DELIVERING ON THE TRANSIT PROMISE

Dena BelzerOctober 6, 2015

Presentation OverviewPresentation Overview

1 Puget Sound As a Transit Region:1. Puget Sound As a Transit Region: Putting SeaTac in Context

2 Starting at the Beginning: How Does2. Starting at the Beginning: How Does TOD Work?

3 St t i f TOD Pl i3. Strategies for TOD Planning4. Implementing TOD Area Plans5. Concluding Thoughts

Puget Sound as a Transit Region: g gPutting SeaTac in Context

Implementing Vision 2040 – Puget Sound’s Long Range GrowthSound s Long Range Growth

The Growing Transit Communities Strategy Goals:Strategy Goals:

•Attract more of the region's residential and•Attract more of the region s residential and employment growth to high capacity transit communities.communities.

•Provide housing choices affordable to a full range of incomes near high-capacity transit.

I t t it f i ti d•Increase access to opportunity for existing and future residents of transit communities.

Growing Transit Communities ImplementationGrowing Transit Communities Implementation

SeaTac has Signed the CompactSeaTac has Signed the Compact

SeaTac’s Regional Tools and Typology Have Been IdentifiedTypology Have Been Identified

Regional Strategies Include:Regional Strategies Include:

• Station area planning, focus on long-range vision and transitional uses• Long-range capital facilities plan with phased infrastructure and public realm investments• Community needs assessments and targeted investments• Affordable housing preservation

SeaTac has Station Area PlansSeaTac has Station Area Plans

South 154th Street Station Area Action Plan

Angle Lake Station Area Plan

City Center Plan

But Does SeaTac Have TOD?But… Does SeaTac Have TOD?Maybe not quite yet –Maybe not quite yet

- So how do we get there?

Starting at the Beginning: How DoesStarting at the Beginning: How Does TOD Work?

Development Near Transit – Transit Oriented Development (TOD)Oriented Development (TOD)

Existing and new development located within ¼Existing and new development located within ¼ to ½ mile of a frequent transit station/stop (really a district)) Located in an area where it is also easy to bike/walk around the district and to transit Derives a benefit from the access transit provides to other places in the region

TOD Takes Many FormsTOD Takes Many Forms

TOD Also Responds to Different Kinds of Transit Corridorsof Transit Corridors

Destination Connectors Commuter Corridors District Circulators

Station Areas Along the Same Corridor Can Have Different Uses and Character

Townhouses

C d i iCondominiums

Live/Work Lofts

Development Trends on 3 New Rail Corridors Show How TOD Can EvolveCorridors Show How TOD Can Evolve

Hiawatha Line(Minneapolis)

Southeast Corridor(Denver Region)

Blue Line(Charlotte)

There Has Been Significant Development Along These Transit CorridorsAlong These Transit Corridors

12,000,000nt

8,000,000

10,000,000

ew D

evel

opm

en

4,000,000

6,000,000

quar

e Fe

et o

f N

e

Commercial

Residential

0

2,000,000

Est

imat

ed S

q

Minneapolis Hiawatha Line(2003 - 2009)

DenverSE Corridor

(2004 - 2009)

CharlotteBlue Line

(2005 - 2009)

But the Pattern of Development is UnevenBut, the Pattern of Development is UnevenHiawatha Line – Context of Opportunity Sites

and Development

0% 50% 100%

and Development

Downtown/Urban Center

Suburban Center

Legacy Industrial Area Percent Vacant/Legacy Industrial Area

Mixed-Use Neighborhood

Commercial Corridor

Percent Vacant/ Underutilized

Commercial Corridor

Industrial/Distribution Area

Low Density Residential

Share of Development

y

Major Greenfield/Infill

Other

What Types of Places Attracted Development?Development?

• In or near downtowns or l t t

• Small infill sites on strip id

YES NO

employment centers

• Legacy industrial di t i t

corridors

• Very large greenfieldit th ddistricts

• Districts where plans i l d

sites on the edge

• Large formerly industrial itwere in place and

strategic investments were made

sites

Key Factors That Determine Where Development Happens

• Market conditions (of course)

Where Development Happens

• Market conditions (of course)

• Frequency & quality of transit service

• Proximity to employment centers

( )• Accessibility by many modes (car, bike, ped)

• Planning and place-makingg p g

Strategies for TOD Planning

The Definition of a Transit Oriented District is Evolving – Access is KeyDistrict is Evolving – Access is Key

