Valuing real estate externality-based option in development of transit system projects.

Zhou, Xue; Damnjanovic, Ivan D.; Texas Transportation Institute

Advanced Search

Select up to three search categories and corresponding keywords using the fields to the right. Refer to the Help section for more detailed instructions.

Search our Collections & Repository

Advanced Search
Custom Query

All these words:

For very narrow results

This exact word or phrase:

When looking for a specific result

Any of these words:

Best used for discovery & interchangable words

None of these words:

Recommended to be used in conjunction with other fields

Language:

Dates

Publication Date Range:

to

Document Data

Title:

Document Type:

Library

Collection:

Series:

People

Author:

Clear All

Query Builder

Query box

Clear All

For additional assistance using the Custom Query please check out our Help Page

ROSA P serves as an archival repository of USDOT-published products including scientific findings, journal articles, guidelines, recommendations, or other information authored or co-authored by USDOT or funded partners. As a repository, ROSA P retains documents in their original published format to ensure public access to scientific information.

i

Valuing real estate externality-based option in development of transit system projects.

2010-03-01
By Zhou, Xue ; Damnjanovic, Ivan D.

English

Details You May Also Like

Details:

Creators:

Zhou, Xue ; Damnjanovic, Ivan D.

Zhou, Xue ; Damnjanovic, Ivan D. Less -
Corporate Creators:

Texas Transportation Institute
Corporate Contributors:

Southwest Region University Transportation Center (U.S.)
Subject/TRT Terms:

[+]

Pricing Real Property Real Property--Valuation Taxes Transit Oriented Development
Publication/ Report Number:

SWUTC/10/169112-1
Resource Type:

Tech Report
Geographical Coverage:

United States
Corporate Publisher:

Texas Transportation Institute
Abstract:

Capital-intensive transit projects rely on strong public support and availability of funds. While the general

public has become a strong advocate for transit systems, budget shortfalls and financial constraints are still

resulting in delays in project delivery. In such business environment, the public sector has an opportunity to

partner with the private sector to deliver and operate needed infrastructures. In public-private arrangements,

the private sector typically is unwilling to accept the system ridership risk, making such projects financially

unfeasible. However, transit projects undoubtedly create value that is not internalized by the developer. The

completion of a transit system not only increases the values of properties in the affected area, but also

brings incremental tax revenue to the public sector. Thus, some of this newly created value can be shared

with the private sector to make the project financially feasible. The objective of this paper is to develop a

method for designing externality-based option and a model for its valuation. The proposed valuation model

is based on the concept of auctions, where the price-jump results from the introduction of the new transit

system. The numerical example results show that externality-based option could reduce private sector risk

and add value to the private developer, making transit project more attractive.
Format:

PDF
Funding:

10727
Collection(s):

University Transportation Centers US Transportation Collection
Main Document Checksum:

[+]

urn:sha256:29072f6d3db0e943857943c3ec598e6ae7d75f65764c4d4d5c01cab85edba990
Download URL:

https://rosap.ntl.bts.gov/view/dot/18085/dot_18085_DS1.pdf
File Type:

[PDF-479.46 KB]