I’ve long been an advocate of high-density transit oriented development. I’m just not the suburban type, I suppose. But new findings correlating environmental research with economic research are now yielding some interesting concepts and ideas for environmentalists and distressed homeowners alike. So I ask you this question:

What do foreclosure rates and global warming share with one and other?

Here’s the proposed answer– Both are negatively impacted by car ownership.

Car ownership? Well, what does that have to do with high-density living transit hubs? Let’s address the concept to start. President Obama has been promoting “livability”. Essentially, he’s trying to urge more development in areas where people walk, instead of drive.

To illustrate this a bit more, imagine an area with smaller houses and smaller yards, where a good commuter rail system is steps away from your front door and you could walk half a block to find a dry-cleaners. It’s master-planned urban living, with a focus on efficient public transit. President Obama and the Enivornmental Protection Agency are in such favor of these developments that they’ve set aside $100 million to promote “location efficiency” across America.

Are these sustainable developments the answer to two of our major problems– the economy and the environment?

Indeed, the number of distressed homeowners could be greatly decreased by eliminating the same evil that plagues the environment. Or so says a recent study conducted by the Natural Resources Defense Council. 

Essentially, the study shows a direct relationship with transportation costs and mortgage foreclosures.  The higher the transportation costs in a city, the higher the rate of distressed homeowners foreclosing.  In fact, the study says that the real cost of housing is a combination of transportation costs and mortgage costs.

This research speaks volumes on the efficiency of public transportation as an indicator of insolvency within a community.

The study focused on areas within San Francisco, Jacksonville and Chicago, taking into account mortgage information as well as other social and demographic indicators such as neighborhood conditions, automobile ownership and incomes.  In each of the three cities, research found that the rate of foreclosure by distressed homeowners increased with automobile ownership.   

Is public transportation the answer to our environmental and economic woes?  Can we kill both birds with the same stone? 

As mentioned above, earlier this year, President Barack Obama proposed a major public transportation policy shift.  The Obama administration announced that it would determine project funding based on which projects would promote livability.  This could be great news for the proponents of high-density living transit hubs, which would essentially create small ”walking” community developments near major public transportation stations.   

As the economy slowly comes to its feet again, numerous other initiatives will be implemented within the area of public transportation.  While the NRDA’s study focuses largely on the environment, we could soon start to see the positive economic and social implications of environmental policy reform.  The NRDA research study could soon be put to the test.  If the study is accurate in its research, perhaps we could begin to see a shift in transportation habits and the rise of high-density living projects. 

And perhaps we could begin to see fewer distressed homeowners and less foreclosures.  

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