High Demand for Transit & the Consequence of Little Supply
What happens when you provide something that everyone wants?
When there is a huge demand for something prices are high, and usually markets answer with a large supply. As a result prices lower. Supply and demand…we all learned about it in high school. But in the case of housing along transit lines, in many places across America that demand is never met. With gas prices rising, commutes getting longer, obesity levels increasing, and quality of life deteriorating, the demand for accessible and efficient transit has never been higher. No matter what sector of society you are in, most people add to that demand. However, building high speed rail, light rail, and commuter rail require an oftentimes insurmountable level of funding.
So, when rail is built and housing is constructed along it, the cost per unit is through the roof. It is not unusual for rail to traverse deprived parts of town as a result of taking advantage of existing infrastructure and actively trying to revitalize areas most in need. Therefore the result is often gentrification: people who have lived in one neighborhood for years are forced to move because they can no longer afford it. For people in the later years of their life this uprooting can be devastating.
Gentrification is arguably the worse effect of redevelopment and it certainly has been the most debated for decades. The debate lies in the nobleness of improving the quality of the built environment, which has enormous effects on the economic, environmental, and social sustainability of a city, versus the inevitable result of people being displaced from their homes and neighborhoods after decades of living there, because of the growing unaffordable cost of living. Is there a way to reap the benefits of redevelopment while avoiding the natural effects of the economic markets?
The June 2012 issue of Better Cities and Towns, explores how Los Angeles will try to avoid displacement as a result of the “largest transit expansion in the United States.” In the Reconnecting America last month, it was reported that the city will get 42 additional transit stations as a result of the $40 billion ballot measure approved by voters in 2008. LA County will benefit as well.
So, in a city where the average family spends 28% of their income of transportation, how will LA curb the negative effects of growth that have plagued planners for decades? Unsurprisingly, the instruments have not been completely identified, but will most likely focus on:
• Acquiring key properties for long-term preservation and development.
• Coordinating existing tools that can be used to keep buildings intact and reasonably priced.
• Anticipating the behavior of property owners and aiming outreach and enforcement activities at owners and tenants.
Is this government overreaching into the market? Are these practices sustainable and effective over time? Will restricting development hinder the spillover effects of regeneration? Doesn’t a larger amount of the population than you are protecting need and deserve access to public transportation?
These are questions that the LA Housing Department, with the support of Reconnecting America, will be hard-pressed to answer and defend. I will be interested to see how withholding land from development and preserving lower rents affects the lives of the gentrified. I am weary that these few measures will be effective. My gut tells me they will restrain the positive benefits of TOD development, while not prohibiting, what years of redevelopment has shown to be the inevitable. I do have to applaud the city for maintaining the restraint of social responsibility instead of succumbing to the giddy attractiveness of an exponentially growing tax base and re-branding of their city. This is important because “approximately 70 percent of workers who commute by transit earn less than $25,000 a year.” That is a sobering piece of data…
In the Next American City article, “Why We Struggle to Talk About Gentrification,” author Christine McLaren suggests that the unquantifiable result of gentrification makes it impossible to integrate in policy. After all policy is based on provable data, not anecdotal evidence. As a result the conversation of gentrification has become misguided: do we focus on the gentrified or the gentrifiers? Does perception lie in human right issues or social and commercial diversity?
Also, like other societal issues that are often oversimplified to one of race, the debate on gentrification is reduced to a black vs. white issue constantly. In another Next American City article, “Gentrification: Not Only About White People,” Matt Bevilacqua focuses the conversation back to socio-economics and reports on stronger ties to education level and weaker ties to race. With the challenge of collecting accurate data and standing against hot topic debate, the gentrification conversation constantly loses its way and is very difficult to control through policy.
As an urban designer who has studied gentrification case studies of the past and witnessed it on the ground..I don’t know the answer. And I’m confident no one does.
Through our public finance work at Tindale-Oliver & Associates, I come across counties that suffer from a tax-base that has nose-dived as a result of the recession and crumbling infrastructure that they cannot afford to repair, much less expand. Facilities like fire stations, schools, libraries, etc. are burning a hole in local government’s pockets because low densities cannot support them. So I get it, and as a planner, I want to help these places redevelop themselves to be self-sustaining and healthy environments. And perhaps the best catalyst for growth and redevelopment to higher densities is transit.
I think until we can collect the data to be implemented into policy, redevelopment and regeneration should be done sensitively using the following tactics:
• Require high levels of funding for public involvement to ensure local communities are instrumental in the planning process.
• Preserve the physical structures and urban form that contribute to the historical identity of a neighborhood and design sensitively around them.
• Incentivize high levels of public and affordable housing as part of the development.
Will generation still occur using these tactics? Probably. Will it be done more sensitively with the result of preserving it’s identity? Probably. Gentrification is no doubt a hot topic that after decades has appeared to be inevitable, but many projects demonstrate that the level of destruction that it causes can be curbed. As long as we are constantly aware of everyone’s lives we are affecting as planners, including those who might suffer loss as a result of gentrification, we can have a clean conscience while we continue to debate.
All eyes will certainly be on LA as they actively try to maintain the current population along the future transit line and 40+ future stations. While they will certainly have the luxury of providing a higher supply, for what is guaranteed to be a high demand, hopefully they can set an example of how policy can control gentrification without controlling the market.
Sustainable Cities Collective