Bike and nature lovers surely appreciate Citi Bike, New York City's bike sharing system which has made possible by a real estate company keeping it alive. No, despite the name it carries and the amount of money it shells out as sponsor, it is not owned by Citibank.
Fast Company reports that Citi Bike is managed by NYC Bike Share LLC, a wholly owned subsidiary of Motivate, an entity that is focused only on operating large-scale bike-share systems. A deeper look would tell you that it is owned by one of the country's largest real estate investors.
The acquisition of the bike sharing was company was not an easy one but in a nutshell, Bikeshare Holdings (originally named REQX Bikeshare Holdings, purchased it in October 2014. As Fast Company puts it, "To cut out the layers of legal entities and put in practical terms, three investors-two with ties to real estate firm Related Companies-now owned the company that operated bike sharing programs in nine major cities, including New York (today it operates programs in 11 cities)."
Fast Company adds that the system carries a promise of a more ecological and easily reached cities, not to mention healthier city dwellers. In addition, and perhaps one of the biggest factor is the chance of raising property values.
"As cities do well," Related CEO Jeff Blau sad, "We do well."
A study published last year in the journal Transport Policy indicated that home values in central Montreal increased on average 2.7%-$8,650 on average-after it has launched its own bike sharing system.
Ahmed El-Geneidy, the study's lead author said to Science Daily, "We expect studies on other cities will also find a positive impact on house sales."
Another factor that boosts property values is the accessibility of public transport. One more compelling reason is attractions near the properties at these become more saleable. Citi Bike and bike sharing systems similar to it are a double win-both public transit and an attractive neighborhood amenity, which is becoming a rarity these days.
Executive director of a biking, walking, and public transit advocacy of Transportation Alternatives, Paul Steely White, thinks Related's private interest in bike sharing has really been beneficial to the public. He added, "It has meant an infusion of much-needed expertise and capital. We're watchdogs, and if we saw any developments that were going to harm the integrity of the system or create less than an inclusive system, we would sound the alarm."
