Analysis of house prices to assess economic impacts of new public transport infrastructure: Madrid metro line 12.

Transportation infrastructure is known to affect the value of real estate property by virtue of changes in accessibility. The impact of transportation facilities is highly localized as well, and it is possible that spillover effects result from the capitalization of accessibility. The objective of this study was to review the theoretical background related to spatial hedonic models and the opportunities that they provided to evaluate the effect of new transportation infrastructure. An empirical case study is presented: the Madrid Metro Line 12, known as Metrosur, in the region of Madrid, Spain. The effect of proximity to metro stations on housing prices was evaluated. The analysis took into account a host of variables, including structure, location, and neighborhood and made use of three modeling approaches: linear regression estimation with ordinary least squares, spatial error, and spatial lag. The results indicated that better accessibility to Metrosur stations had a positive impact on real estate values and that the effect was marked in cases in which a house was for sale. The results also showed the presence of submarkets, which were well defined by geographic boundaries, and transport fares, which implied that the economic benefits differed across municipalities.

The Economic Value of Residential Land in Historical Areas: An Application of the Residual Method to the Secondary Market

Land value bears significant weight in house prices in historical town centers. An essential aim for regulating the mortgage market, particularly in the financial and property crisis that countries such as Spain are undergoing, is to have at hand objective procedures for its valuation, whatever the conditions (location, construction, planning). Of all the factors contributing to house price make-up, the land is the only one whose value does not depend on acquisition cost, but rather on the location-time binomial. That is to say, the specific circumstances at that point and at the exact moment of valuation. For this reason, the most commonly applied procedure for land valuation in town centers is the use of the residual method: once the selling price of new housing in a district is known, the other necessary costs and expenses of development are deducted, including those of building and the developer’s profit. The value left is that of the land. To apply these procedures it is vital to have figures such as building costs, technical fees, tax costs, etc. But, above all, it is essential to obtain the selling price of the new housing. This is not always feasible, on account of the lack of newbuild development in this location. This shortage of information occurs in historical town cities, where urban renewal is slight due to the heritage-protection policies, and where, nevertheless there is substantial activity in the secondary market. In these circumstances, as an alternative for land valuation in consolidated urban areas, we have the adaptation of the residual method to the particular characteristics of the secondary market. To these ends, there is the proposal for the appreciation of the dwelling which follows, in a backwards direction, the application of traditional depreciation methods proposed by the various valuation manuals and guidelines. The reliability of the results obtained is analyzed by contrasting it with published figures for newly-built properties, according to different rules applied in administrative appraisals in Spain and the incidence of an eventual correction due to conservation state.

Donde se rompen las nubes : Lever House : Nueva York 1950

En la victoriosa América de la posguerra, origen de la nueva configuración del mundo occidental, surgió una singular obra que iba a representar la abstracción de los valores universales de la arquitectura moderna. La construcción de la Lever House en el Nueva York de 1950 no sólo iba a propiciar un punto de inflexión en la Historia del rascacielos y de la arquitectura corporativa americana, definiría a su vez un nuevo paradigma a partir del cual se establecerían generalizados modelos para la construcción del futuro. La oportuna confluencia entre los acentos pragmáticos del mundo capitalista americano y las formulaciones positivistas de la arquitectura moderna europea, convenientemente recogidas como manifiesto construído del Estilo Internacional, supusieron resolver de manera definitiva el prolongado dilema americano de cómo debería ser la adecuada representación del edificio corporativo moderno. El estudio se detendrá en el valor de la metáfora, la conversación y la oportunidad de una obra cuya proyección trascendió ampliamente las aspiraciones de sus creadores. Provocando una fuerte idealización que llegaría hasta nuestros días. ABSTRACT In the postwar victorious America, origin of the new configuration of the Western World, a unique work will represent the abstraction of the universal values of modern architecture. The construction of the Lever House in the New York of 1950 would not only bring about a turning point in the history of American skyscrapers and corporate architecture, in turn define a new paradigm from which generalized models for building the future. The timely confluence between pragmatic accents of the American capitalist world and the positivistic formulations of the modern European architecture, conveniently collected as constructed manifesto of the International Style, definitively accounted to resolve that old American dilemma of how should be the adequate representation of the Modern corporate building. The study will focus on the value of metaphor, conversation and the opportunity of a work whose projection widely transcended the aspirations of its creators. Causing an strong idealization would reach to nowadays.