Commuter rail accessibility and house values: The case of the Montreal South Shore, Canada, 1992–2009

Jean Dubé, Marius Thériault and François Des Rosiers

Transportation Research Part A: Policy and Practice, 2013, vol. 54, issue C, 49-66

Abstract: While public transportation (PT) plays a crucial role in the social and environmental dimensions, its impacts on the location rent remain poorly known. However, there is a strong connection between PT infrastructures and real estate markets since the former may generate externalities that can influence sales prices. This paper aims at estimating the actual effect of implementing a commuter train service between a major city (Montreal, Canada) and its southern periphery occurring in 2000–2003. Using a difference-in-differences (DID) estimator in the hedonic price model for single-family house sales between 1992 and 2009, the paper estimates the direct marginal price impact of a new commuter train service following changes in access to stations. Results suggest that the opening of a new commuter train service on the Montreal South Shore generates a location premium for houses located in the stations’ vicinity (as measured through walking distance and car driving time) as opposed to houses that do not experience any improvement in accessibility to the commuter train service, either in space or in time. In addition, the new service raises property tax income for involved municipalities by several million dollars a year through enhanced property values.

Keywords: Commuter train; Public transportation; Hedonic price model; Difference-in-differences estimator; Spatio-temporal analysis; Policy evaluation (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (55)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0965856413001377
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:transa:v:54:y:2013:i:c:p:49-66

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_1&version=01

DOI: 10.1016/j.tra.2013.07.015

Access Statistics for this article

Transportation Research Part A: Policy and Practice is currently edited by John (J.M.) Rose

More articles in Transportation Research Part A: Policy and Practice from Elsevier
Bibliographic data for series maintained by Catherine Liu ().