A Paradigm Shift in Urban Economic Theories: The re-examination of Land and Housing values Determinants in African Cities

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Date
2018-09-25
Authors
Ilechukwu, Victor
Ilechukwu, V.
Journal Title
Journal ISSN
Volume Title
Publisher
Clarion University of Pennsylvania, Clarion, Pennsylvania
Abstract
ABSTRACT The past urban economic studies have shown that land and housing values are largely determined by location factors such as distance from Central Business District (CBD), ignoring the non-location factors like time of land purchase, zoning policy, housing quality and neighbourhood infrastructures. Therefore, this paper examined the relative importance of location and non-location factors in the determination of willingness to pay for sustainable land and housing values, by posting Onitsha, an African city as a case study. Eight hundred and fifty residential housing units were selected and questionnaire administered to the landlords through multi-stage sampling technique. The regression analysis results showed that nonlocation factors, especially, time of land purchase (R2 = 0.478, p < 0.05) and number of rooms (R2 = 0.325, p < 0.05) were more important determinants of land and housing values than the location factors. Also, Land and housing values increased with distance from the CBD because of the effects of non-location factors. Therefore, the paper suggested the need to include non- location factors in the revision of the urban economic theories for better understanding of residential land and housing values determinants in support of sustainable development.
Description
Staff publications
Keywords
Central Business District , Urban economic studies , Housing , Infrastructures , Research Subject Categories::FORESTRY, AGRICULTURAL SCIENCES and LANDSCAPE PLANNING
Citation
Ilechukwu V.U (2018). A Paradigm Shift in Urban Economic Theories: The re-examination of Land and Housing values Determinants in African Cities. Journal of Sustainable Development in Africa, Clarion University of Pennsylvania, Clarion, Pennsylvania, 20(4): 1 - 24