Transit-Oriented and Joint Development: Case Studies and Legal Issues, Transit Cooperative Research Program, Aug. 2011, at http://onlinepubs.trb.org/onlinepubs/tcrp/tcrp_lrd_36.pdf.2010 ULI Presentation:Construction Costs are the MAJOR inhibitor to new development and especially TOD in Honolulu.As a result, most new development that does occur in Honolulu is focused on high value opportunities such as Big box or strip retail, High end condo development, and Single family homes.Opportunities for significant new development, community investment, economic growth, and increase in the tax base lie in the City’s ability to address the major costs.Development cash flow analysis has shown that low to mid rise mixed use development with middle income housing can be a viable investment when infrastructure considerations are removed.Absent public investment and incentives– development projects will continue to ignore the return on investment opportunity that exists with TOD.Something “material” must change.
Transit-oriented development (TOD) is compact, mixed-use development near transit facilities and high-quality walking environments. The typical TOD leverages transit infrastructure to promote economic development and smart growth, and to cater to shifting market demands and lifestyle preferences. TOD is about creating sustainable communities where people of all ages and incomes have transportation and housing choices, increasing location efficiency where people can walk, bike and take transit. In addition, TOD boosts transit ridership and reduce automobile congestion, providing value for both the public and private sectors, while creating a sense of community and place.
Location efficiencyDensity, transit accessibility, and pedestrian friendlinessRich mix of residential and commercial choicesPeople’s ability to not only have transport alternatives but also have choice in housing, retail, and employmentValue captureHousehold and community cost savings associated with transit useAccording to the American Public Transportation Association, Honolulu residents who ride public transportation instead of driving can save, on average, $11,388 annually.Place makingAbility for TOD to create attractive, pedestrian friendly neighborhoods with high-quality civic spaces The transit station should also be a place, a destination with work, live, and play opportunities within walkable distance from the transit station. Resolution of the tension between node and placeConverting railway termini and their surrounding areas into urban placesThe transit station should be more than a transportation mode, where riders convert to another mode of transportation before reaching their final destination.
High density, mixed use development is concentrated within ¼–½ mile from the Rosslyn, Court House and Clarendon Washington Metro stations (shown in red), with limited density outside that area.
Joint development as a form of transit-oriented development that is project specific, taking place on, above, or adjacent to transit agency/public property. It involves the common use of property for transit and non-transit purposes. Proximity to rail transit has been shown to enhance property values and can increase the opportunity for fostering community and development partnerships.The most common joint development arrangements are ground leases and operation-cost sharing. Most often, joint development occurs at rail stations surrounded by a mix of office, commercial, and institutional land uses. However, examples of public-private joint ventures can be found among bus-only systems as well, normally in the form of joint intermodal transfer and commercial-retail space at central-city bus terminals. This photo shows a joint development, involving Tri-Met as the lead agency and a private developer. TriMet provides public transportation in the Portland, Oregon, metropolitan area.More than $8 billion of new development has occurred in light rail station areas. A study of the station areas found that development occurring after light rail investment has an average development density or Floor Area Ratio (FAR) of 0.65 more than the average FAR for development outside of station areas. This means that for every 1,000 square feet of land area developed, station area taxlots realized an additional 650 square feet of building area. Low and moderate value lots within station areas redeveloped at twice the redevelopment rate reported for low value lots outside of station areas.TriMet has made land available for more than 350 affordable housing units.
The Safe, Accountable, Flexible, Efficient Transportation Equity Act of 2005: A Legacy for Users (SAFETEA–LU) enacted certain amendments to thedefinition of the term ‘‘capital project’’ relating to ‘‘joint development’’ activities by recipients of Federal funds under Federal transit law. Permits the FTA to issue public transportation grants ‘‘for the construction, renovation, and improvement of intercity bus and intercity rail stations and terminals,’’ including the construction, renovation, and improvement of commercial revenue-producing intercity bus stations or terminals.Enhances the ability of FTA grantees to work with the private sector and others for purposes of joint development.
construction of a commercial revenue-producing facility or a part of a public facility not related to public transportation are excluded.However, space in an FTA-funded facility may be made available for commercial revenue-producing activities and for connections torevenue producing activities. Noncommercial, non-revenue-producing aspects of commercial and residential developments may be eligible for FTA financial assistance.
