Abstract ▼ AI-Helper

In many of the advertisements on recently developed apartment complexes, their landscape and green spaces within, or in proximity, are often emphasized. By that, one can assume that determining the value of housing reflects the recent trend of considering the nature as valued amenity. Various types ...

In many of the advertisements on recently developed apartment complexes, their landscape and green spaces within, or in proximity, are often emphasized. By that, one can assume that determining the value of housing reflects the recent trend of considering the nature as valued amenity. Various types of urban parks have emerged following the trend of “well-being” and “healing”, and the number of their users is increasing. More people are gaining easy accessibility to various amenities, as well as the complexity associated with it, while increasing density of development demands more urban parks. Providing a qualified urban park should not be the process of responding spontaneously to the current demand, rather it should be a comprehensive process of reflecting and planning for what is desired in the future. It should be reminded that the development of urban parks is costly, but at the same time, it is a critical public infrastructure. Previous studies on the topic have mainly focused on the economic value of parks in relation to the price of housing in proximity. The studies have seen them uniformly, failing to consider different types of park. Furthermore, many studies determined the accessibility to parks by lineal distance while considering the service area represented in grids or administrative areas. The lineal distance is a weak measure of accessibility because it does not represent the actual distance of travel for users to reach the park. The consideration of service area is also problematic. Subdividing the vicinity into a grid may provide specific information for each grid, however it is only the fragmentary information on a map. In the case of analyzing the nearby administrative units, development conditions within each unit were not considered or assumed to be the same, ignoring the individual characteristics of housing and park in each unit.
In this research, the network analysis tool in GIS software was employed to determine the actual travel distance between apartment complexes to urban parks. Furthermore, individual data for the apartments and parks were included; Different types of urban park (neighborhood park, children’s park, minipark, historic park, cultural park, waterside park, and sports park) are included in the analysis. Accordingly, the research examines the effect of the typology of a park, specifically, on the price of apartment units. The research aims to estimate the economic value of the parks by analyzing the relationship between the characteristics and the price of units. Providing an urban park takes a series of prudent steps as it is costly and requires extensive effort to have all stakeholders on board. In summary, the proposal of the area for a new park is noticed to public, and their opinions are collected. Once the opinions of the stakeholders are properly mediated, the actual construction processes take place. As the outcome, parks are classified as ‘completed’, ‘constructing’, or ‘planned’, and the research distinguished the classification and proceeded with the analysis using OLS linear regression model in order to identify the differences between the classifications and the influence on the price of apartment units nearby. Additionally, ridge regression analysis and principle component analysis were employed to eliminate the multicollinearity and to increase the preciseness of the analysis.
The result of the OLS analysis indicates some differences between ‘completed’ park and not yet completed one’s; ‘constructing’ or ‘planned’. Among the characteristics of housing, the size of housing shows highly positive relationship with the price of units for ‘planned’ parks. Among other characteristics of housing, the age of construction is negatively related, while the level of unit, total number of units per complex, ranking of the construction firm are positively related to the price. Among the characteristics of urban park, the size of park, and the number of years since the designation as park are negatively related to the price of unit for ‘planned’ parks. This means that the larger the size, and the older it has been without any activity of construction for ‘planned’ park, the lower the price of the unit. Also, the price is higher as the distance is to a park from an apartment complex is shorter. For the cases of ‘completed’ park, ‘neighborhood park’, ‘minipark’, ‘cultural park’, ‘sports park’ were positively related to the price of a unit while ‘children’s park’ was negatively related. According to the network analysis, most of ‘children’s parks’ are located in the areas (Gi-jang-gun, Busan-Jin-gu, Buk-gu, Sa-sang-gu, Sa-ha-gu, Young-do-gu, Jung-gu, and etc.) where the units are generally sold at relatively lower price. Those areas can be generalized to have lower real transaction price regardless the effect of urban parks. In a way, it explains the negative relationship with the price of unit by the effect of ‘children’s park’. OLS model, Ridge model, PCR model generally deliver slightly different results as they may capture individual characteristics of each variable differently. Not one method is better than the others even with numerous literatures on the topic, so typically the selection of the method is up to the researchers. This research was proceeded in a versatile way by analyzing various models, rather than to rely on what is believed to be the best model. By doing so, it allows the author to deliver general interpretations and possibilities from the analysis even if there are unaccounted and unknown factors associated with the complex nature of the topic.
Parks exert much influence upon citizens. In practical sense, it is difficult to fully satisfy the demand. While some parks possess typological characters, most of the parks are supplied fragmentarily through uniform planning process. Because of the reality, park users are not satisfied with their experience in many cases. For a park to improve in a way to attract more users, it needs self-motivated, positive, and healthy activities from the users that are permeated in the fabric. Parks in modern city possess various functions including the creation of community, jobs and opportunities to promote public health. Furthermore, it could nourish creative talents and attract businesses. Hence, park is a way to reinforce the place character and strengthen the city. It is a crucial resource that not only recuperates the nature but also vitalizes the livability of a city with various contents. Given the emphasis, more effort is needed in providing parks with distinct characters based on their typology. Parks should not be dealt as singular facilities, rather it should be the comprehensive facilities linking with green space, through spatial planning process in order to achieve greater efficiency. At the same time, park usage should be promoted to maximize their effect as public infrastructure.
In many cases, having a plan for a park is enough to increase the housing price. Unless the plan is carried out properly, it could lead to many problems. Hence, the planning process for a new park should be proceeded cautiously, while already-made plans should be proceeded actively to provide them on time. The research analyzed the effect of the location of a park on the price of apartment units, and it is meaningful that it included the typology of parks and actual travel distance of users. It is recommended that future studies should expand the analysis to different housing types including officetels and single-family housing, as well as the broader understanding of resident characteristics.

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