Preliminary study on transit-induced residential gentrification in Nagoya, Japan

Abstract

The transit-induced residential gentrification caused by two urban rail transit lines in Nagoya, Japan is investigated individually. The difference-in-differences model, a quasi-experimental model, is used to explore the possible causal relationship between rail investments and residential gentrification. Two rail transit lines, which consist of subway and elevated railways, began operation in the same year and during a period of economic downturn. Investigations reveal that these rail transit lines located in different areas have achieved their own geographic scales of influence. Furthermore, the results show that the rail transit line located at the center of Nagoya causes a significant change in the household income of nearby neighborhoods, while evidence of transit-induced residential gentrification is not found for the suburb of Nagoya.

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