Premium
LAND BANK 2.0: AN EMPIRICAL EVALUATION
Author(s) -
Whitaker Stephan,
Fitzpatrick Thomas J.
Publication year - 2016
Publication title -
journal of regional science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.171
H-Index - 79
eISSN - 1467-9787
pISSN - 0022-4146
DOI - 10.1111/jors.12206
Subject(s) - externality , revenue , land value , land values , equity (law) , property tax , property value , business , agricultural economics , value (mathematics) , land use , natural resource economics , residential property , economics , finance , microeconomics , real estate , economic geography , civil engineering , machine learning , political science , law , computer science , engineering
In 2009, Cuyahoga County, Ohio (Cleveland and 58 suburbs), established a land bank to acquire low‐value properties, mitigate blighted housing, and slow the decline of property values. This empirical study evaluates the effectiveness of the land bank by estimating spatially corrected hedonic price models using sales near the land‐bank homes. The land bank reduces the negative externalities of the properties it acquires. Its largest impact is the preservation of equity in unsold homes. We also estimate the recovered value for homes sold during the study period and the property tax revenue that may have been forgone, absent the land bank.