Another analysis comes to the opposite conclusion

The costs of the New Urbanism still are a subject of intense debate, as indicated by an analysis by the Real Estate and Building Industry Coalition (REBIC), based in Charlotte, North Carolina. REBIC has an ax to grind — the group objects to zoning regulations in some Charlotte-area municipalities that require developers to use some new urbanist techniques and principles. Furthermore, there are flaws in REBIC’s analysis, but it shouldn’t be dismissed out of hand. The New Urbanism requires at least 42 percent more linear feet of street per lot than conventional suruban development (CSD), while reducing the potential number of lots for sale, according to REBIC’s analysis. The group concludes that New Urbanism will drive up the cost of homes by 40 percent. The main problem with the study is that the theoretical example bears only a superficial resemblance to New Urbanism. While REBIC presents a modified grid with a few neighborhood greens, there is no mix of housing types or uses — and all lots are 50 feet wide. True neotraditional projects typically contain apartments, townhomes, duplexes and detached homes on a variety of lot widths narrower than 50 feet — in addition to wider lot homes. The conventional suburban example used by REBIC also shows homes on 50-foot lots along lengthy cul-de-sacs — which results in a low ratio of linear feet of street per lot for CSD. But these dimensions likely would create a very harsh development, with garage dominance of the streetscape. In short, comparing CSD and TND using equal lot dimensions and density for both is not a fair comparison. TND works better at higher densities than CSD. The REBIC study, which came out in December, 1997, relies on weak assumptions. However, it does point to the need for additional research on New Urbanism costs, ideally using built examples. REBIC does not appear to be entirely against TND — the group favors a “dual set of regulations that permit both New Urbanism and conventional development.” If every municipality in the U.S. took their advice, the New Urbanism would be a lot easier to build.