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About the importance of planning the location of recycling stations in the urban context

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  • Wilhelmsson, Mats

    (Department of Real Estate and Construction Management, Royal Institute of Technology)

Abstract

Recycling is essential to the circular economy and reduces our consumption's impact on the environment. Creating conditions for recycling in new residential areas is relatively easy, but finding good recycling opportunities in existing residential areas is more complicated. The recycling of newspapers, plastic and glass must be relatively close to where people live; at the same time, the locations must be relatively discreet and not disturb the residents in the area. The purpose of the article is to analyse the effect of small and local recycling stations (RCS) on the attractiveness of residential areas. This has been made possible by analysing housing values for almost 200,000 housing units near 250 RCS in Stockholm, Sweden. Using an identification strategy that relies on postal code fixed effects, we find evidence that the proximity to RCS affect housing prices on average in both owner-occupied single-family houses and cooperative owner-occupied apartments (condominiums). The results indicate that proximity to the RCS is negatively capitalised in housing values, which indicates that the city should consider this in its planning.

Suggested Citation

  • Wilhelmsson, Mats, 2022. "About the importance of planning the location of recycling stations in the urban context," Working Paper Series 22/2, Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance.
    • Handle: RePEc:hhs:kthrec:2022_002
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    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General

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