IDEAS home Printed from https://ideas.repec.org/a/gam/jlands/v12y2023i2p496-d1070927.html
   My bibliography  Save this article

Housing Prices and the Characteristics of Nearby Green Space: Does Landscape Pattern Index Matter? Evidence from Metropolitan Area

Author

Listed:
  • Yiyi Chen

    (School of Geography and Planning, Sun Yat-Sen University, Guangzhou 510006, China
    Guangdong Provincial Engineering Research Center for Public Security and Disaster, Guangzhou 510275, China
    Guangdong Key Laboratory for Urbanization and Geo-Simulation, Sun Yat-Sen University, Guangzhou 510275, China)

  • Colin A. Jones

    (The Urban Institute, Heriot-Watt University, Edinburgh EH14 4AS, UK)

  • Neil A. Dunse

    (The Urban Institute, Heriot-Watt University, Edinburgh EH14 4AS, UK)

  • Enquan Li

    (School of Mathematics, University of Birmingham, Birmingham B15 2TT, UK)

  • Ye Liu

    (School of Geography and Planning, Sun Yat-Sen University, Guangzhou 510006, China
    Guangdong Provincial Engineering Research Center for Public Security and Disaster, Guangzhou 510275, China
    Guangdong Key Laboratory for Urbanization and Geo-Simulation, Sun Yat-Sen University, Guangzhou 510275, China)

Abstract

This study aimed to examine the association between housing prices and green space characteristics with a special focus on exploring the effects of the shape pattern index. The research was based on a hedonic price model across two main distance buffers from residential properties to urban green spaces. Green spaces were characterized by size and shape measured by a landscape shape index (LSI). This study was based on 16,222 housing transaction data obtained from the website of real estate agencies during December 2019 in the Metropolitan Area of Beijing. Linear regression and semi-log regression analysis were used to examine the associations between independent housing and neighborhood characteristic variables and housing prices. The results suggested that a one-unit increase in the natural logarithm of the landscape shape index (LSI) can increase housing prices by 4% (5543 CNY ≈ 826 USD). Such marginal effects were more pronounced for residences located close to urban green spaces and tended to decay as the distance from residences to green spaces increased. Additional analysis captured the marginal effects of the natural logarithm of the landscape shape index (LSI > 1.3) on achieving the maximum monetary evaluation of the property. The findings of this study suggest that the effects of specific green space characteristics on housing prices should be taken into account in landscape and urban design.

