Research Casts Doubt on the Economic Development Clout of Streetcar Investments

New research is ambivalent about the potential for streetcar investments to reap promised economic development rewards.

1 minute read

February 13, 2019, 5:00 AM PST

By James Brasuell @CasualBrasuell


A study designed to inform cities considering streetcars as a form of economic development catalyst finds inconsistent results.

"Cities considering investing in streetcar systems in an effort to bolster economic development should take caution, according to a study conducted by a University of Kansas urban planning researcher."

The University of Kansas published an article on PhysOrg to promote the new research by Joel Mendez, assistant professor of urban planning in the School of Public Affairs & Administration, and Jeffrey Brown, professor and chair in the Department of Urban & Regional Planning at Florida State University. The Transportation Research Record published the study.

The study examined development activity in Portland and Seattle from 2000 to 2017, to models of streetcar-driven economic development strategy.

"Development activity was compared between areas receiving development incentives located near streetcar stations and areas receiving incentives that were not," according to the article. "Outcomes were inconsistent within and between cities. Some areas near streetcar stations were observed to experience greater development activity than areas receiving similar incentives and located in non-streetcar service areas, and vice versa."

Tuesday, February 12, 2019 in PhysOrg

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Wastewater pouring out from a pipe.

Alabama: Trump Terminates Settlements for Black Communities Harmed By Raw Sewage

Trump deemed the landmark civil rights agreement “illegal DEI and environmental justice policy.”

April 13, 2025 - Inside Climate News

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

April 16, 2025 - Diana Ionescu

Black and white photos of camp made up of small 'earthquake shacks' in Dolores Park in 1906 after the San Francisco earthquake.

The 120 Year Old Tiny Home Villages That Sheltered San Francisco’s Earthquake Refugees

More than a century ago, San Francisco mobilized to house thousands of residents displaced by the 1906 earthquake. Could their strategy offer a model for the present?

April 15, 2025 - Charles F. Bloszies

Ken Jennings stands in front of Snohomish County Community Transit bus.

Ken Jennings Launches Transit Web Series

The Jeopardy champ wants you to ride public transit.

April 20 - Streetsblog USA

Close-up on BLM sign on Continental Divide Trail in Rawlins, Wyoming.

BLM To Rescind Public Lands Rule

The change will downgrade conservation, once again putting federal land at risk for mining and other extractive uses.

April 20 - Public Domain

Calvary Street bridge over freeway in Indianapolis, Indiana.

Indy Neighborhood Group Builds Temporary Multi-Use Path

Community members, aided in part by funding from the city, repurposed a vehicle lane to create a protected bike and pedestrian path for the summer season.

April 20 - Smart Cities Dive