How to pay for new streetscapes...

In Atlanta, the taxing district that is being developed to support an ambitious plan to rework Peachtree Boulevard includes residential housing. In DC, while tax increment financing (TIF) districts are being formed to assist revitalization in commercial districts, the definition of what participates (new construction only) and what is done with the money is much more narrow.

In Portland, to create the Interstate (Yellow) light rail line, they finally ended up creating an Urban Rewewal District funded in the same way as TIFs--put out bonds based on projections of new tax revenue resulting from public investment.

The thing about the Atlanta example is capturing a bit more of the increased property value resulting from publc investment to fund the investment.

See "$1 billion plan envisions a new Peachtree: Plan would add streetcars, parks" from the Atlanta Journal-Constitution. From the article:

Four decades after streetcars vanished from Atlanta, a group of business and civic leaders have a $1 billion, 20-year plan to bring them back along a dramatically revitalized Peachtree Street corridor.

The recommendation, which is being fine-tuned, envisions a sweeping overhaul of the city's signature thoroughfare to include new sidewalks and bicycle lanes, vastly improved lighting and landscaping, and a string of small parks and plazas, about one every quarter-mile.

The group was brought together last year by Atlanta Mayor Shirley Franklin to transform Peachtree into a world-class corridor along the lines of Michigan Avenue in Chicago...

About half of the $1 billion price tag would paid through a special taxing district that would encompass the entire Peachtree corridor, a change that would require the City Council's approval. Every property owner, both residential and commercial, would pay an additional tax each year based on the value of their home or business. The amount has yet to be determined, but Bell said the owner of a $300,000 condo might be expected to pay an extra $250 a year...

The proposal faces enormous political hurdles. But if the council approves the plan, Bell said work could start building the streetcar's first leg in downtown and Midtown in two years.

-- Atlanta Streetcar website.
-- I haven't been able to find the website announcing this project.