The Impact of Bus Rapid Transit on Land Development: A Case Study of Beijing, China
Bus Rapid Transit (BRT) has emerged as a cost-effective transport system for urban mobility. However its ability to stimulate land development remains largely unexplored. The study makes use of qualitative (interview method) and quantitative analysis (questionnaire survey and longitudinal analysis of property data) to investigate land development impact resulting from BRT in Beijing, China. The empirical analysis suggests that BRT has a positive impact on the residential and commercial property attractiveness along the busway corridor. The statistical analysis suggests that accessibility advantage conferred by BRT is capitalized into higher property price. The average price of apartments adjacent to a BRT station has gained a relatively faster increase than those not served by the BRT system. The capitalization effect mostly occurs after the full operation of BRT, and is more evident over time and particularly observed in areas which previously lack alternative mobility opportunity.
[1] Jarzab, J T, Lightbody, J. and Maeda, E. (2002) Characteristics of Bus
Rapid Transit Projects: An Overview, Journal of Public Transportation, 5
(2), pp. 31-46.
[2] Hensher, D. A., Sustainable public transport systems: Moving towards a
value for money and network-based approach and away from blind
commitment, Transport Policy, 2007, 14, pp 98-102.
[3] Levinson, H., Zimmerman, S., Clinger, J., Rutherford, S., Smith, R. L.,
Cracknell, J. and Soberman, R., 2003a. TCRP Report 90: Bus Rapid
Transit, Vol. 1, Case Studies in Bus Rapid Transit, Transportation
Research Board of the National Academies, Washington, DC.
[4] Levinson, H., Zimmerman, S., Clinger, J., Gast, J., Rutherford, S. and
Bruhn, E., 2003b. TCRP Report 90: Bus Rapid Transit, Vol. 2,
Implementation Guidelines, Transportation Research Board of the
National Academies, Washington, DC.
[5] Wright, L.and Hook, W. (2007) Bus Rapid Transit Planning Guide,
Institute for Transportation & Development Policy, New York, USA.
[6] Enoch, M., Ison, S. and Ptter, S. (2004) Recapturing value from property
owners and developers to finance public transport a review of possible
mechanisms, Paper presented at the European Transport Conference
2004, October, Strasbourg.
[7] Banister, D. (2005) Property values and public transport investment,
Paper presented at the European Transport Conference 2005, October,
Strasbourg.
[8] Rodi'guez, D. A. and Targa, F. (2004) Value of accessibility to Bogotá's
Bus Rapid Transit system, Transport Reviews, 24 (5), 587-610.
[9] Cervero, R. and Kang, C. D. (2009) Bus Rapid Transit Impacts on Land
Uses and Land Values in Seoul, South Korea, Working Paper
UCB-ITS-VWP-2009-4, University of California at Berkeley.
[10] Rodríguez, D. A. and Mojica, C. H. (2009) Capitalization of BRT network
expansions effects into prices of non-expansion areas, Transportation
Research Part A, 43, 560-571.
[11] Cervero, R. and Duncan, M. (2002) Land Value Impacts of Rail Transit
Services in Los Angeles County, Report prepared for the National
Association of Realtors and the Urban Land Institute.
[12] Federal Transit Administration (FTA) (2002) Evaluation Guidelines for
Bus Rapid Transit Demonstration Projects.
[13] Callaghan, L. and Vincent, W. (2007) Preliminary evaluation of Metro
Orange Line bus rapid transit project, Transportation Research Record,
2034, pp.37-44.
[14] Sammer, G., Roman, K. and Oliver, R. (2003) Final Report:
TRANSECON: Urban Transport and local Socio-Economic
development: Deliverable 7, GMA1-2000-27049
[15] Royal Institution of Chartered Surveyors (RICS) (2002) Land Value and
Public Transport : Stage 1 - Summary of findings, Royal Institution of
Chartered Surveyor and Office of the Deputy Prime Minister.
[16] Al-Mosaind, M.A., Kenneth J. Dueker, and James G. Strathman. (1993)
Light-Rail Transit Stations and Property Values: A Hedonic Price
Approach, Transportation Research Record, 1400, pp. 90-94.
[17] Deng, T. T. and Nelson, J. D. (2010) The perception of Bus Rapid Transit:
A passenger survey from Beijing Southern Axis Line 1, Paper presented
at the 42nd Annual Conference of the Universities' Transport Studies
Group, Plymouth, January. Paper Session 2A-2, CD ROM.
[18] Cervero, R. and Landis, J. (1993) "Assessing the Impacts of Urban Rail
Transit on Local Real Estate Markets Using Quasi-Experimental
Comparisons," Transportation Research 27A, 1:13-22.
