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Transit-Oriented Development in the StatesThe aging of America also points to a need for more transportation options. Today, 13 percent of Americans are over age65; by 2030, people over age 65 will make up nearly 20 percent of the nation’s population, a total of approximately 72million. 11 These older adults will require travel alternatives, since one in five people over age 65 do not drive. 12 Researchhas shown that non-drivers over age 65 who live in more densely populated areas with more transit options are morelikely to use transit and less likely to stay home on a given day because they can get to needed services such as doctorappointments and grocery stores. 13Consumers increasingly want to live and work in walkable communities that offer transportation choices. A recent NationalAssociation of Realtors survey found that 77 percent of respondents wanted to live in pedestrian-friendly neighborhoods,and 50 percent favored transit improvements over other options. 14 In addition, 60 percent of respondentswere willing to live in a smaller house if it meant their commute would take less than 20 minutes. 15 An assessment ofwalkability’s effect on housing prices found a positive correlation between a walkable environment and increased homevalues in 13 of 15 markets included inthe survey. 16 It is no surprise that livingnear transit seems to encourage moretransit ridership, as noted by a Caltransfundedreport of TODs in California thatfound, “Residents living near transit stationsare around five times more likely tocommute by transit as the average residentworker in the same city.” 17Affordability also plays a significant rolein this trend. The 2012 Emerging Trendsin Real Estate report notes that, “Livingsmaller, closer to work, and preferablynear mass transit holds [increasing]appeal as more people look to manageexpenses wisely.” 18 Estimates indicatethat an individual can save more thanSource: Reconnecting America.$10,000 per year by riding public transitinstead of driving, and transit use rose with gas prices throughout 2011. 19 Potentially higher housing costs in areas nearemployment centers can be offset by lower transportation costs, with the additional benefit of avoiding long commutesin congested traffic. 20 According to the Center for Neighborhood Technology’s (CNT) Housing + Affordability Index,transportation costs account for only 9 percent of household costs in a transit-rich neighborhood, opposed to 25 percentfor households in an auto-dependent neighborhood. 21 The Index also found that, since 2000, transportation costs roseby more than $3,900 annually for families in more auto-dependent communities, compared to $1,400 annually in morewalkable, transit-supportive settings. 22The demand for transit access also is eliciting interest from developers, regional groups and city officials who hope toencourage economic development. Since a Portland, Ore., streetcar line was built in 2001, for example, 10,000 housingunits and 5.4 million square feet of office and retail space have been built within two blocks of the line, with total investmentsof $3.5 billion. 23 A Denver study also found that renters would pay an average of 4 percent more for units nearlight rail stops, and that developers have been paying about 25 percent more for land within a quarter-mile of rail stops. 24National Conference of State Legislatures | 2