todd White
November, 2009

The majority of recent government infrastructure announcements in South Australia have centred on transport and water. In particular, transport infrastructure is concentrated on the northern side of town and is designed to increase the efficiency of transporting materials to and from various mining operations presently under way in the far north of the state. The recently completed Port River Expressway re-routes heavy traffic away from the historic Port Adelaide precinct directly to the deepwater port of Outer Harbour. The Northern Expressway provides a link through to Gawler and the north east of the state to Mildura and Broken Hill, and proposed Northern Connector and ‘Superway’ (an elevated highway through to the Expressway) will reinforce the connection to established industrial areas north of the city. The Grand Plan for Adelaide also involves an upgrade of the major Main South Road corridor through the metropolitan area with associated underpasses and bridges.

Also in the northern metropolitan area, the Defence Housing Authority (DHA) is busy developing housing to accommodate the imminent arrival of troops as part of the Army relocation of a battalion from Queensland. The anticipated boost to the population in this area would be expected to impact on demand for housing in adjacent areas also. The property market in the area is further buoyed by private investment – in particular by General Motors/ Holden which has announced production of a new range of energy efficient vehicles from the Elizabeth plant. The market for residential property in the northern suburbs is expected to remain stable however, as recent history has shown, global economic conditions can have a rapid and far reaching effect on the confidence of the market.

The State Government is in the process of extending the public transport network with a tramline from the city to the Entertainment Centre, approximately 5km north west of the GPO. The longer term plan will see the tram/ light rail integrate with existing transport and ultimately
extend to Port Adelaide and north western coastal areas. The State Government has also recently acquired a substantial near city site at Bowden which is earmarked for development as a ‘Transport Oriented Development (TOD)’. This will incorporate high density residential
accommodation with commercial services and facilities which, in turn would be expected to have a positive effect on the adjacent suburbs also.

Some of the other government infrastructure projects planned or under way include the government desalinization plant south of the city and the highly controversial Royal Adelaide Hospital redevelopment which proposes to relocate the hospital from the present inner city site to a relatively underutilized rail yard site on the north western fringe (also on the tramline!). In conclusion, there are a number of infrastructure projects proposed or under way in the state. In many cases, development is transport oriented and historically, residential development has tended to follow major traffic routes, concentrating on intermodal points. These areas (and adjacent precincts) should benefit from the increased population. Other development such as hospitals and desalinization plants will have a less direct effect on property markets being for the ‘common good’ rather than for localized benefit.

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