The Intangible Value of Brisbane’s Urban Megaprojects: A Property Market Analysis

This study investigated the intangible value transferred from urban megaprojects to surrounding residential property markets, focusing on Brisbane’s transformative urban regeneration projects currently in the development pipeline. The research objectives were twofold: first, to empirically investigate the dynamics of property markets influenced by urban megaprojects and second, to assess the impact of a specific case study on these markets through a longitudinal analysis of residential sales data. Drawing from environmental economics, the concept of willingness to pay (WTP) is used to quantify externalities associated with urban megaprojects. The research constructs a comprehensive dataset integrating geospatial and property-specific data. Through revealed preference methods, the intangible value transferred from mixed-use developments is identified and quantified via residential transaction prices. Utilising hedonic price modelling, this study systematically analysed residential transaction data to estimate implicit prices associated with spatial proximity to megaprojects. A comprehensive dataset integrating property-specific attributes, geospatial proximity measures, and temporal dynamics of project development phases underpins this analysis. This research and its findings advance the existing literature in several important dimensions. That is, this research represents the first microeconomic assessment of the property market’s impacts resulting from mixed-use megaprojects in Brisbane, offering novel empirical insights for both academic and practical applications, how urban megaprojects shape residential property values, and informing stakeholders involved in urban planning, policymaking, and real estate investment decisions. Practitioners and policymakers can leverage these insights to inform policy frameworks and strategic decisions. At the governmental level, the results offer applicable insights for urban revitalisation strategies, particularly relevant to central business districts undergoing similar developments. Private sector stakeholders can utilise these outcomes to anticipate market adjustments, managing supply and demand fluctuations more effectively.