[19] Bernick, M., Cervero, R. and Mentotti, V. (1994) Comparison of Rents at
Transit-Based Housing Projects in Northern California, Working paper
624, University of California at Berkeley.
[20] Dueker, K. J. and Bianco, M. J. (1999) Light Rail Transit Impacts in
Portland: The First Ten Years. Presented at Transportation Research
Board, 78th Annual Meeting.
[21] Chesterton (2002) Second Property Market Activity (Final Report),
Prepared for the Jubilee Line Extension Impact Study Unit, University of
Westminster, London, http://www.wmin.ac.uk/transport/jle/wp
(Accessed October 2009)
[22] Weinstein, B. L. and Clower, T. L. (2002) An assessment of the DART
light rail transit on taxable property valuations and transit-oriented
development, Center for Economic Development and Research,
University of North Texas, Denton.
[23] Lane, R., Powell, T., Eyers, T., Paris, J., Lucas, K. and Jones, P. (2004)
Final Report: Jubilee Line Extension (JLE) Summary Report, Prepared by
Transport Studies Group, University of Westminster, For Transport for
London and the Department for Transport,
http://www.wmin.ac.uk/transport/jle/wp, Accessed March 2009.
[24] Gibbons, S. and Machin, S.J. (2005) Valuing rail access using transport
innovations. Journal of Urban Economics, 57 (1). pp. 148-169.
[25] Du, H. B. and Mulley, C. (2007) The short-term land value impacts of
urban rail transit: Quantitative evidence from Sunderland, UK. Land-use
Policy, (24): 223-233.
[26] Darido, G. (2006) Bus Rapid Transit Developments in China:
Perspectives from Research, Meetings, and Site Visits in April 2006,
Federal Transit Administration, U.S. Department of Transportation,
Washington.
[27] Munoz-Raskin, R. (2010) Walking accessibility to bus rapid transit: Does
it affect property values? The case of Bogota', Colombia, Transport
Policy, 17,pp. 72-84.
[28] Jones Lang Lasalle (2004) Land & Property Value Study: Assessing the
Change in Land & Property Values Attributable to the Jubilee Line
Extension, Pilot Study: Southwark & Canary Wharf, Transport for
London http://home.wmin.ac.uk/transport/ Accessed in April, 2010.
[1] Jarzab, J T, Lightbody, J. and Maeda, E. (2002) Characteristics of Bus
Rapid Transit Projects: An Overview, Journal of Public Transportation, 5
(2), pp. 31-46.
[2] Hensher, D. A., Sustainable public transport systems: Moving towards a
value for money and network-based approach and away from blind
commitment, Transport Policy, 2007, 14, pp 98-102.
[3] Levinson, H., Zimmerman, S., Clinger, J., Rutherford, S., Smith, R. L.,
Cracknell, J. and Soberman, R., 2003a. TCRP Report 90: Bus Rapid
Transit, Vol. 1, Case Studies in Bus Rapid Transit, Transportation
Research Board of the National Academies, Washington, DC.
[4] Levinson, H., Zimmerman, S., Clinger, J., Gast, J., Rutherford, S. and
Bruhn, E., 2003b. TCRP Report 90: Bus Rapid Transit, Vol. 2,
Implementation Guidelines, Transportation Research Board of the
National Academies, Washington, DC.
[5] Wright, L.and Hook, W. (2007) Bus Rapid Transit Planning Guide,
Institute for Transportation & Development Policy, New York, USA.
[6] Enoch, M., Ison, S. and Ptter, S. (2004) Recapturing value from property
owners and developers to finance public transport a review of possible
mechanisms, Paper presented at the European Transport Conference
2004, October, Strasbourg.
[7] Banister, D. (2005) Property values and public transport investment,
Paper presented at the European Transport Conference 2005, October,
Strasbourg.
[8] Rodi'guez, D. A. and Targa, F. (2004) Value of accessibility to Bogotá's
Bus Rapid Transit system, Transport Reviews, 24 (5), 587-610.
[9] Cervero, R. and Kang, C. D. (2009) Bus Rapid Transit Impacts on Land
Uses and Land Values in Seoul, South Korea, Working Paper
UCB-ITS-VWP-2009-4, University of California at Berkeley.
[10] Rodríguez, D. A. and Mojica, C. H. (2009) Capitalization of BRT network
expansions effects into prices of non-expansion areas, Transportation
Research Part A, 43, 560-571.
[11] Cervero, R. and Duncan, M. (2002) Land Value Impacts of Rail Transit
Services in Los Angeles County, Report prepared for the National
Association of Realtors and the Urban Land Institute.
[12] Federal Transit Administration (FTA) (2002) Evaluation Guidelines for
Bus Rapid Transit Demonstration Projects.
