Public transport proximity impact on property value. Evidences from Bucharest residential market

Abstract

Transport plays a crucial role in urban development by providing access for people to education, markets, employment, recreation, health care and other key services. Cities which prioritize public transport and non-motorized modes are considered at the top of surveys measuring urban quality of life. Concerns over the quality of life have spread to the growing use of active transportation modes, and as so, proximity to the public transportation system is highly valued.The relationship between public transport accessibility and residential land value is the subject of many recent researches. A house located near public transports will tend to be sold at higher prices. This is due to the convenience that public transportation brings to its influence area, enabling quick access to the network and reduced travel times. However, some studies have found that this proximity can induce adverse effects on property values. So far no major conclusions were achieved…but it seems that the distance to public transport is not na influent factor in real estate prices in Bucharest. Still exploring other aproaches, like other distributions that migth adjust better to the data.