Strategies for Alleviating Housing Shortages: Evaluating the Fiscal Effects and Profitability of Residential Land Development

Julius Range and Albert Erasmus Grafe

ERES from European Real Estate Society (ERES)

Abstract: Economic profitability of land development is a major driver for land consumption but is prone to increasing political scrutiny and environmental concerns. Our paper aims to quantify the income tax effects of increases in residential areas in Germany. We estimate the effect based on a detailed synchronized panel database for German counties. Applying a spatial regression approach, we address the heterogeneity of regions as well as neighboring and spill-over effects. Our findings suggest that an increase in residential areas has a significant positive effect on income tax revenue. We relate these estimates to average costs for green- and brownfield development. Our research sheds new light on the interplay between revenues and costs in residential land development.

Keywords: Land Consumption; Spatial regression; tax revenues; Urban Development (search for similar items in EconPapers)
JEL-codes: R3 (search for similar items in EconPapers)
Date: 2024-01-01
New Economics Papers: this item is included in nep-ure
References: Add references at CitEc
Citations:

Downloads: (external link)
https://eres.architexturez.net/doc/oai-eres-id-eres2024-078 (text/html)
https://architexturez.net/system/files/P_20240115085021_3973.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 403 Forbidden

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:arz:wpaper:eres2024-078

Access Statistics for this paper

More papers in ERES from European Real Estate Society (ERES) Contact information at EDIRC.
Bibliographic data for series maintained by Architexturez Imprints ().