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Following rapid growth Addis Ababa is experiencing traffic congesting, urban sprawl, farmland conversion and environmental degradation. Addis Ababa LRT (AA- RT) has been envisioned to mitigate these problems by connecting four corners of the city to the Central Business District (CBD) however faced with enormous challenges mainly related to lack of finance to sustain operation. As a remedial measure the city Administration is considering Transit Oriented Development (TOD) as an alternative to overcome the challenges as well as fight the negative effect of the problems by reshaping transport and land use pattern in a sustainable manner. Even though TOD concept has helped many cities around the world detail investigation is should be performed and stockholders should be equipped with adequate knowledge in advance TOD planning and implementation. Since TOD concept is entwined with effective, efficient, fast and frequent transit, evaluating the performance of AA-LRT effectiveness is crucial. The objective of this research is to assess the significance of AA-LRT in improving the public transport system by analyzing the modal share among other public transport; analyzing stations efficiency, and analyze operational efficiency that would eventually give understanding about current situation of AA-LRT. The methodology involves collecting secondary data from relevant office and analyze statistically. The result revealed that modal share of AA-LRT among other public transport is 6%; all stations accommodate less number of passengers than designing and operational efficiency decreasing year after year.
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