# RECORD 0a56ff9c5aeeb80c811f28d082785dd37d837fcc # TITLE: Determining the Property Value Impact of Landfills # YEAR: 2000.0 VENUE: nan DOI: 10.15760/etd.6640 # AUTHORS: O. G. Uba # PAGES: 133 CANDIDATE TABLE PAGES (1-based): [98] # ABSTRACT: An abstract of the dissertation of Okwuchukwu Gerald Uba for the Doctor of Philosophy in Urban Studies presented November 5, 1993. Title: Determining the Property Value Impact of Landfills The decline in property value can be due to owner's act or exogenous act from the operation of landfills. Landfill neighbors, especially home owners, perceive landfill operation to pose environmental safety problem such as ground water contamination and methane gas leakage that could affect home value. Owners of landfills, especially those landfills that accept only dry waste (limited purpose landfill), claim that since their facilities meet the requirements of environmental regulations and the type of waste they accept could not possibly produce methane gas and leachate there is no property value impact of their facilities. Several studies have shown that landfills do not have impact on property value. However, one recent study found that a large regional landfill have impact on property value. The property value impact of a limited purpose landfill located in Portland, Oregon, was investigated in this study. Data were gathered for homes in approximately one half mile radius around the landfill for the periods before the landfill opened, during operation, and after closure. Hedonic estimation technique incorporated in a multiple linear regression was used to control for a key variable (proximity or distance between the landfill and homes) and examine the relationship of this variable and sale price of homes. The results show that distance of homes (the proxy for perception) from the landfill was positively related and statistically significant with sale prices of homes during the period the landfill was in operation. Distance of homes sold in the periods the landfill was not in existence or operation was not positively related nor statistically significant with sale prices. That is, the operational effects of the landfill was capitalized into property value. With this result, the issue of whether neighbors of landfills should be compensated deserve more attention. The results of this study would be very helpful in negotiating compensation. The results also show that if adequate pollution mitigation measures are in place landfill zoning ordinance should be based on the fact that landfill sites would yield maximum economic benefit to the owner after closure. ===== PAGE 1 (score 4, numeric-paren 0, table-words 0, var-words 4) ===== Portland State University Portland State University PDXScholar PDXScholar Dissertations and Theses Dissertations and Theses 11-5-1993 Determining the Property Value Impact of Landfills Determining the Property Value Impact of Landfills Okwuchukwu Gerald Uba Portland State University Follow this and additional works at: https://pdxscholar.library.pdx.edu/open_access_etds Part of the Public Administration Commons, Public Policy Commons, Urban Studies Commons, and the Urban Studies and Planning Commons Let us know how access to this document benefits you. Recommended Citation Recommended Citation Uba, Okwuchukwu Gerald, "Determining the Property Value Impact of Landfills" (1993). Dissertations and Theses. Paper 4751. https://doi.org/10.15760/etd.6640 This Dissertation is brought to you for free and open access. It has been accepted for inclusion in Dissertations and Theses by an authorized administrator of PDXScholar. Please contact us if we can make this document more accessible: pdxscholar@pdx.edu. ===== PAGE 98 (score 48, numeric-paren 28, table-words 3, var-words 7) ===== TABLE XI REGRESSION RESULTS FOR THE THREE PERIODS Parameter Estimates and Analysis of Variance Dependent Variable = Sale Price Independent Variables 1971 (Before) 1979 (During) 1986 (After) Intercept - 10074 16453 16568 (-1.270) (2.207) (2.167) Distance 200.2874 675.8605 - 165.0572 (0.871) (2.323) (- 0.606) Lot Size 0.5924 0.8929 0.2752 (1.654) (1.814) (0.572) House Size 5.9060 14.6419 16.2432 (2.783) (3.709) (4.040) Age - 136.8730 -2 8 1 .8 3 4 3 - 150.0718 (-3.317) (-5.134) (- 3.298) Bedroom 888.9424 - 2906.6269 620.9696 (1.145) (-2.071) (0.495) Bathroom 7131.2993 3454.0527 4395.0062 (5.226) (1.541) (2.262) Height 8029.9949 12426 - 5098.5247 (0.991) (2.010) (- 0.752) Basement 164.1152 4770.9980 4885.4162 (0.137) (2.616) (3.050) Fireplace * 1091.5975 1053.9359 * (0.561) (0.597) Garage 1179.4304 2484.6345 7811.6183 (1.272) (1.224) (4.205) DF - Regression 9 10 10 Sum of Squares - Regression 5472417109.5 8398080507.4 7952932898.9 Mean Square - Regression 608046345.5 839808050.74 795293289.89 F-ratio 36.754 18.212 21.042 P 0.0001 0.0001 0.0001 N 56 79 76 R-Square 0.8779 0.7281 0.7640 Adjusted R-Square 0.8540 0.6882 0.7277 * t-value in parenthesis * * No fireplace in homes sold in 1971 87 ===== PAGE 99 (score 16, numeric-paren 0, table-words 4, var-words 8) ===== However, distance coefficient turned out to be negatively associated with sale prices. That is to say, there is no evidence that property value rose with distance. The distance coefficient was not significant at 0.05 percent level of two-tailed test. In this instance, the hypothesis that the property value impact of a landfill diminishes with distance from the landfill is not supported by statistical results of this study. All the independent variables in the 1971 model had the expected signs. Among the independent variables, house size, age and bathroom relate positively with sale price, whereas height and basement turned out to be negatively associated with sale prices. Bathroom was statistically significant at the 0.05 level, and house size and age were significantly at the 0.10 level. The correlation analysis show that lot size, bedroom, and height are correlated with sale price at 0.05 significant level. Basement and garage are not correlated with sale prices nor with any other variable. The correlation analysis show also that lot size, bedroom and height were highly correlated with house size and therefore added no new information to the equation. The same independent variables including fireplace were regressed against sale prices of homes sold in 1979. The regression results show that the adjusted coefficient of determination (R2) is 0.6882 with an F-ratio of 18.21. This result show that all the independent variables jointly 88