The impact of proximity to cell phone towers on residential property values

Author(s):

Olga Filippova (Department of Property, The University of Auckland, Auckland, New Zealand)

Michael Rehm (Department of Property, The University of Auckland, Auckland, New Zealand)

Citation:

Olga Filippova, Michael Rehm, (2011) "The impact of proximity to cell phone towers on residential property values", International Journal of Housing Markets and Analysis, Vol. 4 Issue: 3, pp.244-267, doi: 10.1108/17538271111153022

DOI

http://dx.doi.org/10.1108/17538271111153022

Downloads:

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Abstract:

Purpose

– This paper aims to determine if proximity to cell phone towers influences house prices with a focus on isolating the impact of tower aesthetics on nearby property values.

Design/methodology/approach

– Sales transaction data from the Auckland Region during 2005‐2007 were analysed using a series of hedonic models testing various proximity specifications across two populations of cell towers: residential‐only and global (all towers).

Findings

– The study could not establish a relationship between cell towers and house prices with the exception of armed monopole towers located in residential areas due to such towers' acute visual disamenity.

Practical implications

– The study's findings can be directly applied to residential valuation practice and can assist government regulators and telecommunication companies in siting new cell towers.

Originality/value

– This research provides three distinct methodological improvements: unconventional geocoding that improves spatial accuracy, separate analysis of towers in residential areas that enhances internal validity and inclusion of tower mast data to isolate the impact of tower aesthetics.

Keywords:

Residential house prices, Cell towers, Electromagnetic radio frequency, Housing markets, Environmental stigma, Hedonic pricing model, Mobile communication systems, New Zealand

Type:

Research paper

Publisher:

Emerald Group Publishing Limited

Copyright:

© Emerald Group Publishing Limited 2011
Published by Emerald Group Publishing Limited