Before becoming eligible for FTA funding, a joint development improvement must be approved by the FTA Regional Administrator, or designee, responsible for the project sponsor’s locality. Under Federal transit law, only FTA grantees may sponsor a joint development improvement. The steps are:Grantee submits proposal to FTA Region with joint development checklist FTA Region staff reviews Region staff approves If there are issues with the proposal, Region staff consults with HeadquartersRegional Administrator signs off on projectHawaii is part of Region 9 (San Francisco), which includes Arizona, California, Nevada, Guam, American Samoa, and the Northern Mariana Islands
The Project is a 20-mile grade-separated fixed guideway rail system that begins at the University of Hawai'i - West O'ahu near the future Kroc Center and proceeds east via Farrington Highway and Kamehameha Highway adjacent to Pearl Harbor to Aolele Street serving the Airport, to Dillingham Boulevard, to Nimitz Highway, to Halekauwila Street, and ending at Ala Moana Center. The entire system will operate in an exclusive right-of-way and will be grade-separated except in a location near Leeward Community College. The Project will include 21 transit stations, a vehicle maintenance storage facility near Leeward Community College, park-and-ride lots at some stations, traction power substations, and the acquisition of rail vehicles and maintenance equipment.
The Project will support development and redevelopment around stations by enhancing access and supplying a daily influx of transit riders and potential customers for businesses. Although the construction of the Project does not directly cause development to occur, land use plans and policies will encourage new development to be located near transit stations to take advantage of the transportation infrastructure and increased accessibility afforded by the Project. With the Project, approximately 60,000 additional residents and 27,000 new jobs will be located within walking distance of stations in 2030.Improves New Starts Score.
Transit Cooperative Research Program
Residential: Although limited, the mix of uses allowed in this district helps lay the groundwork for TOD. However, the lack of maximum lot size regulations could hinder higher density development near transit stations. The lack of maximum lot sizes may be especially inappropriate in the more developed areas of the corridor, such as Waipahu and Kalihi.Apartment: Both the Apartment and Apartment Mixed Use District allow for higher density and a greater mix of commercial and residential uses than allowed under the Residential District.Accordingly, these districts are more supportive of TOD than other residential districts. The allowance for horizontal mixing of uses within the Apartment Mixed Use District is especially supportive of TOD. Additionally, the goal of the Apartment Mixed Use District to lessen automobile dependency is supportive of both the Project and TOD.As with the Residential District, the lack of maximum lot sizes could hinder higher density development near transit stations.Locating parking areas at the rear of property lines is generally supportive of TOD.
Since the Business District does not allow residential uses, this designation is unsupportive of the mix of uses that are typical of TOD.The B-1 zone is unsupportive of TOD since it supports lower density commercial uses. B-1 zones are found within one-half mile of the Waipahu Transit Center and Aloha Stadium Stations.Since the Business District does not allow residential uses, this designation is generally unsupportive of the mix of uses that are typical of TOD.However, the B-2 zone is more supportive of TOD than B-1.
The Business Mixed Use designations are supportive of transit and TOD since they can include a variety of land uses that can be connected by walking.BMX-3 zones are located within one-half mile of the Middle Street Transit Center, Kalihi, Kapālama, Iwilei, Chinatown, Downtown, Civic Center, Kaka‘ako, and Ala Moana Center StationsBMX-4 zones are located within one-half mile of the following stations: Iwilei, Chinatown, Downtown, and Civic Center.
The Industrial-Commercial Mixed Use (IMX-1) District allows a mix of commercial and employment activities that are supportive of transit and TOD. The level of employment is a key determinant for the degree of transit support. The other Industrial Districts (I-1, I-2, and I-3) are generally not supportive of transit and TOD. However, many of these uses occur in areas with a strategic location to ports or other transportation facilities, such as Honolulu International Airport.
Three rail transit stations are planned for Downtown Honolulu. Downtown TOD Plan will guide development over the next 25 years. The recent February 2012 Framework Plan synthesizes feedback on the Emerging Vision articulated during the October 2011 workshops and advisory committee meetings.Community review and endorsement of the framework plan will provide direction for development of more detailed policies and standards.
