• J ESS ICA BOATWRIGHT ( V I R G I N I A T E C H )

• KURT STEPHENSON , P H D ( V I R G I N I A T E C H )

• KEVIN BOYLE , P H D ( V I R G I N I A T E C H )

• SARA N IENOW ( N O RT H C A R O L I N A D E PA RT M E N T O F E N V I R O N M E N T A N D N AT U R A L R E S O U R C E S )

STORMWATER CONTROL INFRASTRUCTURE AND

RESIDENTIAL PROPERTY VALUES

Cam

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urc

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XIX

August

6, 2

01

2AUTHORS:

URBAN STORMWATER MANAGEMENT IN THE UNITED STATES

Conventional Infrastructur

e• Channelization

and treatment

Green Infrastructur

e• Volume

reduction

Rulemaking• Energy

Independence and Security Act of 2007

• EPA national stormwater program

http://www.deldot.gov/stormwater ian.umces.edu/imagelibrary

OBJECTIVE

• To investigate property price effects of differing residential infrastructure design features that affect stormwater runoff • Cul-de-sacs• Curb-and-gutters• Wide streets

THE DATA

Retrieved 7.13.12 maps.google.com

• Hanover County, VA • 1,363 transactions between 1995 and

1996• Average sale price: $273,365 ($2011)• Chesapeake Bay Watershed

Chesapeake Bay Landsat image

HEDONIC-PRICE EQUATION

Key Variables:• Cul-de-sacs (CUL)• Curb-and-gutters (CURBGUTTER) • Street widths (STW≤30)• STW>30 is the omitted category

LN(SP) = β0 + β1(SQFT) + β2(SQFT2) + β3(TOTALBATH) + β4(AGEWHENSOLD)+ β5(ACRES) + β6(ACRES2)+

β7(BLGD12R)+ β26(CUL) + β27(CURBGUTTER) + β28(STW≤30)

+ Β10(REC)+ ε

+ β11-25 z’sd

+ β8(OS12) + β9(OS12T)

ESTIMATION RESULTS (SPATIAL ERROR MODEL)

Policy VariableCoefficient(standard

error)

% Δ in sale price

$ amount(average

priced home: $273,365)

CUL0.013**

(0.007) 1.3% $3,500

CURBGUTTER 0.076*** (0.016) 7.6% $20,700

STW≤30 0.038*** (0.014) 3.8% $10,400

Note: * = significant at 10% level ** = significant at 5% level *** = significant at 1% level

RESULTS INDICATE FOR AN AVERAGE PRICED HOME OF $273,365 THAT:

Excluding cul-de-sacs and requiring narrower streets in new subdivisions could

have a net positive effect on property prices of about $6,900 ($10,400 − $3,500) while also enhancing stormwater control.

The price premium of narrow streets could not offset the price diminution of

eliminating curb-and-gutters (−$10,300 = $10,400 − $20,700).

POLICY IMPLICATIONSFocusing rule discussions only on

infrastructure construction costs may not reflect the full net costs of stormwater

controls

Conventional curb-and-gutters could be designed with intermittent cuts or

diversions into bioretention and infiltration trenches

Cul-de-sacs with a “donut” design reduce effective impervious cover and

corresponding runoff

Virginia Department of Conservation and Recreation

Rhode Island Stormwater Solutions