This paper estimates the effect of the Hiawatha Light Rail Transit (LRT) line on land use change in Minneapolis, MN, between 2000 and 2010. I use a binomial logit model and find that within the 1-mile submarket near LRT, the effect of distance to LRT stations on land use change had a different radius and magnitude depending on existing land use. The effect of LRT on conversions of low-density housing to denser uses only extended out to 90 feet from stations after LRT went into operation. Vacant and industrial land were the most likely to experience land use change, especially in working class, mixed land use neighborhoods with higher population densities. In general, the effect of LRT on land use change was limited in high income neighborhoods. Zoning policy changes around stations had a small but significant positive effect on land use change.
Hurst, Needham B., "How Does Light Rail Transit Affect Urban Land Use?" (2011). Economics Honors Projects. Paper 35.
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