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RADIO: 2GB’s Chris Smith: Funding High Speed Rail

Speaking with 2GB's Chris Smith re High Speed Rail

Murderer Ron Medich's family business just sold a parcel of land in Badgerys Creek for $500 million. Not a bad earner for the $3.5 million they put down in a CSIRO fire sale where they were the only tenderers 25 years ago. Your tax dollars uplifted their land value. What's their obligation back to you? Nothing beyond Capital Gains Tax, nominally they pocket $350 million. We need a mechanism in place where real estate super profits that result from tax payer funded infrastructure are appropriately charged back to the taxpayer. We should have clawed back at least another $300 million on that sale, leaving the brothers still with $50 million to play with. The only way to deliver high speed rail is by creatively funding it, otherwise it will never happen, and we'll be condemned to more high rise and congestion in the city. The way to do it is to capture some of the uplift in land values that result from the publicly funded infrastructure. This is better than debt, higher taxes, or less money for health and education (because it's being sunk into infrastructure) – or as I said above: never being done at all. I speak with 2GB's Chris Smith Sunday morning 2 May 2021.References: https://www.smh.com.au/national/nsw/massive-windfall-for-ron-and-roy-medich-on-sale-of-land-near-badgerys-creek-site-20170829-gy6owd.htmlhttps://www.theurbandeveloper.com/articles/medich-familys-344ha-badgery-creek-site-western-sydney

Posted by John Alexander on Sunday, May 2, 2021

Murderer Ron Medich’s family business just sold a parcel of land in Badgerys Creek for $500 million. Not a bad earner for the $3.5 million they put down in a CSIRO fire sale where they were the only tenderers 25 years ago.

Your tax dollars uplifted their land value. What’s their obligation back to you? Nothing beyond Capital Gains Tax, nominally they pocket $350 million.

We need a mechanism in place where real estate super profits that result from tax payer funded infrastructure are appropriately charged back to the taxpayer. We should have clawed back at least another $300 million on that sale, leaving the brothers still with $50 million to play with.

The only way to deliver high speed rail is by creatively funding it, otherwise it will never happen, and we’ll be condemned to more high rise and congestion in the city.

The way to do it is to capture some of the uplift in land values that result from the publicly funded infrastructure.

This is better than debt, higher taxes, or less money for health and education (because it’s being sunk into infrastructure) – or as I said above: never being done at all.

I speak with 2GB’s Chris Smith Sunday morning 2 May 2021.

References:

https://www.smh.com.au/…/massive-windfall-for-ron-and…

https://www.theurbandeveloper.com/…/medich-familys…