Get VALUE CAPTURE: HOW TO GET A RETURN ON THE INVESTMENT IN TRANSIT ... - Ctod

What is Value Capture? Value Capture as practiced widely in the world is based on the principle that private land and buildings benefit from public investments in infrastructure and policy decisions of Governments (e.g. change of land use or FSI).

Value Capture is the process of retaining some percentage of the value provided in every Transaction. If you're able to offer another business something that will allow them to bring in $1 million of additional revenue and you charge $100,000, you're capturing 10% of the value created by the transaction.

Value capture is used when infrastructure investment is likely to produce benefits that are distributed unequally, resulting in much greater benefits for certain individuals or groups than others.

These are closely related terms that are significant when you are designing a new business model or undertaking a process of business model innovation. Value creation is creating value for your customers. The more value the better. Value capture is capturing the value you create and turning it into profit.

Value capture is a type of public financing that recovers some or all of the value that public infrastructure generates for private landowners. Municipalities have used numerous means to capture unearned land values increased by the addition of public infrastructure.