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Effects of Urban Land-Use Planning on Housing Prices in Chiang Mai, Thailand

Author

Listed:
  • Shichao Lu

    (Interdisciplinary Data Mining Group, School of Mathematics, Shandong University, Jinan 250100, China)

  • Zhihua Zhang

    (Interdisciplinary Data Mining Group, School of Mathematics, Shandong University, Jinan 250100, China)

  • M. James C. Crabbe

    (Wolfson College, Oxford University, Oxford OX2 6UD, UK)

  • Prin Suntichaikul

    (School of International Education, Shandong University, Jinan 250100, China)

Abstract

Chiang Mai is an emerging tourism-oriented city in Thailand. The booming tourism industry during the past decades has triggered significant expansion in its urban land area, resulting in a large number of newly-built residential communities appearing on unplanned land. In this study, we used multiscale geographically weighted regression (MGWR)-based hedonic price analysis to investigate 4624 housing transactions from 524 residential communities in Chiang Mai. This showed that the recent land-use planning in Chiang Mai has had unusual effects on housing prices; specifically, the effects of accessibility to hospitals, primary and secondary schools, green parks, and shopping malls could be ignored, demonstrating that local residents were well satisfied with land-use planning for high-quality medical and education sources and good living environments throughout the whole of Chiang Mai, and that no more land-use planning and investment on these facilities was needed. However, limited bus routes were only used for tourism and could not provide convenient routes for local residents, leading to their negative effects on housing prices in downtown areas, so the local government should lower the bus stop density in downtown areas and strengthen the transportation links between downtown areas and suburbs. Our study will not only support the urban land planning department of Chiang Mai to optimize residential communities and nearby facilities, but can also provide insights into housing price formation mechanisms in similar tourism-oriented cities in Thailand and beyond.

Suggested Citation

  • Shichao Lu & Zhihua Zhang & M. James C. Crabbe & Prin Suntichaikul, 2024. "Effects of Urban Land-Use Planning on Housing Prices in Chiang Mai, Thailand," Land, MDPI, vol. 13(8), pages 1-13, July.
    • Handle: RePEc:gam:jlands:v:13:y:2024:i:8:p:1136-:d:1442648
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    References listed on IDEAS

    as
    1. A. Stewart Fotheringham & Wenbai Yang & Wei Kang, 2017. "Multiscale Geographically Weighted Regression (MGWR)," Annals of the American Association of Geographers, Taylor & Francis Journals, vol. 107(6), pages 1247-1265, November.
    2. Peter Abelson & Roselyne Joyeux & Stephane Mahuteau, 2013. "Modelling House Prices across Sydney," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(3), pages 269-285, September.
    3. Yan Xu & Weixuan Song & Chunhui Liu, 2018. "Social-Spatial Accessibility to Urban Educational Resources under the School District System: A Case Study of Public Primary Schools in Nanjing, China," Sustainability, MDPI, vol. 10(7), pages 1-16, July.
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