The highway upgrade has pushed up land values in the Mountains, with rises of more than 30 per cent in the past year in parts of Blackheath and Katoomba.
But in other areas, the increases were more modest, in single figures only.
The latest report from the Valuer-General said the completion of the four-lane Great Western Highway from the plains to Katoomba was the “strong driver” behind the increase in residential land values.
“[This] improved accessibility to the Sydney metropolitan area and to the centres of Bathurst and Orange, reducing travel times and meaning buyers took advantage of more affordable residential options outside Sydney,” the report said.
Property sales are the most important factor taken into consideration when land values are calculated and the 2017 report reflects the strong rises in house prices seen across the region.
The report showed the biggest increases were in towns with good access to services, including proximity to the highway and the railway line.
These included Blackheath, Faulconbridge, Hazelbrook, Katoomba, Lawson and Springwood.
In Blackheath, a 760 square metre block in Inconstant St rose in value from $199,000 to $268,000, a 34.7 per cent increase.
In Camp St, Katoomba, a 1030 square metre block rose 35 per cent ($171,000 to $231,000), in Allen St, Lawson, 700 square metre land went from $205,000 to $265,000 (up 29%) and in Moorecourt Ave, Springwood, 900 squares went from $275,000 to $344,000 (up 2%).
On the other hand, in Warrimoo, land values increased by just six to 12 per cent, in Winmalee 5-13 per cent and Leura it was less than 10 per cent.
Mt Victoria showed only slight increases in and around the town centre, partly because of continued roadwork disruption, but sites on the outskirts of town increased strongly.
The most recent land values won’t affect council rates. Councils receive new land values for rating every three years and are currently using July 2016 values. These will be updated after the 2019 values are calculated.
