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Future of Cities & Regions

What happens to a city’s economy when people stop commuting into it?

Client

Telstra

Place

Greater Melbourne and Greater Sydney

Practice

Future of Cities & Regions

Services

Valuing of Cities and Places

Year

2017

The question

The National Broadband Network was arriving. Working from local neighbourhoods was about to become possible at scale, and spending follows people.

What we observed

Spatial analysis of commuting, spending and housing found that around $4 billion in discretionary spending flowed out of Melbourne’s suburbs and into the city as a consequence of commuting.

The same analysis traced how a shift to remote work could affect house prices, traffic volumes and the daily pattern of urban life.

A cyclist passing Flinders Street Station, Melbourne
Flinders Street, Melbourne

What changed

The work identified suburban centres as the likely destination for that spending if commuting fell, and Telstra used it publicly to explain what the network would mean for household budgets and urban infrastructure.

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