“In London and other European cities, there is a hub of commercial activity surrounding the stations. Viewed from above, it seems as if the cities grow from the transport hubs outward. This has a marked positive effect on property prices,” he says.

In New York, a study assessing the impact of proximity to light rail transit stations on residential property values was conducted. According to the study, for homes located in the study area, every foot closer to a light rail station increases average property values by $2.31 (using geographical straight-line distance). This implies a positive relationship between residential properties and distance to a transit station.
 
According to the Gauteng Provincial Government, objectives for certain areas surrounding Gautrain stations include increasing residential densities, promoting retail and office activity and improving pedestrian links in the vicinity, all of which are likely to increase property values.

When embarking on a strategy to capitalize on the improvement of areas surrounding the Gautrain stations it is important to determine what property will be suited to the area. Detailed maps, satellite images and station information are freely available and can assist in strategic analysis.

“The question that has to be asked is whether there is still time to embark on such a strategy.  Investors with a keen eye will already have snatched up any opportunities and property prices surrounding stations such as Rosebank have already increased in anticipation of the project’s completion.    It will be interesting to monitor property prices in Midrand, Centurion and Pretoria as it’s probably a given that they will experience similar demand,”  says Winterstein.

“In my opinion, the swell before the wave is only beginning to rise. Various untapped pockets surrounding future station sites and along transit routes provides countless opportunities for investors with their fingers on the pulse of the market.”