The influence of land use regulation on the probability that low-income neighbourhoods will gentrify

Urban Studies ◽  
2020 ◽  
pp. 004209802094016
Author(s):  
Susane Leguizamon ◽  
David Christafore
Keyword(s):  
Land Use ◽  
Low Income ◽  
Housing Prices ◽  
Housing Price ◽  
Lower Probability ◽  
Land Use Regulation ◽  
Lower Income ◽  
Housing Projects ◽  
The Us ◽  
Price Growth

The divergence in housing price growth in the US in coastal cities relative to inland cities has been thought to occur, in large part, due to severe housing regulations and restrictions on development. Researchers have posited that this trend implies that these heavily regulated cities are experiencing higher incidences of gentrification. However, the gentrification of lower-income communities may be negatively influenced by restrictive regulations rather than positively, as is the case with overall housing price growth. This may occur if restrictions make it more difficult to improve housing structures and engage in new housing projects. We use data from over 12,000 census tracts to analyse the relationship between land use regulations and the probability an area will undergo gentrification in the years 2000 to 2010. By separating the influence of higher levels of regulation on overall housing price growth from the likelihood that a lower-income neighbourhood will gentrify, we find that regulation has opposing forces. While increased levels of regulation are associated with an almost 10% greater increase in overall housing prices, they are also associated with a three to four percentage-point lower probability that a lower-income tract will experience gentrification, contrary to previous conclusions.

scholarly journals A PROPOSAL FOR AFFORDABLE WAQF HOUSING PROJECTS IN MALAYSIA: PUBLIC PERCEPTION OF HOUSE CHARACTERISTICS

2021 ◽  
Vol 19 (17) ◽  
Author(s):  
Nor Azizan Che Embi ◽  
Salina Kassim ◽  
Roslily Ramlee ◽  
Wan Rohaida Wan Husain
Keyword(s):  
Affordable Housing ◽  
Low Income ◽  
Structural Equation ◽  
Public Perception ◽  
Housing Prices ◽  
Housing Price ◽  
Income Group ◽  
Housing Affordability ◽  
High Income Group ◽  
Housing Projects

Housing affordability is important to ensure houses are affordable to everyone across all income categories, whether they are in the low-income, middle-income (M40), or high-income group. Building housing projects on waqf land will help increase the supply of affordable houses, especially targeted at the M40 group, while also addressing the shortage of affordable housing for the M40 cohort. This study analyses public perceptions of house characteristics and relate these factors to affordable housing prices. The independent variables are location, infrastructure, facilities, size, design and quality. By applying a quantitative research design, the study aims to understand the relationship between various demanded housing characteristics vis-a-vis the price of the house. A sample of 261 usable responses was analysed using the Structural Equation Modelling (SEM). The results show that house size is not statistically significant in influencing the housing price, while location, infrastructure and design of the house are positively significant factors. These findings are expected to provide important inputs to the relevant authorities on factors that are critical in influencing the prices of housing projects built on waqf land in Malaysia.

scholarly journals The Neighborhood Effects of a Place-Based Policy—Causal Evidence from Atlanta’s Economic Development Priority Areas

2021 ◽  
Vol 13 (12) ◽  
pp. 6808
Author(s):  
Yuxi Luo ◽  
Zhaohua Zhang ◽  
Jun Zheng ◽  
Diane Hite
Keyword(s):  
Economic Development ◽  
Low Income ◽  
Neighborhood Effects ◽  
Economic Status ◽  
Housing Prices ◽  
Labor Demand ◽  
Housing Price ◽  
Poverty Rate ◽  
Priority Areas ◽  
Positive Effects

Place-based policies refer to government efforts to enhance the economic performance of an area within its jurisdiction. Applying various difference in differences strategies, this study evaluates the neighborhood effects of a place-based policy—the Economic Development Priority Areas (EDPA) of Atlanta, Georgia, USA. Since the census block groups are locally defined and the boundaries may change over time, we defined the neighborhoods by creating a set of 0.25-mile- diameter circles evenly distributed across Atlanta, and used the created buffers as the comparison unit. The empirical estimates showed that EDPA designation significantly reduced poverty rate and increased housing price of EDPA neighborhoods but had no beneficial effects on population size and employment rate. The heterogeneous analysis with respect to different initial economic status of the neighborhoods showed a relative larger and significant effect of EDPA designation on low-income neighborhoods. The increasing labor demand induced by EDPA designation in low-income neighborhoods attracted more population to migrate in and put upward pressure on housing prices. The estimation results are robust when replacing the 0.25-mile-diameter circle neighborhoods with 0.5-mile-diameter circle neighborhoods. Although we found some positive effects of the EDPA program in Atlanta, it would be misguided to assume similar effects occur in other areas implementing place-based policies.

