The goal of TOD areas is to create compact , livable communities near transit hubs such as train stations and bus exchanges . Local governments are required to allow minimum density requirements which vary based on the type of community and proximity to transit stations .
This approach aims to increase housing supply while promoting sustainable , transit-oriented lifestyles . The specific housing types may vary depending on local context and market demands , but the overall trend is towards higher-density residential options in these areas . In British Columbia , the new legislation has established different density and height allowances within an 800m radius of rapid transit stations .
Breakdown of density and height allowances that is permitted :
1 . Within 0-200 metres of the station : Minimum 20 storeys in height Minimum Floor Area Ratio ( FAR ) of 5.0
2 . Within 201-400 metres of the station : Minimum 12 storeys in height Minimum FAR of 4.0
3 . Within 401-800 metres of the station : Minimum 8 storeys in height Minimum FAR of 3.0
For bus exchanges , the TOD area extends to a 400-meter radius with slightly different requirements :
1 . Within 0-200 metres : Minimum 10 storeys in height Minimum FAR of 3.5
2 . Within 201-400 metres : Minimum 6 storeys in height Minimum FAR of 2.5
It ’ s important to note that these are minimum requirements , and municipalities can allow for greater densities and heights in these areas .
Additionally , the legislation eliminates minimum vehicle parking requirements for new residential developments within these TOD areas to encourage transit use and reduce project costs . Most developers will tell you that restrictive parking requirements are the death knell of many projects so by removing this obstacle developers can achieve higher density with lower costs .
The key to the above is that developers now have certainty as to what can be developed on a site that meets the above criteria . They can also move quickly as the lengthy process of rezoning and looking for variances particularly pertaining to parking has been eliminated .
Besides just creating more housing supply the increase in supply will also help to stabilise the cost of housing in traditionally hot housing markets . The only way to stabilise the cost of housing is to create a healthier ratio of supply vs demand and I believe that reforms such as the above will go way further in achieving that than any other affordable housing reforms currently on offer .
Jason Lee is a property investor , developer , and author now based in Vancouver , BC , Canada . He invests in multi-million rand property deals in South Africa and Canada . He is also a best-selling author of 4 Property Investment books in South Africa .
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