remained relatively stagnant city-wide. Current retail rents average roughly $14.50 per <br />square foot (annually). However, retail vacancy rates in River Road have declined <br />sharply since 2012, mirroring a trend in the city's retail space overall. <br />Impact of Bus Rapid Transit on Market Conditions <br />■ The available literature generally finds that proximity to BRT is associated with higher <br />rents/prices and land values, particularly for residential and office uses, but not for retail <br />outside of city centers. Exhibit 1 summarizes the range of relevant impacts identified in <br />the literature within a quarter mile and half mile of BRT, relative to sites a mile or more <br />away. <br />■ Though the transit service itself may be a contributing factor to increased property values <br />and economic development, the associated public investments, policies, and programs <br />are also important contributors to the influence of transit on development outcomes. <br />BRT improvements on River Road that improve service quality and enhance the public <br />realm could lead to an increase in achievable rents and property values for at least some <br />adjacent land uses. Exhibit 1 summarizes recommended assumptions for modeling <br />purposes for the Corridor Study. Because some studies did not differentiate impacts in <br />urban versus suburban locations, we recommend using conservative estimates of the <br />impact in River Road. <br />Exhibit 1: Summary of relevant impacts to rents and sales prices from BRT investment and <br />recommended assumptions for modeling purposes <br />Metric Estimated range of impacts within 14 Estimated range of impacts between 14 and <br />mile (relative to sites 1 mile away) % mile (relative to sites 1 mile away) <br />Single family property <br />$3,200-$8,600 <br />$2,10045,700 <br />values/ sales prices <br />Recommended assumption: $3,200 <br />Recommended assumption: $2,100 <br />Multifamily rents <br />Up to 3.7% <br />Up to 3.7% <br />Recommended assumption: 2% <br />Recommended assumption: 1% <br />Retail rents <br />0-10% <br />0-10% <br />Recommended assumption: 0% <br />Recommended assumption: 0% <br />Office rents <br />1.3-30% <br />1.3-30% <br />Recommended assumption: 2% <br />Recommended assumption: 1% <br />Source: ECONorthwest analysis of literature <br />■ These results would vary based on the quality and scope of a transit investment. For <br />example, if enhanced bus service was not able to attract as many choice riders and <br />included fewer public realm improvements or other signals of permanence it would <br />likely have less impact than a BRT investment. <br />Case Studies <br />Both Kansas City, Missouri and Richmond, Virginia successfully implemented programs <br />to encourage transit -oriented development along their bus rapid transit lines through a <br />combination of zoning reforms that reduced parking requirements and allowed greater <br />ECONorthwest 3 <br />176 <br />