Examining the effects of green infrastructure on residential sales prices in Omaha, Nebraska

• Published in: Urban forestry & urban greening Vol. 54; p. 126778
• Main Authors: Hoover, F.-A., Price, J.I., Hopton, M.E.
• Format: Journal Article
• Language: English
• Published: Germany Elsevier GmbH 01.10.2020
• Subjects: Ecosystem services; Green infrastructure; Greenspace amenity; Hedonic analysis; Repeat-sales; Residential property sales; Greenspace amenity; Repeat-sales; Residential property sales; Ecosystem services; Green infrastructure; Hedonic analysis
• ISSN: 1618-8667; 1610-8167
• DOI: 10.1016/j.ufug.2020.126778

•A repeat-sales model assessed how installing GI in parks affects nearby home values.•The data consisted of 25,472 sales pairs (2000–2018) from Omaha, NE, USA.•We found no significant effects of GI on home values.•Homeowners likely place little to no value on the assessed greenspace modifications. Green infrastructure (GI), practices consisting of using vegetation and soil to manage stormwater runoff (e.g., rain gardens, vegetated roofs, bioswales, etc.), has been adopted by cities across the world to help address aging water infrastructure, water quality, excess water quantity, and urban planning needs. Although GI’s contribution to stormwater control and management has been extensively studied, the economic value of its benefits is less known. In Omaha, NE, GI projects have been completed in several public parks. Using a repeat-sales model based on 2000–2018 housing data, we examined the effect of GI on the value of single-family homes within various buffer distances of parks where GI was installed. After controlling for changes associated with home deterioration and renovation, non-stationary location effects, and time-invariant characteristics, we did not find any statistically significant relationships between housing values and GI. This finding is consistent with the notion that homeowners place little value on modifications to existing greenspace, but may also stem from homeowners’ lack of familiarity with GI practices or data limitations.