An Analysis of the Demographic and Developmental Impacts of Central-City Rail Transit Stations

Author: Dale A. Darrow

Dissertation School: University of Wisconsin-Milwaukee

Abstract:

Light rail transit proponents argue that private real estate investments will result from transit station construction, leading to increased transit ridership, the redevelopment of blighted areas, and the stimulation of growth I central city business districts. (Witherspoon, 1982) Light rail transit has received prominent consideration over the past twenty years because its development costs are significantly lower than the cost of heavy rail. Since 1980 light rail systems have been constructed or expanded in ten U.S. and four Canadian cities. Light rail systems are under construction in two additional communities and proposed for thirteen others.

There have been few systematic or conclusive before and after case studies, which compare the socioeconomic, and market value impacts resulting from the construction of rail transit stations. Studies undertaken to date have not adequately addressed the extent to which real estate values around central city transit stations have been effected by the presence or absence of coordinated land use and economic development planning in the design or concept stage of, light rail system development. I will fill this research gap by undertaking analytical case studies, focusing on the demographic and market value impacts which have resulted from recent light rail system development in Baltimore, Buffalo, Portland and Toronto. The diversity of planning approaches undertaken in these cities will permit an assessment of the impact which results from the presence or absence of comprehensive planning on land values near central city transit stations which opened after 1980.

Through the use of 1980 and 1990 census and other primary and secondary data, construction activity, and changes in the demographic characteristics and real estate market vales surrounding central city transit stations will be identified. The redevelopment effects of transit station development should be reflected by new construction, increases in market values, and changes in the demographic characteristics of persons residing in those areas.

The debate regarding light rail needs to be shifted from levels of ridership and potential for impact upon land use, to a discussion of vision, in which light rail is perceive as one part of a comprehensive strategy for achieving desired community development objectives. The incorporation of strategic and comprehensive planning may be a necessary requirement to reinvigorate distressed central city neighborhoods. Marc V. Levine argues that “unless concerns of minority economic development and inner city revitalization are explicitly introduced to the rail transit system planning process, concrete economic benefits to minorities may be limited”(Levine, 1992).

The economic development potential of light rail transit projects should be enhanced by incorporating proactive land use and the allocation of economic incentives in the planning of these projects. The coordinated planning of transit rail station locations and empowerment or enterprise zones could leverage significant private investment to support the revitalization of these areas. The inclusion of private sector and community based organization involvement in the planning process should further enhance the economic potential of this planning effort which should be directed towards the creation of viable socially and economically integrated neighborhoods.

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