IDEAS home Printed from https://ideas.repec.org/a/sae/urbstu/v47y2010i14p3103-3130.html
   My bibliography  Save this article

Accessibility and Residential Land Values: Some Tests with New Measures

Author

Listed:
  • Genevieve Giuliano

    (Genevieve Giuliano is in the School of Policy, Planning and Development, University of Southern California, Los Angeles, CA 90089-0636, USA, giuliano@usc.edu)

  • Peter Gordon

    (Peter Gordon is in the School of Policy, Planning and Development, University of Southern California, Los Angeles, CA 90089-0636, USA, pgordon@usc.edu)

  • Qisheng Pan

    (Qisheng Pan is in the School of Public Affairs, Texas Southern University, Houston, TX 77004, USA, panqisheng@gmail.com)

  • JiYoung Park

    (JiYoung Park is in the Department of Urban and Regional Planning, University at Buffalo, Buffalo, NY 14620, USA, jp292@buffalo.edu)

Abstract

Accessibility is a fundamental concept in theories of metropolitan spatial structure. Urban economic models explain urban structure as a function of access to jobs; accessibility is capitalised into land values, which in turn explain the population distribution. Studies of residential land values show that many factors contribute to the value of a given location: the characteristics of the housing unit, its location with respect to social and environmental amenities, as well as access to jobs, services and other economic opportunities. Empirical studies typically use job access as a proxy for more generalised access to economic activities. However, jobs represent many different activities, from retail shopping to heavy manufacturing, and the value of access to these activities may be positive or negative. In this paper, accessibility measures based on industry sectors have been developed, allowing the separating out of possible different effects. Their impacts are tested on residential land values using data from the Los Angeles region. A multilevel modelling approach is used in order to control for neighbourhood-level attributes common to multiple properties. It is found that the various access measures have different and significant effects on land values, but attributes of the dwelling unit, together with access to the coast, explain most of the variation. The multilevel model is confirmed; there is significant correlation among properties within the same neighbourhood.

Suggested Citation

  • Genevieve Giuliano & Peter Gordon & Qisheng Pan & JiYoung Park, 2010. "Accessibility and Residential Land Values: Some Tests with New Measures," Urban Studies, Urban Studies Journal Limited, vol. 47(14), pages 3103-3130, December.
    • Handle: RePEc:sae:urbstu:v:47:y:2010:i:14:p:3103-3130
    DOI: 10.1177/0042098009359949
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0042098009359949
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0042098009359949?utm_source=ideas
    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
    ---><---

