This study draws from the redevelopment, real option, and urban spatial growth literatures to explore the spatial dynamics of the components of house prices. More specifically, the paper proposes that the capitalized value of the option to redevelop housing at the property level can be estimated...

Sustainable use of natural resources becomes an important issue today not only due to global warming and pollution issues but also because of critical pressure on the Earth's regeneration possibility. We cannot use classical microeconomic approach here for two reasons: a) impossibility to create...

The role of population density for economic activity was neglected in most part of economic theory. This paper is a review and extension of the previous works of the author in this field. So far, densities did not become common economic variables in economic analysis, and two countries with...

We use Adaptive Weights Smoothing (AWS) of Polzehl and Spokoiny (2000, 2003, 2006) to estimate a map of land values for Berlin, Germany. Our data are prices of undeveloped land that was transacted between 1996-2009. Even though the observed land price is an indicator of the respective land...

Many private common carriers or regulated utilities have eminent domain powers in the U.S. The rationale resembles that for local governments; lower cost of assembling land for long distance electric transmission, gas and oil products pipelines, etc. Recent court cases raise questions about...

This critical analysis contributes to a better understanding of urban land values by unifying the real option and redevelopment decision literatures within a broader context of real estate valuation. By combining these heretofore disparate literatures in this way, both academics and practioners...

For a complete cost-benefit analysis of durable infrastructures, it is important to understand how the value of non-market goods such as transit time and environmental quality changes as incomes rise in the long-run. We use difference-in-differences and spatial differencing to estimate the land...

The cyclicality and volatility of property prices have been extensively documented. Many explanations have been proposed. This paper builds a simple dynamic general equilibrium model in which these often cited channels are assumed away. Instead, the role of intertemporal elasticity of...

We develop and test a demand-side theory of the effect of regulation on land prices, where regulation determines higher urban environment quality by city sections. Our theory opposes supply-side neoclassical models where regulation increases prices due to limiting the supply of built...