Transit-oriented development (TOD) in Dallas Area Rapid Transit’s (DART) service area generated more than $980 million in direct spending and spurred 10,747 jobs between 2019 and 2021, according to a recent study shared by DART President and CEO Nadine Lee during her Sept. 6 State of the Agency address.
Conducted by the University of North Texas Economic Research Group (ERG), the study (download below) evaluated real estate development within a quarter-mile radius of light rail stations at DART, whose 700-square-mile network of light rail, Trinity Railway Express commuter rail, bus, GoLink on-demand, and paratransit services moves more than 220,000 riders per day across 13 cities in the Dallas/Fort Worth (DFW) area. It utilized IMPLAN software to create detailed economic models based on development spending data.
The ERG study focused on 31 real estate development projects built near DART stations between 2019 and 2021. With a total property value of $980.1 million, they comprised a mix of commercial ($429.9 million), residential ($540.5 million), and public ($9.6 million) developments. Among the study findings:
- The total economic impact of the projects created $1.8 billion for the DFW economy over the study period.
- The projects created 10,747 construction jobs.
- The projects generated $144.7 million in federal tax revenue over the study period.
- The projects generated $49.6 million in state and local tax revenue over the study period. Sales taxes generated (excluding DART portion) came in at $22.7 million; property taxes, $18.3 million; and other state and local tax revenue, $8.6 million.
“The Dallas-Ft. Worth region’s economy showed considerable economic activity from 2019-2021 despite the COVID pandemic,” ERG reported. “This continues the robust growth trend that the DFW region has experienced in the past few decades. The significant amount of development within a quarter mile of DART stations detailed in this report, as well as in our previous reports [the first study was conducted in 1999], attests to the region’s positive economic health. The trend to develop properties near light rail stations is not unique to DFW as similar patterns extend across the nation. Connectivity and multi-modal access are increasingly important in a Texas that is rapidly urbanizing—this is especially true in DFW. The 31 projects analyzed reflect the importance of multi-modal transportation options to the DFW economic landscape. The results of this study also demonstrate that transit-oriented development is not a single purpose strategy. Over the decades, the development near DART light rail stations, including various types of residential communities and significant commercial, office and retail establishments, have not only provided transit accessibility but also simultaneously boosted the economic wellbeing of the DFW region.”
“Proximity to DART adds value to development,” said Nadine Lee, who has headed DART since 2021. “The impact of DART light rail investments on local development shows residential and office space rent for substantially higher than surrounding projects. In total, development projects near DART stations since 1999 have resulted in an aggregated increased property value of $17.1 billion with additional contributions to the economy through direct and indirect means such as wage, tax, and other economic factors.”
Separately, TOD will be among the key topics of discussion at the Railway Age / RT&S Light Rail 2024 conference, to be held Nov. 13-14 in San Diego, Calif. Developed for transportation professionals in planning, operations, civil engineering, signaling and vehicle engineering as well as students at the undergraduate and graduate level, the conference will offer a comprehensive review of the specialized technical, operational, environmental, and socio-economic issues associated with light rail transit in an urban environment.
