Towers, Turbines and Transmission Lines Impacts On Property Value

by Bond, Sandy; Sims, Sally; Dent, Peter

• ISBN13: 9781444330076
• ISBN10: 1444330071
• Edition: 1st
• Format: Hardcover
• Copyright: 2013-05-06
• Publisher: Wiley-Blackwell

Summary

From the Foreword by Dr Valmond Ghyoot, Emeritus Professor of Real Estate, University of South Africa:

‘The valuation profession, the legal profession, property industry participants in general and students will welcome publication of this book. Investors, environmental groups and affected property owners will find essential information for use in their decision-making, development objections and claims. My hope is that [it] will provide answers where required and that it will help to improve the professional standard of valuations and appraisals internationally. I trust that it will also raise the standard of testimony in damages cases. If so, the editors and contributors will have succeeded in documenting the state of the art in this relatively unexplored terrain.’

As a reference source, this book will help quantify the negative impacts on property values of high voltage overhead transmission lines, cell phone towers, and wind turbines. It gives a modern perspective of the concerns property owners have about the siting of industrial structures used to transmit or generate various forms of energy and how these concerns impact on property values.

Studies reveal concerns the public have about devices and structures that emit electromagnetic fields (EMFs) due to their potential health hazards. . Despite some research reports suggesting there are no potential adverse health hazards from high voltage overhead transmission lines (HVOTLs) and towers, there is still on-going concern about the siting of these structures due to fears of health risks from exposure to EMFs, changes in neighbourhood aesthetics and loss in property values. The siting of wind turbines is also receiving community opposition due to noise, light flicker, aesthetic concerns, and loss in property values. The extent to which such attitudes are reflected in lower property values is not well understood.

Towers, Turbines and Transmission Lines: Impacts on Property Value outlines results of studies conducted in the US, the UK, Australia and New Zealand and offers guidance to valuers as well as to property/real estate appraisal students and property owners around the world. The book provides defensible tools that are becoming widely accepted to assess the effect that these environmental detriments have on property prices.

Author Biography

Dr Sandy Bond is the Professor of Property Studies in the Commerce Faculty at Lincoln University in Christchurch, New Zealand. She is a Registered Property Valuer and Senior Member of the Property Institute of New Zealand (SPINZ), the President-elect (2013) of the International Real Estate Society and a Past President of the Pacific Rim Real Estate Society (PRRES). She has lived and worked in NZ, the USA, UK, and Australia and her career has encompassed property valuation, valuation consultation, academic research and university teaching.

Dr Sally Sims is a senior lecturer in the Department of Real Estate and Construction at Oxford Brookes University.   She was a Member of the Stakeholders Advisory Group on EMF and is a member of the Editorial Advisory Board for the International Journal of Housing Markets and Analysis.

Peter Dent is a Fellow of the Royal Institution of Chartered Surveyors.  He has held various posts at Oxford Brookes University, most recently as the Comerford Climate Change Fellow in the Department of Real Estate and Construction. He has had considerable experience of managing both academic development and research projects both in the UK and overseas.

