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Volume 32, Number 3, 2010

Do Landfills Always Depress Nearby Property Values?
 

Richard C. Ready
112-A Armsby Building
Department of Agricultural Economics and Rural Sociology
The Pennsylvania State University
University Park, PA 16802

Email: rready@psu.edu

Abstract:

All available hedonic pricing estimates of the impact of landfills on nearby property values are assembled, including original estimates for three landfills in Pennsylvania. A meta-analysis shows landfills that accept high volumes of waste (500 tons per day or more) decrease adjacent residential property values by 13.7%, on average. This impact diminishes with distance at a gradient of 5.9% per mile. Lower-volume landfills decrease adjacent property values by 2.7%, on average, with a gradient of 1.3% per mile. While essentially all high-volume landfills negatively impact nearby property values, 20-26% of low-volume landfills do not impact nearby property values.

 


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