Peter Burns, Managing Director of CBRE London Development, said:
“London’s infrastructure network is a well-oiled machine to be proud of as a Londoner. But with the equivalent of two tube loads of people being added to the city’s population every week, it’s in danger of grinding to a halt unless action is taken. Crossrail is already set to add a major new east-west artery to London’s rail network in 2018, and with this endorsement from the national infrastructure commission, support for the Crossrail 2 scheme is reaching a critical stage.
“If Crossrail 2 launches as planned in 2033, it will open up swathes of the capital to much needed development and growth. First and foremost, the new line will allow retailers, residents and businesses to be much more flexible, giving them more options for where they choose to lay their roots. This will, in turn, introduce greater competition for the capital and allow local boroughs to set their own development plans with more confidence. As transit times across the city equalise, we’ll likely also see a levelling out of values, as hard to reach locations are brought closer to the core. This will relieve pressure on the core and allow for much needed new homes across the capital.
“Crossrail has already served as a catalyst for significant new development around Tottenham Court Road and Farringdon, attracting new occupiers and producing a significant uplift in rental values over and above those achieved in the wider market. If Osborne delivers greater certainty around plans for Crossrail 2, we’ll likely soon see a value uplift in the areas set to benefit most, growing further when construction, and finally services, actually start.”
