Orange County NC Website
5 <br />compared to residential, commercial or industrial uses, open space located within 400 meters of a <br />residential property has a positive impact on that property's price. Further, pasture and cropland <br />generate higher amenity benefits to nearby residences than forested open space. Finally, both <br />permanent conservation through easements and public ownership increase the positive impact <br />that open space has on neighboring residential prices. . <br />In addition to open space, we investigate in this project the impact on nearby residential property <br />values of several different types of potentially undesirable facilities and land uses. These include <br />sewage treatment plants, landfills, high-traffic roads, airport runways, mushroom production <br />facilities and large -scale animal production facilities. Particular attention is paid to the potential <br />local disamenity associated with animal production, as this is an activity that would be allowed <br />on land that is covered by an agricultural conservation easement. <br />Few implicit price studies have been conducted that specifically address the amenity impact of <br />animal production on residential property values. Abeles- Allison and Connor (1990), in a study <br />of property values near large hog operations in Michigan found that house values decreased by <br />$1.74 for each additional hog within a 2 kilometer radius of the house. They did not find <br />significant impacts outside of 2 kilometers. One limitation of this study is that it only included <br />eight hog operations that had received multiple odor complaints. Property value impacts from <br />these eight operations might well be greater than those from other operations that did not receive <br />complaints. <br />Palmquist et al (1997) measured'the impact on residential property values of hog production in <br />the coastal plain of North Carolina, where some of the largest animal production facilities in the <br />nation are located. For each residential property, the total amount of hog manure produced <br />within '/2 mile, within 1 mile, and within 2 miles was determined. They found that house price <br />was negatively affected by the concentration of hogs near the house, and that the negative impact <br />on house price from a single hog operation could be as large as 8.4 %. <br />The Michigan study assumed that the negative impact from a livestock operation on house prices <br />increased proportionally with the number of livestock located near the house. The North <br />Carolina study assumed that the impact from hog production was tied to the total tons of manure <br />generated within each ring around the house. One issue. that is addressed in this project is the <br />relationship between the impact of animal production on house price and the scale of animal <br />production near the house. Second, the Michigan and the North Carolina studies are both <br />restricted to hog operations. This project includes poultry, swine, and beef and dairy operations. <br />Finally, the Michigan and North Carolina studies investigated the impact of animal production <br />on house price in isolation. This study estimates the impacts from several potential local <br />disamenities simultaneously, as well as from open space versus developed land use. <br />III. The Study Area: Berks County <br />Berks County occupies an area (864 square miles) between Philadelphia and Harrisburg in <br />southeastern Pennsylvania. Today in Berks County, farming remains a very important sector <br />amidst a surbanizing country -side and a diversifying economy. Currently, about 40% of the <br />county's land is devoted to agriculture. An additional 34% is in other, mostly forested, open <br />4 <br />