Impact of bus rapid transit on housing price and accessibility changes in Sydney: A repeat sales approach

ABSTRACT

New public transport infrastructure is expected to improve accessibility for local residents, and thus contribute to increased land value. The contribution that a bus rapid transit (BRT) system can make to increased land value is less certain than for rail-based systems, with the literature mostly containing bus-based examples from developing countries with extensive BRT networks. This article considers a BRT system named the Liverpool–Parramatta Transitway (LPT) that was implemented in southwestern Sydney in 2003 to improve public transport accessibility in the local area. A repeat sales model is constructed to investigate the impact of the LPT on residential housing prices and accessibility changes using repeat sales data from before and after the opening of the LPT. This identified little price difference between properties close to LPT stations and outside of the area that could be considered as affected by the LPT service coverage. This outcome is at variance with the theoretical underpinning of land value uplift and other empirical evidence relating to the LPT. Hedonic models using the same repeat sales data investigate the study area in more detail, stratifying the sample by housing type and by comparing separate before and after models. These research outcomes identify the extent to which the BRT system has an impact on local housing prices through accessibility improvements to the study area and provide a deeper understanding as to how the quantification of land value uplift from BRT represents one element of the wider economic benefits of a BRT system.     

Combined impacts of highways and light rail transit on residential property values: a spatial hedonic price model for Phoenix,Arizona

This study analyzes the positive and negative relationships between housing prices and proximity to light rail and highways in Phoenix, Arizona. We hypothesize that the accessibility benefits of light rail transit (LRT) and highways accrue at nodes (stations and highway exits specifically), while disamenities emanate from rail and highway links as well as from nodes. Distance decay of amenities and disamenities is captured using multiple distance bands, and hypotheses are tested using a spatial hedonic model using generalized spatial two-stage least-squares estimation. Results show that proximity to transport nodes was associated significantly and positively with single-family detached home values. As a function of distance from highway exits and LRT stations, the distance-band coefficients form an inverted-U pattern consistent with a positive longer-range distance–decay accessibility effect minus a smaller and shorter-range distance–decay disamenity effect. The positive accessibility effect for highway exits extends farther than for LRT stations. Coefficients for the distance from highway and LRT links, however, were not significant. We also test the effect of highway design on home values and find that below-grade highways have relatively positive impacts on nearby houses compared to those at ground level or above.     

Geographically weighted regression models of residential property transactions: Walkability and value uplift

Value uplift refers to the increase in property value attributable to proximate transportation infrastructure. The empirical literature is generally supportive of the argument to capture a fraction of such additional value to operate public transportation systems. Unfortunately, attention to the relative value of different transportation infrastructure besides rail infrastructure is not evident in the literature. The gap in the literature is problematic because an accurate estimate of the total revenue potential from present transportation infrastructure investments is not realistic nor is an accurate estimate of the value uplift potential from future transportation infrastructure investments realistic. In order to fill the gap, adoption of a geographically-weighted approach expands the temporal scale of analysis to more than a decade and the spatial scale of analysis to an entire heavy rail system in order to properly contextualize the value uplift from pedestrian infrastructure and from rail infrastructure. Results advance the state of knowledge on value uplift to show the range of value uplift attributable to walkability in proximity to heavy rail stations. Overall, the results warrant further research to better understand why the estimate of the value uplift attributable to walkability is higher than the estimate in the empirical literature.     

Evaluating sustainability and land use integration of BRT stations via extended node place model,an application on BRT stations of Tehran

Modern transportation planners and urban designers are looking for a practical solution toward sustainable, accessible, and cost-effective development of public transportation. Achieving a well-balanced transit-oriented development (TOD) requires a clear illustration of the existing public transportation, land use, and correlations between them. Bus rapid transit (BRT) is a well-known strategy toward developing high-quality transit networks and would be a reasonable transportation choice if allied with a suitable walkable design in surrounding areas. In this paper, the node-place model is developed and applied on BRT stations in Tehran to be analyzed and clustered using three extended TOD indicators. The design index, representing the accessibility and walking potential, is further improved by measuring spatial specifications and walkway density parameters. Furthermore, the place index, representing demand and land use specifications of the area, is investigated through the calculation of possible destination points (PDPs) in the vicinity of stations. The model is reapplied after correlation analyses on input data to find stations' behavior by using more effective parameters. The results indicate that appropriate access to the stations requires a tight network of walkways that offers multiple routes to the stations. Meanwhile, a dense and sophisticated pedestrian area needs to offer short routes with minimum turns required to reach the station. Moreover, in each station, some factors are found to be more dominating. Changes in these factors have more profound effects than other factors. This paper aims to identify these factors and help planners develop TOD areas sustainably.     

