# RECORD f34b3a1e2f48af6ea9bd6c13d722fba48077ca05 # TITLE: Public Transportation Accessibility, Proximity to New York City, and Residential Property Values in New Jersey # YEAR: 2020.0 VENUE: nan DOI: 10.15760/hgjpa.2020.4.1.6 # AUTHORS: Sang-Wan Lee # PAGES: 25 CANDIDATE TABLE PAGES (1-based): [16, 21] # ABSTRACT: nan ===== PAGE 1 (score 6, numeric-paren 0, table-words 0, var-words 6) ===== Hatfield Graduate Journal of Public Affairs Hatfield Graduate Journal of Public Affairs Volume 4 Issue 1 The Hatfield Graduate Journal of Public Affairs Article 6 May 2020 Public Transportation Accessibility, Proximity to New Public Transportation Accessibility, Proximity to New York City, and Residential Property Values in New York City, and Residential Property Values in New Jersey Jersey Sangwan Lee Portland State University Michael Smart Rutgers University Follow this and additional works at: https://pdxscholar.library.pdx.edu/hgjpa Part of the Public Affairs, Public Policy and Public Administration Commons, and the Urban Studies and Planning Commons Let us know how access to this document benefits you. Recommended Citation Recommended Citation Lee, Sangwan and Smart, Michael (2020) "Public Transportation Accessibility, Proximity to New York City, and Residential Property Values in New Jersey," Hatfield Graduate Journal of Public Affairs: Vol. 4: Iss. 1, Article 6. https://doi.org/10.15760/hgjpa.2020.4.1.6 This open access Article is distributed under the terms of the Creative Commons Attribution-NonCommercial- ShareAlike 4.0 International License (CC BY-NC-SA 4.0). All documents in PDXScholar should meet accessibility standards. If we can make this document more accessible to you, contact our team. ===== PAGE 16 (score 21, numeric-paren 0, table-words 4, var-words 11) ===== 2020 THE HATFIELD GRADUATE JOURNAL OF PUBLIC AFFAIRS Vol. 4:1 Figure 1 Trends in the Poverty Rate over Time in New Jersey, 1970-2017 4.3 Correlation between Poverty Rate and Accessibility to Transit Stations in New Jersey and New York Penn Station We examined the correlation between the poverty rate and transit accessibility, controlling for diverse independent variables. We tested several specifications, including percent change in the poverty rate and log-transformed the percent change as a dependent variable, and found that the models cannot adequately explain the hypothesis. Thus, we used the poverty rate in 2010 and 2017 in our final models. Table 5 shows the results of our models; the fit of the model is good (r-squared of 0.261 and 0.256), and all the independent variables turn out to be a statistically significant predictor of the poverty rate. As shown in Table 5, for locational factors, the distance to the nearest transit station is negatively related to the poverty rate in 2010 and 2017 (B=-0.190 and - 0.269). The result supports the conclusion in the previous chapter that low-income people are more likely to live in an area with better transit accessibility. Yet, unlike a hypothesis we made, distance to New York Penn Station and poverty rate are positively related. The poverty rate was significantly influenced by neighborhood characteristics of census block groups, including population density, education attainment, unemployment rate, the proportion of Non-Hispanic black and Hispanic. 4.51 3.81 4.03 2.37 8.49 8.05 6.88 3.76 6.95 8.64 7.11 4.46 8.42 7.97 6.73 5.02 0 2 4 6 8 10 Proximity to Transit Proximity to New York Proximity to Transit Non-Proximity to New York Non-Proximity to Transit Proximity to New York Other Census Block Groups Poverty Rate 1970 1990 2000 2017 Lee and Smart: Public Transit Access, Proximity to NYC, & Property Values in NJ ===== PAGE 17 (score 19, numeric-paren 2, table-words 1, var-words 14) ===== 2020 PUBLIC TRANSIT ACCESS, PROXIMITY TO NYC, & PROPERTY VALUES IN NJ Vol. 4:1 Table 5 The Result of the Multivariate Ordinary Least Square Regression Model for Correlation between Poverty Rate and Transit Accessibility DV: Poverty Rate in 2017 DV: Poverty Rate in 2010 VIF Variable Name B Beta B Beta (Constant) -2.921*** -2.636*** Locational Factors ln (Distance to Transit) -.190** -.034 -.269*** -.049 