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A Comment on Zoning, Returns to Scale, and the Value of Undeveloped Land

Peter F. Colwell; C. F. Sirmans

The Review of Economics and Statistics 1993

This paper revisits the relationship between land value and parcel size. The authors demonstrate that, using a simple arbitrage equilibrium argument, the value-size relationship is convex (concave) whenever land assembly (subdivision) is possible. They also explore further the impact of zoning on market outcomes. Copyright 1993 by MIT Press.

DOI
10.2307/2110041
Volume
75 (4)
Pages
783
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