Do hospitals increase property value?

Discussion in 'Where to Buy' started by Roshy, 5th Nov, 2016.

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  1. Roshy

    Roshy Active Member

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    Hi all,

    There is a proposed construction of a hospital near my IP. Would a new hospital materially increase property prices in nearby areas? In theory, it would because a hospital can bring in a lot of employment into the area. But I am not sure if it will have a large impact. Any thoughts?

    Cheers
     
  2. bobbyj

    bobbyj Well-Known Member

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    Certainly.
    Infrastructure, local businesses.
    Local medical precinct.
    Specialist rooms.
    Allied health clinics
    Radiology Physiotherapy centres

    Downside:
    Public hospital ED: ambulances 24/7.
    Traffic
    Car parking issues
    Foot traffic
    Societies lowest common denominators attracted to the area (post drug/alcohol overdosing)
     
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  3. D.T.

    D.T. Specialist Property Manager Business Member

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    Yes

    I've noticed from a tenancy perspective, staff like living nearby especially if they're on call.
     
  4. Bran

    Bran Well-Known Member

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    Hell yes.

    But, how near? Can create issues such as noise, parking, traffic.

    Walking to work is the best.

    Edit: Hang on - public or private?
     
  5. Perthguy

    Perthguy Well-Known Member

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    Check out prices near Heidelberg hospital. Through the roof! The closer to the hospital, the higher the prices are
     
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  6. Bran

    Bran Well-Known Member

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    I moved around a lot for work. Always lived close to the hospital. Always paid a premium for doing so.

    My Heidelberg place was brilliant :) I'd move back there
     
  7. MTR

    MTR Well-Known Member

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    But hey Melb is booming, hospital or no hospital
    However must say Fiona Stanley Hosp Perth was brilliant for surrounding areas, a big spike pushing prices north
     
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  8. sash

    sash Well-Known Member

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    Yes possum......also in Forrestville and surrounding when Northern Beaches hospital got started in NSW...
     
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  9. Perthguy

    Perthguy Well-Known Member

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    True but go about 6 bocks north of Heidelberg hospital. Prices drop dramatically. By the time you get to southern road, they are half, boom or no boom ;)
     
  10. MTR

    MTR Well-Known Member

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    Right, interesting
     
  11. ej89

    ej89 Well-Known Member

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    Prices close to the new sunshine coast uni hospital have gone up a fair bit since its announcement and now that its close to finishing it's moving even quicker
     
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  12. bob shovel

    bob shovel Well-Known Member

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    Isn't this just a one off boom once it's built to lift prices in the surrounding area then it will just plod along with the normal cycle.

    Also tenants could be more transient coming work contracts. So there could be a premium for rent but could go through more tenants.

    And is there a "boom" or is it just new stock lifting the median?
     
  13. Sonamic

    Sonamic Well-Known Member

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    True. It's making buying a new PPOR by the beach an ever shifting goal post, but the IP's around it are growing well.
     
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  14. Bran

    Bran Well-Known Member

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    Huge history of housing commission and crime there though (on the other side of Heidelberg hill. Will take a long time to shake it
     
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  15. Roshy

    Roshy Active Member

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    Private. Is there a large difference between the two?
     
    Last edited: 6th Nov, 2016
  16. willair

    willair Well-Known Member Premium Member

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    Overtime it will because if it's like what happened on the inner southside of brisbane over the past 25 years,then anything within a 1 klms radius alway get rezoned then rezoned,just never stops as long as you read old newspapers..
     
  17. wylie

    wylie Moderator Staff Member

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    I would think there is likely to be a difference in the demographics of people parking to attend a private hospital and those attending a public hospital.

    Our local private hospital is surrounded by quality housing and some that hasn't yet been renovated, but still will fetch a premium. However, too close and you couldn't have anyone visit and be able to park outside.

    There is a "circle" past which people will not park and walk to the hospital. I'd want to be outside that circle. Even with really nice houses near our local private hospital, no way would I buy in one of the nearby streets where they are parked out morning to night.

    Just far enough away to avoid that parking issue is a different story though.
     
  18. dabbler

    dabbler Well-Known Member

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    I do not know......in one town i know of the hospital is a major one for many towns and has around 2% something average cg

    other towns with very small basic hospital 7+% cg

    so can't just say a hospital will cause growth
     
  19. Marg4000

    Marg4000 Well-Known Member

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    It's the same story with any amenity, you want to be close but not too close!
    Marg
     
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  20. bob shovel

    bob shovel Well-Known Member

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    Wash your mouth! :p
    Public brings all the riff raff especially with an ED. Private brings the people who've paid a premium for the hotel room
     
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