Accessibility and proximity effects of bus rapid transit on housing prices: Heterogeneity across price quantiles and space

Bus rapid transit (BRT) systems have mushroomed worldwide in the last few decades. An enriched understanding of BRT capitalization effects is essential. Although the BRT accessibility effect on housing prices has been extensively explored, the effect of proximity to the BRT corridor (which may be related to unattractive landscape and noise pollution) has been little scrutinized. More importantly, whether and how the two effects vary across price levels and space have yet to be sufficiently studied. To this end, we estimate the effect of BRT accessibility and proximity on housing prices by applying a battery of econometric methods (including hedonic pricing models, spatial regression models, quantile regression models, and a geographically weighted regression model) to 5185 observations in the housing market in Xiamen Island, China. The results of this study are: (1) BRT accessibility premiums and proximity penalties simultaneously exist in the housing market; (2) buyers of high-priced housing have a greater willingness to pay for avoiding the nuisances attributed to proximity to the BRT corridor; (3) the effect of BRT on housing prices is spatially heterogeneous; (4) the BRT accessibility effect is larger in suburban areas than in urban areas; and (5) housing prices are more predictable near the city centers than outside the area, which may be because a greater proportion of the price of a house near the city centers is derived from the location (rather than the building structure). Finally, policy implications (e.g., building acoustic barriers and planting vegetation along the BRT corridor and improving the transit service in suburban areas) are discussed.     

Understanding bus rapid transit route ridership drivers: An empirical study of Australian BRT systems

Bus Rapid Transit (BRT) systems are an increasingly popular public transport option internationally. They provide rail-like quality for bus services for a fraction of the cost of fixed rail. Many claims of high and increasing ridership have resulted from BRT system development; however, it is unclear exactly which aspects of BRT system design drive this. This paper explores whether BRT design features, among other influences, significantly increase ridership above and beyond the impact of service levels. It does so using a series of regression models undertaken on 77 BRT and non-BRT bus routes in Australia which is known for its diversity in BRT route design. Explanatory variables used included service level, frequency, speed, stop spacing, share of segregated right of way, vehicle accessibility, employment and residential density, car ownership levels and BRT infrastructure quality. Five models explored the role of these variables. Two models found that service level dominates predictions of boardings per route km although they suffer from endogeneity. Further models control for this influence by modelling boardings per vehicle km. Overall results suggest that some BRT infrastructure treatments such as right of way have a significant impact on ridership but the influence of infrastructure is within the context of high service levels. The role of accessible vehicles has also been highlighted in this research, although more research is needed to clarify this influence. The paper concludes with a discussion of the various influences on ridership and recommendations for existing policy and future research.     

Accessibility and Transit-Oriented Development in European metropolitan areas

This study investigates how urban form is related to accessibility. In particular, it explores the relationship between Transit-Oriented Development (TOD) and rail-based accessibility in a metropolitan area. The following overarching questions are addressed: Does a TOD-informed urban spatial structure correlate with high rail based accessibility? Which features of TOD are correlated to rail-based accessibility? These questions are answered through a comparative analysis of six metropolitan areas in Europe. The “TOD degree”, operationalized as the extent to which urban development is concentrated along rail corridors and stations, is correlated with a cumulative opportunity measure of rail-based accessibility to jobs and inhabitants.The comparison demonstrates that rail-based accessibility is higher in urban areas where inhabitants and jobs are more concentrated around the railway network and in lesser measure in urban areas with higher values of network connectivity. No correlation is found between rail-based accessibility and average densities of inhabitants and jobs.     

