Greg T. Smersh

Pricing Residential Amenities: The Value of a View

This study provides estimates of the value of the view amenity in single-family residential real estate markets. A focus on Bellingham, Washington, a city with a variety of views, including ocean, lake, and mountain, allows for differentiation of the view amenity by both type and quality. Results from a hedonic model estimated for several recent years suggest that depending on the particular view, willingness to pay for this amenity is quite high. The highest-quality ocean views are found to increase the market price of an otherwise comparable home by almost 60%; the lowest-quality ocean views are found to add about 8%. For ocean views of all quality levels, the value of a view is found to vary inversely with distance from the water.

Retail Site Selection Using GIS

This chapter illustrates the use of geographic information systems (GIS) in retail site selection. Basic theories of retail location are reviewed, and data requirements and sources are discussed. The chapter then develops trade area analysis and spatial interaction models and proposes methods for the incorporation of these models with GIS. Finally, the use of a GIS-generated gravity model to determine an optimal retail location is demonstrated.