TY - JOUR
T1 - The impact of environmental contamination on condo prices
T2 - A hybrid repeat-sale/hedonic approach
AU - Case, Bradford
AU - Colwell, Peter F.
AU - Leishman, Chris
AU - Watkins, Craig
PY - 2006/3
Y1 - 2006/3
N2 - We extend the literature on the impact of externalities using an approach based on a hybrid of hedonic and repeat-sales methods. The externality in question is groundwater contamination in Scottsdale, Arizona. The use of condominium sales allows us to assume that major physical characteristics remain unchanged, but location parameters may be altered by urban growth and development as well as contamination. We find an economically significant discount for properties located in the contaminated area. Interestingly, it does not appear until several years after the contamination becomes publicly known, and it seems to have disappeared before the end of the study period.
AB - We extend the literature on the impact of externalities using an approach based on a hybrid of hedonic and repeat-sales methods. The externality in question is groundwater contamination in Scottsdale, Arizona. The use of condominium sales allows us to assume that major physical characteristics remain unchanged, but location parameters may be altered by urban growth and development as well as contamination. We find an economically significant discount for properties located in the contaminated area. Interestingly, it does not appear until several years after the contamination becomes publicly known, and it seems to have disappeared before the end of the study period.
UR - http://www.scopus.com/inward/record.url?scp=33645084258&partnerID=8YFLogxK
U2 - 10.1111/j.1540-6229.2006.00160.x
DO - 10.1111/j.1540-6229.2006.00160.x
M3 - Article
SN - 1080-8620
VL - 34
SP - 77
EP - 107
JO - Real Estate Economics
JF - Real Estate Economics
IS - 1
ER -