Economic Benefits of Bicycling
Content
Economic Benefits of Bicycling
in Urban Environments
www.marinbike.org
Relevance to the Marin Bicycle Network
Marin County, California is home to some of the best bicycling in the country. Over
the past ten years, the Marin County Bicycle Coalition has been working to expand
and enhance the bicycle network within the County. Marin County has seen a 118%125% increase of bicycling over the last 10 years due to bicycle infrastructure
improvements such as pathways, bike lanes, shared use lanes, intersection
improvements and bicycle parking. It is well documented through research that
improved infrastructure results in new riders, and an increase of bicycle traffic near
local businesses brings additional customers that may not previously have been on
the road in that area due to poor or non-existent bicycling infrastructure.
Reduced Health Costs/Increased Health Benefits
The positive effects of bicycling are well known and have been extensively
documented, especially within the public health sector. Health professionals tout
that regular bicycling can have significant impacts on a person’s well being, leading
to weight loss, lowered blood pressure, increased strength and mobility, and
ultimately lower healthcare costs both to individuals and society.
Bicyclists Spend Money
In addition, research on economic benefits, by Rutgers Universityi, University of
California Davisii, University of Minnesotaiii, University of Coloradoiv, University of
Michiganv, the National Bicycle Tour Directors Associationvi, Local Government
Commissionvii and numerous state Departments of Transportationviii, ixx, xi all echo
these basic findings: bicyclists riding through a town will stop and spend money.
The Rails-to-Trails Conservancy (www.railstotrails.org) has demonstrated that repurposing abandoned rail lines into bicycling and walking trails increases tourism
dollars spent in each community through which the trail passesxii, xiii, xiv. In addition,
the International Mountain Biking Association (IMBA) (www.imba.org), and the
Bikes Belong Coalition (www.bikesbelong.org) have both conducted studies
concluding that are positive economic impacts to communities when bicycling
increasesxv.
For example, the Rails-to-Trails Conservancy cites many examples from all over the
country, such as:
•
•
•
•
Trails and bikeways in Pittsburgh, PA contributing significantly to downtown
revitalization, including millions of dollars in economic development.
After opening of a bikeway in Leadville, CO, the city reported a 19% increase
in sales tax revenue.
The average cyclist that stops to eat spends nearly $18 in Ohio, $23 in
Colorado, and $34 in California.
A study xi of property values along the Mountain Bay Trail in Brown County,
Wisconsin shows that lots adjacent to the trail sold faster and for an average
of 9 percent more than similar property not located next to the trail.
One factor repeatedly cited by studies is that
bicycling is an activity that occurs on a “human
scale” – that is, at a speed that allows the
cyclists to take in their surroundings and
interact with their environment. Within an
urban area, this means that cyclists will
frequently stop to shop, investigate, and/or
discover the area that they are in. Inevitably,
this leads to more money being spent within a
community.
For example, in communities that have bicycle
facilities within a commercial area, the types of
establishments that could experience financial
benefits include:
•
•
•
•
•
•
•
Convenience and drug stores where
commuters can pick up items on their
way to and from work, or while running errands
Entertainment establishments within a couple miles of the main bicycle route
– such as movie theaters or venues with live music
Food and drink establishments, especially those offering quick and nutritious
meals
Coffee houses and bakeries for quick and pick-me-up snacks
Bicycle retail outlets for sales and repairs
Lodging facilities within two miles of the main bicycle route, through bicycle
tourism
Boutique stores
Communities such as Portland Oregon, Madison Wisconsin, and Davis California
have all seen the economic benefits of bicycling.
•
In Portland OR, cyclists spend more time and money in the downtown area,
as noted by the Bicycle Transportation Alliance. Downtown shoppers report
•
•
•
feeling less pressed for time due to worries about time remaining on parking
meters or hourly rates at parking garages.
Madison, WI strategically placed bike racks outside many of their businesses
in the downtown area and saw a 3% overall increase in sales tax revenues in
the areas where they deployed the new bike racks.
Davis CA shops command a rent premium along major cycling routes because
they bring in so much business.
