Impact of the Gautrain on property development around station precincts

Abstract

The paper assesses the impact of the recently completed Gautrain Rapid Rail link in Gauteng on property development in the vicinity of stations along the route. Our particular interest is in examining the extent to which the Gautrain, as a major public transport investment, has managed to stimulate and support the creation of Transit-Oriented Development (TOD) by leveraging private sector action, with the ultimate aim of moving towards more sustainable land use / transport environments. Data sources include property development records, aerial photographs and municipal zoning applications for the areas surrounding the Pretoria, Midrand, and Rosebank stations for the period 2000 to 2011, and interviews with officials and private property developers. The research found evidence of accelerated property development and increasing mixed use in all three station precincts, but significant variation in the extent to which TOD principles have been applied. Property developers considered the Gautrain to be a major factor attracting them to develop in station precincts, suggesting that the locational benefits offered by a high-quality public transport system are also present locally. However, when comparing the vibrant Rosebank with the slower-growing Pretoria and Midrand precincts, it is clear that real estate fundamentals drive property development and will ultimately determine the success of a TOD undertaking.