TRANSIT ORIENTED DEVELOPMENTS AND PRIVATE PROPERTY VALUES

Abstract

The Land Transport Authority (LTA) was established in September 1995 to spearhead the improvements to Singapore’s land transport system. LTA’s mission then was to develop a world-class transport system, especially a superior public transport system that will be able to meet the needs and demands of end-users.

After 20 years of its establishment, LTA faces more difficulties as Singapore populations continues to grow, resulting in an increasing need to manage transport issues more effectively. The Land Transport Master Plan was launched in 2013 to guide future transport infrastructure developments. The focus of LTMP 2013 revolves around the notion of ‘Enhancing Your Travel Experience’; which has been divided into 3 sub-categories under providing better connections; better services as well as constructing a liveable and inclusive community.

Advocating Transit- Oriented Developments (TODs) i.e. an Integrated Transport Hub (ITH) is one of the initiatives implemented to provide better connections for commuters in order to enhance their travel experience. As such, this research seeks to analyze how the presence of an ITH development could have an impact on surrounding property values.

Analysis has been carried out on 4 ITHs, specifically Ang Mo Kio, Clementi, Boon Lay and Serangoon. The output from the regression model has shown a positive impact on surrounding private property values after the opening of ITHs in Ang Mo Kio, Boon Lay and Serangoon. The coefficients recorded for the corresponding ITHs are 0.0868, 0.079 and 0.00498. Clementi is the only exception that recorded a negative coefficient of 0.173. This paper also provides valuable insights on how micro factors such as the design of the ITH are some plausible explanations for the price variations observed in each planning area.