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Exploring the land market in the province of Noord-Holland using a spatial explanatory regression model

  • Jasper E.C. Dekkers


  • Piet Rietveld


  • Adri Vanden Brink
  • Henk Scholten

This paper focuses on rural land prices. Different actors and factors influence land prices. Buurman (2003) has analysed, categorised, and used them to explain spatial differences in transaction prices of parcels using a GIS-based linear regression model. The model distinguishes parcel and transaction characteristics and uses principles of hedonic price and bid-rent theory to explain differences in land prices. Some theoretical aspects regarding the model are discussed. The regression model, estimated on a land transaction dataset covering the province of Noord-Brabant in the southern part of the Netherlands, is re-applied on a dataset covering the province of Noord-Holland. Insight is gained into actors and factors playing a role on the rural land market in this province. It seems that rural land that is included in building plans or located very close to areas for which building plans exist has a land price far higher than average. In most of these transactions, the city council is the buyer. Compared to other buyers, they pay the highest price for land in Noord-Holland. Keywords: land market, hedonic price theory, regression analysis, Noord-Holland

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Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa04p574.

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Date of creation: Aug 2004
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Handle: RePEc:wiw:wiwrsa:ersa04p574
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  1. Robert J. Gordon, 1990. "The Measurement of Durable Goods Prices," NBER Books, National Bureau of Economic Research, Inc, number gord90-1, July.
  2. Rosen, Sherwin, 1974. "Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 34-55, Jan.-Feb..
  3. Randall, Alan & Castle, Emery N., 1985. "Land resources and land markets," Handbook of Natural Resource and Energy Economics, in: A. V. Kneeseā€  & J. L. Sweeney (ed.), Handbook of Natural Resource and Energy Economics, edition 1, volume 2, chapter 13, pages 571-620 Elsevier.
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