Identifying resident preferences for bus-based and rail-based investments as a complementary buy in perspective to inform project planning prioritisation

Much of the debate associated with the development of new public transport infrastructure appears to have an emotional bias with communities in favour of one mode, especially rail. This, in turn, carries much sway at the political level as if there is no budget constraint or consideration of value for money and coverage. This paper presents a stated choice experiment to investigate this context as two unlabelled options described by 20 potential drivers of community preferences for improved public transport. Each choice scenario is conditioned on a given route length but with different costs, reflecting different modal investment options for the same route length. To establish whether a modal bias exists within and between geographical jurisdictions, the choice scenario is followed by a labelling of each investment option to reveal whether the option is bus rapid transit (BRT) or light rail transit (LRT). Data from all eight capital cities of Australia, collected in mid-2014, form the empirical setting. Mixed logit random regret models provide new evidence on the nature and extent of community modal bias in this choice setting. The paper also proposes a complementary tool to benefit-cost analysis that uses the residence preferences model to show, through scenario analysis, the potential gains in public support for BRT over LRT. The results suggest that BRT should be in the mix of candidate projects if more than one mode is considered and not ignored, as is so often the case in developed economies.     

Long-term impact of network access to bike facilities and public transit stations on housing sales prices in Portland,Oregon

Planners and economists generally accept that housing market values increase with proximity to transportation facilities through the provision of improved access to activity locations. While the market benefits of rail station access are well-documented, inconsistent and insufficient methods have led to limited agreement on the true value associated with this locational amenity. Far fewer hedonic price studies have assessed the influence of bike facility access on housing sales prices, and those that have generally analyze cross-sectional data. In this study, we estimated a spatial hedonic model using a bootstrapped pseudo panel to determine the joint impact of network proximity to bike lanes and off-street multi-use paths, as well as light rail and streetcar stations, on housing sales in Portland, Oregon, from 2002 to 2013. Our findings revealed housing sales prices increased as network distance to the nearest light rail transit and streetcar station decreased. Likewise, owner-occupied single-family and multifamily housing sales rose in conjunction with reduced street network access to regional multi-use bike paths; however, improved proximity to on-street bike lanes negatively affected housing values. In sum, we believe these findings may help to inform non-automotive transportation infrastructure financing mechanisms that rely on rising property values.     

Sustainable public transport systems: Moving towards a value for money and network-based approach and away from blind commitment

Growing public transport patronage in the presence of a strong demand for car ownership and use remains a high agenda challenge for many developed and developing economies. While some countries are losing public transport modal share, other nations are gearing up for a loss, as the wealth profile makes the car a more affordable means of transport as well as conferring elements of status and imagery of “success”. Some countries however have begun successfully to reverse the decline in market share, primarily through infrastructure-based investment in bus systems, commonly referred to as bus rapid transit (BRT). BRT gives affordable public transport greater visibility and independence from other modes of transport, enabling it to deliver levels of service that compete sufficiently well with the car to attract and retain a market segmented clientele. BRT is growing in popularity throughout the world, notably in Asia, Europe and South America, in contrast to other forms of mass transit (such as light and heavy rail). This is in large measure due to its value for money, service capacity, affordability, relative flexibility, and network coverage. This paper takes stock of its performance and success as an attractive system supporting the ideals of sustainable transport.     

Urban rail systems investments: an analysis of the impacts on property values and residents’ location

Light rail, metro and other urban rail transit systems can play a significant role in improving the attractiveness and quality of urban public transport. They can influence the attractiveness of locations near the stations and improve accessibility for these locations. Furthermore urban rail can improve a location’s attractiveness by its image effect: it makes a station appear modern and dynamic, and thus raises the status of this location.This paper summarises findings on the land-use and economic impacts of the urban rail system of the city of Naples over time and space. It examines changes in residential and non-residential (offices and retail) property prices around the newly built stations between 2001 and 2008 as well as the changes in the number of residents for the same station catchment areas. Ad hoc station control areas have been specified in order to compare the results of these changes. Results show that values in station control areas are lower than those of those of the stations catchment areas.     

Public transport accessibility in metropolitan areas: A new approach incorporating population density

Improving public transport accessibility can be considered an effective way of reducing the external costs and negative side effects of motorized commuting. Although there have been many studies conducted that have measured access levels to public transport stops/stations, there has been limited research on measuring accessibility that integrates population density within geographical areas. This study develops a new measure that considers public transport service frequency and population density as an important distributional indicator. A public transport accessibility index (PTAI) is formulated for quantifying accessibility within local areas in metropolitan Melbourne, Australia. A public transport network model is applied to identify the service coverage of public transport modes using a Geographical Information System (GIS). A consistent method is introduced for evaluating public transport accessibility for different levels of analysis, from single elements, including public mode stops to network analysis. The Victorian Integrated Survey of Travel and Activity (VISTA) is used to evaluate the index and examine the association between commuting trips undertaken by public transport and the level of accessibility within the Melbourne metropolitan region. Furthermore, the new index is compared with two existing approaches using the VISTA dataset. Key findings indicate that the PTAI had a stronger association whilst showing more use of public transport in areas with higher values of the PTAI.     

