Regional Rail Adds Value to Suburban Homes

October 8, 2013

New Study Finds $6 Billion in Total Impact, Up to $37,000 Per Home

A new study released yesterday by Econsult Solutions, Inc. finds that SEPTA's Regional Rail system supports $6 billion in suburban property values, or $7,900 per single-family home. In suburban communities with higher levels of Regional Rail service and parking capacity, the study finds that property value premiums average between $31,000 and $37,000 per house within three miles of a Regional Rail station. These premiums are distributed across Bucks, Chester, Delaware, and Montgomery Counties.

AVERAGE PROPERTY VALUE IMPACTS
LOW SERVICE HIGH SERVICE LOW SERVICE HIGH SERVICE
DISTANCE RANGE LOW PARKING LOW PARKING HIGH PARKING HIGH PARKING
< 1/2 MILE $15,100 $24,900 $27,500 $37,300
1/2 TO 1 MILE $5,500 $21,100 $17,900 $33,500
1 TO 2 MILES $3,400 $21,700 $15,800 $34,100
2 TO 3 MILES $3,100 $18,700 $15,500 $31,100
AVERAGE $6,775 $21,600 $19,175 $34,000
Impacts are Distributed Across Each Suburban County
Source: Econsult Solutions, Inc. (2013)

The report notes, however, that these property value premiums could disappear if SEPTA is forced to implement a Service Realignment Plan that suspends nine of 13 Regional Rail lines and truncates two others over the next 10 years, as well as converting trolleys to bus and reducing subway service levels. SEPTA recently announced the plan, which will begin to go into effect next year short of an immediate infusion of additional capital funding to defer the cuts.

Read the Press Release Here.

Read the Full Report Here.