Suggested Citation

  • Yiyi Chen & Colin A. Jones & Neil A. Dunse & Enquan Li & Ye Liu, 2023. "Housing Prices and the Characteristics of Nearby Green Space: Does Landscape Pattern Index Matter? Evidence from Metropolitan Area," Land, MDPI, vol. 12(2), pages 1-17, February.
    • Handle: RePEc:gam:jlands:v:12:y:2023:i:2:p:496-:d:1070927
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2073-445X/12/2/496/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2073-445X/12/2/496/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Kirsten M. M. Beyer & Andrea Kaltenbach & Aniko Szabo & Sandra Bogar & F. Javier Nieto & Kristen M. Malecki, 2014. "Exposure to Neighborhood Green Space and Mental Health: Evidence from the Survey of the Health of Wisconsin," IJERPH, MDPI, vol. 11(3), pages 1-20, March.
    2. Raul-Tomas Mora-Garcia & Maria-Francisca Cespedes-Lopez & V. Raul Perez-Sanchez & Pablo Marti & Juan-Carlos Perez-Sanchez, 2019. "Determinants of the Price of Housing in the Province of Alicante (Spain): Analysis Using Quantile Regression," Sustainability, MDPI, vol. 11(2), pages 1-33, January.
    3. Christopher Ambrey & Christopher Fleming, 2014. "Public Greenspace and Life Satisfaction in Urban Australia," Urban Studies, Urban Studies Journal Limited, vol. 51(6), pages 1290-1321, May.
    4. Seung-Jun Kwak & Seung-Hoon Yoo & Sang-Yong Han, 2003. "Estimating the Public's Value for Urban Forest in the Seoul Metropolitan Area of Korea: A Contingent Valuation Study," Urban Studies, Urban Studies Journal Limited, vol. 40(11), pages 2207-2221, October.
    5. Yiyi Chen & Mark Stephens & Colin A. Jones, 2019. "Does Residents’ Satisfaction with the Neighbourhood Environment Relate to Residents’ Self-Rated Health? Evidence from Beijing," IJERPH, MDPI, vol. 16(24), pages 1-15, December.
    6. Krekel, Christian & Kolbe, Jens & Wüstemann, Henry, 2016. "The greener, the happier? The effect of urban land use on residential well-being," Ecological Economics, Elsevier, vol. 121(C), pages 117-127.
    7. David M. Brasington & Diane Hite, 2005. "Demand for Environmental Quality: A Spatial Hedonic Approach," Departmental Working Papers 2005-08, Department of Economics, Louisiana State University.
    8. Brasington, David M. & Hite, Diane, 2005. "Demand for environmental quality: a spatial hedonic analysis," Regional Science and Urban Economics, Elsevier, vol. 35(1), pages 57-82, January.
    9. Carolyn Dehring & Neil Dunse, 2006. "Housing Density and the Effect of Proximity to Public Open Space in Aberdeen, Scotland," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 34(4), pages 553-566, December.
    10. 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.
    11. Fanya Qin & Katsue Fukamachi & Shozo Shibata, 2022. "Land-Use/Landscape Pattern Changes and Related Environmental Driving Forces in a Dong Ethnic Minority Village in Southwestern China," Land, MDPI, vol. 11(3), pages 1-23, February.
    12. Acharya, Gayatri & Bennett, Lynne Lewis, 2001. "Valuing Open Space and Land-Use Patterns in Urban Watersheds," The Journal of Real Estate Finance and Economics, Springer, vol. 22(2-3), pages 221-237, March-May.
    13. Tyrvainen, Liisa & Miettinen, Antti, 2000. "Property Prices and Urban Forest Amenities," Journal of Environmental Economics and Management, Elsevier, vol. 39(2), pages 205-223, March.
    14. Smith, V Kerry & Huang, Ju-Chin, 1995. "Can Markets Value Air Quality? A Meta-analysis of Hedonic Property Value Models," Journal of Political Economy, University of Chicago Press, vol. 103(1), pages 209-227, February.
    15. Can, Ayse & Megbolugbe, Isaac, 1997. "Spatial Dependence and House Price Index Construction," The Journal of Real Estate Finance and Economics, Springer, vol. 14(1-2), pages 203-222, Jan.-Marc.
    16. Yii, Kwang-Jing & Tan, Chai-Thing & Ho, Wing-Ken & Kwan, Xiao-Hui & Nerissa, Feng-Ting Shim & Tan, Yan-Yi & Wong, Kar-Horn, 2022. "Land availability and housing price in China: Empirical evidence from nonlinear autoregressive distributed lag (NARDL)," Land Use Policy, Elsevier, vol. 113(C).
    17. James Tan & Siew Ann Cheong, 2016. "The Regime Shift Associated with the 2004–2008 US Housing Market Bubble," PLOS ONE, Public Library of Science, vol. 11(9), pages 1-8, September.
    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. Shenglin Ben & He Zhu & Jiajun Lu & Renfeng Wang, 2023. "Valuing the Accessibility of Green Spaces in the Housing Market: A Spatial Hedonic Analysis in Shanghai, China," Land, MDPI, vol. 12(9), pages 1-24, August.
    2. Jong-Won Lee & Sang-Woo Lee & Hai Gyong Kim & Hyun-Kil Jo & Se-Rin Park, 2023. "Green Space and Apartment Prices: Exploring the Effects of the Green Space Ratio and Visual Greenery," Land, MDPI, vol. 12(11), pages 1-13, November.