Bus rapid transit impacts on land uses and land values in Seoul,Korea

Bus rapid transit (BRT) has gained popularity as a cost-effective alternative to urban rail investments; however, relatively little is known about its impacts on land-use changes and land values. This paper examines the land-market effects of converting regular bus operations to median-lane bus services in Seoul, Korea, one of the densest, most congested cities in the world. Multilevel models reveal BRT improvements prompted property owners to convert single-family residences to higher density apartments and condominiums. Land price premiums of up to 10% were estimated for residences within 300 m of BRT stops and more than 25% for retail and other non-residential uses over a smaller impact zone of 150 m. The research findings underscore the importance of introducing zoning and other land regulatory changes prior to the initiation of BRT improvements as well as applying value-capture tools to help finance investments and redress inequities.     

Investigating users' travel behaviours and perceptions of single-corridor BRT: Lessons from Lahore

Despite the global popularity of bus rapid transit (BRT) in last couple of decades, there is limited empirical evidence in the rapidly urbanizing developing countries regarding corridor-wide users' typical travel characteristics and perceptions of the system attributes. The factors affecting BRT users' (dis)satisfaction are also often disregarded, given less priority than needed, or delayed till issues become more difficult and costlier to manage. Although on a rise, currently only ~10% of BRT systems worldwide are in lower-middle-income and low-income countries, which also supports the need to effectively address BRT passengers' mobility issues in such countries with cramped resources, contributing towards more sustainable urban mass transit systems. As major share of BRTs worldwide are single-corridors (~63%), this study investigates the above stated gaps using case of such BRT in the megacity of Lahore, Pakistan via on-site structured interview surveys using intercept method from BRT users along all stations of the corridor. Typical travel characteristics, correlations and cross-comparisons of sample demographics with mobility attributes, underlying (dis)similar themed factors ensuring internal consistency, and rankings of (dis)satisfactions regarding service attributes were evaluated using combination of statistical methods. Visual comparisons of factors in 2D and 3D rotated space were also explored. Results revealed differences in travel characteristics of BRT users for various demographics; convergence of eight factors from twenty-two service quality attributes; spectrum of highest, average and lowest ranked attributes; and inter-spatial relationship of service quality attributes based on the factors contributing relatively more variation. The overarching findings provide useful insights for transportation practitioners, policy makers and could also contribute towards updating BRT guidelines by incorporating the needs and requirements of BRT users in the developing countries.     

A spatio-temporal modelling approach for the study of the connectivity and accessibility of the Guangzhou metropolitan network

The urban growth of large cities in China is at a critical stage with the booming of the economy and impressive increase of the population and traffic demand. This paper studies and qualifies the growth and accessibility of a rapid rail transit network, and characterizes the relations with urban development using a spatio-temporal modelling approach. Several measures of the network topological structure, i.e., beta index (β), cyclomatic number (μ), alpha index (α) and gamma index (γ), are selected in order to examine and quantify the overall metro network growth of the city of Guangzhou in China. The results show that the current spatial connectivity of the Guangzhou’s metro network is relatively low, this stressing the need to augment the reliability of the connections between the network nodes, and to increase the number of circuits in the network. A travel-time matrix is modelled and evaluates the nodes accessibility and characterizes the spatio-temporal evolution of the metro network. The spatial interaction between the different nodes of the network, as well as nodes accessibility are analyzed and derived from a potential-based model. The extension of the metro network clearly shows a dramatic tendency of positive accessibility evolution but with regional differences. In particular, the core of the city is surrounded by areas with highest accessibility values and gradually expanding outward from the core, while the locations of transfer stations have significant influence on the variation of network time-based accessibility. Taking into account different network development scenarios, the approach reveals regional accessibility differences in the metropolitan area of the city of Guangzhou, this clearly illustrating the impact of network accessibility in urban development.     

