The impact of proximity to cell phone towers on residential property values

Abstract

Purpose

This paper aims to determine if proximity to cell phone towers influences house prices with a focus on isolating the impact of tower aesthetics on nearby property values.

Design/methodology/approach

Sales transaction data from the Auckland Region during 2005‐2007 were analysed using a series of hedonic models testing various proximity specifications across two populations of cell towers: residential‐only and global (all towers).

Findings

The study could not establish a relationship between cell towers and house prices with the exception of armed monopole towers located in residential areas due to such towers' acute visual disamenity.

Practical implications

The study's findings can be directly applied to residential valuation practice and can assist government regulators and telecommunication companies in siting new cell towers.

Originality/value

This research provides three distinct methodological improvements: unconventional geocoding that improves spatial accuracy, separate analysis of towers in residential areas that enhances internal validity and inclusion of tower mast data to isolate the impact of tower aesthetics.

Citation

Filippova, O. and Rehm, M. (2011), "The impact of proximity to cell phone towers on residential property values", International Journal of Housing Markets and Analysis, Vol. 4 No. 3, pp. 244-267. https://doi.org/10.1108/17538271111153022