Land use for transport projects: Estimating land value

Transportation projects are typically characterized by increased land use, which is a scarce resource of economic value. However, there is a tendency to ignore land value during feasibility studies of transportation projects. This may lead to a reduction in the economic efficiency of a project and to increased land use. This paper presents an economic model, based on the relationship between the elasticity of land price with respect to density, and estimating the future value of land designated for various uses, including transportation projects. The model was applied to transactional data from Israel, and was used for examining the value of land designated for two transport projects within Israel. The conclusions of the study indicate that taking the land value during a feasibility analysis of transportation projects into account, may lead to the consideration of other alternative plans, which may prevent the excessive use of land.     

How to assess the impact of hope on a change in the use of land on market value?

This article is devoted to common yet quite specific approaches to valuation practice tasks that are involved in determining the market value of real properties in areas of possible land use changes. An intrinsic element of market value in such areas is the hope value, for which an option pricing model is used quite frequently.The authors propose a specially adapted Samuelson-McKean model for this task, which allows market value indication to be determined not only with the built-in development option, but also the dynamics of its components value in the current highest and best use and hope value – depending on the location of the given property. The greatest advantage of the Samuelson-McKean model is that it can be treated as universal for analyzing the range of possible indications of market value seeing as how its main task is to find a compromise between the interests of the buyer and the seller, which is the goal of any fair transactions and decisions.     

Underground land values

Very often, underground land values appear to be a missing factor in land economics and planning, both at academic and practitioner level. In general, ignoring such a variable and potentially valuable resource may seriously delay any underground land policy to be undertaken. It can lead the public as well as the private sector to a short-sighted over-consumption of shallow subsurface space and under-consumption of deep underground space. Considering subsurface land values in economic studies of underground projects increases their reliability for the decision-making process. This paper shows a theoretical and empirical way to estimate underground land values, with applications.     

Implementing a land value tax: Considerations on moving from theory to practice

A land value tax is a recurrent tax on landowners based on the value of unimproved land. There is a widely held view that a land value tax is an economically efficient means of taxing wealth and of encouraging land development. The arguments presented in the policy and academic literature tend to concentrate on the compelling theoretical case, but most do not consider the detail of how such a tax might be implemented. Indeed, land value taxation is not widely implemented as a standalone real estate tax despite the strong theoretical rationale for its use. We explore why this might be by identifying key practical, political and economic factors surrounding the implementation and operation of land value taxation in six countries. We examine the various rationales for the introduction of land value tax, reasons for its continued use or abolition (where applicable) as well the particular practical and political issues which policymakers need to consider prior to introducing land value taxation. These include the need for a comprehensive up-to-date land registry and forward planning of land use at plot level; the provision of a well-resourced and informed valuation profession; resources to undertake robust valuations which separate the value of land from the value of improvements for developed plots and do so on the basis of highest and best use; and the need for widespread political support for the introduction of a new tax (which may be difficult to secure). These issues present significant uncertainty in comparison with already-existing forms of land and property taxation. We conclude that these issues may therefore provide some explanation as to the lack of widespread adoption of land value tax despite the economic theoretical arguments in its favour.     

城市防洪工程对土地增值效益的量化研究

为使水利防洪工程项目的经济评价更趋客观合理,需要对城市防洪工程所带来的土地增值效益进行量化研究。分析在有、无防洪工程情况下土地价值的差异,建立了防洪工程对土地价值的增值效益模型。以钱塘江标准海塘杭州经济技术开发区水利工程为例,应用该模型分析防洪工程对该区域土地增值效益的作用,结果表明,钱塘江标准堤塘工程的建设对杭州经济技术开发区土地具有增值作用,开发区土地增值总效益达23.11亿元。     

