METROPOLITAN TRANSPORTATION AUTHORITY (MTA) FIVE YEAR CAPITAL PLAN IMPACT ANALYSIS (2014)

 
 

BJH, as the real estate advisor within a larger interdisciplinary team, evaluated the impact of the MTA’s Five Year Capital Plan on property values for a set of “mega” projects.”  As part of this work, BJH spent several months researching the “value premium” associated with transit improvements for properties within close proximity to the capital investments.  BJH’s work consisted of constructing a model to calculate this increase or “transit premium,” and then to compare the increase in value to the cost of the projects, in very broad terms.  Estimates of property market values, historic and with transit premiums applied, were derived from New York City public data as well as market assumptions using CoStar and broker interviews. 

In addition, BJH described, both quantitatively and qualitatively, the benefits of the Capital Plan on health factors (including physical activity and obesity), socio-demographic factors (including impact on aging populations), and environmental factors (net avoided greenhouse gas emissions).  The data for these “ancillary” benefits was derived from public survey data generated by the New York City Department of Health, proprietary data from the MTA, and public data from beneficiary groups.