After the Projects

2018 ◽  
Author(s):  
Lawrence J. Vale
Keyword(s):  
Public Housing ◽  
New Orleans ◽  
San Francisco ◽  
Low Income ◽  
Rental Housing ◽  
Hope Vi ◽  
Lower Income ◽  
Spatial Politics ◽  
The Us ◽  
National Initiative

At a time when lower-income Americans face a desperate struggle to find affordable rental housing in many cities, After the Projects investigates the contested spatial politics of public housing development and redevelopment. Public housing practices differ markedly from city to city and, collectively, reveal deeply held American attitudes about poverty and how the poorest should be governed. The book exposes the range of outcomes from the US federal government’s HOPE VI program for public housing transformation, focused on nuanced accounts of four very different ways of implementing this same national initiative—in Boston, New Orleans, Tucson, and San Francisco. It draws upon more than two hundred interviews, analysis of internal documents about each project, and nearly fifteen years of visits to these neighborhoods. The central aim is to understand how and why some cities, when redeveloping public housing, have attempted to minimize the presence of the poorest residents in their new mixed-income communities, while other cities have instead tried to serve the maximum number of extremely low-income households. The book shows that these socially and politically revealing decisions are rooted in distinctly different kinds of governance constellations—each yielding quite different sorts of community pressures. These have been forged over many decades in response to each city’s own struggle with previous efforts at urban renewal. In contrast to other books that have focused on housing in a single city, this volume offers comparative analysis and a national picture, while also discussing four emblematic communities with an unprecedented level of detail.

scholarly journals ARE HOUSING PRICE CYCLES ASYMMETRIC? EVIDENCE FROM THE US STATES AND METROPOLITAN AREAS

2018 ◽  
Vol 23 (1) ◽  
pp. 1-22 ◽  
Author(s):  
Christophe André ◽  
Rangan Gupta ◽  
John W. Muteba Mwamba
Keyword(s):  
Loss Aversion ◽  
Linear Models ◽  
Metropolitan Areas ◽  
Housing Prices ◽  
District Of Columbia ◽  
Housing Price ◽  
Metropolitan Statistical Area ◽  
The Us ◽  
Housing Price Dynamics ◽  
Statistical Area

This paper investigates asymmetry in US housing price cycles at the state and metropolitan statistical area (MSA) level, using the Triples test (Randles, Flinger, Policello, & Wolfe, 1980) and the Entropy test of Racine and Maasoumi (2007). Several reasons may account for asymmetry in housing prices, including non-linearity in their determinants and in behavioural responses, in particular linked to equity constraints and loss aversion. However, few studies have formally tested the symmetry of housing price cycles. We find that housing prices are asymmetric in the vast majority of cases. Taking into account the results of the two tests, deepness asymmetry, which represents differences in the magnitude of upswings and downturns, is found in 39 out of the 51 states (including the District of Columbia) and 238 out of the 381 MSAs. Steepness asymmetry, which measures differences in the speed of price changes during upswings and downturns, is found in 40 states and 257 MSAs. These results imply that linear models are in most cases insufficient to capture housing price dynamics.

scholarly journals Economic Impact of the High-Speed Railway on Housing Prices in China

2018 ◽  
Vol 10 (12) ◽  
pp. 4799 ◽  
Author(s):  
Yuxiang Wang ◽  
Xueli Liu ◽  
Feng Wang
Keyword(s):  
High Speed ◽  
Synergistic Effects ◽  
Housing Prices ◽  
Housing Price ◽  
Quantitative Relationship ◽  
Economic Effects ◽  
High Speed Railway ◽  
Central Cities ◽  
Price Growth ◽  
Regional Imbalance

This study investigated whether and to what extent does the High-Speed Railway (HSR) affect city-level housing prices. With the data of HSR operation and housing prices from 285 cities from 2009 to 2017, the paper aimed to estimate the quantitative relationship between HSR and city-level housing prices and exploited city and regional dummy variables to assess the disparities between regions, followed by the economic effects between typical city pairs. Our findings were as follows: (1) The introduction of HSR leads to a 13.9% increase in city-level housing prices, and the figures for national central cities and regional central cities were 31.7% and 19.6%, respectively; (2) regional imbalance was mitigated with the development of the HSR, and some central cities in underdeveloped regions were stimulated with regard to housing price growth; (3) siphon effects and diffusion effects were observed in megacity–small city pairs, while synergistic effects often lay in megacity–megacity pairs, and such effects all tended to be more significant with increases in the number of HSR lines and a drop in the travel time.

