House prices close to the Edinburgh Tram routes have been boosted by improved transport links since opening in 2014, according to new research by the Bank of Scotland.
Since opening in 2014, the average house price on the Edinburgh Trams route has grown from £199,171 to £218,350, an increase of 10%. This rate of growth is almost four times faster than in the previous two years before the line opened when the average price grew by 3%, from £193,976 to £199,171.
The service runs from the centre of Edinburgh out west to the city’s airport serving fifteen locations. The largest rise in house prices was in the postal area of EH11 which includes Balgreen, Bankhead, Edinburgh Park Station and Saughton stops. Average property value in EH11 has grown from £153,465 to £190,841 since opening, an increase of 24% - double the rate recorded in the rest of the city (12%).
Elsewhere, house price growth has been slower. In the EH12 postal area the average house price has grown 1% to £230,867; this area includes the stops at Murrayfield Stadium, Haymarket, Edinburgh Park Central and Edinburgh Airport.
Graham Blair, mortgage director at Bank of Scotland, commented:
“A modern transport system is potentially a great catalyst to urban regeneration and can be a game changer for cities investing in improved links. An excellent tram system can stimulate inward investment for the local economy, unlock previously hard to reach sites for development and make it easier for people to move around the city.
“These are important factors for the housing market, and we can see that these routes have helped boost increases in property values. This is seen in the EH11 postal area where the average house price has grown by £37,376 since the lines first opened.”