Return on Investment in Transit-Oriented Development
December 11, 2012
We’ve been following the research being published on private investment following public investment in fixed-transit systems. A number of cities, larger and smaller than Tucson, developed light rail systems, streetcars, and commuter rails over the past 10 years and researchers have been able to track the economic impact of the public investments.
We have a stack of studies here in our office, but this presentation pulls together a lot of the data nicely: http://www.ncppp.org/councilinstitutes/ill_presentations/David_Taylor.pdf
For streetcar lines, the principal impact area is three blocks on each side of the line. Development intensity, measured by the floor-area-ratios, in Portland doubled after the streetcar line arrived. $89M in public investment in the streetcar brought $2.5B in private investment in Portland — almost 3 X return on the original public investment.