IDEAS home Printed from https://ideas.repec.org/a/ags/ndjtrf/206969.html
   My bibliography  Save this article

Hedonic Value of Transit Accessibility: An Empirical Analysis in a Small Urban Area

Author

Listed:
  • Cao, Xinyu
  • Hough, Jill A.

Abstract

Many programs of the SAFETEA-LU have pointed to improving transit services and individuals’ accessibility in small urban areas. Urban economic theory suggests that improving accessibility by investing in transportation has the potential to drive up bids for land. However, will the improved transit accessibility in small urban areas increase property values? A number of studies have investigated the impact of rail transit on home sales but produced mixed results. Further, few studies have explored how transit influences the lease rate of apartments. This question is more relevant because transit accessibility tends to have a greater impact on apartment dwellers than home owners. Using about 400 apartment dwellers in Fargo, North Dakota, this study developed a hedonic price model to determine implicit price of proximity to bus routes. We found a negative impact of bus transit on apartment rent after controlling for other factors, however. We speculated that in a small urban area, this negative relationship could be mainly attributable to spurious relationships from other causal factors, as well as nuisance effects of bus transit itself.

Suggested Citation

  • Cao, Xinyu & Hough, Jill A., 2008. "Hedonic Value of Transit Accessibility: An Empirical Analysis in a Small Urban Area," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 47(3).
    • Handle: RePEc:ags:ndjtrf:206969
    DOI: 10.22004/ag.econ.206969
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/206969/files/2146-4201-1-PB.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.206969?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Mackett, Roger L. & Edwards, Marion, 1998. "The impact of new urban public transport systems: will the expectations be met?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 32(4), pages 231-245, May.
    2. Loukaitou-Sideris, Anastasia & Liggett, Robert & Hiseki, Hiroyuki, 2002. "The Geography of Transit Crime: Documentation and Evaluation of Crime Incidence on and around the Green Line Stations in Los Angeles," University of California Transportation Center, Working Papers qt6631x3cc, University of California Transportation Center.
    3. John D. Benjamin & G. Stacy Sirmans, 1996. "Mass Transportation, Apartment Rent and Property Values," Journal of Real Estate Research, American Real Estate Society, vol. 12(1), pages 1-8.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Qingchun Liu & Peixiong Zhao & Yan Xiao & Xin Zhou & Jun Yang, 2022. "Walking Accessibility to the Bus Stop: Does It Affect Residential Rents? The Case of Jinan, China," Land, MDPI, vol. 11(6), pages 1-17, June.
    2. Dubé, Jean & Andrianary, Eugénie & Assad-Déry, François & Poupart, Janie & Simard, Justine, 2018. "Exploring difference in value uplift resulting from new bus rapid transit routes within a medium size metropolitan area," Journal of Transport Geography, Elsevier, vol. 72(C), pages 258-269.
    3. Yang, Linchuan & Chau, K.W. & Wang, Xu, 2019. "Are low-end housing purchasers more willing to pay for access to basic public services? Evidence from China," Research in Transportation Economics, Elsevier, vol. 76(C).
    4. Acton, Blake & Le, Huyen T.K. & Miller, Harvey J., 2022. "Impacts of bus rapid transit (BRT) on residential property values: A comparative analysis of 11 US BRT systems," Journal of Transport Geography, Elsevier, vol. 100(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kim, Sungyop & Ulfarsson, Gudmundur F. & Todd Hennessy, J., 2007. "Analysis of light rail rider travel behavior: Impacts of individual, built environment, and crime characteristics on transit access," Transportation Research Part A: Policy and Practice, Elsevier, vol. 41(6), pages 511-522, July.
    2. Subeh Chowdhury & Avishai Ceder & Ripul Sachdeva, 2014. "The effects of planned and unplanned transfers on public transport users' perception of transfer routes," Transportation Planning and Technology, Taylor & Francis Journals, vol. 37(2), pages 154-168, March.
