Coastal Property Owners - Beware !

The release of a management plan drawn up by Wollongong City Council will strike fear into the heart of property owners threatened by rising sea levels.  The state government is about to create more powerful coastal councils with engineering experience to improve the management of this risk.

Global warming is still a contentious issue with many people.   A former Australian prime minister and the present President of the United Sates have declared it " crap " and this is despite the findings of the scientific community.  The sea ice is retreating at both the north and south poles and the worlds glaciers are melting a lot faster than in the past.   All that melt water added to the oceans must increase sea levels.

We are experiencing a hotter planet, as evidenced by record summer heat, and this sea level rise will be conditional on the melting of the great ice sheets in Greenland.  The present estimates indicate a rise of 0.4 metres by 2050 and 0.9 metres by 2100.    That is enough to make storm surges more damaging and flood coastal properties that are presently considered safe.  Properties protected by coastal sand banks may see these penetrated and water pool behind them.  Residents will come to view weather reports with trepidation.  That desirable sandy beach in front of properties will become an enemy.

Wollongong is one of the first to have its coastal management plan gazetted by the government and it delivers alarming news. A number of valuable city properties within half a kilometre of the beach are expected to suffer severe water damage, and this includes the home ground for the Illawarra Dragons.  The beachside suburb of Thirroul has been named as particularly exposed with seventy-one properties prone to damage.

What does that mean for home owners ?  Up until now beach proximity has inflated home prices as a premium and a lot will depend on what edicts these coastal councils issue.   They may forbid demolition and re-builds on low level blocks and put restrictions on renovations.  It seems certain that this risk factor will deter buyers and we may see a drop in values if demand wanes.   There is also the expected reaction of the banks and finance houses.   Perhaps they may be more reluctant to offer finance for properties deemed flood prone.

This risk factor will extend to inland properties nowhere near a beach.  A rise in sea level also means a rise in the harbour and surrounding rivers and creeks, and that will have an adverse effect on storm water drainage.   When heavy rain coincides with high tide that water can backup and flood normally safe properties.  Owners will need to evaluate the risk on an individual basis.

We recently saw how this sea level rise delivered storm surge damage on Sydney's northern beaches. We can no loner just ignore the risk and do nothing.  The state government has bitten the bullet and taken steps to drag it screaming into the open.  Whether we believe rising sea levels is a myth or not it will very quickly have an influence on property popularity and value, and finance availability.