    References listed on IDEAS

    as
    1. Alex Anas & Richard Arnott & Kenneth A. Small, 1998. "Urban Spatial Structure," Journal of Economic Literature, American Economic Association, vol. 36(3), pages 1426-1464, September.
    2. Mizuki Kawabata, 2003. "Job Access and Employment among Low-Skilled Autoless Workers in US Metropolitan Areas," Environment and Planning A, , vol. 35(9), pages 1651-1668, September.
    3. Small Kenneth A. & Song Shunfeng, 1994. "Population and Employment Densities: Structure and Change," Journal of Urban Economics, Elsevier, vol. 36(3), pages 292-313, November.
    4. David Levinson, 1998. "Speed and Delay on Signalized Arterials," Working Papers 199803, University of Minnesota: Nexus Research Group.
    5. McMillen, Daniel P & Thorsnes, Paul, 2003. "The Aroma of Tacoma: Time-Varying Average Derivatives and the Effect of a Superfund Site on House Prices," Journal of Business & Economic Statistics, American Statistical Association, vol. 21(2), pages 237-246, April.
    6. Anselin, Luc, 1992. "Space and applied econometrics : Introduction," Regional Science and Urban Economics, Elsevier, vol. 22(3), pages 307-316, September.
    7. Redfearn, Christian L., 2009. "How informative are average effects? Hedonic regression and amenity capitalization in complex urban housing markets," Regional Science and Urban Economics, Elsevier, vol. 39(3), pages 297-306, May.
    8. Genevieve Giuliano & Peter Gordon & Qisheng Pan & JiYoung Park & LanLan Wang, 2010. "Estimating Freight Flows for Metropolitan Area Highway Networks Using Secondary Data Sources," Networks and Spatial Economics, Springer, vol. 10(1), pages 73-91, March.
    9. Suh, Seoung Hwan, 1990. "Wasteful commuting: An alternative approach," Journal of Urban Economics, Elsevier, vol. 28(3), pages 277-286, November.
    10. Cropper, Maureen L. & Gordon, Patrice L., 1991. "Wasteful commuting: A re-examination," Journal of Urban Economics, Elsevier, vol. 29(1), pages 2-13, January.
    11. Bowes, David R. & Ihlanfeldt, Keith R., 2001. "Identifying the Impacts of Rail Transit Stations on Residential Property Values," Journal of Urban Economics, Elsevier, vol. 50(1), pages 1-25, July.
    12. McDonald, John F. & McMillen, Daniel P., 2000. "Employment Subcenters and Subsequent Real Estate Development in Suburban Chicago," Journal of Urban Economics, Elsevier, vol. 48(1), pages 135-157, July.
    13. Voith Richard, 1993. "Changing Capitalization of CBD-Oriented Transportation Systems: Evidence from Philadelphia, 1970-1988," Journal of Urban Economics, Elsevier, vol. 33(3), pages 361-376, May.
    14. John F. McDonald & Paul J. Prather, 1994. "Suburban Employment Centres: The Case of Chicago," Urban Studies, Urban Studies Journal Limited, vol. 31(2), pages 201-218, March.
    15. Daniel P. McMillen & John McDonald, 2004. "Reaction of House Prices to a New Rapid Transit Line: Chicago's Midway Line, 1983–1999," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 32(3), pages 463-486, September.
    16. Duncan, Craig & Jones, Kelvyn & Moon, Graham, 1993. "Do places matter? A multi-level analysis of regional variations in health-related behaviour in Britain," Social Science & Medicine, Elsevier, vol. 37(6), pages 725-733, September.
    17. Ong, Paul M., 2002. "Car Access and Welfare-To-Work," University of California Transportation Center, Working Papers qt5002g5gm, University of California Transportation Center.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Melanie Zhang & Steven Devaney & Anupam Nanda, 2018. "Strategic Alliance and Submarket Choices of Commercial Real Estate Investors – A Multinomial Approach," ERES eres2018_210, European Real Estate Society (ERES).
    2. Isalou, Ali A. & Litman, Todd & Shahmoradi, Behzad, 2014. "Testing the housing and transportation affordability index in a developing world context: A sustainability comparison of central and suburban districts in Qom, Iran," Transport Policy, Elsevier, vol. 33(C), pages 33-39.
    3. Sadayuki, Taisuke, 2018. "Measuring the spatial effect of multiple sites: An application to housing rent and public transportation in Tokyo, Japan," Regional Science and Urban Economics, Elsevier, vol. 70(C), pages 155-173.
    4. Mitra, Suman K. & Saphores, Jean-Daniel M., 2016. "The value of transportation accessibility in a least developed country city – The case of Rajshahi City, Bangladesh," Transportation Research Part A: Policy and Practice, Elsevier, vol. 89(C), pages 184-200.
    5. Taisuke Sadayuki, 2017. "Measuring the spatial effect of multiple sites," RIEEM Discussion Paper Series 1703, Research Institute for Environmental Economics and Management, Waseda University.
    6. Lin, Jen-Jia & Cheng, Yu-Chun, 2016. "Access to jobs and apartment rents," Journal of Transport Geography, Elsevier, vol. 55(C), pages 121-128.
    7. Jin Han Park & Dong Kun Lee & Chan Park & Ho Gul Kim & Tae Yong Jung & Songyi Kim, 2017. "Park Accessibility Impacts Housing Prices in Seoul," Sustainability, MDPI, vol. 9(2), pages 1-14, January.
    8. Wang, Yiming & Feng, Suwei & Deng, Zhongwei & Cheng, Shuangyu, 2016. "Transit premium and rent segmentation: A spatial quantile hedonic analysis of Shanghai Metro," Transport Policy, Elsevier, vol. 51(C), pages 61-69.
