GOING UP: McCormack Barber’s Peter McCormack says land values in the north and western fringes of Orange will continue to increase while demand for new vacant land continues. Photo: LUKE SCHUYLER 0125lspeter
STEADY: Land values in east Orange including Nile Street have only moderately increased since 2009. Photo: STEVE GOSCH 0125sgnile2
THE total value of land in Orange has increased to $2.68 billion from $2.49 billion in 2009, meaning ratepayers could find themselves paying higher rates from July this year.
Landowners and ratepaying lessees from 16,506 properties in Orange have been issued with a Notice of Valuation showing the land value of their property based on property market conditions as of July 1, 2012.
Residential land values for new estates in the northern and western fringe of the city have shown the strongest increase, according to the Valuer General Philip Western.
McCormack Barber’s Peter McCormack said he was unsurprised by the overall land value increase, which reflected increasing land prices.
“[North Orange] will keep on going up because there is no other available land anywhere else,” he said.
“We sell more land than anyone else and we know the average sale price has gone up 20 to 30 per cent in the last three years.”
The older central residential area, east Orange, Discovery Hill and Suma Heights have shown a moderate increase.
Land in Glenroi, the Coogal and Bel Air Estate areas have only shown a slight increase in value and land values in Westlea and south Orange have generally remained steady in the past 12 months.
Orange City Council spokesman Allan Reeder said the revenue council received from rates would remain unchanged in line with the 3.4 per cent rate peg but some ratepayers’ rates could increase now their land values had been recalculated.
“Generally it’s good news for Orange that property values have risen,” he said. “It’s a signal the Orange economy is healthy and is ticking over well but the downside is some residents of Orange will pay more rates than others.
“What changes is the way that pie is split up.”
Mr Reeder said if the Valuer General’s notice says a ratepayer’s property value has increased by more than 8.4 per cent compared to the last rate notice they can expect to pay more come July but others may see their rates drop.
The new land values are based on a sample of property sales in Orange including 427 residential, 26 commercial, 20 industrial and 30 rural sales.
Mr McCormack said the strong demand to build new properties continued.