Evaluation of wider economic impacts of light rail investment on cities

Transport plays a critical role in facilitating competitiveness in post-industrial economies. High quality transport services and infrastructure enhance internal and external connectivity. This research examines published and unpublished evidence of economic impacts of modern light rail (tram and light metro) systems in the United Kingdom and globally. Evidence is considered relating outcomes of investment in light rail systems to: unlocking previously hard to reach sites for development; triggering fresh growth through elimination of significant transport constraints; stimulation of inward investment; extension of labour market catchment areas; reorganisation or rationalisation of production, distribution and land use; and land and property value increase and capture. Urban light rail investment can help regenerate Central Business Districts and boost employment and property prices. Similar rail investments in different locations may not however have the same economic impacts — geography matters. Other conditions in addition to transport investment are required for positive externalities.     

Optimal allocation of protective resources in urban rail transit networks against intentional attacks

This paper advances the field of network interdiction analysis by introducing an application to the urban rail transit network, deploying protective resources against intentional attacks. The resource allocation problem for urban rail transit systems is considered as a game between two players, the attacker interdicting certain rail stations to generate greatest disruption impact and the system defender fortifying the network to maximize the system’s robustness to external interdictions. This paper introduces a game-theoretic approach for enhancing urban transit networks’ robustness to intentional disruptions via optimally allocating protection resources. A tri-level defender–attacker–user game-theoretic model is developed to allocate protective resources among rail stations in the rail transit network. This paper is distinguished with previous studies in that more sophisticated interdiction behaviors by the attacker, such as coordinated attack on multiple locations and various attacking intensities, are specifically considered. Besides, a more complex multi-commodity network flow model is employed to model the commuter travel pattern in the degraded rail network after interdiction. An effective nested variable neighborhood search method is devised to obtain the solution to the game in an efficient manner. A case study based on the Singapore rail transit system and actual travel demand data is finally carried out to assess the protective resources’ effectiveness against intentional attacks.     

Catchment if you can: The effect of station entrance and exit locations on accessibility

The success of passenger railway systems depends on their ridership and thus the population they serve. A mechanism to increase ridership is to expose the existing system to more people by reconfiguring the station itself, for instance by adding extra entrance and exit gates to shorten the walking distance from a trip's origin or its final destination. Gates are key nodes giving pedestrians access from street network to boarding/alighting facilities and vice versa. Stations and platforms are places not points, passengers may spend up to 6 min a trip walking between platforms and the end of the station nearest their origin or destination. This study systematically evaluates the accessibility of train stations and the effect of constructing an additional ‘far-side’ gate at stations with a single ‘near-side’ entrance. A three-step approach is defined to generate an isochrone as the catchment area for any transport node. Results indicate that stations with a single gate along their platforms (usually on one end of them) have the potential to increase the accessibility to jobs and population by around 10% on average. Due to the walking network and land use characteristics, some stations will benefit more significantly by retrofitting a new gate. Also, four linear regression models are developed to illustrate the effect of expanded accessibility on the number of entries and exits at each station for two peak periods. Then, stations are ranked based on their added ridership, which can help authorities to prioritize the development and allocating resources.     

High-speed rail and regional development: the case of intermediate stations

High-speed rail has developed both nationally and internationally in Europe as a successful alternative to both air and road over distances of 400–600 km. Inter-city traffic, especially between the major metropolitan areas in North-west Europe has benefitted greatly from the investment in this network. This paper explores two issues: the impact on the intermediate areas between these major metropolitan areas and the creation of potential cross-border inter-regional services. The evidence shows how both levels of service and potential economic impacts have been much less pronounced in these intermediate areas. Such areas have been affected both by a failure to see greatly improved direct access to major cities other than within their own countries and a lack of new cross-border inter-regional services. The paper argues that the creation of the high-speed rail TEN-T has not met the primary objectives of reducing regional disparities in accessibility or reducing the effect of national borders on regional integration. To achieve this requires not just infrastructure provision but an appropriate regulatory framework for service provision and accompanying measures at the local level.     

Exploring the impacts of land use by service coverage and station-level accessibility on rail transit ridership

In this study, we employ spatial regression analysis to empirically investigate the impacts of land use, rail service coverage, and rail station accessibility on rail transit ridership in the city of Seoul and the surrounding metropolitan region. Our analyses suggest that a rail transit service coverage boundary of 500 m provides the best fit for estimating rail transit ridership levels. With regard to land use, our results confirm that density is positively related to rail transit ridership within a 750 m radius of each station. In contrast, land use diversity is not associated with rail transit ridership. We also found that station-level accessibility is as important as land use for explaining rail transit ridership levels. Finally, we conclude that development density and station-level accessibility measures such as the number of station entrances or exits and the number of bus routes at the station are the most important and consistent factors for promoting rail transit ridership.