Figure 3: Framework Plan Land Use illustrates proposed land use designations. The Downtown and Chinatown stations maintain mixed use designations, but the Iwilei station is transformed from its current industrial mixed use designation (which only permits incidental residential uses) to a new “Urban Mixed Use” designation which permits a wider range of uses, such as medium- and high-density residential, retail and office.Potential development values reflect a realistic level of development that can be expected from transit-oriented development over the next 20 to 30 years, based on an assessment of market data and real estate conditions. As part of this planning process, the consultants estimated that the market in the Downtown TOD Plan area could support +/- 6,000 new dwelling units, +/- 485,000 square feet of retail, and +/- 910,000 square feet of office.Downtown Mixed Use. Mixed-use development in the central business district allowing office, government, retail, and multi-family residential uses, as well as public/quasi-public facilities and open spaces. Assumptions: Max FAR 7.5, Typical FAR 4.5, Mixed Use Allocations 60% Residential/20% Retail/20% Office/R&D, Public/Open Space 12%
The Hawaii Community Development Authority (HCDA) is a State agency that was established to promote and coordinate public and private sector community development within boundaries set by the state legislature.The 1976 State Legislature created the HCDA to plan for and to revitalize urban areas in the State which lawmakers find to be in need of timely redevelopment. These areas, designated as “Community Development Districts”, were determined to be underused and deteriorating, but with the potential, once redeveloped, to address the needs of Hawaii’s people and to provide economic opportunities for the State. In creating the HCDA, the Legislature also designated the Kaka‘ako area of Honolulu as the Authority’s first Community Development District, recognizing its potential for increased growth and development and its inherent economic importance to Honolulu as well as to the State.In 2002, the Hawaii Community Development Authority has also assumed the role of redevelopment authority for the 3,700-acre Kalaeloa Community Development District (Kalaeloa).
The Kakaako Community Development District Mauka and Makai Area Plans and Rules are designed to guide the redevelopment of the area into a vibrant pedestrian-oriented urban community. The Mauka and Makai Area Plans establish the general redevelopment goals and objectives for each respective area, while the Mauka and Makai Area Rules specify regulations.
Existing accessibility to public transit and current walkability (Walk Score®) ratings make the site ideal fora mixed-use TOO project.HCDA authorized the Executive Director to Develop a TOD Plan and Rules Overlay for the Kakaako Community Development District. These regulations offer a greater deal of flexibility in terms of the scale, character, and mix of future development in the Civic Center and Kaka‘ako station areas.
HCDA expects to obtain site control by the end of 2012 from DLNR.approximately 2.17 acstransit stop near the Project on Halekauwila StreetTOD rules will be promulgatedAll major utilities availableProposal dues date currently, May 31, 2012
A “Context Sensitive Solutions” approach is guided by four core principles:Strive towards a shared stakeholder vision to provide a basis for decisions.Demonstrate a comprehensive understanding of contexts.Foster continuing communication and collaboration to achieve consensus.Exercise flexibility and creativity to shape effective transportation solutions, while preserving and enhancing community and natural environments.
Honolulu Rail: Land Use and Transit-Oriented Development (TOD)
The Seminar Group PresentsEminent Domain and Land Use in HawaiiMay 10, 2012 – Honolulu, HIPresentation byJesse K. Souki, Esq.