scholarly journals Housing Prices and the Skills Composition of Neighborhoods

2021 ◽  
Vol 4 ◽  
Author(s):  
Shahad Althobaiti ◽  
Saud Alghumayjan ◽  
Morgan R. Frank ◽  
Esteban Moro ◽  
Ahmad Alabdulkareem ◽  
...  
Keyword(s):  
San Francisco ◽  
Low Income ◽  
Cognitive Skills ◽  
Service Sector ◽  
Housing Prices ◽  
Housing Price ◽  
The United States ◽  
Skilled Workers ◽  
Cost Of Living ◽  
The Impact

In the United States (US), low-income workers are being pushed away from city centers where the cost of living is high. The effects of such changes on labor mobility and housing price have been explored in the literature. However, few studies have focused on the occupations and specific skills that identify the most susceptible workers. For example, it has become increasingly challenging to fill the service sector jobs in the San Francisco (SF) Bay Area because appropriately skilled workers cannot afford the growing cost of living within commuting distance. With this example in mind, how does a neighborhood's skill composition change as a result of higher housing prices? Are there certain skill sets that are being pushed to the geographical periphery of a city despite their essentialness to the city's economy? Our study focuses on the impact of housing prices with a granular view of skills compositions to answer the following question: Has the density of cognitive skill workers been increasing in a gentrified area? We hypothesize that, over time, low-skilled workers are pushed away from downtown or areas where high-skill establishments thrive. Our preliminary results show that high-level cognitive skills are getting closer to the city center indicating adaptation to the increase of median housing prices as opposed to low-level physical skills that got further away. We examined tracts that the literature indicates as gentrified areas and found a pattern in which there is a temporal increase in median housing prices and the number of business establishments coupled with an increase in the percentage of skilled cognitive workers.

scholarly journals Is Housing Unaffordable? Why Isn't It More Affordable?

2004 ◽  
Vol 18 (1) ◽  
pp. 191-214 ◽  
Author(s):  
John M Quigley ◽  
Steven Raphael
Keyword(s):  
Land Use ◽  
Low Income ◽  
Housing Affordability ◽  
Housing Quality ◽  
Land Use Regulation ◽  
Relative Importance ◽  
Rental Market ◽  
The Past ◽  
Poor Households ◽  
The U.S

This paper reviews trends in housing affordability in the U.S. over the past four decades. There is little evidence that owner-occupied housing has become less affordable. In contrast, there have been modest increases in the fraction of income that the median renter household devotes to housing. We find pronounced increases in the rent burdens for poor households. We explore the low-income rental market in more detail, analyzing the relative importance of changes in the income distribution, in housing quality, land use regulation, and zoning in affecting rent burdens. We also sketch out some policies that might improve housing affordability.

Zoning and affordability: A reply to Rodríguez-Pose and Storper

Urban Studies ◽  
2020 ◽  
pp. 004209802091033 ◽  
Author(s):  
Michael Manville ◽  
Michael Lens ◽  
Paavo Monkkonen
Keyword(s):  
Land Use ◽  
Metropolitan Areas ◽  
Housing Prices ◽  
Housing Affordability ◽  
Housing Construction ◽  
Land Use Regulation ◽  
Housing Production ◽  
Housing Density ◽  
The Poor ◽  
Housing Outcomes

Would increasing allowable housing densities in expensive cities generate more housing construction and make housing more affordable? In a provocative article, Andrés Rodríguez-Pose and Michael Storper survey the evidence and answer no. Restrictions on housing density, they contend, do not substantially influence housing production or price. They further argue that allowing more density in growing metropolitan areas would only improve housing outcomes for the affluent, and most likely harm the poor. We take issue with both of these contentions. While uncertainties remain in the study of housing prices and land use regulation, neither theory nor evidence warrant dispensing with zoning reform, or concluding that it could only be regressive. Viewed in full, the evidence suggests that increasing allowable housing densities is an important part of housing affordability in expensive regions.

Sign in / Sign up

Export Citation Format

Share Document