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Historic Buildings and Rehabilitation Expenditures: A Panel Data Approach

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  • Philippe Cyrenne
  • Robert Fenton
  • Joseph Warbanski

Abstract

Using a panel data set, a hedonic model is estimated to determine the characteristics of buildings that have influenced the market value assessments of a set of historic and non-historically designated buildings. Holding constant the characteristics of buildings, the findings indicate higher assessed values for some classes of historic buildings. Furthermore, using a two-stage Heckman sample selection model, the findings show that the expenditures on renovations contribute significantly to the change in assessed values of buildings, although less than might be expected. These and other results may be helpful in the design of cost effective rehabilitation strategies for historic preservation.

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  • Philippe Cyrenne & Robert Fenton & Joseph Warbanski, 2006. "Historic Buildings and Rehabilitation Expenditures: A Panel Data Approach," Journal of Real Estate Research, Taylor & Francis Journals, vol. 28(4), pages 349-380, January.
    • Handle: RePEc:taf:rjerxx:v:28:y:2006:i:4:p:349-380
    DOI: 10.1080/10835547.2006.12091184
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    Cited by:

    1. Paolo Rosato & Anna Alberini & Valentina Zanatta & Margaretha Breil, 2009. "Redeveloping Derelict and Underused Historical City Areas: Evidence from a Survey�of�Real�Estate�Developers," Working Papers 2009_02, Department of Economics, University of Venice "Ca' Foscari".
    2. Paolo Rosato & Anna Alberini & Valentina Zanatta & Margaretha Breil, 2010. "Redeveloping derelict and underused historic city areas: evidence from a survey of real estate developers," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 53(2), pages 257-281.
    3. Çağlayan Ebru & Arikan Eban, 2011. "Determinants of house prices in Istanbul: a quantile regression approach," Quality & Quantity: International Journal of Methodology, Springer, vol. 45(2), pages 305-317, February.
    4. Rui Han & Shiqi Yang, 2023. "A Study on Industrial Heritage Renewal Strategy Based on Hybrid Bayesian Network," Sustainability, MDPI, vol. 15(13), pages 1-32, July.
    5. Douglas S. Noonan, 2013. "Market effects of historic preservation," Chapters, in: Ilde Rizzo & Anna Mignosa (ed.), Handbook on the Economics of Cultural Heritage, chapter 17, pages i-i, Edward Elgar Publishing.
    6. Rickman, Dan S., 2009. "Neighborhood Historic Preservation Status and Housing Values in Oklahoma County, Oklahoma," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 39(2), pages 1-10.
    7. Douglas Noonan & Douglas Krupka, 2010. "Determinants of historic and cultural landmark designation: why we preserve what we preserve," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 34(1), pages 1-26, February.

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    JEL classification:

    • L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services

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