1. What is transit oriented development (TOD)?
Mixed-use development in TOD areas
▪ The objective of transit oriented
development (TOD) is to create highly
livable communities around transit
stations that will maximize value for the
residents, employees, city government,
and organizations involved in the
development
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Successful TOD defined
▪ Transit oriented development has
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several notable characteristics:
High density of TOD areas
– Located within ~800m (~10 min
walk) from the mass transit station
– Moderate to high density
development
– Mix of residential, office, retail and
public development
– Designed primarily for pedestrians
without excluding the automobile
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2. Transit oriented development has significant impact on the city’s livability
and increases real estate prices in the area…
Detailed further
Economy
and
transport
Environment
▪
▪
▪
▪
▪
▪
Typical real estate price premiums
Price/sqm without
access to transit1
Premium for transit
access and higher
density
100%
30-60%
Premium for
livability, safety, etc.
15-30%
Lower crime and accident rates
More livable and inclusive
community
Price/sqm in
TOD areas
Reduced CO2 emissions
Reduced noise levels
Reduced fuel consumption
Higher energy and materials
usage efficiency
Examples of specific price premiums:
▪ Residential housing typically increases in price
by ~2,5% per floor as you move up
▪ Typical premium for close proximity to a wellmaintained park or green zone is 10-15%
▪ Pedestrian-friendly design premiums were found
to be in a range of 4-15%
150-200%
1 Transit access is defined as 10 min walking proximity (~800m) to a transit station
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Society
Positive effects
▪ Shorter commuting time and
better access to transit
▪ Lower car usage and increased
transit ridership
▪ Higher real estate prices
▪ Improved business
attractiveness of the area
▪ Higher property taxes
Real estate price growth is typical after ToD is
implemented
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TOD has positive effect on all key aspects of
community life

3. … reducing car usage and transportation costs
Auto
Walk
Good transit &
mixed land use
Good transit
only
Rest of
region
Transit
60%
25%
75%
Housing Cost
5% 10%
15%
85%
90%
2% 8%
10%
3%
2%
5% 3%
2%
Transportation Cost
Low
1
walkability
17%
2
19%
3
15%
25%
4
30%
High
walkability 5
32%
16%
16%
13%
12%
Conclusions:
▪ Residents of transit-oriented development areas (with transit access, mixed land use, and walkable
environment) drive less and rely more on alternative modes of transport
▪ Although they have lower transportation costs, the transportation and housing costs combined are
higher for TOD areas, which reflects an overall higher quality of life enjoyed by the residents
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Rest of
county
Bike
Share of household income spent on housing
and transportation by walkability level
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Modal split by level of transit access and type of
land use (example of Portland, Oregon)

4. There are 8 core principles supported by quantitative metrics that
differentiate TOD-projects from traditional development
Principles of TOD
Performance objectives
▪
▪
The development is in an existing urban area
Short distances make travelling through the city
convenient
▪
High-quality transit is accessible by foot
▪
Residential and job densities support high-quality transit
and local services
▪
The area of land occupied by motor vehicles is minimized
▪
▪
Trip lengths are reduced by providing diverse and
complementary uses
Short commutes for lower-income groups
▪
▪
The cycling network is safe and complete
Cycle parking and storage is ample and secure
▪
▪
▪
The pedestrian network is safe and complete
The pedestrian realm is active and vibrant
The pedestrian realm is temperate and comfortable
Best practice level, e.g.,
▪ Hammarby Sjöstad in Stockholm, Sweden
▪ Västra Hamnen in Malmö, Sweden
▪ Vauban in Freiburg im Brisgau, Germany
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Walking and cycling routes are short, direct, and varied
Walking and cycling routes are shorter than motor vehicle
routes
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▪
▪

5. Based on these metrics transit stations areas around the globe could be
easily compared and improvement levers identified
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Best score in Moscow : 37 (Lubyanka station area)
World best practice – ~100 (Hammarby Sjöstad in Stockholm)
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6. TOD metrics could be linked to core output KPIs like property value,
vehicles kilometers travelled, CO2 emissions and transit ridership
Th. RUR per m2
Value/Impact
Average price per square meter in Moscow
Comment
Price based on ~40,000 property
offers available for Moscow
240
Impact of building/flat related criteria
530
Building material
40
Presence of Balcony
Increase in size of property (for flats larger than120 m2)
Change from “Basic” to “Premium”
Change from “No” to “Yes”
Increase of property size by 10%
5
620 Reduction of commuting time to
city center by 10%
410
Shift: Lower share of On-street Parking and Traffic Area
370
Walk: Higher share of Walkways
170
Densify: Higher Residential density
100
Transit: Access to metro
Reduction of parameter by 10%
Reduction of parameter by 10%
Reduction of parameter by 10%
Change from “No” to “Yes”
Mix: Accessibility to Food
40
Change from “No” to “Yes”
Mix: Access to shopping mall
30
Change from “No” to “Yes”
Connect: Prioritized Connectivity
(Higher Share of pedestrian/cycle inersections)
30
Reduction of parameter by 10%
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Impact of TOD/area-related criteria (selected criteria)
Compact: Shorter commute
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Indicator
PROPERTY VALUE EXAMPLE