Journal of Forest Economics > Vol 19 > Issue 1

Forest proximity and residential land values

Vijaya R. Sharma, Vijaya.Sharma@Colorado.EDU
 
Suggested Citation
Vijaya R. Sharma (2013), "Forest proximity and residential land values", Journal of Forest Economics: Vol. 19: No. 1, pp 78-86. http://dx.doi.org/10.1016/j.jfe.2012.11.001

Publication Date: 0/1/2013
© 0 2013 Vijaya R. Sharma
 
Subjects
 
Keywords
JEL Codes:R31Q24Q51
Hedonic pricesResidential land valuesNonmarket valuationForest proximitySki proximityDiminishing marginal value of land
 

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In this article:
Introduction 
Hedonic price of land – with/without structures 
Data 
Choice of econometric model 
Results 

Abstract

This study estimates a hedonic price equation for residential lands in some mountain counties of Colorado. Results suggest that per-acre price of land in a town is positively influenced by the town's proximity to ski resort and is negatively influenced by its proximity to forest. However, there is a positive fixed effect of having a protected forest such as a national park or wildlife refuge nearby, and the negative effect of proximity of forest is much lower with protected forests. Results suggest that increasingly bigger parcels of land command progressively lower per-acre prices.

DOI:10.1016/j.jfe.2012.11.001