Trying to “Maximize Density” Doesn’t Always WorkAlways Work

$5.0

$6.0

ons

$3.0

$4.0

Profit  in

 Jillio

$1.0

$2.0

Develope

r P

$0.05 10 15 20 25 30 35 40 45 50 55

DensityDensity

In Reality Higher Density Projects Can be Less Profitable to Developers17 17

16 1615 1514 1413 1312 12

be Less Profitable to Developers

12 1211 1110 109 98 87 76 6

Sto

ries

5 54 43 32 2

1 1

b1 b1 d b1 b1b2 b2b3 b3b4 b4

120 ' 140 ' 180 '55 ' 75 ' 85" 100 '

Und

ergr

ound

Par

king

UnitsFAR

68 80 1044.0 4.9 4.9 5.6 6.5 7.5 9.540 50 50 56

0 0 80

Five story Seven story Seven story N ine story Eleven story Thirteen storySeventeen

story

55 5 85 00

5-Story 7-Story 7-Story 9-Story 11-Story 13-Story 17-Story

Sometimes Removing Regulatory Barriers Can Make a Big DifferenceBarriers Can Make a Big Difference

3-Story Residential Building (i illi f d ll )

5-Story Residential Building (i illi f d ll )

$60

$70(in millions of dollars)

$60

$70(in millions of dollars)

Land Costs$30

$40

$50

City Fees

Other Costs1

Land Costs

$30

$40

$50

Construction Costs

City FeesOther Costs1

$10

$20

$30

Construction Costs

$10

$20

$30

Costs

$0

$

Construction Costs

Developer Revenues

$0

$10

Construction Costs

Developer RevenuesCosts Revenues

1 "Other costs" include design , legal, financing, and marketing, and other "soft" costs. Source: Strategic Economics 2010

Public Realm Improvements Are Critical For Spurring Private Investments in Slower MarketsSpurring Private Investments in Slower Markets

Type Description ImpactType Description Impact

Streetscape General streetscape improvements

28% increase in home values

O Presence of neighborhood 3 – 15% increase in homeOpen space Presence of neighborhood parks and playgrounds

3 15% increase in homevalues

Walkability Walkscore improved from 20 to 80 points

54% price premium for office and retail property

Siteremediation

Remediation of brownfieldsites

3 – 11% increase in housing prices

2 – 32% price premium forTransit Proximity to transit 2 – 32% price premium for single family homes

Transit Proximity to transit 1 - 120% price premium for commercial real estatey for commercial real estate

Local “Last Mile” Connections Can Also have Economic Benefitshave Economic Benefits

Bike Share =Bike Share = Additional $150,000 in rider expenditures (Minneapolis)expenditures (Minneapolis)

Urban Bike “Trails” = As much as $846 million in economic impact(Indianapolis Cultural Arts Trail)

Implementing TOD Area Plans

Pivoting from the Big Vision to Getting Things DoneGetting Things Done

1 Build on existing assets and1. Build on existing assets and market momentum

2 Understand specific barriers2. Understand specific barriers3. Look for specific solutions to

overcome barriersovercome barriers4. Partner and collaborate

1. Build on Existing Assets and Market MomentumMarket Momentum

Know your market strengthsKnow your market strengths and work with them or the near term possibilities

Understand your long term i i i k t/l tivision in a market/location

based context

Know and leverage your other community assetsother community assets

SeaTac’s Station Areas Have Differing Market PotentialPotential

Station A

Office Retail MF Housing HotelArea

South 154th

SeaTac City Center

South 200th

(Angle Lake)(Angle Lake)(2012)

Good News/Bad News About SeaTac’s Current Market ConditionsCurrent Market Conditions

The market in SeaTac is picking upThe market in SeaTac is picking up 154th south and Angle Lake have good

momentummomentum But longer term trends suggest transit could

have even an even bigger impact on thehave even an even bigger impact on the SeaTac market Sites to the north are absorbing Housing prices in Seattle are increasing More and more people are riding transit

2 Understand Specific Barriers2. Understand Specific Barriers

Such as:Such as: SeaTac is a relatively small

communityy Proximity to SouthCenter Proximity to Sea-Tac Airport Market perception of SeaTac Physical barriers created

International Boulevard

3. Look for specific solutions to overcome barriersovercome barriers

Don’t Forget the Value of “Place Making”Making

Think specifically about Access as an Assetan Asset Cultivate walking and biking to the stationg g Consider surface parking only as an interim

use Be very careful about where to locate parking

garagesg g

4 Partner and Collaborate4. Partner and Collaborate

Corridor Collaborative MatrixCorridor Collaborative Matrix

Concluding Thoughts

Regional Strategies PriorityRegional Strategies Priority

• Station area planning, focus on long-range vision and transitional uses• Long-range capital facilities plan with phased infrastructure and public realmphased infrastructure and public realm investments• Community needs assessments andCommunity needs assessments and targeted investments• Affordable housing preservation

SeaTac’s Strategy:SeaTac s Strategy: Maintain your visionMaintain your vision Be flexible Stay focused Stay focused Have patience