[13] Callaghan, L. and Vincent, W. (2007) Preliminary evaluation of Metro
Orange Line bus rapid transit project, Transportation Research Record,
2034, pp.37-44.
[14] Sammer, G., Roman, K. and Oliver, R. (2003) Final Report:
TRANSECON: Urban Transport and local Socio-Economic
development: Deliverable 7, GMA1-2000-27049
[15] Royal Institution of Chartered Surveyors (RICS) (2002) Land Value and
Public Transport : Stage 1 - Summary of findings, Royal Institution of
Chartered Surveyor and Office of the Deputy Prime Minister.
[16] Al-Mosaind, M.A., Kenneth J. Dueker, and James G. Strathman. (1993)
Light-Rail Transit Stations and Property Values: A Hedonic Price
Approach, Transportation Research Record, 1400, pp. 90-94.
[17] Deng, T. T. and Nelson, J. D. (2010) The perception of Bus Rapid Transit:
A passenger survey from Beijing Southern Axis Line 1, Paper presented
at the 42nd Annual Conference of the Universities' Transport Studies
Group, Plymouth, January. Paper Session 2A-2, CD ROM.
[18] Cervero, R. and Landis, J. (1993) "Assessing the Impacts of Urban Rail
Transit on Local Real Estate Markets Using Quasi-Experimental
Comparisons," Transportation Research 27A, 1:13-22.
[19] Bernick, M., Cervero, R. and Mentotti, V. (1994) Comparison of Rents at
Transit-Based Housing Projects in Northern California, Working paper
624, University of California at Berkeley.
[20] Dueker, K. J. and Bianco, M. J. (1999) Light Rail Transit Impacts in
Portland: The First Ten Years. Presented at Transportation Research
Board, 78th Annual Meeting.
[21] Chesterton (2002) Second Property Market Activity (Final Report),
Prepared for the Jubilee Line Extension Impact Study Unit, University of
Westminster, London, http://www.wmin.ac.uk/transport/jle/wp
(Accessed October 2009)
[22] Weinstein, B. L. and Clower, T. L. (2002) An assessment of the DART
light rail transit on taxable property valuations and transit-oriented
development, Center for Economic Development and Research,
University of North Texas, Denton.
[23] Lane, R., Powell, T., Eyers, T., Paris, J., Lucas, K. and Jones, P. (2004)
Final Report: Jubilee Line Extension (JLE) Summary Report, Prepared by
Transport Studies Group, University of Westminster, For Transport for
London and the Department for Transport,
http://www.wmin.ac.uk/transport/jle/wp, Accessed March 2009.
[24] Gibbons, S. and Machin, S.J. (2005) Valuing rail access using transport
innovations. Journal of Urban Economics, 57 (1). pp. 148-169.
[25] Du, H. B. and Mulley, C. (2007) The short-term land value impacts of
urban rail transit: Quantitative evidence from Sunderland, UK. Land-use
Policy, (24): 223-233.
[26] Darido, G. (2006) Bus Rapid Transit Developments in China:
Perspectives from Research, Meetings, and Site Visits in April 2006,
Federal Transit Administration, U.S. Department of Transportation,
Washington.
[27] Munoz-Raskin, R. (2010) Walking accessibility to bus rapid transit: Does
it affect property values? The case of Bogota', Colombia, Transport
Policy, 17,pp. 72-84.
[28] Jones Lang Lasalle (2004) Land & Property Value Study: Assessing the
Change in Land & Property Values Attributable to the Jubilee Line
Extension, Pilot Study: Southwark & Canary Wharf, Transport for
London http://home.wmin.ac.uk/transport/ Accessed in April, 2010.
@article{"International Journal of Business, Human and Social Sciences:63463", author = "Taotao Deng and John D. Nelson", title = "The Impact of Bus Rapid Transit on Land Development: A Case Study of Beijing, China", abstract = "Bus Rapid Transit (BRT) has emerged as a cost-effective transport system for urban mobility. However its ability to stimulate land development remains largely unexplored. The study makes use of qualitative (interview method) and quantitative analysis (questionnaire survey and longitudinal analysis of property data) to investigate land development impact resulting from BRT in Beijing, China. The empirical analysis suggests that BRT has a positive impact on the residential and commercial property attractiveness along the busway corridor. The statistical analysis suggests that accessibility advantage conferred by BRT is capitalized into higher property price. The average price of apartments adjacent to a BRT station has gained a relatively faster increase than those not served by the BRT system. The capitalization effect mostly occurs after the full operation of BRT, and is more evident over time and particularly observed in areas which previously lack alternative mobility opportunity.
", keywords = "accessibility, Bus Rapid Transit (BRT), Beijing,property value uplift", volume = "4", number = "6", pages = "1450-11", }