    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. Celia Bilbao-Terol, 2009. "Impacts of an Iron and Steel Plant on Residential Property Values," European Planning Studies, Taylor & Francis Journals, vol. 17(9), pages 1421-1436, September.
    2. Sanglim Yoo & John E. Wagner, 2016. "A review of the hedonic literatures in environmental amenities from open space: a traditional econometric vs. spatial econometric model," International Journal of Urban Sciences, Taylor & Francis Journals, vol. 20(1), pages 141-166, March.
    3. Yusuf, Arief Anshory & Resosudarmo, Budy P., 2009. "Does clean air matter in developing countries' megacities? A hedonic price analysis of the Jakarta housing market, Indonesia," Ecological Economics, Elsevier, vol. 68(5), pages 1398-1407, March.
    4. Seong-Hoon Cho & Dayton Lambert & Seung Kim & Roland Roberts & William Park, 2011. "Relationship between value of open space and distance from housing locations within a community," Journal of Geographical Systems, Springer, vol. 13(4), pages 393-414, December.
    5. Panduro, Toke Emil & Jensen, Cathrine Ulla & Lundhede, Thomas Hedemark & von Graevenitz, Kathrine & Thorsen, Bo Jellesmark, 2018. "Eliciting preferences for urban parks," Regional Science and Urban Economics, Elsevier, vol. 73(C), pages 127-142.
    6. Estebania Teyeliz Martínez-Jiménez & Julie Le Gallo & Enrique Pérez-Campuzano & Alonso Aguilar Ibarra, 2022. "The effects of land price in the peri-urban fringe of Mexico City: Environmental amenities for informal land parcel purchasers," Urban Studies, Urban Studies Journal Limited, vol. 59(1), pages 222-241, January.
    7. Mei, Yingdan & Hite, Diane & Sohngen, Brent, 2017. "Demand for urban tree cover: A two-stage hedonic price analysis in California," Forest Policy and Economics, Elsevier, vol. 83(C), pages 29-35.
    8. Ziwei Hu & Hotaka Kobori & Brent Swallow & Feng Qiu, 2022. "Willingness to pay for multiple dimensions of green open space: Applying a spatial hedonic approach," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 70(3), pages 179-201, September.
    9. Mario Du Preez & Michael Sale, 2013. "The Impact of Social Housing Developments on Nearby Property Prices: a Nelson Mandela Bay Case Study," South African Journal of Economics, Economic Society of South Africa, vol. 81(3), pages 451-466, September.
    10. Joseph Hiebert & Karen Allen, 2019. "Valuing Environmental Amenities across Space: A Geographically Weighted Regression of Housing Preferences in Greenville County, SC," Land, MDPI, vol. 8(10), pages 1-16, October.
    11. Hu, Ziwei & Swallow, Brent & Qiu, Feng, 2021. "Measuring the Amenity Value of Urban Open Space Using a Spatial Hedonic Approach: The Case of Edmonton, Canada," 2021 Conference, August 17-31, 2021, Virtual 315287, International Association of Agricultural Economists.
    12. Charlotte Wendelboe-Nelson & Sarah Kelly & Marion Kennedy & John W. Cherrie, 2019. "A Scoping Review Mapping Research on Green Space and Associated Mental Health Benefits," IJERPH, MDPI, vol. 16(12), pages 1-49, June.
    13. Sado-Inamura, Yukako & Fukushi, Kensuke, 2019. "Empirical analysis of flood risk perception using historical data in Tokyo," Land Use Policy, Elsevier, vol. 82(C), pages 13-29.
    14. Toke Emil Panduro & Cathrine Ulla Jensen & Thomas Hedemark Lundhede & Kathrine von Graevenitz & Bo Jellesmark Thorsen, 2016. "Estimating demand schedules in hedonic analysis: The case of urban parks," IFRO Working Paper 2016/06, University of Copenhagen, Department of Food and Resource Economics.
    15. Muriel Travers & Emmanuel Bonnet & Morgane Chevé & Gildas Appéré, 2009. "Perception des risques industriels dans une zone estuarienne : une analyse hédoniste spatiale," Économie et Prévision, Programme National Persée, vol. 190(4), pages 135-158.
    16. Benoît Chèze, 2007. "Une méta-analyse des études d’évaluation monétaire par la méthode des prix hédoniques du coût externe des installations de traitement des déchets," Working Papers hal-04139215, HAL.
    17. Myung-Jin Jun, 2018. "Quantifying Welfare Impacts of Air Pollution in Seoul: A Two-Stage Hedonic Price Approach," Journal of Environmental Assessment Policy and Management (JEAPM), World Scientific Publishing Co. Pte. Ltd., vol. 20(02), pages 1-25, June.
    18. Liv Osland & Inge Thorsen, 2013. "Spatial Impacts, Local Labour Market Characteristics and Housing Prices," Urban Studies, Urban Studies Journal Limited, vol. 50(10), pages 2063-2083, August.
    19. Gregory T. Niemesh & L. Allison Jones-Farmer & Joseph Hart & William Holmes & Nathan Soundappan, 2020. "The Impact of Land Bank Demolitions on Property Values," Economics Bulletin, AccessEcon, vol. 40(1), pages 217-233.
    20. repec:asg:wpaper:1006 is not listed on IDEAS
    21. Galarraga, Ibon & González-Eguino, Mikel & Markandya, Anil, 2011. "Willingness to pay and price elasticities of demand for energy-efficient appliances: Combining the hedonic approach and demand systems," Energy Economics, Elsevier, vol. 33(S1), pages 66-74.

    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:gam:jlands:v:12:y:2023:i:2:p:496-:d:1070927. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.