Table of Contents

About the Editors and Contributors ix

Foreword by Valmond Ghyoot xiii

Chapter 1 Introduction 1
Peter Dent and Sally Sims

1.1 Valuation and Environmental Attributes 1

1.2 Risk and Stigma 2

1.3 Media Impact 4

1.4 Methodologies 5

1.5 Book Structure 7

Chapter 2 Methods 11
David Wyman, Peter Dent and Sally Sims

2.1 Introduction 11

2.2 Sales Comparison Method 11

2.3 Regression Analysis 12

2.4 Hedonic Modelling 13

2.5 Spatial Hedonic Modelling 15

2.6 Qualitative Analysis 19

2.7 Triangulation 21

2.8 Conclusions 22

Chapter 3 Risk Perception, Stigma and Behaviour 27
Peter Dent and Sally Sims

3.1 Introduction 27

3.2 Risk and its Perception 27

3.3 Risk Communication 29

3.4 Risk Behaviour 31

3.5 Perception and Risk Management 32

3.6 Property Advice 34

3.7 Property-related Stigma 35

3.8 Assessing Stigma 37

3.9 Property Behavioural Research 38

3.10 Conclusions 40

Part I High-voltage Overhead Transmission Lines (HVOTLs) and House Prices 45

Introduction 47
Sally Sims

I.1 Introduction 47

I.2 Residential Property Values near HVOTLs 51

Chapter 4 HVOTLs in the UK 55
Sally Sims and Peter Dent

4.1 Introduction 55

4.2 Existing Research 57

4.3 Barriers to Research in the UK 58

4.4 Value Impacts in the UK 58

4.5 Conclusions 68

4.6 Additional Research 69

Chapter 5 HVOTLs in New Zealand 81
Sandy Bond

5.1 Introduction: Electricity Distribution and Planning Guidelines 81

5.2 Health Concerns Relating to Proximity of HVOTLs Which Affect Value 82

5.3 Background to the NZ Research 83

5.4 Literature Review 84

5.5 Case Study Description 85

5.6 Market Analysis using a Hedonic Housing Model 87

5.7 An Attitudinal Study of Residents’ Perceptions 91

5.8 Summary and Conclusions 94

Chapter 6 A Review of HVOTL Studies in North America 101
David Wyman and Elaine Worzala

6.1 A Review of Existing Research 101

6.2 Hedonic Studies in the USA 104

6.3 Conclusion 109

Summary 115
Peter Dent

Part II Cell Phone Towers 117

Introduction 119
Sandy Bond

II.1 Introduction 119

II.2 Cellular Phone Systems 119

II.3 History 121

II.4 Siting Issues and Public Concerns 123

Chapter 7 Cell Phone Towers in New Zealand 131
Sandy Bond

7.1 Introduction 131

7.2 Review of Existing research 132

7.3 New Zealand Case Study 135

7.4 Research Procedure: Opinion Survey 137

7.5 Research Procedure: Market Study 145

7.6 Summary and Conclusions 160

Chapter 8 Cell Phone Towers in North America 169
Sandy Bond

8.1 Introduction 169

8.2 Locating Cell Sites in the USA 169

8.3 Case Study Area and Data 172

8.4 Research 175

8.5 Summary and Conclusions 179

Chapter 9 Cell Phone Towers in the UK 185
Sally Sims

9.1 Introduction 185

9.2 Types of Cell Towers 185

9.3 Planning Considerations 186

9.4 Developing a Framework to Establish the Impact on Value 187

9.5 UK Research 189

9.6 European Study 193

9.7 Conclusions 194

Summary 199
Sandy Bond

Part III Wind Farms 203

Introduction 205
Sally Sims

III.1 Wind Energy 205

III.2 Cost of Building Turbines and Generating Energy from the Wind 206

III.3 Land Use 207

III.4 The Growth of Wind Energy 207

III.5 Planning and Development 208

III.6 Barriers to Development 209

III.7 The Need for Research 209

Chapter 10 Wind Farms in the UK 213
Sally Sims and Peter Dent

10.1 Introduction 213

10.2 The Growth of Wind Energy in the UK 214

10.3 Existing Research 218

10.4 Proposal Objections: Case Studies 223

10.5 Valuation Research: Cornwall Case Studies 229

10.6 Conclusions 238

Chapter 11 Wind Farms in North America 253
Ben Hoen

11.1 Introduction 253

11.2 Previous Research 254

11.3 Present Research 257

11.4 Robustness Tests 266

11.5 Conclusions 267

Chapter 12 Wind Farms in Australia and New Zealand 289
Sandy Bond

12.1 Introduction 289

12.2 Existing Research 294

12.3 Methodology 296

12.4 Survey Results 300

12.5 Summary and Conclusions 309

Summary 321
Peter Dent

Chapter 13 Conclusion 325
Peter Dent and Sally Sims

13.1 Introductory Section (Chapters 1–3) 326

13.2 Part I (Chapters 4–6) 327

13.3 Part II (Chapters 7–9) 328

13.4 Part III (Chapters 10–12) 329

13.5 Concluding Remarks 330

Index 333