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How Do the Location, Size and Budget of Open Space Conservation Affect Land Values?

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  • JunJie Wu
  • Wenchao Xu
  • Ralph Alig

Abstract

In this article we present a model to examine the optimal location, size, and budget of open space conservation and the resulting impact on land values and local fiscal conditions in an urban area. Results indicate that open space conservation can transform the defining features of an urban landscape. A well-designed open space conservation program can improve municipal services, increase total property values, and attract households to the city without substantially increasing tax burdens, while an improperly designed open space program can have the opposite effects. Results also reveal the key parameters that determine the optimal location and size of open space conservation and their fiscal and land value effects. Copyright Springer Science+Business Media New York 2016

Suggested Citation

  • JunJie Wu & Wenchao Xu & Ralph Alig, 2016. "How Do the Location, Size and Budget of Open Space Conservation Affect Land Values?," The Journal of Real Estate Finance and Economics, Springer, vol. 52(1), pages 73-97, January.
    • Handle: RePEc:kap:jrefec:v:52:y:2016:i:1:p:73-97
    DOI: 10.1007/s11146-015-9506-3
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    More about this item

    Keywords

    Open space conservation; Land values; Environmental amenities; Community characteristics; H4; R3; Q2;
    All these keywords.

    JEL classification:

    • H4 - Public Economics - - Publicly Provided Goods
    • R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation

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