Historic Preservation and Residential Property Values: Evidence From Quantile Regression

Velma Zahirovic-Herbert and Swarnankur Chatterjee

ERES from European Real Estate Society (ERES)

Abstract: Historic designation is increasingly used as a means to achieve both preservation and community economic development. This study considered the effects of historic designation on residential property values in Baton Rouge, Louisiana. Our results support the well-established notion in urban economics literature that historic preservation generally has a positive impact on property values and, in particular, that the historic designation is associated with average property value increases ranging between 5% and 8% of mean house value. Furthermore, designation of a neighborhood as historic has positive spillover effects on property values for nearby residential properties. This finding supports using historic preservation and the designation of historic districts and landmarks as a policy tool for elected and community leaders seeking to find ways to protect and enhance residential property values in central cities. However, appreciation of property values may displace less-affluent residents of historic districts after designation takes place. It must indeed be recognized that with increasing values comes the very real possibility that displacement of neighborhood residents can occur. Our results also show that the lower-end properties gain the most value from historic preservation. Thus historic preservation policies should be accompanied by efforts to retain affordable housing.

JEL-codes: R3 (search for similar items in EconPapers)
Date: 2011-01-01
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://eres.architexturez.net/doc/oai-eres-id-eres2011-34 (text/html)

Related works:
Journal Article: Historic Preservation and Residential Property Values: Evidence from Quantile Regression (2012)
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:eres2011_34

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 ().