Crossrail conducted a study in 2012, predicting that by 2021, property prices close to new stations would increase by 25% more than the average price increase in central London, and 20% more in the suburbs. Transport infrastructure is a factor considered by those looking to buy, sell or rent out properties, so how are property prices surrounding the 40 stations faring?
The construction of Europe's largest travel and infrastructure project is reaching its final stage, as the stations get fitted with electrical and mechanical equipment. Trains are being tested between Abbey Wood and Canary Wharf. The new 'Elizabeth Line' will connect 41 stations, 10 of them new, from Reading and Heathrow in the West all the way to Shenfield and Abbey Wood in the East, covering Acton, Paddington, Bond Street and Whitechapel in between. After more than a decade of planning and construction, the £14.8 billion project is expected to be delivered on time and within budget in December 2019, with some services rolling out by the end of this year.
Those who invested early enough in areas along the line have already enjoyed the financial benefits, dubbed "The Crossrail Effect". House prices within a mile of any of the stations have increased by a staggering 66% since 2009, 15% more than the rest of London. In seven years, prices in Langley, Berkshire, have increased by 72.6% to a £360,000 average, whilst Bond Street's have increased by 165.9% to £3.1m. Whitechapel and Woolwich prices have doubled since 2007, with the latter also enjoying regeneration due to the improved infrastructure.
British Pearl’s first property on the platform is a 4 minute drive from one of Crossrail's stops, Acton Main Line Station. Property prices in close proximity to Acton Main Line Station have jumped by an enormous 82% over the past 7 years. The British Pearl property was bought for £398,000 and has been recently revalued independently by a RICS valuer at £500,000, due to purchasing below market value and then being refurbished. The Valuation Report is available on the platform. Its future occupants will be able to travel from Acton Mainline Station to Bond Street in 8 minutes. There is no question that Crossrail has given far reaching locations access to central London, and a short commute in London is valuable.
Once Crossrail officially launches, there could potentially be even more price growth, as people realise they can get more value for money and still have a 10-minute commute. Property expert Rob Bence explains that there are "two spikes – one after the initial announcement [of a Crossrail station opening] and one on completion."
There are now discussions surrounding a possible future extension from Abbey Wood to Ebbsfleet. Mayor Sadiq Khan believes that this extension may propel the construction of 55,000 new homes and creation of 50,000 new jobs in Bexley and Kent. Property prices in and around London are clearly reacting to Crossrail and, with optimism continuing well into the future, there could still be time to reap the rewards from the brand new Elizabeth Line.