MODELING THE IMPACT OF HIGHWAY IMPROVEMENTS ON THE VALUE OF ADJACENT LAND PARCELS

A MODEL IS DEVELOPED TO PREDICT LAND VALUE CHANGES WHICH RESULT FROM HIGHWAY IMPROVEMENTS. THE USE OF A STEP WISE MULTIPLE LINEAR REGRESSION COMPUTER PROGRAM PERMITTED THE RESEARCHER TO EXPLAIN AS MUCH AS 87 PERCENT OF THE VARIATION IN LAND VALUES WHICH OCCURRED AFTER THE HIGHWAY IMPROVEMENT. FACTORS WHICH WERE IMPORTANT IN PREDICTING CHANGES IN LAND VALUE INCLUDED THE TYPE OF HIGHWAY (INTERSTATE, PRIMARY OR SECONDARY), TYPE OF LAND USE (RESIDENTIAL, COMMERCIAL, AGRICULTURAL OR VACANT) AND LOCATION OF PARCEL (URBAN, URBAN FRINGE OR RURAL AREA). THE ACCURACY OF THE MODEL IS REDUCED, HOWEVER, WHEN IT WAS EXPANDED TO INCLUDE FLORIDA LAND TRANSACTIONS. ALTHOUGH FINDINGS ARE BASED ON A SMALL SAMPLE, IT IS SUGGESTED THAT RESIDENTIAL OR URBAN LAND EXPERIENCED GREATER LAND VALUE INCREASES THAN AGRICULTURAL OR RURAL LAND. THE AUTHOR RECOMMENDS THAT PROBABILITY THEORY AND BAYESIAN DECISION TECHNIQUES WOULD BE HELPFUL IN DEVELOPING A MODEL WHICH WOULD CONSIDER THE LIKELIHOOD OF DIFFERENT TYPES OF LAND USE TO EXPERIENCE CHANGES IN LAND VALUE RATHER THAN A MODEL WHICH CAN ONLY BE USED TO ASCERTAIN WHICH FACTORS STIMULATE OR ARE ASSOCIATED WITH LAND VALUE CHANGES. /BPR/

  • Corporate Authors:

    Purdue University

    School of Aeronautics and Astronautics
    West Lafayette, IN  United States  47907

    Indiana State Highway Commission

    Indianapolis, IN  United States  46204

    Bureau of Public Roads /US

    400 7th Street, SW
    Washington, DC  United States  20590
  • Authors:
    • Isibor, E I
  • Publication Date: 0

Subject/Index Terms

Filing Info

  • Accession Number: 00201221
  • Record Type: Publication
  • Source Agency: Bureau of Public Roads /US
  • Files: TRIS
  • Created Date: May 13 1970 12:00AM