House prices up by 15% due to new Luas lines

House prices close to new Luas Cross City service linking the red and green lines have rocketed by 15% in value, compared to a 6% increase in similar homes near other rail stations, it has emerged.

House prices up by 15% due to new Luas lines

Property website Daft.ie has found that commuters living on the Dublin coastline pay the most for a home, with houses close to the Sandymount Dart averaging €784,000.

Among the most expensive Dart stations to live beside include Lansdowne Road (€737,000), Sydney Parade (€706,000), and Dalkey (€699,000).

On the Luas, homes close to Beechwood on the green line have the highest average asking prices, at €727,000.

However, those living in the city centre pay the most for properties on the Luas red line, with properties near the Spencer Dock averaging €597,000.

Asking prices for each stop on the new Luas Cross City line, which opened on Saturday, put properties close to the new Dawson, Trinity, and Westmoreland stops at the top, with average asking prices of €519,000.

Economist Ronan Lyons said it was well known that transport infrastructure could have a significant impact on property values.

Ireland has added a lot of new infrastructure over the last 20 years, including motorways and the Dart.

Mr Lyons said how the investments paid for themselves was another issue but an option increasingly being considered elsewhere was value capture.

“In other words, where the taxpayer brings about an increase in wealth by paying for new infrastructure,” he said.

Mr Lyons said the opening of the Luas Cross City had obviously added value in the areas newly served by light rail.

Three-bedroom homes near the new Luas stations increased by 15% in value over the last year, compared to a 6% increase for similar dwellings near other rail stations.

“Whether the taxpayer gets some payback, however, is down to the Government,” said Mr Lyons.

Commenting on the data, Martin Clancy from Daft.ie said convenience and affordability were two critical concerns for almost everyone living and working in Dublin.

Mr Clancy said the property website had created its 2017 Dart and Luas stop-by-stop house price maps, sponsored by KBC.

“This map gives a great overview of property prices across the capital and is a fantastic visual reference for anyone who is considering buying or selling close to the Luas or Dart,” he said.

An analysis by MyHome.ie found Luas Cross City caused property prices to increase by over 20% in parts of Dublin 1 and 2.

Cabra, Stoneybatter, and Phibsboro are among the most popular areas. Prices in the Dominick St area where a new Luas stop is located, are around €356,000, a 22% increase.

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