    9. Seo, Kihwan & Golub, Aaron & Kuby, Michael, 2014. "Combined impacts of highways and light rail transit on residential property values: a spatial hedonic price model for Phoenix, Arizona," Journal of Transport Geography, Elsevier, vol. 41(C), pages 53-62.
    10. Steven Devaney & David Scofield & Fangchen Zhang, 2019. "Only the Best? Exploring Cross-Border Investor Preferences in US Gateway Cities," The Journal of Real Estate Finance and Economics, Springer, vol. 59(3), pages 490-513, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Miguel Angel Garcia Lopez & Ivan Muñiz Olivera, 2005. "Employment descentralisation: polycentric compaction or sprawl? The case of the Barcelona Metropolitan Region 1986-1996," Working Papers wpdea0511, Department of Applied Economics at Universitat Autonoma of Barcelona.
    2. Garcia-López, Miquel-Àngel & Hémet, Camille & Viladecans-Marsal, Elisabet, 2017. "Next train to the polycentric city: The effect of railroads on subcenter formation," Regional Science and Urban Economics, Elsevier, vol. 67(C), pages 50-63.
    3. Genevieve Giuliano & Christian Redfearn, 2005. "Not all sprawl - Evolution of employment centers in Los Angeles, 1980 - 2000," ERSA conference papers ersa05p686, European Regional Science Association.
    4. Sebastian Brandt & Wolfgang Maennig, 2012. "The impact of rail access on condominium prices in Hamburg," Transportation, Springer, vol. 39(5), pages 997-1017, September.
    5. Miguel Ángel García & Ivan Muñiz, 2005. "Descentralización del empleo: ¿compactación policéntrica o dispersión? El caso de la región metropolitana de Barcelona 1986-1996," Working Papers wpdea0506, Department of Applied Economics at Universitat Autonoma of Barcelona.
    6. Frederic Gilli, 2009. "Sprawl or Reagglomeration? The Dynamics of Employment Deconcentration and Industrial Transformation in Greater Paris," Urban Studies, Urban Studies Journal Limited, vol. 46(7), pages 1385-1420, June.
    7. Jaume Masip Tresserra, 2012. "Identifying the Employment and Population Centers at regional and metropolitan scale: The Case of Catalonia and Barcelona," ERSA conference papers ersa12p70, European Regional Science Association.
    8. Kyeongsu Kim & Michael L. Lahr, 2014. "The impact of Hudson-Bergen Light Rail on residential property appreciation," Papers in Regional Science, Wiley Blackwell, vol. 93, pages 79-97, November.
    9. Ahlfeldt, Gabriel M. & Nitsch, Volker & Wendland, Nicolai, 2019. "Ease vs. noise: Long-run changes in the value of transport (dis)amenities," Journal of Environmental Economics and Management, Elsevier, vol. 98(C).
    10. Garcia-López, Miquel-Àngel, 2010. "Population suburbanization in Barcelona, 1991-2005: Is its spatial structure changing?," Journal of Housing Economics, Elsevier, vol. 19(2), pages 119-132, June.
    11. Billings, Stephen B., 2011. "Estimating the value of a new transit option," Regional Science and Urban Economics, Elsevier, vol. 41(6), pages 525-536.
    12. Dubé, Jean & Rosiers, François Des & Thériault, Marius & Dib, Patricia, 2011. "Economic impact of a supply change in mass transit in urban areas: A Canadian example," Transportation Research Part A: Policy and Practice, Elsevier, vol. 45(1), pages 46-62, January.
    13. Bumsoo Lee, 2006. "'Edge' or 'Edgeless Cities'? Urban Spatial Structure in US Metropolitan Areas, 1980 to 2000," Working Paper 8574, USC Lusk Center for Real Estate.
    14. Seungwoo Chin & Matthew E. Kahn & Hyungsik Roger Moon, 2020. "Estimating the Gains from New Rail Transit Investment: A Machine Learning Tree Approach," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 48(3), pages 886-914, September.
    15. Genevieve Giuliano & Chris Redfearn & Ajay Agarwal & Sylvia He, 2012. "Network Accessibility and Employment Centres," Urban Studies, Urban Studies Journal Limited, vol. 49(1), pages 77-95, January.
    16. Ahlfeldt Gabriel M., 2011. "The Train has Left the Station: Do Markets Value Intracity Access to Intercity Rail Connections?," German Economic Review, De Gruyter, vol. 12(3), pages 312-335, August.
    17. Genevieve Giuliano & Yuting Hou & Sanggyun Kang & Eun Jin Shin, 2022. "Polycentricity and the evolution of metropolitan spatial structure," Growth and Change, Wiley Blackwell, vol. 53(2), pages 593-627, June.
    18. Jaume Masip Tresserra, 2012. "Does Employment Density death? Towards a new integrated methodology to identify and characterize Sub-Centres," ERSA conference papers ersa12p71, European Regional Science Association.
    19. Redfearn, Christian L., 2009. "How informative are average effects? Hedonic regression and amenity capitalization in complex urban housing markets," Regional Science and Urban Economics, Elsevier, vol. 39(3), pages 297-306, May.
    20. Zachary T. Keeler & Heather M. Stephens, 2023. "The capitalization of metro rail access in urban housing markets," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 51(3), pages 686-720, May.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    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:sae:urbstu:v:47:y:2010:i:14:p:3103-3130. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: SAGE Publications (email available below). General contact details of provider: http://www.gla.ac.uk/departments/urbanstudiesjournal .

    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.