Smart Growth Makes Money: Transit Oriented Development
Post on 06-Jan-2016
39 Views
Preview:
DESCRIPTION
Transcript
Smart Growth Makes Money:Transit Oriented Development
Smart Growth Adds Valueto Real Estate Around Transit Stations
• [Picture of TOD]
Ballston Metro Station in Arlington, VA
Portland Streetcar & Mixed-use TOD
Images courtesy of EPA Smart Growth
2
Smart Growth Adds Valueto Real Estate Around Transit Stations
3
A summary of the findings on transit’s impacts on land values:
Denver, CO: Home Values Increase near Transit
4
Smart Growth Adds Valuein Rail Station Areas
5
Price premiums within ½ mile of rail transit stations
Smart Growth Adds Valueto Commercial Property near Transit
• Santa Clara County, CA: Commercial land value within ¼ mile of commuter rail stations increased 120%; for light rail, values increased 23%.
• Dallas: Office building values increased within ¼ mile of DART increased 24.7% in Value.
• Washington D.C.: Commercial property value increased $2.30/sq.ft. with each 1,000 ft. reduction in distance to a rail station.
• San Diego: Commercial properties near Coastal Commuter Rail Stations command a 91% price premiums. Premiums for condominiums and single family homes are 46% and 17%, respectively.
6
Smart Growth Adds Valueto Commercial Property throughout
the Region
• Properties near transit in the suburbs were found to have a 12.7% higher net income, 16.2% higher market values, 0.3% lower cap rates, 1.1% higher annual appreciation and 0.9% higher annual total returns.
• Properties near transit in Commercial Business Districts had 4.5% higher net incomes, 10.4% higher market values, and 0.2% lower cap rates.
7
Case Study: Streetcars
Private Returns on Public Investment
Start of Service
Initial Track Miles
Initial System Cost Per Track Mile*
Initial System Cost*
Development Investment*
Return on Investment
Kenosha 2000 2.0 3.1 6.2 150 2319%
Little Rock 2004 2.5 7.84 19.6 200 920%
Tampa 2003 2.4 20.13 48.3 1000 1970%
Portland 2001 2.4 20.13 48.3 1046 1795%
Portland Ext.
2005 1.2 14.83 17.8 1353 7501%
*in millions of dollarsSource: “Street Smart: Streetcars and Cities in the Twenty-First Century,” The American Public Transportation Association and the Community Streetcar Coalition (2009).
8
Case Study: StreetcarAll Types of Properties Gain Value
9
Smart Growth Adds ValueTransit in Rural Areas
• The estimated annual impact of rural public transportation on the national economy as of 1998 was over $1.2 billion.
• Rural counties with public transportation service were found to have 11 percent greater average growth of net earnings compared with counties without it.
10
top related