Employing land value capture in urban rail transit public private partnerships: Retrospective analysis of Delhi's airport metro express

Authors

Xinjian Li
Peter E.D. Love

Document Type

Journal Article

Publication Date

2019

Subject Area

place - asia, place - urban, mode - subway/metro, mode - rail, ridership - forecasting, ridership - demand, organisation - privatisation, economics - finance, economics - value capture

Keywords

Public-private partnership, Demand forecast, Finance, Land value capture, Rail

Abstract

The employment of Land Value Capture (LVC) has been widely considered as a financial mechanism that can ensure the economic viability of Urban Rail Transit (URT) systems that are procured using a Public-Private Partnerships (PPP). In this paper, we conduct a retrospective analysis of Delhi's Airport Express Rail Line that was procured using a PPP in conjunction with LVC. We provide insights into the issues that stymied its development and operation, specifically focusing on its: (1) over-optimistic transit demand forecast; (2) aggressive bidding; and (3) underestimating the LVC's contribution to the project's viability. The new knowledge that we present is then used to provide recommendations for policy-makers to reflect upon before considering URT PPPs in combination with LVC.

Rights

Permission to publish the abstract has been given by Elsevier, copyright remains with them.

Comments

Research in Transportation Business & Management Home Page:

http://www.sciencedirect.com/science/journal/22105395

Recommended Citation

Li, X., & Love, P.E.D. (2019). Employing land value capture in urban rail transit public private partnerships: Retrospective analysis of Delhi's airport metro express. Research in Transportation Business and Management, Vol. 32, 100431.