When the Train Never Comes: Property Value Impacts from the Announcement and Cancellation of a Light Rail Project.

Academics and practitioners have long been interested in the potential property value increases associated with new transit investments. The placement of transit stations is not random, however, and often they are placed in locations most likely to experience growth. Therefore, isolating the impacts...

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Publicado en:Professional Geographer Vol. 77; no. 3; pp. 301 - 314
Autores principales: Nilsson, Isabelle, Delmelle, Elizabeth C., James, Michael-Paul
Formato: Artículo
Publicado: Taylor & Francis Ltd 2025
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        10.1080/00330124.2025.2460995
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        atl: When the Train Never Comes: Property Value Impacts from the Announcement and Cancellation of a Light Rail Project.
      aug:
        au:
          Nilsson, Isabelle
          Delmelle, Elizabeth C.
          James, Michael-Paul
        affil:
          University of North Carolina at Charlotte, USA
          University of Pennsylvania, USA
      su:
        Cities & towns
        Urban planning
        Prices
        Transit-oriented development
        Market tightness
      sug:
        subj:
          Cities & towns
          Urban planning
          Prices
          Land Subdivision
          Administration of Urban Planning and Community and Rural Development
          Transit-oriented development
          Market tightness
      keyword:
        announcement effect
        cancellation effect
        price capitalization
        transit-oriented development
        announcement effect
        cancellation effect
        price capitalization
        transit-oriented development
      ab: Academics and practitioners have long been interested in the potential property value increases associated with new transit investments. The placement of transit stations is not random, however, and often they are placed in locations most likely to experience growth. Therefore, isolating the impacts of the new infrastructure from these confounding factors has been a challenge. In this study, we examine the effect of the announcement and subsequent cancellation of a transit project on sales prices, taking advantage of a unique natural experiment, the Durham Orange Light Rail Transit project. Using a set of closely matched treatment and control properties, we find no evidence of an announcement or cancellation effect on station-adjacent property sales prices. We find evidence, however, that prices in denser areas, closer to the city center tended to appreciate at a higher rate. These findings suggest a shift in demand for living in dense, urban environments, which is often where rail transit stations are located. The results are essential for urban planning as they show that rail transit is planned in growing cities with tight housing markets where properties, including those located in neighborhoods with planned stations, are already on an upward growth trajectory in terms of price.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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