# RECORD 1b06d5abfe32d650517ed54e21f8d196f135c666
# TITLE: Impact of light rail line on residential property values – a case of Sydney, Australia
# YEAR: 2021.0  VENUE: International Journal of Housing Markets and Analysis  DOI: 10.1108/ijhma-03-2021-0033
# AUTHORS: R. Abidoye; Felice Fam; O. Oshodi; A. Oyetunji
# PAGES: 46  CANDIDATE TABLE PAGES (1-based): [24]
# ABSTRACT: 
Purpose
The construction of new transportation infrastructure tends to affect the adjoining properties, economy and environment. In particular, studies have investigated the change in the value of properties due to increased access to transportation facilities. The purpose of this paper is to examine the impact of the recently completed light rail on residential property values in Sydney, Australia.


Design/methodology/approach
Sales data of residential properties was extracted from the CoreLogic’s RP database. The hedonic pricing model was used to assess the effect of proximity to the light rail stops. Two models were developed for the announcement and construction phases of the light rail project.


Findings
It was found that during the announcement phase, properties located within the 400 m radius from the station were 3.3% more expensive than those within the 400–800 radius. At the construction stage, the properties within the 0–400 m radius from the stops sold at 3.1% more than those within the 400–800 m radius. This study concludes that a positive relationship exists between the values of residential property and proximity to light rail stations.


Practical implications
These findings would be useful for policymakers to develop land value capture programs for infrastructure funding and to real estate professionals and investors for investment in future transit-oriented development.


Originality/value
Previous studies that aimed at examining the impact of light rails on residential properties values around universities are limited. Hence, this study provides a broad perspective on the impact of light rail on residential properties values.



===== PAGE 1 (score 4, numeric-paren 0, table-words 0, var-words 4) =====

ternational Journal of Housing Markets and Analysi
Impact of Light Rail Line on Residential Property Values – A 
Case of Sydney, Australia 
Journal:
International Journal of Housing Markets and Analysis
Manuscript ID
IJHMA-03-2021-0033.R1
Manuscript Type:
Research Paper
Keywords:
Light rail, property value, university, Residential property, Sydney, 
Australia
 
International Journal of Housing Markets and Analysis


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nternational Journal of Housing Markets and Analysis
Table 4: The outputs of the two models
    
            
                      Table 5: Regression Results of T1 (Announcement Phase)
Unstandardized
Standardized
Collinearity Statistics
Variable
Coefficient
Std. Error
Coefficient
P-Value
Tolerance
VIF
(Constant)
299072.615
62114.426
0.000
AGE
-2.737
609.503
0.000
0.996
0.457
2.187
AREA
1665.921
342.579
0.228
0.000***
0.317
3.154
BDRM
69979.407
21476.228
0.152
0.001***
0.32
3.125
BTHR
73740.179
30429.466
0.103
0.016**
0.389
2.568
PRKG
54604.633
21856.738
0.076
0.013**
0.755
1.325
LOT_SZ
-0.535
16.841
-0.001
0.975
0.873
1.146
P_TYPE
598145.437
60749.289
0.493
0.000***
0.279
3.587
D400
64979.197
45392.838
0.043
0.153
0.773
1.294
D800
22742.752
67041.932
0.010
0.735
0.824
1.214
* Significant at p < 0.10, ** Significant at p < 0.05, *** Significant at p < 0.001
Announcement phase is December 2012 – February 2015.
Table 6: Regression Results of T2 (Construction Phase)
Unstandardized
Standardized
Collinearity Statistics
Variable
Coefficient
Std. Error
Coefficient
P-Value
Tolerance
VIF
(Constant)
538918.940
55750.664
0.000
AGE
-1489.234
607.064
-0.076
0.015**
0.352
2.842
AREA
2816.495
394.776
0.238
0.000***
0.302
3.313
BDRM
82793.058
19860.177
0.150
0.000***
0.258
3.87
BTHR
-15883.716
26759.403
-0.017
0.553
0.405
2.467
PRKG
103929.702
20881.198
0.105
0.000***
0.756
1.322
LOT_SZ
-19.360
20.237
-0.019
0.339
0.899
1.113
P_TYPE
981064.700
51472.085
0.651
0.000***
0.288
3.467
D400
154805.107
48003.912
0.067
0.001***
0.77
1.298
D800
120083.533
65190.065
0.036
0.066*
0.879
1.138
* Significant at p < 0.10, ** Significant at p < 0.05, *** Significant at p < 0.001
Construction phase is March 2015 – March 2020.
Model
R
R Square
Adjusted R Square
Std. Error of the Estimate
T1
0.899
0.808
0.801
$236,520.07
T2
0.931
0.867
0.864
$266,473.39
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nternational Journal of Housing Markets and Analysis
Figure 1: Factors Affecting Land/Property Values
Source: Mohammad et al. (2013) 
Figure 2: Map of Scope of Study 
Source: https://transportnsw.info/
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