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The Value of Brownfield Remediation

Author

Listed:
  • Kevin Haninger
  • Lala Ma
  • Christopher Timmins
Abstract
The U.S. Environmental Protection Agency Brownfields Program awards grants to redevelop contaminated lands known as brownfields. This paper estimates cleanup benefits by combining administrative records for a nationally representative sample of brownfields with high-resolution, high-frequency housing data. We find property value increases accompanying cleanup averaging from 5.0% to 11.5%; for a welfare interpretation that does not rely on the intertemporal stability of the hedonic price function, a double-difference matching estimator finds even larger effects of up to 15.2%. Our various specifications lead to the common conclusion that Brownfields Program cleanups yield positive, statistically significant, but highly-localized effects on housing prices.

Suggested Citation

  • Kevin Haninger & Lala Ma & Christopher Timmins, 2014. "The Value of Brownfield Remediation," NBER Working Papers 20296, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:20296
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    More about this item

    JEL classification:

    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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