Director, Hawaii State Office of Planning Deputy Corporation Counsel for Rail Transit Project Deputy Corporation Counsel for County of Maui Planning Department and Commission Private sector land use and environmental law attorney (e.g., mixed-use residential, industrial, commercial, resort) I am a transit user. Hawaii Land Use Law and Policy, http://hilanduse.blogspot.com. 2
Definitions Examples FTA TOD and Transit Joint Development (TJD)Support City Related TOD State Related TOD Resources 3
“TOD/TJD, successful projects do not happen on their own, or just because government has invested public money into transit and other infrastructure. TOD and joint development projects succeed, most fundamentally, because there is a market for those types of development.“ 4
What is TOD?Transit-oriented development(TOD) is compact, mixed-usedevelopment near transit facilities Mixed-use developmentand high-quality walkingenvironments. The typical TODleverages transit infrastructure to Development that is close topromote economic developmentand smart growth, and to cater toshifting market demands and and well-served by transitlifestyle preferences. TOD isabout creating sustainable Development that is conducivecommunities where people of allages and incomes havetransportation and housing to transit ridingchoices, increasing locationefficiency where people can walk,bike and take transit. In addition,TOD boosts transit ridership andreduce automobile congestion,providing value for both thepublic and private sectors, whilecreating a sense of communityand place. 5
Location efficiency Rich mix of residential and commercial choices Value capture Place making Resolution of the tension between node and place 6
Aerial view of Rosslyn-Ballston corridor inArlington, VirginiaThis photo shows how TOD candirect growth and preservegreenspace.High density, mixed usedevelopment is concentratedwithin ¼–½ mile fromthe Rosslyn, CourtHouse and ClarendonWashington Metro stations(shown in red), with limiteddensity outside that area.With or without TOD,Honolulu’s population willincrease. 7
WashingtonMetropolitan Area TransitAuthority (WMATA)This is a map of the WMATA railsystem.Among other features, WMATAlinks the airport and AMTRAKinterstate rail to localcommuting infrastructure.Each station is a destination,with differing amounts ofresidential, business,commercial, and recreationalopportunities within walkingdistance from the stations andmajor universities.Expansion will include DullesInternational Airport and otherresidential/commercialcommunities primarilyaccessible by automobile. 8
Hong Kong MetroThis is a map of the Hong Kongrail system.Among other features, it linksthe airport and ferries to localcommuting infrastructure.Each station is a destination,with differing amounts ofresidential, business,commercial, and recreationalopportunities within walkingdistance from the stations.Tourists who visit Hong Kongare seldom required to use ataxi or bus to visit key touristsites, shopping, and fooddestinations. 9
Stadium StationApartments 10This photo shows a jointdevelopment, involving Tri-Metas the lead agency and aprivate developer. TriMetprovides public transportationin the Portland, Oregon,metropolitan area.•Joint development as a form oftransit-oriented developmentthat is project specific, takingplace on, above, or adjacent totransit agency/public property.•Proximity to rail transit hasbeen shown to enhanceproperty values and canincrease the opportunity forfostering community anddevelopment partnerships.•The most common jointdevelopment arrangements areground leases and operation-cost sharing.
FTA Guidance re eligibility of ‘‘joint development’’ improvements under 49 U.S.C. 5301 et seq. (SAFTETEA-LU). To ensure maximum benefit to the people who ride public transportation. Applies to a ‘‘capital project’’ defined under 49 U.S.C. 5302(a)(1)(G). Enhances the ability of FTA grantees to work with the private sector and others for purposes of joint development. 11
The public transportation improvement must Enhance economic development or incorporate private investment; Enhance the effectiveness of a public transportation project and relate physically or functionally to that public transportation project, or establish new or enhanced coordination between public transportation and other transportation; and provide a fair share of revenue for public transportation that will be used for public transportation. 12
Enhances Economic Development joint development improvement will add value to privately- or publicly funded economic development activity occurring in close proximity to a public transportation facility Incorporates Private Investment Private investment may be cash, real property, or other benefit to be generated initially or over the life of the joint development improvements. 13
Commercial and residential development Pedestrian and bicycle access to a public transportation facility Construction, renovation, and improvement of intercity bus and intercity rail stations and terminals Renovation and improvement of historic transportation facilities 14
