Gateway Effect Report ReleasedMay 30, 2006
The Gateway Effect Research Report on the Impact of Transportation Improvements on Lower
Vancouver, BC — May 30, 2006 — The Real Estate Investment Network (REIN) is pleased to release a research report entitled The Gateway Effect detailing the impact of the Gateway Project’s transportation improvement projects on real estate in the Lower Mainland and Fraser Valley. The report’s authors estimate the benefit to be in the range of 10%–20% for six key areas.
Their research has found that Maple Ridge/Pitt Meadows is the number one region positioned to benefit from these transportation improvements. This region is followed by (2) North Langley/Fort Langley/Abbotsford; and (3) Port Moody/Coquitlam. Secondary benefits will be felt by (4) Surrey/Delta; (5) Mission/Chilliwack; and (6) properties located along the Canada Line Rapid Transit line in Vancouver/Richmond.
“With four new transportation arteries being constructed, real estate values in the Maple Ridge and Pitt Meadows area will benefit the most from the transportation improvement projects being initiated in the Gateway Project,” said Don Campbell, the report’s lead author and president of the Real Estate Investment Network. “Overall, we project a 10%–20% general benefit in the six areas most directly affected by these transportation improvement programs as congestion is reduced and access is improved.”
“People need to understand that commute and travel distances are now measured in minutes, not kilometres,” adds Campbell, who is author of the best-selling Real Estate Investing in Canada. “If you can reduce commute and travel times to and from an area, you make that area much more desirable as a place to live. That’s the Gateway Effect.”
The Gateway Effect report reviews the peer-reviewed academic research that has been conducted on the impact of light rail, highway expansion, bridge development and expansion, and road improvements in other parts of the world. It also reviews the impact of eight component transportation projects as part of the Gateway transportation project.
These are: the Canada Line and Evergreen Line rapid transit expansions, the new south and north Fraser Perimeter roads, the twinning of the Port Mann bridge, the expansion and widening of the HOV lanes on Highway 1 to Langley, the new Pitt River Bridge and Maryhill Bypass, and the Golden Ears Bridge construction from Maple Ridge to Langley.
“There’s a well-established urban legend that roads and bridges help boost real estate values, but no one has ever really thoroughly investigated this,” said Russell Westcott, the report’s co-author, and general manager and research analyst for REIN. “Our research into the published peer-reviewed studies conducted around the world provides an interesting confirmation of this effect. We were able to utilize those studies to help us determine which areas of Greater Vancouver would benefit most from the proposed transportation projects.”
“It’s been a long time since significant improvements to transportation have been made in Southwestern B.C.,” adds Campbell. “These projects will unleash the inherent value in these markets so that, in the future, these Gateway areas will outperform the rest. If the market goes up everywhere, these areas will increase about 10%–20% more. If the values everywhere drop, these will drop by 10%–20% less. While there are many important fundamentals to consider when buying principal or investment property, there is now little doubt from our research that transportation is one of the most critical factors to keep in mind.”
The Gateway Effect report is available free to the public upon request by emailing the Real Estate Investment Network at email@example.com
About the Real Estate Investment Network
The foundation of REIN’s work is research and analysis of current real estate trends and patterns, which the company then disseminates to its members through regular seminars in Toronto, Vancouver, Ottawa, Calgary and Edmonton, and via research reports that detail current and emerging trends. REIN’s primary purpose is to provide expert assistance to its members and all Canadians to assist them in making sound decisions about purchasing principal residence, and investment/recreational real estate. REIN does not sell or market real estate to its members or the general public, but instead conducts objective and unbiased research, analysis and investor education. This Gateway Report is one such educational report, as are books such as the bestselling Real Estate Investing in Canada (2005) and 97 Tips for Canadian Real Estate Investors (2006).
For more information, please contact Melanie Tennant at (604) 856-2825 or firstname.lastname@example.org.