Christopher Dingli worries his peaceful neighourhood will be forever changed when the 2032 Olympics comes to town.
The single dad sends his kids to East Brisbane State School, which could soon be bulldozed to make way for a bigger Brisbane Cricket Ground (Gabba).
Mr Dingli said he felt like the needs of overseas visitors were being prioritised over the needs of locals.
“I’m a little bit worried that we’re misplacing funds for infrastructure for the people who live here for two weeks,” he said.
“I’m a single dad, so we’re just getting by with the costs [of living] on a single income.”
New PRD research shows there have historically been sharp increases in house prices near Olympic venues, particularly in a 5 to 10-kilometre radius of stadiums and venues.
The paper analysed other Olympic cities such as Tokyo, Sydney and London, which saw significant house price hikes in the 12 months after the games.
PRD chief economist Diaswati Mardiasmo said suburbs that hosted Olympic events had become increasingly unaffordable for locals.
Dr Mardiasmo, a 2032 Olympics Committee member, said suburbs that hosted the Olympics had historically become “investor playgrounds” for overseas buyers.
“If we’re predicting those Olympic suburbs are going to go up in price, then their market is definitely not a first homebuyer market. It’s more of an investor market,” she said.
“You’re looking at that private investor, someone who wants to go into second home ownership or an investor who wants to expand their portfolio.”
Priced out of the neighbourhood
The paper’s authors said there was an average 14.3 per cent price spike in the year following major events, generally clustering around Olympic venues.
Based on these historical trends, the authors predicted today’s median house price in Brisbane’s Olympic suburbs could more than double by 2033.
They predicted Hamilton’s median house price could surpass $5 million, South Brisbane more than $2.8 million, and Ipswich more than $1.1 million.
Dr Mardiasmo said some suburbs could increase by upwards of 20 per cent.
The report noted that the number of houses being built was not keeping up with the current population growth, let alone future Olympic growth.
“Combined with the current lag in supply, such an imbalance, can lead to further property price growth,” the report said.
“A key question is whether or not the Olympics will make Brisbane, from a purchasing power perspective, as unaffordable as Sydney.”
Wollongabba, Brisbane city, and Hamilton were identified as key “epicentres” that would see the steepest price hikes due to Olympic activity.
Epicentres include the Brisbane Olympic Village, Brisbane Arena, Gabba redevelopment, and the Gold Coast Exhibition and Convention Centre.
Dr Mardiasmo said more and more Brisbanites were being priced out of home ownership in their suburbs.
“The market is completely different,” she said.
“We are finding more renters coming into the market because they can’t afford to buy a home.
“We’re seeing less and less first homebuyers coming into the market and committing to a higher amount of debt.”
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