1.658 ln (Distance to NY Penn Station) .978*** .118 .738*** .091 2.075 Neighborhood Characteristics Population Density in 1,000 .064*** .122 .054*** .101 1.900 Education Attainment (Less than High School) .146*** .230 .127*** .224 2.135 Unemployment Rate .175*** .101 .118*** .122 1.226 Proportion of NH Black .072*** .225 .065*** .219 1.395 Proportion of Hispanic .034*** .105 .024*** .075 2.474 Sample Size 6,283 6,285 R Square 0.261 0.256 ⃰ Significant at p < 0.10; ⃰ ⃰ Significant at p < 0.05; ⃰ ⃰ ⃰ Significant at p < 0.001 5 Conclusion This research improves on existing studies and examines the impact of public transportation accessibility and New York on residential property values in New Jersey. We also examine the trends in the poverty rate and the correlation between transit accessibility and poverty rate to see if low-income people are disproportionately priced out of transit-accessible places. An interesting finding is that the locational factors are strongly associated with housing prices and that the relationship between prices and distance to major activity centers and to transit is logarithmic rather than linear. Also, distance to New York Penn Station is a strong predictor in the models. Relative to housing proximate to other transit lines, housing near Northeast Corridor Line, that provides direct access to New York Penn Station without a transfer, had much higher housing price. The relationship between the Walk Score and housing price of apartments and condos suggests that home-buyers are split on the attractiveness of walkability, with some preferring very un-walkable areas, and others preferring very walkable areas. Hatfield Graduate Journal of Public Affairs, Vol. 4, Iss. 1 [2020], Art. 6 ===== PAGE 21 (score 17, numeric-paren 0, table-words 2, var-words 10) ===== 2020 PUBLIC TRANSIT ACCESS, PROXIMITY TO NYC, & PROPERTY VALUES IN NJ Vol. 4:1 Figure 3 The Relationship between Distance to the New York Pen Station and Housing Price Table 7 The result of the Hedonic Regression Model for All Residential Properties and Two Submarkets (Dependent Variable: Housing Price in $1,000) All Residential Properties (Model 1) Single-Family Housing (Model 2) Apartment and Condo (Model 3) Variable Name B Beta B Beta B Beta (Constant) 168.449 ⃰ ⃰ ⃰ 206.939 ⃰ ⃰ ⃰ 359.780 ⃰ ⃰ Locational Factors ln (Distance to Transit Station) -34.000 ⃰ ⃰ ⃰ -.104 -33.876 ⃰ ⃰ ⃰ -.103 -11.717 -.034 ln (Distance to New York Penn Station) -99.463 ⃰ ⃰ ⃰ -.277 -97.568 ⃰ ⃰ ⃰ -.245 -125.284 ⃰ ⃰ ⃰ -.400 Housing Characteristics Beds 88.008 ⃰ ⃰ ⃰ .413 54.563 ⃰ ⃰ ⃰ .240 104.778 ⃰ ⃰ .329 Beds² -6.354 ⃰ ⃰ ⃰ -.268 -3.232 ⃰ ⃰ -.140 -9.423 -.178 Age -3.903 ⃰ ⃰ ⃰ -.446 -3.707 ⃰ ⃰ ⃰ -.412 -7.071 ⃰ ⃰ ⃰ -.740 Age² .021 ⃰ ⃰ ⃰ .321 .019 ⃰ ⃰ ⃰ .290 .047 ⃰ ⃰ ⃰ .608 Parking Spots 19.685 ⃰ ⃰ ⃰ .123 19.854 ⃰ ⃰ ⃰ .129 15.695 .046 Housing Size in 100 sqft 8.633 ⃰ ⃰ ⃰ .258 8.123 ⃰ ⃰ ⃰ .243 15.393 ⃰ ⃰ ⃰ .295 Built Environment Walk Score -1.374 ⃰ ⃰ -.135 -1.327 ⃰ -.127 -2.622 -.258 Walk Score² .015 ⃰ ⃰ .148 .014 ⃰ .130 .035 ⃰ ⃰ .384 Transit Village -47.069 ⃰ ⃰ -.052 -36.421 ⃰ ⃰ -.040 -63.014 ⃰ -.071 Transit Characteristics Northeast Corridor Line 78.728 ⃰ ⃰ ⃰ .075 83.400 ⃰ ⃰ ⃰ .082 1.938 .002 Light Rail Transit -10.033 -.011 -2.271 -.002 -68.500 ⃰ ⃰ -.101 0 0.5 1 1.5 2 2.5 3 0 20 40 60 80 100 120 140 Percent Change (%) Distance to the New York Penn Station (in Miles) All Residential Properties Single-Family Housing Apartments and Condos Hatfield Graduate Journal of Public Affairs, Vol. 4, Iss. 1 [2020], Art. 6 ===== PAGE 22 (score 7, numeric-paren 0, table-words 1, var-words 4) ===== 2020 THE HATFIELD GRADUATE JOURNAL OF PUBLIC AFFAIRS Vol. 4:1 Neighborhood Characteristics Population Density in 1,000 1.167 ⃰ ⃰ .057 1.966 ⃰ ⃰ .069 .870 .067 Proportion of the White 1.193 ⃰ ⃰ ⃰ .107 1.478 ⃰ ⃰ ⃰ .137 -1.155 ⃰ ⃰ -.088 Per Capita Income in $1,000s 5.630 ⃰ ⃰ ⃰ .427 5.984 ⃰ ⃰ ⃰ .444 5.403 ⃰ ⃰ ⃰ .439 Sample Size 1,780 1,501 279 R Square 0.641 0.638 0.730 Dependent Variable: Housing Price in $1,000 ⃰ Significant at p < 0.10; ⃰ ⃰ Significant at p < 0.05; ⃰ ⃰ ⃰ Significant at p < 0.001 Lee and Smart: Public Transit Access, Proximity to NYC, & Property Values in NJ