浅析土地发展权与土地利用规划

我国正处于工业化和城市化的加速时期，土地需求急剧增加。为了进一步控制土地利用，国家采取一系列的有力措施，但在土地管理中存在土地配置效率低下、大量农用地非法转为建设用地等的问题。在市场经济条件下，土地的经济价值日益显化，农民围绕土地权益而发生大量纷争，为了解决其中的一些尖锐矛盾，我国应积极地创设土地发展权制度，显化土地发展极，建立基于国有土地发展权的土地利用规划思路。     

Upzoning and value capture: How U.S. local governments use land use regulation power to create and capture value from real estate developments

The public sector can harness its authority to control land uses to secure valuable public benefits from real estate developments. This paper investigates how five major U.S. cities—Boston, Chicago, New York, San Francisco, and Seattle—are using their land use regulation powers to create and capture value for the public benefit. An analysis of the zoning and entitlement processes of the 20 largest real estate development projects in each city reveals that value has been captured from all 100 projects. Furthermore, these cities implicitly differentiated value capture into two distinct components: value creation and value capture. Among the 100 projects, cities created value for 90 projects by allowing greater density and height—a practice often referred to as “upzoning.” Distinguishing such upzoning incidences from traditional land use exaction tools is important because the added value gives local governments greater legitimacy in asking for public benefits. The experience of the five cities further revealed that value capture strategies can be customized to adapt to unique regulatory, political, and cultural contexts. Lastly, despite the fact that the majority of the upzoned projects increased density and height through project-specific negotiations, none of the cities had clear standards or evaluation frameworks for determining: how much value was created, what can be asked for in return, and who should benefit from the value captured. Cross-national scholarship on value capture can be leveraged to address these important questions.     

Extra-legal land market dynamics on a Guatemalan agricultural frontier: Implications for neoliberal land policies

Neoliberal land policies such as land administration seek to improve property rights and the efficiency of land markets to boost rural economic production. Quantitative studies of pre-existing land markets can help planners to tailor these policies to local conditions. In this article we examine an extra-legal land market currently being modernized by a World Bank-sponsored land administration effort. Specifically, we use a hedonic-type revealed preference model and household survey data to estimate the factors affecting extra-legal land prices along an agricultural frontier in Petén, Guatemala. Our model indicates that land value is significantly affected by land attributes including location, tenure status, presence of water, distance to roads, and distance to landowners’ homes, and that land prices in the northwestern Petén are estimated to have risen on average 26.5% per year between 1977 and 2000. We contend that this rate of increase provides a strong incentive for colonists to speculate in land rather than invest in state sanctioned property rights. We conclude that if frontier development programs, such as land administration, are to become attractive to settlers in Petén and elsewhere, they must compete favorably with economic incentives associated with land speculation, or alternatively, target landowners who are not interested in playing the land market.     

Supply side constraints in the Israeli housing market—The impact of state owned land

House prices in Israel have risen since 2008 by as much as 98%. Much of this increase is attributed to low levels of housing supply and housing supply elasticities. In Israel land is frequently owned by the state. This results in heavy government involvement in the housing market through the control of land supply via land tenders. This paper estimates the impact of state owned land on the Israeli housing market focusing on these unusual conditions of land supply. A model for the creation of new housing units is proposed. This incorporates land tenders, enabling the estimation of housing supply dynamics with an accurate measure of public land supply. The model is tested using regional panel data which facilitates the dynamic estimation of national and local supply elasticities and regional spillovers. The paper uses novel data sources resulting in a panel of 45 spatial units over a span of 11 years (2002–2012). Due to the nonstationary nature of the data, spatial panel cointegration methods are used. The empirical results yield estimates of housing supply price elasticities and elasticities with respect to land supply. Results show that housing supply is positively impacted by governmental decisions but the impact is low. Supply elasticity with regard to government land tenders stands at around 0.05 over the short run and 0.08 over the long run. Government policy of offering land in low demand areas and fixing minimum-price tendering does not seem to affect housing supply. Policy implications point to the need for more sensitive management of the delicate balance between public and private source of land in order to mitigate the excesses of demand shocks.     

