IDEAS home Printed from
   My bibliography  Save this article

The effect of FAR (floor area ratio) regulations on land values: The case of New York


  • Byunggeor Moon


This paper explores the stringency of floor area ratio (FAR), one of the land use regulations in New York, and analyses it by boroughs of New York. Stringency is presented when the regulated height is significantly lower than the free market height and the theoretical approach shows that the elasticity of the land value with respect to FAR is used to estimate the stringency. In particular, we overcome issues in previous studies by constructing a data set using publically available data through new methods. The results show that the FAR stringency in Manhattan is the highest in New York City and the stringency is lower as the distance from the centre of the city increases. Este artículo explora la rigurosidad de la proporción de área de suelo (FAR, por sus siglas en inglés), una de las regulaciones de uso del suelo en Nueva York, y la analiza para los distritos de Nueva York. La rigurosidad se presenta cuando la altura regulada es significativamente menor que la altura del mercado libre y el enfoque teórico muestra que la elasticidad del valor del terreno con respecto a la FAR se utiliza para estimar la rigurosidad. En particular, superamos los problemas de estudios anteriores mediante la construcción de un conjunto de datos que usa datos disponibles públicamente mediante nuevos métodos. Los resultados muestran que el rigor de la FAR en Manhattan es el más alto de la ciudad de Nueva York y que el rigor es menor a medida que aumenta la distancia al centro de la ciudad. 本稿では、ニューヨーク市の土地利用規制法のひとつである床面積比率 (floor area ratio:FAR)の厳格度(stringency)を検討し、行政区分別に分析する。厳格度は、建物の高さの上限が自由市場よりも著しく低い場合に現れ、理論的アプローチにより、厳格度の推計にはFARに関する土地価額の弾性が用いられることが証明される。特に我々の過去の研究では、公的に利用可能なデータを用いて、新しい方法でデータセットを構築して問題を解決している。結果から、マンハッタンのFARの厳格度はニューヨーク市で最も高く、市の中心部から離れるほど厳格度は低下することが示される。

Suggested Citation

  • Byunggeor Moon, 2019. "The effect of FAR (floor area ratio) regulations on land values: The case of New York," Papers in Regional Science, Wiley Blackwell, vol. 98(6), pages 2343-2354, December.
  • Handle: RePEc:bla:presci:v:98:y:2019:i:6:p:2343-2354
    DOI: 10.1111/pirs.12421

    Download full text from publisher

    File URL:
    Download Restriction: no

    File URL:
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item


    Blog mentions

    As found by, the blog aggregator for Economics research:
    1. In a City FAR, FAR Away: Building Height Regulations and Their Impacts
      by Jason Barr in Skynomics Blog on 2020-03-17 12:17:31


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Ahlfeldt, Gabriel M. & Barr, Jason, 2022. "The economics of skyscrapers: A synthesis," Journal of Urban Economics, Elsevier, vol. 129(C).
    2. Rubina Canesi, 2022. "Urban Policy Sustainability through a Value-Added Densification Tool: The Case of the South Boston Area," Sustainability, MDPI, vol. 14(14), pages 1-12, July.
    3. Zhang, Junfu, 2023. "JUE Insight: Measuring the Stringency of Land Use Regulation Using a Shadow Price Approach," Journal of Urban Economics, Elsevier, vol. 133(C).
    4. Brueckner, Jan K. & Singh, Ruchi, 2020. "Stringency of land-use regulation: Building heights in US cities," Journal of Urban Economics, Elsevier, vol. 116(C).
    5. Moon, Byunggeor & Ahn, Sungin, 2022. "The effects of a FAR regulation in a model of durable building with redevelopment: The case of New York City," Regional Science and Urban Economics, Elsevier, vol. 95(C).
    6. Fang Wei & Lvwang Zhao, 2022. "The Effect of Flood Risk on Residential Land Prices," Land, MDPI, vol. 11(10), pages 1-18, September.
    7. Ning Wang & Zhigang Chen & Tianshu Li & Mengjia Zhen, 2022. "Spatiotemporal Pattern Evolution and Influence Mechanism of Urban Vertical Expansion: A Case Study of Jiangsu Province, China," Land, MDPI, vol. 11(3), pages 1-16, March.

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:presci:v:98:y:2019:i:6:p:2343-2354. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.