Australia's rural land values rise as transmission infrastructure gains premium

Valuers are observing a shift in how high‑voltage transmission lines are perceived in Australia. Historically seen as a constraint on agricultural land, they are now regarded as strategic assets that can command a premium as the country accelerates its clean‑energy transition and competes to host data centres.

Peter Maloney, chief executive of valuation firm Herron Todd White, said properties with scale, access to power and transmission infrastructure can attract a significant premium over their underlying agricultural value. The market is still nascent, but both leasing and acquisition models are emerging, with renewable‑energy developers favouring long‑term leases and some data‑centre operators seeking greater control of key sites.

Landholders are increasingly leasing portions of their farms for data centres, battery energy storage systems and renewable‑energy infrastructure while continuing agricultural activities, generating passive income. Data‑centre developer AirTrunk has expressed support for the government’s push to expand such projects.