Walking Accessibility to Bus Rapid Transit in Latin America: Does It Affect Property Values? The Case of Bogota, Colombia

Abstract

This research sheds light on the relation of bus rapid transit (BRT) and residential property values within walking distance to the system. The case study was Bogota’s Transmilenio (Colombia). This milestone mass transportation system is a reference with regards to its transportation operation. However, it is also crucial to understand the indirect effects of BRTs as a means to expand the knowledge of their full potential as urban transportation and urban development models. This research conducted a city-wide econometric analysis across different walking distances and socioeconomic strata. The results showed that the housing market gave premiums to the properties in the immediate walking proximity (zero-to-five minute walk) of feeder lines, compared to the properties in the five-to-ten minute walk. The analysis by socio-economic strata showed that middle-income properties were valued more if they fell closer to the system, while there were opposite results for low-income housing. For high-income housing, greater proximity was valued more for properties in the proximity of feeder lines, while those close to trunk stations showed opposite results. The research was conducted through hedonic multiple regression modeling with data on new legal residential developments with 130,692 housing units registered by the Bogota Department of Housing Control between 2000 and 2004. The research focused on Transmilenio’s effects on the properties that are within a ten minute walking distance.