Jurnal Asiimetrik: Jurnal Ilmiah Rekayasa Dan Inovasi
Volume 8 Number 1 (2026)

Is Transit-Oriented Development (TOD) Project Financially Feasible? A Case Study from Emerging Economies

Herawati Zetha Rahman (Pancasila University)
Imam Hagni Puspito (Pancasila University)
I Nyoman Teguh (Pancasila University)
Najwa (Pancasila University)
Caroline Krisnadewi (University of Queensland)



Article Info

Publish Date
31 Jan 2026

Abstract

Transit-Oriented Development is a crucial strategy for addressing urban sprawl and improving mobility, particularly in rapidly urbanizing regions like Indonesia. Transit-Oriented Development integrates high-density, mixed-use developments with public transportation infrastructure, offering sustainable urban growth solutions. However, despite its benefits, the financial feasibility of Transit-Oriented Development in emerging economies remains under-explored. This study assesses the financial viability of a Transit-Oriented Development project in Tangerang, Greater Jakarta, focusing on key financial indicators such as Capital Expenditure, Operational Expenditure, Internal Rate of Return, and Net Present Value. The study uses financial modeling, analyzing data from the project's feasibility reports and investment summaries. The results show positive Internal Rate of Return, and Net Present Value, indicating financial viability under base case assumptions. However, the analysis reveals sensitivity to changes in Capital Expenditure and revenue assumptions, with increased Capital Expenditure reducing profitability and extending the payback period. This research fills the gap in Transit-Oriented Development financial feasibility studies in developing economies, providing valuable insights for similar projects in Southeast Asia and beyond. The findings underscore the importance of effective financial planning and risk management in ensuring the long-term success and sustainability of Transit-Oriented Development projects, highlighting the need for strong public-private partnerships to mitigate financial risks.

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Journal Info

Abbrev

asiimetrik

Publisher

Subject

Civil Engineering, Building, Construction & Architecture Computer Science & IT Electrical & Electronics Engineering Industrial & Manufacturing Engineering

Description

Jurnal ini mempublikasikan artikel ilmiah berbasis penelitian, studi kasus, articles review, rekayasa dan inovasi yang mencakup teoritis maupun praktis serta pengembangannya. Topik artikel ilmiah yang dimuat ASIIMETRIK mencakup bidang Arsitektur, Teknik Sipil, Teknik Industri, Teknik Informatika, ...