In a 2002 survey of recent homebuyers sponsored by the National
Association of Realtors and the National Association of Home Builders, trails
ranked as the second most important community amenity out of a list of 18
choices.xi
In conclusion, bicyclists, like motorists, need good infrastructure to help support
them. The types of needs include adequate bicycle parking, and safe and convenient
roadway infrastructure to create an interconnected bicycle network of bike lanes,
paths and routes. Creating such a system will result in economic benefits for local
communities in the form of increased customers for businesses, higher sales tax
revenues from new purchases, and increases in property values. As such, when
decisions need to be made about land use and transportation infrastructure, it’s
important to note that bicycling brings business.
End Notes
i "Socioeconomics of Urban Travel: Evidence from the 2001 National Household Travel Survey,"
Transportation Quarterly, Vol. 57, No. 3, summer 2003, pp. 49-78. (with John Renne).
ii http://stc.ucdavis.edu/research/
iii http://www.lrrb.org/pdf/200450.pdf
iv http://www.americantrails.org/resources/economics/biketourismcolo.html
v Antonakos, Cathy. (1993). Environmental and Travel Preferences of Cyclists. University of Michigan
Doctoral Thesis.
vi Personal conversations between 2004 and 2005.
vii Better Models For Development in California: Ideas for Enhancing Small Towns and Suburban
Communities, By: Edward T. McMahon with Shelly Mastran; Published by The Conservation Fund
and Local Government Commission
viii http://www.ncdot.org/transit/bicycle/safety/safety_economicimpact.html
ix www.dot.wisconsin.gov/business/econdev/docs/impact-bicycling.pdf
x www.maine.gov/mdot/opt/pdf/biketourismexecsumm.pdf
xi http://www.railstotrails.org/resources/documents/resource_docs/tgc_economic.pdf
xii Economic Benefits of Trails and Greenways, published by the Rails to Trails Conservancy
xiiihttp://www.railstotrails.org/resources/documents/whatwedo/TrailLink%2007%20program_Economic%2
0Develop.pdf
xiv http://www.railstotrails.org/whatwedo/trailadvocacy/ATFA/index.html
xv http://www.bikesbelong.org/economicstats
in Urban Environments
www.marinbike.org
Relevance to the Marin Bicycle Network
Marin County, California is home to some of the best bicycling in the country. Over
the past ten years, the Marin County Bicycle Coalition has been working to expand
and enhance the bicycle network within the County. Marin County has seen a 118%125% increase of bicycling over the last 10 years due to bicycle infrastructure
improvements such as pathways, bike lanes, shared use lanes, intersection
improvements and bicycle parking. It is well documented through research that
improved infrastructure results in new riders, and an increase of bicycle traffic near
local businesses brings additional customers that may not previously have been on
the road in that area due to poor or non-existent bicycling infrastructure.
Reduced Health Costs/Increased Health Benefits
The positive effects of bicycling are well known and have been extensively
documented, especially within the public health sector. Health professionals tout
that regular bicycling can have significant impacts on a person’s well being, leading
to weight loss, lowered blood pressure, increased strength and mobility, and
ultimately lower healthcare costs both to individuals and society.
Bicyclists Spend Money
In addition, research on economic benefits, by Rutgers Universityi, University of
California Davisii, University of Minnesotaiii, University of Coloradoiv, University of
Michiganv, the National Bicycle Tour Directors Associationvi, Local Government
Commissionvii and numerous state Departments of Transportationviii, ixx, xi all echo
these basic findings: bicyclists riding through a town will stop and spend money.
The Rails-to-Trails Conservancy (www.railstotrails.org) has demonstrated that repurposing abandoned rail lines into bicycling and walking trails increases tourism
dollars spent in each community through which the trail passesxii, xiii, xiv. In addition,
the International Mountain Biking Association (IMBA) (www.imba.org), and the
Bikes Belong Coalition (www.bikesbelong.org) have both conducted studies
concluding that are positive economic impacts to communities when bicycling
increasesxv.
For example, the Rails-to-Trails Conservancy cites many examples from all over the
country, such as:
•
•
•
•
Trails and bikeways in Pittsburgh, PA contributing significantly to downtown
revitalization, including millions of dollars in economic development.