Joint development improvements must be approved by the FTA Regional Administrator. Only FTA grantees (i.e., the City) may sponsor a joint development improvement. Execute Certificate of Compliance Joint Development Checklist Joint Development Agreement 15
The Project is a 20-mile grade-separated fixed guideway rail system that begins atthe University of Hawaii - West Oahu and ends at Ala Moana Center. It willoperate in an exclusive right-of-way and will be grade-separated except in alocation near Leeward Community College. The Project will include 21 transitstations and park-and-ride lots at some stations. 16
Improves Corridor Mobility The Project will substantially improve corridor mobility in the most highly congested corridor in the City Improves Corridor Travel Reliability Predictable travel time for transit riders will increase substantially as trips are moved from buses operating on streets in mixed traffic and congested freeways to the fixed guideway Support for Transit Oriented Development Project will support development and redevelopment around stations Improves New Starts Score Improves Transit Equity Project will connect areas that have the highest transit dependency 17
Comprehensive plans that utilize a combination of zoning, public improvements, development financing packages, and effective marketing programs Planning directly responds to the needs of the surrounding community Pedestrian-Friendly Infrastructure Parking Management and Shared Parking Zoning that includes overlay districts, use controls, building standards and requirements for pedestrian amenities Expedited Development Review Successful Demonstration Projects Public Assistance 18
Revised Ordinances of Honolulu (ROH) Chapter 21 City Council approves zone changes and new special districts City’s Department of Planning and Permitting is the land use permitting agency Current zoning tends to not maximize full development potential of the station areas Development standards tend to favor auto use and auto-oriented development (e.g., strip malls, surface parking lots) at the expense of pedestrians, bicyclists and transit riders 19
Agricultural Districts Agriculture uses – much of the agricultural land along the alignment is planned for future development Residential Districts Residential with supporting non-residential uses allowed by CDU permit – no max. lot size Apartment and Apartment Mixed Use Residential and commercial in keeping with residential apartment area 20
Business District B-1 Neighborhood Districts ▪ Do not allow residential uses as part of the mix ▪ Unsupportive of the mix of uses that are typical of TOD B-2 Business Community Districts ▪ Do not allow residential uses as part of the mix ▪ Community-wide business establishments, serving several neighborhoods and offering a wider range of uses than is permitted in the B-1 District ▪ Generally unsupportive of the mix of uses that are typical of TOD 21
Business Mixed Use District BMX-3 and BMX-4 Districts ▪ Mixtures of commercial and residential uses, occurring vertically and horizontally ▪ Open space bonuses BMX-4 Central Business Mixed Use District ▪ Intended for downtown area mixes of financial, office, governmental, and housing activities Business Mixed Use designations are supportive of transit and TOD 22
Industrial Districts Range of land-intensive uses Limited business activates that directly support industrial uses I-1 Limited Industrial District I-2 Intensive Industrial District I-3 Waterfront Industrial District Industrial-Commercial Mixed Use (IMX-1) District Allows a mix of commercial and employment activities that are supportive of transit and TOD 23
Ordinance 09-4 ROH § 21-9.100 requires the formation of “special districts” around rail transit stations ROH § 21-9.100 (c) creates a “TOD zone” comprised of land parcels around each station Parcels within 2,000 feet of a transit station 24
TOD development regulations shall be created to foster and encourage TOD and redevelopment of each TOD zone TOD development regulations minimum requirements Neighborhood TOD Plan May include one or more stations After January 2012, Council may establish TOD zones and TOD development regulations without TOD Plans 25
Minimum Considerations Overall economic revitalization, neighborhood character, and unique community historic architecture Architectural and community design principles, open space requirements, parking standards, and other modifications to existing zoning requirements Affordable housing opportunities Gentrification issues Financing opportunities that should be pursued Population, economic, market and infrastructure analysis Community Involvement Consistent with the applicable regional development plan, special area plan, or community master plan Approved by Council resolution 26
Council approves Neighborhood TOD Plan DPP submits TOD Zones and Development Regs ordinance to planning commission Planning Commission reviews and makes recommendations to Council Council adopts TOD special district ordinance Development plans may need to be amended 27
