The impact of 'studentification' on the rental housing market
AbstractRecent â€šÃ„Ã²studentificationâ€šÃ„Ã´ processes raise issues regarding the positive and negative impacts of student influx on the urban environment. The positive impacts discussed in the literature include urban core revitalization, employment generation and economic growth. The negative externalities comprise the formation of temporary sub-communities, competition with low-income groups in the rental housing market, and an increase in traffic volume. The current study adds to the literature by focusing on the influence of student influx on rent prices. The importance of this issue derives from the need to understand the net effect of the contradicting impacts of â€šÃ„Ã²studentificationâ€šÃ„Ã´ on contemporary urban development for policy implications. While student influx is considered a promising force of urban regeneration, in the literature concerns were raised regarding the detrimental effect of studentsâ€šÃ„Ã´ temporary sub-communities. The impact of â€šÃ„Ã²studentificationâ€šÃ„Ã´ on rent prices is evaluated by hedonic property price analysis incorporating spatial correlations. Data were collected from on-line real-estate portals advertising apartments for rent in the city of Haifa, Israel. The data include apartments characterized by more than a dozen relevant attributes to rental apartment choice including rent price, location, structural features, furniture and electrical appliances. Locations with high proportions of students in the private rented sector were identified on the basis of municipal tax files, as students in Haifa are eligible for substantial municipal tax discounts. The results of this study show the rent price differential between apartments of comparable characteristics located in â€šÃ„Ã²studentifiedâ€šÃ„Ã´ and â€šÃ„Ã²non-studentifiedâ€šÃ„Ã´ zones. The paper concludes with a discussion regarding the policy implications of the findings.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by European Regional Science Association in its series ERSA conference papers with number ersa10p204.
Date of creation: Sep 2011
Date of revision:
Contact details of provider:
Postal: Welthandelsplatz 1, 1020 Vienna, Austria
Web page: http://www.ersa.org
This paper has been announced in the following NEP Reports:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Phil Hubbard, 2008. "Regulating the social impacts of studentification: a Loughborough case study," Environment and Planning A, Pion Ltd, London, vol. 40(2), pages 323-341, February.
- Cropper, Maureen L & Deck, Leland B & McConnell, Kenneth E, 1988. "On the Choice of Functional Form for Hedonic Price Functions," The Review of Economics and Statistics, MIT Press, vol. 70(4), pages 668-75, November.
- Halvorsen, Robert & Pollakowski, Henry O., 1981. "Choice of functional form for hedonic price equations," Journal of Urban Economics, Elsevier, vol. 10(1), pages 37-49, July.
- Cassel, Eric & Mendelsohn, Robert, 1985. "The choice of functional forms for hedonic price equations: Comment," Journal of Urban Economics, Elsevier, vol. 18(2), pages 135-142, September.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier).
If references are entirely missing, you can add them using this form.