After opening of a bikeway in Leadville, CO, the city reported a 19% increase
in sales tax revenue.
The average cyclist that stops to eat spends nearly $18 in Ohio, $23 in
Colorado, and $34 in California.
A study xi of property values along the Mountain Bay Trail in Brown County,
Wisconsin shows that lots adjacent to the trail sold faster and for an average
of 9 percent more than similar property not located next to the trail.
One factor repeatedly cited by studies is that
bicycling is an activity that occurs on a “human
scale” – that is, at a speed that allows the
cyclists to take in their surroundings and
interact with their environment. Within an
urban area, this means that cyclists will
frequently stop to shop, investigate, and/or
discover the area that they are in. Inevitably,
this leads to more money being spent within a
community.
For example, in communities that have bicycle
facilities within a commercial area, the types of
establishments that could experience financial
benefits include:
•
•
•
•
•
•
•
Convenience and drug stores where
commuters can pick up items on their
way to and from work, or while running errands
Entertainment establishments within a couple miles of the main bicycle route
– such as movie theaters or venues with live music
Food and drink establishments, especially those offering quick and nutritious
meals
Coffee houses and bakeries for quick and pick-me-up snacks
Bicycle retail outlets for sales and repairs
Lodging facilities within two miles of the main bicycle route, through bicycle
tourism
Boutique stores
Communities such as Portland Oregon, Madison Wisconsin, and Davis California
have all seen the economic benefits of bicycling.
•
In Portland OR, cyclists spend more time and money in the downtown area,
as noted by the Bicycle Transportation Alliance. Downtown shoppers report
•
•
•
feeling less pressed for time due to worries about time remaining on parking
meters or hourly rates at parking garages.
Madison, WI strategically placed bike racks outside many of their businesses
in the downtown area and saw a 3% overall increase in sales tax revenues in
the areas where they deployed the new bike racks.
Davis CA shops command a rent premium along major cycling routes because
they bring in so much business.
In a 2002 survey of recent homebuyers sponsored by the National
Association of Realtors and the National Association of Home Builders, trails
ranked as the second most important community amenity out of a list of 18
choices.xi
In conclusion, bicyclists, like motorists, need good infrastructure to help support
them. The types of needs include adequate bicycle parking, and safe and convenient
roadway infrastructure to create an interconnected bicycle network of bike lanes,
paths and routes. Creating such a system will result in economic benefits for local
communities in the form of increased customers for businesses, higher sales tax
revenues from new purchases, and increases in property values. As such, when
decisions need to be made about land use and transportation infrastructure, it’s
important to note that bicycling brings business.
End Notes
i "Socioeconomics of Urban Travel: Evidence from the 2001 National Household Travel Survey,"
Transportation Quarterly, Vol. 57, No. 3, summer 2003, pp. 49-78. (with John Renne).
ii http://stc.ucdavis.edu/research/
iii http://www.lrrb.org/pdf/200450.pdf
iv http://www.americantrails.org/resources/economics/biketourismcolo.html
v Antonakos, Cathy. (1993). Environmental and Travel Preferences of Cyclists. University of Michigan
Doctoral Thesis.
vi Personal conversations between 2004 and 2005.
vii Better Models For Development in California: Ideas for Enhancing Small Towns and Suburban
Communities, By: Edward T. McMahon with Shelly Mastran; Published by The Conservation Fund
and Local Government Commission
viii http://www.ncdot.org/transit/bicycle/safety/safety_economicimpact.html
ix www.dot.wisconsin.gov/business/econdev/docs/impact-bicycling.pdf
x www.maine.gov/mdot/opt/pdf/biketourismexecsumm.pdf
xi http://www.railstotrails.org/resources/documents/resource_docs/tgc_economic.pdf
xii Economic Benefits of Trails and Greenways, published by the Rails to Trails Conservancy
xiiihttp://www.railstotrails.org/resources/documents/whatwedo/TrailLink%2007%20program_Economic%2
0Develop.pdf
xiv http://www.railstotrails.org/whatwedo/trailadvocacy/ATFA/index.html
xv http://www.bikesbelong.org/economicstats