Mix of land uses and affordable housing Density and building height limits Elimination or reduction of the number of required off-street parking spaces Design provisions that encourage use of transit and other non- auto forms of transport Building/parking/bicycle parking guidelines Identify/protect/enhance important historic, scenic, and cultural landmarks Human-scale architectural elements Landscaping requirements that enhance the pedestrian experience, support station identity, and complement adjacent structures Incentives and accompanying procedures to encourage TOD 28
Aiea-Pearl City Neighborhood TOD Plan Leeward Community College, Pearl Highlands, Pearlridge Downtown Neighborhood TOD Plan Iwilei, Chinatown, Downtown East Kapolei Neighborhood TOD Plan East Kapolei, UH West Oahu, Hoopili Kalihi Neighborhood TOD Plan Middle Street, Kalihi, Kapalama Waipahu Neighborhood TOD Plan West Loch, Waipahu 29
DowntownNeighborhood TODPlan•Three rail transit stations areplanned for DowntownHonolulu.•Downtown TOD Plan will guidedevelopment over the next 25years.•The recent February 2012Framework Plan synthesizesfeedback on the EmergingVision articulated during theOctober 2011 workshops andadvisory committee meetings.•Community review andendorsement of the frameworkplan will provide direction fordevelopment of more detailedpolicies and standards. 30
Created in 1976 to plan HCDA regulates and implements the redevelopment of community development districts (CDD) throughout the state Kaka‘ako was designated the first CDD – to develop/redevelop “underdeveloped and underutilized” property Kaka‘ako and Civic Center Stations fall within Kaka‘ako CDD 32
Kaka‘ako MakaiBoundaryBoundary set by the statelegislature.The Kaka‘ako CommunityDevelopment District Maukaand Makai Area Plans and Rulesare designed to guide theredevelopment of the area intoa vibrant pedestrian-orientedurban community.The Mauka and Makai AreaPlans establish the generalredevelopment goals andobjectives for each respectivearea, while the Mauka andMakai Area Rules specifyregulations. 33
RFP Issued January 2012 Proposal Due Date August 31 , 2012 (as of May 7, 2012) Must be consistent with Draft Mauka Area Plan and Rules Financed and constructed by a private developer(s) Mixed-use TOD project Public-private partnership elements HCDA is developing a TOD Plan and Rules Overlay for the Kaka‘ako CDD, which will apply to future development 34
Project Location•HCDA expects to obtainsite control by the end of2012 from the Departmentof Land and NaturalResources•Approximately 2.17 acs•Transit stop near theProject on HalekauwilaStreet•Future TOD rules will apply•All major utilities available 35
Affordable for sale and/or rental housing units Market for sale residential units Minimum 25,000 s.f. civic space Community space for multi-purpose uses Minimum 30,000 s.f. of commercial space 30,000 s.f. for business incubation space is intended to be operated by the State 30% open space on grade TOD Overlay ratios of 1 per unit (Market); and 0.5 per unit (affordable). Preference for robotic parking. Exterior Space for a Bike Share Station Green Roof/Roof Garden Broadband Infrastructure Context Sensitive Solutions & Complete Streets Programming 36
Lesa Rair, Rising Gas Prices Mean Transit Riders Save Money While Car Drivers Empty Their Wallets, American Public Transportation Association, Feb. 23, 2012, at http://www.apta.com/mediacenter/pressreleases/2012/Pages/120223_TransitSavingsReport.aspx. Transit-Oriented and Joint Development: Case Studies and Legal Issues, Transit Cooperative Research Program, Aug. 2011, at http://onlinepubs.trb.org/onlinepubs/tcrp/tcrp_lrd_36.pdf. Policy, Planning, & Major Projects Station Area Planning -Transit-Oriented Development Case Studies, City of Seattle, at http://www.seattle.gov/transportation/ppmp_sap_todstudies.htm. Review of Current City and State Ordinances Honolulu High-Capacity Transit Corridor Project, City & County of Honolulu, Aug. 2011, at http://www.honolulutransit.org/media/80437/20110801-Review-of-Current-City-and- State-Ordinances-HHCTCP.pdf. Request for Proposals - 690 Pohukaina Transit-Oriented Development Project, Haw. Community Devel. Authority, at http://hcdaweb.org/request-for-proposals-690-pohukaina-transit-oriented-development-project. Joint Development, FTA, at http://www.fta.dot.gov/about_FTA_11009.html. Record of Decision on the Honolulu High Capacity Transit Corridor Project in Metropolitan Honolulu, Hawaii by the Federal Transit Administration, FTA, Jan. 18, 2011, at http://www.honolulutransit.org/media/7351/20110701-rod- and-transmittal-ltr-signed-dated-01182011.pdf. Revised Ordinances of Honolulu 1990 § 21-9.100, available at http://www1.honolulu.gov/council/ocs/roh/rohchapter21art79.pdf. Downtown & Kalihi Draft TOD Framework Plans, City & County of Honolulu, Feb. 2012, at http://honoluludpp.org/planning/TOD/NBPlans/Kalihi_Downtown_FrameworkPlan.pdf. Jesse K. Souki, TOD, TAD, TAJ: Transit Development Alphabet Soup, Haw. Land Use Law & Policy, Oct. 29, 2011 at http://hilanduse.blogspot.com/2011/10/tod-tad-taj-transit-development.html. Jesse K. Souki, Transit Oriented Development and Affordable Housing, Haw. Land Use Law & Policy, Jan. 7, 2009 at http://hilanduse.blogspot.com/2009/01/transit-oriented-development-and.html. 37