Zionism and agricultural land: National narratives,environmental objectives,and land policy in Israel

The 1990s saw two different and even contradictory trends in Israel. On the one hand, there was a substantial increase in environmental awareness, on the part of both the general public and decision-makers, that led to a change in the land use planning policy at the national level. On the other hand, the Israel Lands Council (ILC), the body empowered by law to shape the national land policy, made a series of decisions that severely violated the principle of preserving agricultural land and led to massive conversion of agricultural land and open space for commercial, industrial, and residential development. Thus the national land policy became incompatible with the land use planning policy and the rise in environmental awareness it reflected.     

The ‘squeezed middle’: Identifying and addressing conflicting demands on intermediate quality farmland in Scotland

The growing demand for a wide range of private and public goods and services from a finite land resource is increasingly challenging for planners at local, regional, national and international scales. The Scottish Government's development of a Land Use Strategy has given salience to resolving conflicts and enhancing synergies in land use. In Scotland, the poorest quality farmland is often designated for nature and landscape conservation and the highest quality farmland often protected for food production. This means that many of the competitive pressures on land are experienced in what we term the ‘squeezed middle’. The paper identifies the multiple (and not exclusively economic) drivers of land use choices and, through an ecosystem services lens, explores three particular areas of land use conflict. These are (i) the continued high level of public support for farming, which has done little to address the problem of low farm incomes; (ii) the pressure to increase woodland planting on farm (and other) land; and (iii) conflicts associated with intensive game management, especially on sporting estates. Using the Scottish situation as an example, the heterogeneity of land use pressures means that there is a danger of the principles of the Land Use Strategy becoming lost in translation from national policy to practical land use decision-making. The appropriate scale for delivery of integrated ecosystem services may therefore be more local than current pilot projects, and may require more active participation of land managers. It may also require policy instruments that are more flexible in adapting to the local context, including payments for ecosystem services.     

基于Shapley值改进的水土保持PPP项目效益分配研究

针对水土保持项目正外部性、公益性等特点,建立水土保持效益估算模型,计算出包含生态效益、经济效益和社会效益的项目总效益,在此基础上,建立考虑投入比例、风险承担与合同执行度的Shapley值改进的效益分配模型,最后通过实例验证了模型的可行性。研究结果表明:考虑生态效益和社会效益后,效益分配基数增加,改进后的效益分配模型衡量了利益各方的实际贡献,分配结果更加合理,使项目向帕累托最优迈进。     

Agricultural impacts and profitability of land consolidations

The study evaluates agricultural impacts and profitability of land consolidations. The study analyses how land consolidations improve the property structure and how much it reduces the farming costs. The study also calculates whether the ensuing benefits exceed the costs incurred. The study material included 12 land consolidation projects that were implemented in Finland. Standard statistical methods, production cost calculations and feasibility analyses were used to analyze the material. Overall the study showed that land consolidation is an effective and feasible land management tool for the improvement of property structure. The average production costs were discovered to decrease 15% due to the significant improvement of property structure.     

试论土地利用总体规划编制程序的完善——提高程序的民主性

研究目的:完善土地利用总体规划(以下简称土地规划)编制程序,为《土地管理法》修改提供参考。研究方法:价值分析和规范分析。研究结果:分析得出提高土地规划编制程序的民主性具有重要意义,并认为可以通过完善人大参与和公众参与提高编制程序的民主性,进而指出现有法律关于土地规划编制程序民主性规定的不足,对提高土地规划编制程序民主性的法律保障提出了相关建议。研究结论:地方各级土地规划应当经同级人大常委会或人大审议,全国土地规划应当经全国人大常委会审查同意;县级以上土地规划草案可采用听证会、论证会、座谈会等各种方式征求意见,乡镇土地规划草案应当召开听证会征求意见。     

Applying evaluation criteria for the land consolidation effect to three contrasting study areas in the Czech Republic

