| dc.description.abstract | The value of residential properties apparently depends on a number of variables such as the size of the property, number of rooms, types of construction materials used, etc. However, the external attributes, for instance, value of view and accessibility amenities associated with housing, also play important roles when determining the price of real estate. This paper examines how view and accessibility amenities impact the value of high-rise residential properties in the densely inhabited city of Dhaka. The hedonic pricing method is used here to measure these external benefits. This study explores whether view and accessibility amenities are calculated into property prices. It also investigates all the main variables in order to explain the benefits of view and accessibility amenities in hedonic pricing studies. Four residential areas (Dhanmondi, Gulshan, Mirpur, and Uttara) have been selected for the study. The data on consumer's preferred areas for purchasing flats is collected by Real Estate and Housing Association of Bangladesh. Sales data for all of the one hundred and seventy-five (175) apartments were collected from four case study zones (approx. 40 apartments per zone) through property sale advertisements published on real estate websites. Apartment characteristics, view amenities and location variables were used as independent variables. Validity of data (location verification) was verified by using geo-browsers such as Google Map, Google Earth and Street-view. Walking distance was used to measure the travel distance as traffic is unpredictable in the city due to heavy congestion.
Findings revealed that view and accessibility amenities are usually an appreciated environmental attribute and property prices also reflect their benefits. Price of apartments increases due to the proximity of park, green areas, water bodies or open spaces. Similarly, there is a positive relationship between apartment price and accessibility to location variables such as reputed school, market and central business district. However, the data analysis shows that there are negligible impacts of those amenities on property price in the newly developed area, Uttara. The findings can be effortlessly utilized by developers as well as clients to determine the value of property before any investment. | en |
