Developing successful transit-oriented developments requires a great deal of stakeholder engagement coupled with supportive government policies.
Transit-oriented development (TOD) communities require supportive policies at the federal, state, regional, and local levels. The HUD/DOT/EPA Partnership for Sustainable Communities is an important step in breaking down the silos of government at the federal level. States such as California, Connecticut, Florida, Illinois, Maryland, Nevada, New Jersey, Oregon, Pennsylvania, and Utah have passed policies and legislation that aim to encourage TOD. States have the ability to expedite regulatory approvals, offer financing, reduce liability concerns, and provide leadership and technical assistance to local government.
Regionally, transit agencies and metropolitan planning organizations (MPOs) play an important role. Transit agencies need to set supportive parking policies that balance commuter parking and development around train stations. They also can engage in joint development opportunities. MPOs hold the purse strings for transportation dollars in urban areas and should prioritize the funding of infrastructure that promotes more transit- and pedestrian-friendly environments. Local governments play the largest role in TOD because they must ensure that proper zoning and financing mechanisms exist.
While supportive policy is necessary, partnership among stakeholders is also vital for creating TODs. Portland, Oregon’s Pearl District is an example where a redevelopment authority, the Portland Development Commission (PDC), used a public/private partnership and financing mechanisms to encourage a mix of uses in a walkable, transit-friendly neighborhood. The Pearl is not the typical nodal TOD with development isolated around a single station; instead, higher-density neighborhoods, mixed uses, and streetcar lines extend throughout the district.
The PDC established a master development agreement with a large developer that provided detailed information on the obligations, goals, and performance monitoring for several projects within the Pearl District.
A key lesson from Portland is that the PDC tied densities to public improvements. The developer noted that the densities would not have been possible without the streetcar.
In suburban Denver, the TOD Group LLC in 2009 purchased a 21-acre (8.5-ha) site adjacent to the proposed Federal Boulevard train station along the proposed Gold Line. Working in partnership with Adams County, the community, and the Regional Transportation District (RTD), the developer created a vision plan for the Clear Creek Transit Village, which was adopted as part of the county’s comprehensive plan to govern the future zoning and development guidelines for the station area.
RTD is contracting the financing, design, construction, operations, and maintenance of the Gold Line for the next 40 years to a private concessionaire known as the Denver Transit Partners. This arrangement, the first of its kind in the United States, adds a new dimension to partnering in TODs. However, given the state of finance at transit agencies across America, this arrangement might become more common in the future for new rail corridors and have important implications for the delivery of TODs.
Unlike conventional suburban sprawl, which is the only development permissible under current regulations, the proposed Clear Creek Transit Village, along with virtually all TODs around the country, require not only a whole new set of regulations, but also intense collaboration among a variety of stakeholders to allow for such approvals.
Recent market and demographic studies suggest strong appeal for TOD and walkable communities across the United States. However, TOD is not likely to fulfill this market demand until policy at all levels of government and industry creates mechanisms that minimize regulatory and financial barriers. This will require the involvement of not just planners, policy makers, community members, and developers, but also others, including financers that underwrite real estate development. Until our nation can get these issues resolved, housing markets will continue to stagnate in drive-only neighborhoods, and the limited supply of walkable, mixed-use TODs will be only attainable by those with the means or the luck to qualify for the limited number of government-subsidized units.