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122 The Impact of Open Space and Potential Local Disamenities on Residential Property Values in Berks County, Pennsylvania Executive Summary This research project estimated the impact that surrounding land use and potential local disamenities have on residential property values in Berks County, Pennsylvania. An implicit house price function was estimated based on 8,090 single family houses sold between 1998 and 2002, using regression analysis. Information on surrounding land use, proximity to potential local disamenities, and structural attributes of the houses were used to explain variation in house prices. Within 400 meters of the house, the land use that has the most positive impact on house price was open space, followed by large -lot single family residential land. Gbmmercial, small -lot single family residential, and multi -unit residential were less desirable. The least desirable land use within 400 meters of the house was industrial. Also, open space on parcels that are covered by conservation easements, including agricultural conservation easements, has a less - positive amenity impact than open space not covered by such easements. This does not necessarily mean that easements cause nearby property values to decrease. It may be that farms with agricultural conservation easements tend to be managed more intensively, which may be seen as less attractive by nearby homeowners. Between 400 and 1600 meters away from the house, the land use with the most positive amenity impact on house price was commercial, followed closely by large-lot single family residential. Of open space uses, only land that is owned by Local, State or Federal Government and land that is covered by conservation easements have a statistically significant positive amenity value. Several potential local disamenities were found to have a negative impact on nearby house prices. Of the potential local disamenities investigated, the impact of landfills on house price was largest, and extended the farthest (up to 3200 meters). A landfill located 800 meters from a house decreases that house's sale price by an estimated 6.9 %. The impact of a large -scale animal production facility (over 200 animal equivalent units or aeu's) on house price was about one half to two thirds as large as that from a landfill (4.1% at 800 meters), and did not extend as far (up to 1600 meters). The impacts on house price from mushroom production and from the regional airport were much less (0.4% and 0.2 %, respectively, at 800 meters). The impact from high- traffic roads was small, and extended only a short distance. No significant impact was found for sewage treatment plants. Additional analysis attempted to investigate whether different types of animal production facilities had different impact on nearby house prices. Differences in the impact due to differences in the size of the operation (number of aeu's) were not statistically significant. Further, medium -sized production facilities (200 to 300 aeu's) were found to have a statistically significant negative effect on house prices when considered apart from larger facilities. Similarly, the impact did not vary significantly by species (poultry, swine, and beef /dairy). An analysis of proximity of animal production facilities and residential properties showed that the