    3. Kamruzzaman, Md. & Baker, Douglas & Washington, Simon & Turrell, Gavin, 2013. "Residential dissonance and mode choice," Journal of Transport Geography, Elsevier, vol. 33(C), pages 12-28.
    4. Siman Tang & Hong Lo, 2010. "On the financial viability of mass transit development: the case of Hong Kong," Transportation, Springer, vol. 37(2), pages 299-316, March.
    5. Gustavo Carvalho Moreira & Vania Aparecida Ceccato, 2021. "Gendered mobility and violence in the São Paulo metro, Brazil," Urban Studies, Urban Studies Journal Limited, vol. 58(1), pages 203-222, January.
    6. Posada, Héctor M. & García-Suaza, Andres, 2022. "Transit infrastructure and informal housing: Assessing an expansion of Medellín's Metrocable system," Transport Policy, Elsevier, vol. 128(C), pages 209-228.
    7. Lin, Jen-Jia & Cheng, Yu-Chun, 2016. "Access to jobs and apartment rents," Journal of Transport Geography, Elsevier, vol. 55(C), pages 121-128.
    8. Brinkman, Anthony P., 2003. "The Ethical Challenges and Professional Responses of Travel Demand Forecasters," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt9c3330tt, Institute of Transportation Studies, UC Berkeley.
    9. Junfeng Jiao & Yefu Chen, 2023. "Is the relationship between bus and light rail transit a competition substitution or a congestion substitution? An empirical study in Seattle," Public Transport, Springer, vol. 15(2), pages 575-594, June.
    10. Seyed Mojtaba Fakhrahmad & Ali Soltani & Mohamad Roosta, 2022. "Assessment of travelers’ fear of crime in intercity bus terminals: the case of Karandish terminal of Shiraz," Journal of Transportation Security, Springer, vol. 15(1), pages 69-85, June.
    11. Aspa Gospodini, 2005. "Urban development, redevelopment and regeneration encouraged by transport infrastructure projects: The case study of 12 European cities," European Planning Studies, Taylor & Francis Journals, vol. 13(7), pages 1083-1111, October.
    12. Efthymiou, D. & Antoniou, C., 2015. "Investigating the impact of recession on transportation cost capitalization: a spatial analysis," Journal of Transport Geography, Elsevier, vol. 42(C), pages 1-9.
    13. Martínez, Luis Miguel Garrido & Viegas, José Manuel, 2012. "The value capture potential of the Lisbon Subway," The Journal of Transport and Land Use, Center for Transportation Studies, University of Minnesota, vol. 5(1), pages 65-82.
    14. Lu Zhang & Hongfei Yu & Zhongfa Zhou & Fangxin Yi & Dong Li, 2023. "National Big Data Experimental Area and the Unexpected Booming of the Housing Price in Guiyang of Guizhou Province of China," Land, MDPI, vol. 12(2), pages 1-21, February.
    15. Le, Henry & Lim, Wee Liang & Leong, Wai Yan, 2018. "Land enhancement and intensification benefits of investing in an urban rail network," Research in Transportation Economics, Elsevier, vol. 69(C), pages 512-522.
    16. Younjoo Cho & Hwajin Jeong & Anseop Choi & Minki Sung, 2019. "Design of a Connected Security Lighting System for Pedestrian Safety in Smart Cities," Sustainability, MDPI, vol. 11(5), pages 1-11, March.
    17. Li, Han & Wei, Yehua Dennis & Wu, Yangyi, 2019. "Analyzing the private rental housing market in Shanghai with open data," Land Use Policy, Elsevier, vol. 85(C), pages 271-284.
    18. Moreira, Gustavo & Ceccato, Vania, 2021. "Testing theft transmission in and around São Paulo metro stations, Brazil," Journal of Transport Geography, Elsevier, vol. 94(C).
    19. Shengxiao Li & Luoye Chen & Pengjun Zhao, 2019. "The impact of metro services on housing prices: a case study from Beijing," Transportation, Springer, vol. 46(4), pages 1291-1317, August.
    20. Pronello, Cristina & Camusso, Cristian, 2011. "Travellers’ profiles definition using statistical multivariate analysis of attitudinal variables," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1294-1308.

    More about this item

    Keywords

    Public Economics;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:ndjtrf:206969. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: http://www.trforum.org/journal/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.