Historic amenities, income and sorting of households

Research output: Contribution to JournalArticleAcademicpeer-review

Abstract

We aim to estimate the impact of historic amenities on house prices and sorting of households. Historic district boundaries enable us to measure the external view effect of historic amenities, defined as the effect of a historic amenity on the price of other buildings through an improved view from the other buildings. We use a semiparametric regression-discontinuity approach to control for unobserved location characteristics and focus on houses constructed after 1970. It is shown that the (external) view effect of historic amenities is 3.5% of the house price. Rich households have a higher willingness to pay for a view on historic amenities and therefore sort themselves in historic districts, which contributes to an explanation for the substantial spatial income differences within cities.
Original languageEnglish
Pages (from-to)203-236
JournalJournal of Economic Geography
Volume16
Issue number1
DOIs
Publication statusPublished - 2016

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amenity
sorting
external effects
income
building
district
willingness to pay
regression
discontinuity
household
Income
Household
Sorting
Amenities
effect
price
House prices

Cite this

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title = "Historic amenities, income and sorting of households",
abstract = "We aim to estimate the impact of historic amenities on house prices and sorting of households. Historic district boundaries enable us to measure the external view effect of historic amenities, defined as the effect of a historic amenity on the price of other buildings through an improved view from the other buildings. We use a semiparametric regression-discontinuity approach to control for unobserved location characteristics and focus on houses constructed after 1970. It is shown that the (external) view effect of historic amenities is 3.5{\%} of the house price. Rich households have a higher willingness to pay for a view on historic amenities and therefore sort themselves in historic districts, which contributes to an explanation for the substantial spatial income differences within cities.",
author = "H.R.A. Koster and {van Ommeren}, J.N. and P. Rietveld",
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Historic amenities, income and sorting of households. / Koster, H.R.A.; van Ommeren, J.N.; Rietveld, P.

In: Journal of Economic Geography, Vol. 16, No. 1, 2016, p. 203-236.

Research output: Contribution to JournalArticleAcademicpeer-review

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AU - van Ommeren, J.N.

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AB - We aim to estimate the impact of historic amenities on house prices and sorting of households. Historic district boundaries enable us to measure the external view effect of historic amenities, defined as the effect of a historic amenity on the price of other buildings through an improved view from the other buildings. We use a semiparametric regression-discontinuity approach to control for unobserved location characteristics and focus on houses constructed after 1970. It is shown that the (external) view effect of historic amenities is 3.5% of the house price. Rich households have a higher willingness to pay for a view on historic amenities and therefore sort themselves in historic districts, which contributes to an explanation for the substantial spatial income differences within cities.

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