The impact of industrial sites on residential property values: a hedonic pricing analysis from the Netherlands

Industrial sites cause several negative externalities, such as traffic noise disturbance, congestion, and obstruction of view. In order to quantify the negative effects generated by industrial sites, we estimate – using a hedonic pricing model – the impact of distance to industrial sites on residential property values. We use data on houses sold in the Randstad region and in the Province of North-Brabant (both located in the Netherlands) in the year 2005, together with data on the characteristics of a substantial number of industrial sites in the same regions and period. The results reveal tha... Mehr ...

Verfasser: Vor, Friso de
Groot, Henri de
Dokumenttyp: journal article
Erscheinungsdatum: 2012
Verlag/Hrsg.: GBR
Schlagwörter: Wirtschaft / Städtebau / Raumplanung / Landschaftsgestaltung / Landscaping and area planning / Economics / industrial sites / negative externalities / hedonic pricing / Area Development Planning / Regional Research / Political Economy / Volkswirtschaftslehre / Raumplanung und Regionalforschung
Sprache: unknown
Permalink: https://search.fid-benelux.de/Record/base-29185060
Datenquelle: BASE; Originalkatalog
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Link(s) : http://www.ssoar.info/ssoar/handle/document/25055

Industrial sites cause several negative externalities, such as traffic noise disturbance, congestion, and obstruction of view. In order to quantify the negative effects generated by industrial sites, we estimate – using a hedonic pricing model – the impact of distance to industrial sites on residential property values. We use data on houses sold in the Randstad region and in the Province of North-Brabant (both located in the Netherlands) in the year 2005, together with data on the characteristics of a substantial number of industrial sites in the same regions and period. The results reveal that the distance to an industrial site has a statistically significant negative effect on the value of residential properties. However, the effect is largely localized within a relatively short distance from the nearest industrial site. Furthermore, we obtain statistical evidence for substantial localized price differentials, which vary according to the size of an industrial site.