Media centre

Tuesday 13 Dec 2011

NEW RESEARCH HIGHLIGHTS HOW NEW STREET INVESTMENT WILL BOOST BIRMINGHAM’S ECONOMY

Region & Route:

 

Network Rail today published research into the economic value of investment in railway stations. It confirms that station investment in projects such as the redevelopment of Birmingham New Street can have a major impact in terms of urban regeneration within the surrounding area, stimulating development and increasing economic activity.

Working with international transport consultants Steer Davies Gleave, the report demonstrates the wider economic benefits of investing in stations and how it can be a catalyst for urban regeneration.

Based on interviews with over 60 stakeholders, economic modelling and case studies, the key findings of the research show station investment can:

• Increase property values in the immediate vicinity of a station by 30% or more.
• Directly support the overall growth of city centre economies and deliver employment opportunities
• Enable stations to act as a gateway to towns and cities, improve the image of the location and make them more attractive places to live, work and invest.
• Act as a catalyst for wider regeneration.

In Birmingham, the report predicts that the Gateway project will:

• Transform the south side of the city centre, with the project resulting in over 350,000 sq ft of new development to the south of the station.
• The quality of the New Street redevelopment would directly lead to an improvement in high quality office space in the city, making it more attractive for businesses to locate their headquarters in the city centre.
• This new space would benefit the whole of the city centre by stimulating developments and growth, rather than displacing existing city centre development.
• The station redevelopment would directly deliver up to 3,200 new jobs in the city centre. John Lewis has already confirmed that their new department store, located at the redeveloped station will directly create 650 new jobs when it opens in 2014.

Network Rail’s director of property, David Biggs said: “This report confirms that investing in stations boosts economic activity and leads to further investment in the local economy, as well as delivering improvements for passengers. The growth in passenger numbers has meant that Network Rail can attract partners to regenerate areas around transport. Birmingham New Street is a great example; we are delivering a radically new station gateway in partnership with the council and John Lewis and transforming the south side of the city”.

Councillor Mike Whitby, leader of Birmingham City Council said: “This research supports the vision outlined in The Big City Plan and Enterprise Zone proposals, within which the regeneration of New Street Gateway is seen as the key to unlocking economic and jobs growth within the city and wider region.

“Not only will the project deliver a world-class transport hub at the heart of the city, benefitting business, and the public and potential investors alike, but it will also transform the economic landscape of the city centre by opening up the entire south side to redevelopment.”