IDEAS home Printed from https://ideas.repec.org/a/sae/envirb/v34y2007i1p6-27.html
   My bibliography  Save this article

Do Sewer Extension Plans affect Urban Development? A Multiagent Simulation

Author

Listed:
  • Paul F Hanley

    (Public Policy Center, 227 South Quad, University of Iowa, Iowa City, IA 52242, USA)

  • Lewis D Hopkins

    (Department of Urban and Regional Planning, University of Illinois at Urbana-Champaign, Buell Hall Room 111, 611 Taft Drive, Champaign, IL 61820, USA)

Abstract

A multiagent simulation model is used to assess the impact on single-family residential development patterns of plans for size, location, and timing of sewer line extensions, policies for extension timing, and of responses to these plans and policies by landowners and developers. The simulation constructs the sewer network over time in relation to the sewerage provider's plans, to the construction of sewers and housing in previous periods, and to the expectations of landowners and developers regarding plans. In comparing the temporal and spatial patterns produced by the simulation, we found: (1) scenario 3 (early extensions not allowed), which was the historical policy in the study area, most closely replicated the historical development pattern; (2) the location of single-family residential development was not constrained by the capacity of the sewer network, but was constrained by the timing policy of sewer expansion; and (3) the developers could afford to pay for early sewer expansion, when allowed, on the basis of expected revenues from single-family residential development. The model succeeded in incorporating multiagent behaviors of landowners and developers sufficient to compare different sewer-expansion policies.

Suggested Citation

  • Paul F Hanley & Lewis D Hopkins, 2007. "Do Sewer Extension Plans affect Urban Development? A Multiagent Simulation," Environment and Planning B, , vol. 34(1), pages 6-27, February.
  • Handle: RePEc:sae:envirb:v:34:y:2007:i:1:p:6-27
    DOI: 10.1068/b32061
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1068/b32061
    Download Restriction: no

    File URL: https://libkey.io/10.1068/b32061?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Clarke, Harry R. & Reed, William J., 1988. "A stochastic analysis of land development timing and property valuation," Regional Science and Urban Economics, Elsevier, vol. 18(3), pages 357-381, August.
    Full references (including those not matched with items on IDEAS)

    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. Lim, Terence & Lo, Andrew W. & Merton, Robert C. & Scholes, Myron S., 2006. "The Derivatives Sourcebook," Foundations and Trends(R) in Finance, now publishers, vol. 1(5–6), pages 365-572, April.
    2. Gang‐Zhi Fan & Ming Pu & Tien Foo Sing & Xiaoyu Zhang, 2022. "Risk aversion and urban land development options," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 50(3), pages 767-788, September.
    3. Xiaoxuan Sun & Diana Mok & Jinfei Wang, 2023. "Are riskier cities more compact? An empirical study of the 11 largest census metropolitan areas in Canada, 2016," Papers in Regional Science, Wiley Blackwell, vol. 102(1), pages 167-186, February.
    4. Turnbull, Geoffrey K., 2004. "Urban growth controls: transitional dynamics of development fees and growth boundaries," Journal of Urban Economics, Elsevier, vol. 55(2), pages 215-237, March.
    5. Harry R. Clarke & William J. Reed, 1990. "Applications of Optimal Stopping in Resource Economics," The Economic Record, The Economic Society of Australia, vol. 66(3), pages 254-265, September.
    6. Weiß, Dominik, 2009. "Keeping the Bubble Alive! The Effects of Urban Renewal and Demolition Subsidies in the East German Housing Market," IWH Discussion Papers 11/2009, Halle Institute for Economic Research (IWH).
    7. Miceli, Thomas J. & Sirmans, C. F. & Turnbull, Geoffrey K., 2000. "The Dynamic Effects of Land Title Systems," Journal of Urban Economics, Elsevier, vol. 47(3), pages 370-389, May.
    8. Panagiotis Petris, 2023. "A Real Option Analysis of the “Flats for Land” System - an Idiosyncratic Equity Financing Mechanism on Real Estate Investments," International Real Estate Review, Global Social Science Institute, vol. 26(4), pages 551-568.
    9. K.C. Wong & George Norman, 1994. "The Optimal Time of Renovating a Mall," Journal of Real Estate Research, American Real Estate Society, vol. 9(1), pages 33-48.
    10. Chu, Yongqiang & Sing, Tien Foo, 2021. "Intensity and Timing Options in Real Estate Developments," International Real Estate Review, Global Social Science Institute, vol. 24(1), pages 1-17.
    11. Tan Lee & Jyh-Bang Jou, 2010. "Urban Spatial Development: a Real Options Approach," The Journal of Real Estate Finance and Economics, Springer, vol. 40(2), pages 161-187, February.
    12. David Dale-Johnson & W. Jan Brzeski, 2000. "Long-term Public Leaseholds in Poland: Implications of Contractual Incentives," Working Paper 8646, USC Lusk Center for Real Estate.
    13. Priscilla Yung Medeiros, 2003. "Applications of Real Options in the Real Estate Market Focusing the City of Rio de Janeiro," Brazilian Review of Finance, Brazilian Society of Finance, vol. 1(1), pages 45-87.
    14. Saphores, Jean-Daniel M. & Boarnet, Marlon G., 2006. "Uncertainty and the timing of an urban congestion relief investment.: The no-land case," Journal of Urban Economics, Elsevier, vol. 59(2), pages 189-208, March.
    15. Andrejs Skaburskis & Mohammad Qadeer, 1992. "An Empirical Estimation of the Price Effects of Development Impact Fees," Urban Studies, Urban Studies Journal Limited, vol. 29(5), pages 653-667, June.
    16. Brent Ambrose, 2005. "Forced Development and Urban Land Prices," The Journal of Real Estate Finance and Economics, Springer, vol. 30(3), pages 245-265, April.
    17. Seung Dong You, 2014. "The Leveraged City," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 42(4), pages 1042-1066, December.
    18. Davis, Graham A. & Cairns, Robert D., 2012. "Good timing: The economics of optimal stopping," Journal of Economic Dynamics and Control, Elsevier, vol. 36(2), pages 255-265.
    19. Abildtrup, Jens & Strange, Niels, 2000. "The option value of non-contaminated forest watersheds," Forest Policy and Economics, Elsevier, vol. 1(2), pages 115-125, August.
    20. Turnbull, Geoffrey K., 2004. "Development moratoria," Journal of Housing Economics, Elsevier, vol. 13(3), pages 155-169, September.

    More about this item

    Statistics

    Access and download statistics

    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:sae:envirb:v:34:y:2007:i:1:p:6-27. 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: SAGE Publications (email available below). General contact details of provider: .

    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.