Transit and real estate rents

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

Although the literature is mixed on the association between transit proximity and real estate values, it is scant in relation to transit proximity and real estate rents. With CoStar asking-rent data for real estate within 1-mi corridors of several light rail transit (LRT), bus rapid transit (BRT), streetcar transit (SCT), and commuter rail transit (CRT) systems, the association between transit corridor proximity and rents at 0.5 mi and between 0.5 and 1 mi of transit corridor centerlines is estimated. For the most part, SCT has the most robust outcomes. This result is notable because economic outcomes to SCT systems may be the least understood given their recent emergence. LRT systems also have significant, positive associations between rents and corridor location. In contrast, results for BRT are mixed, with no statistically significant association with office rent, a negative association with the retail first 0.5-mi distance band, but positive effects for rental apartments. Across all development types, proximity to CRT corridors either has insignificant associations or significant, negative ones. On the basis of transit type, implications are offered for land use planning along transit corridors.

Original languageEnglish (US)
Pages (from-to)22-30
Number of pages9
JournalTransportation Research Record
Volume2651
Issue number1
DOIs
StatePublished - Jan 1 2017

Fingerprint

Trolley cars
Light rail transit
Rapid transit
Rails
Land use
Planning
Economics

ASJC Scopus subject areas

  • Civil and Structural Engineering
  • Mechanical Engineering

Cite this

Transit and real estate rents. / Nelson, Arthur Christian.

In: Transportation Research Record, Vol. 2651, No. 1, 01.01.2017, p. 22-30.

Research output: Contribution to journalArticle

@article{df09516699954b4492b31e9d2ebd18ff,
title = "Transit and real estate rents",
abstract = "Although the literature is mixed on the association between transit proximity and real estate values, it is scant in relation to transit proximity and real estate rents. With CoStar asking-rent data for real estate within 1-mi corridors of several light rail transit (LRT), bus rapid transit (BRT), streetcar transit (SCT), and commuter rail transit (CRT) systems, the association between transit corridor proximity and rents at 0.5 mi and between 0.5 and 1 mi of transit corridor centerlines is estimated. For the most part, SCT has the most robust outcomes. This result is notable because economic outcomes to SCT systems may be the least understood given their recent emergence. LRT systems also have significant, positive associations between rents and corridor location. In contrast, results for BRT are mixed, with no statistically significant association with office rent, a negative association with the retail first 0.5-mi distance band, but positive effects for rental apartments. Across all development types, proximity to CRT corridors either has insignificant associations or significant, negative ones. On the basis of transit type, implications are offered for land use planning along transit corridors.",
author = "Nelson, {Arthur Christian}",
year = "2017",
month = "1",
day = "1",
doi = "10.3141/2651-03",
language = "English (US)",
volume = "2651",
pages = "22--30",
journal = "Transportation Research Record",
issn = "0361-1981",
publisher = "US National Research Council",
number = "1",

}

TY - JOUR

T1 - Transit and real estate rents

AU - Nelson, Arthur Christian

PY - 2017/1/1

Y1 - 2017/1/1

N2 - Although the literature is mixed on the association between transit proximity and real estate values, it is scant in relation to transit proximity and real estate rents. With CoStar asking-rent data for real estate within 1-mi corridors of several light rail transit (LRT), bus rapid transit (BRT), streetcar transit (SCT), and commuter rail transit (CRT) systems, the association between transit corridor proximity and rents at 0.5 mi and between 0.5 and 1 mi of transit corridor centerlines is estimated. For the most part, SCT has the most robust outcomes. This result is notable because economic outcomes to SCT systems may be the least understood given their recent emergence. LRT systems also have significant, positive associations between rents and corridor location. In contrast, results for BRT are mixed, with no statistically significant association with office rent, a negative association with the retail first 0.5-mi distance band, but positive effects for rental apartments. Across all development types, proximity to CRT corridors either has insignificant associations or significant, negative ones. On the basis of transit type, implications are offered for land use planning along transit corridors.

AB - Although the literature is mixed on the association between transit proximity and real estate values, it is scant in relation to transit proximity and real estate rents. With CoStar asking-rent data for real estate within 1-mi corridors of several light rail transit (LRT), bus rapid transit (BRT), streetcar transit (SCT), and commuter rail transit (CRT) systems, the association between transit corridor proximity and rents at 0.5 mi and between 0.5 and 1 mi of transit corridor centerlines is estimated. For the most part, SCT has the most robust outcomes. This result is notable because economic outcomes to SCT systems may be the least understood given their recent emergence. LRT systems also have significant, positive associations between rents and corridor location. In contrast, results for BRT are mixed, with no statistically significant association with office rent, a negative association with the retail first 0.5-mi distance band, but positive effects for rental apartments. Across all development types, proximity to CRT corridors either has insignificant associations or significant, negative ones. On the basis of transit type, implications are offered for land use planning along transit corridors.

UR - http://www.scopus.com/inward/record.url?scp=85058716109&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=85058716109&partnerID=8YFLogxK

U2 - 10.3141/2651-03

DO - 10.3141/2651-03

M3 - Article

VL - 2651

SP - 22

EP - 30

JO - Transportation Research Record

JF - Transportation Research Record

SN - 0361-1981

IS - 1

ER -