Sydney Opera House is worth $11.4bn to Australian hearts

As the Sydney Opera House marks its half-century, two new publications attempt to capture its value in words and dollars.

People watch the sails of the Sydney Opera House illuminated with artworks by the late Australian artist John Olsen at the start of the Vivid Sydney festival. Picture: Getty Images

Putting a price on a global icon may seem an impossible task but economists have given it a go, calculating the “social value” of the Sydney Opera House at $11.4bn.

While the tourist drawcard and hive of artistic activity was originally estimated to cost $7m to build — and the price blew out to a huge $102m — a new economic study of the Opera House has found that it added $1.2bn to the NSW economy last financial year.

The Deloitte research has estimated its perceived social value in the minds of visitors increased by 38 per cent over the past decade. But the sluggish return of international tourists has dented the venue’s economic contribution by 21 per cent in real terms, compared with pre-pandemic levels.

Simone Young and the Sydney Symphony Orchestra as they prepare to inaugurate the refurbished Concert Hall at the Sydney Opera House. Picture: Jane Dempster

The Opera House is marking the 50th anniversary of its opening in October 1973 with a month-long program of performances, events, art commissions and an “Open House” weekend that has been oversubscribed with 37,000 registering their interest in attending.

Management also has released two publications that ­attempt to capture in words and dollars the intense emotional connection that people have with the place.

Transcendence is a richly illustrated book with memories from 50 artists who have performed at the Opera House in one of its five theatres, on the forecourt outside, or whose art has been shown around the building.

Nick Cave and Warren Ellis performing at Sydney Opera House in their 2022 Carnage tour. Picture: Daniel Boud

Conductor Simone Young, musician Nick Cave, playwright Louis Nowra, director Baz Lurhmann, dancer Li Cunxin and didgeridoo soloist and composer William Barton are among those who describe their experience of performing at the world-famous venue.

Launched on Tuesday, the book from arts publisher Thames & Hudson is edited by Ashleigh Wilson, a former arts editor at The Australian.

The second publication, Valuing 50 Years of Australia’s Icon, is the economic study prepared by Deloitte Access Economics.

Opera House chief executive Louise Herron said the report showed the venue’s economic contribution and helped make the case for future investment. “We felt that we really needed people to know what it’s worth,” Ms Herron said. “It’s not only something that people love in their hearts, but it’s an economic generator.”

Social value was calculated using “commercial, survey and willingness-to-pay data”, the report said. The increase may have been due to venue improvements, engagement with the Opera House through its digital and First Nations programs, and the “value premium” people put on the venue just for being there.

The $11.4bn of social value compares with the asset valuation of the Opera House land and building at $3bn.