Blog entry by Bruce McPherson

Anyone in the world

By Andrew Mcdonald

Urban aerial soundscapes across Australia are poised to undergo a potential transformation in coming years as various drone industry interests look to push into undercapitalised low-lying airspace. If this forecast is accurate, one question (of the many) worth asking is “how could drone flight paths and the presence of drone base-stations affect the value of house prices?”

Before taking a shot at answering that question, it’s probably worthwhile providing some context about the manner in which commercial delivery drones are being introduced into Australia.

Wing unleashes delivery drones

One of the first tastes of the soundscape transformation was experienced in Bonython (ACT) between September 2018 and February 2019, when Wing (sister company to Google) unleashed its fleet of delivery drones on hapless residents following a half-baked community consultation.

After wading through the submissions to the Government inquiry into drone delivery systems in the ACT (Inquiry), it looks like the service left an extremely bitter taste in the mouths of the residents — much more bitter than the coffees that were being delivered by the Wing drones.

The submissions revealed, among many other negative impacts, that the noise of the delivery drones was particularly offensive to a large proportion of residents. The experience of the residents is also extensively documented on the Bonython Against Drones (BAD) webpage. One of the main gripes about the noise was the loss of amenity in the otherwise tranquil neighbourhood.


A pond in Bonython | Source: Bonython Against Drones

Interestingly, the Bonython trials didn’t stop Wing from later claiming that its commercial operations got off to a “successful start” in Australia. To the Bonython residents, such a comment might have felt like a slap across the face or a smashed burrito on the doorstep: yes, burritos were also on the drone delivery shopping menu in Bonython.


What type of products are worth delivering by drone? On one view, life-saving medical services and products are more likely to be accepted by the broader public over fast-food | Source: Unsplash

But I suppose it all comes down to how “successful start” is defined. Objectively, the Wing trial was a horrendous experience for most of the residents that were subjected to it. It was, however, a big success for Wing in the sense that Wing gained valuable data about how it should shape its drone delivery service going forward.

A Wing drone in action during the Bonython trials | Source: Bonython Against Drones

Overall, it looks like Wing — in the style of some of its Silicon Valley brethren — moved fast and broke things, but then fronted up at the Inquiry with promises to modify its behaviour (else risking another slap on the wrist). Fortunately, Wing looks to have started off on a much brighter note with its flight demonstrations and information stalls in Logan City (Queensland).

The potential impact on house prices

To get an anecdotal gauge on what impact drone flight paths and drone base-stations might have on property prices, I reached out to a number of real estate agents in Logan City and Bonython.

The question I asked Tony Miller, Principal/Director at Ray White Logan City, was whether he had seen any impact on the market values of properties as a result of the operation of drone delivery services.

Tony says:

“at this stage we’re not seeing an impact in Logan City as a result of the flight demonstrations and planned delivery trials, but that could change if the trial gets underway and really ramps up in intensity. If it does, it’s possible that different age demographics may be more sensitive to the presence of drones than others. For example, young generations seem to be a bit more accepting of new technologies compared to older ones.”

Tony continues,

“whether this flows through to market values is another matter. I’d hazard a guess that the presence of delivery drones in a neighbourhood of itself wouldn’t be enough to deter a potential buyer, unless that drone delivery service generated extreme levels of noise”.


Source: Unsplash

The Bonython real estate agents that were contacted for this article are yet to respond. The article will be updated if a response is received. As a case study, it would be interesting to know the extent to which buying and selling (or rental) activity may have been impacted during the period of those drone trials.

What role will drone noise regulation play?

The shape of drone noise regulation — which is currently under development — may also have a bearing on the way drone delivery services are conducted. This may flow through to effects on buying and selling activity, and ultimately house prices. If the regulation is too lax, drone delivery services may operate with relative impunity to the detriment of society generally. If it’s too strict, it may stifle legitimate commercial operations and innovation.


Source: Unsplash

So where does the appropriate balance lie? It’s a vexed question: one that policymakers and sections of the drone industry are presently grappling with.

Conclusion and advice

The point of this article was to provide a preliminary cursory look at the question of drone flight paths and house prices. In time, it is hoped that enough data will be gathered so that any link between drone flight paths (along with drone base-stations) and house prices can be better understood.

If you are concerned about moving to a neighbourhood that may have drone delivery services, you should conduct searches and also ask your real estate agent to see whether this is the case.

The Australian Civil Aviation Safety Authority (CASA) also has a dedicated drone delivery systems webpage with information about the locations of drone delivery systems and about areas they may be operating in in the future. It’s reasonable to assume that the number of areas listed on this page will grow in size and that in time there will be areas from areas other states and territories. It’s just a question of how quickly this may occur.


Source: Unsplash

For operational reasons, it may also be reasonable to assume that more densely populated areas will be more difficult for drone delivery service providers to penetrate compared to those that are more sparsely populated. It’s also predicted that more affluent neighbourhoods, along with those neighbourhoods comprising older demographics, may — under the nimby (not in my backyard) catchcry — push back strongly against commercial drone delivery services.


Andrew is the owner of droneadvice.com.au, a licenced drone pilot, a member of the Australian Association for Unmanned Systems (AAUS) RPAS Noise Advisory Group (RNAG) and has a personal company, Aeriography Pty Ltd, with an interest in the Australian drone sector generally. The role of RNAG is to provide relevant industry perspective and expertise to develop an AAUS / Industry position on the introduction of regulations concerning RPAS noise in Australia. RPAS means Remotely Piloted Aircraft System. You can email Andrew at amaccas@gmail.com and follow him on Twitter @2TalkPodcast




[ Modified: Wednesday, 25 September 2019, 5:54 PM ]