Analysis of Determinants for Mixed-use Land in Land Development Project Area in New City by Price Level: Evidence from Gimhae

The purpose of this study is to construct a pricing model for the store residence land for residential and non-residential mixed use in Jangyu New City in Gimhae, Gyeongsagnam-do and analyzed the physical and environmental characteristics expected to act differently according to the price level through quantile regression analysis. In its analysis, the study applied quantile regression using a 2-stage regression method by the spatial lag model which is a regression model reflecting spatial dependency. As a result of the analysis, regression analysis by spatial lag model was found to give better explanation and represent inherent characteristics of land well in quantile regression. Physical factors were found to have bigger effects on the store residence land for residential and non-residential mixed use than environmental factors, especially in high-price land. Store residence land is likely to reflect the characteristics of the use of non-residential real estate more than the environmental factors of residential real estate due to its possibility of commercial use. The spatial correlations appeared higher in the middle and high price quantile of store residence land and physical characteristics were more influential in this quantile. In the related industry, it is necessary to carefully consider the characteristics of different price level, and by doing so, to supply real estate which meets the needs of customers.