Land consolidation (LC) is a tool for improving the effectiveness of land cultivation and for supporting rural development. In the Czech Republic it is, in addition, used to remedy the damages and wrongs caused by 40 years of suppression of land ownership. This paper investigates the specific conditions and various outcomes of LC in three study areas, focusing on the evaluation criteria of land ownership and plot arrangement before and after LC. The three study areas contain contrasting observed features, and they therefore provide a good illustration of a whole range of factors that can affect the rate of LC. The author designed LC projects in each of the study areas between 1994 and 2003, and defined two sets of criteria for ex ante and ex post evaluation based on size, shape and juxtaposition of the plots, on the natural and social conditions, and on the economic benefits and advantages of LC for the landowners. The relationship between the ex ante criteria and the three LC indicators was analyzed using a multiple regression approach. The results show that the initial conditions had a strong effect on the outcomes of the LC programmes. Defining the criteria and the models for the Czech Republic will help to improve the methodological principles underlying LC projects, and it will also support the decision-making processes of the LC authorities in order to optimize the allocation of limited funds.     

基于多层级指标体系的城镇低效工业用地认定与查询*——以山西省榆社县为例

［目的］基于地方普遍反映低效工业用地利用量最大,程度最重的问题,文章将探寻城镇低效工业用地认定和查询的新方法,为地方政府科学化、层次化管理工业用地提供帮助,更好地促进土地资源的集约节约利用。［方法］基于多层级指标体系,以企业基础设施完备度为控制轴,企业经济效益和社会效益为评价轴,构建工业用地三维认定查询模型,创新工业用地的结果查询模式。［结果］以山西省榆社县为例,采用多层级指标体系能够得出,越是规模以上企业,其基础设施越完备、经济效益和社会效益分值越高,从侧面也可以反映出来地均税收和地均产值是造成该宗地高效利用和低效利用的关键。［结论］采用多层级指标体系确定的低效工业用地于与《山西省城镇低效用地编制要点》中确定的低效工业用地一致。且多层级指标体系不仅能将工业用地划分为高效利用、一般利用、低效利用、极差利用4个层次,还能对每个层级的分数进行比较,从而找出低效用地产生的原因,更好地指导地方政府对于工业用地的差异化管理和再开发工作。     

Socioeconomic determinants of farmland value in India

Developing countries have achieved remarkable overall economic diversification and growth during the last few decades, but farmland has remained a prime pillar of the livelihood support system of resource poor people in the rural areas of these countries. For these people, land is still the most important resource as it has multiple utilities such as a symbol of social standing, collateral value and a reserve capital asset for emergencies. Agricultural land assumes different values for different owners. This study establishes the criticality of age, education level, size of family workforce, dependency on agricultural income, productivity of land and location of farmland in influencing perception of value of farmland. Ignoring these factors creates a gap in the value of farmland as perceived by the farmland owner and the government. Knowledge of these factors may help in making appropriate adjustments in government declared prices of farmland for determining appropriate land compensation rate for a specific location.     

Land consolidation – A great need to improve effectiveness. A case study from Poland

Among the different factors which have an influence on the profitability of small and medium-size farms, a very significant and sometimes even crucial role is played by the unfavourable parameters of land fragmentation (LF). However, this adverse limiting factor can be improved in a relatively short time through land consolidation (LC) treatment. The financial support of these kinds of activities is one of the main aspects of the Common Agricultural Policy (CAP), which aims to equalise the conditions for farming production. Since accession to the EU in 2004, Poland is one of the biggest beneficiaries of various financially-supported projects oriented to the development of rural area, where LC work takes a special position.This paper sums up the outcomes of the LC work that was undertaken in Poland over the period 2007–2013. The results of the investigation delivered the information about the effectiveness of LC work at the farm level. Also, the efficiency of the existing funding strategy of LC work was evaluated. Additionally, the findings revealed poor effects of land swapping and re-parcelling activities, which is disturbing bearing in mind the financial scale and the amount of time spent conducting these actions. As a remedy, several solutions for improvement of the inefficient LC proceedings were proposed.