Scenic Views Impact On Residential Property Value Environmental Sciences Essay

The first chapter has discussed the issue sing this peculiar survey in footings of the aims, research range, and significance of survey, methodological analysis of survey and chapters layout. In the 2nd chapter, the treatment will be chiefly on the theoretical facet of this survey. Besides, the elaborate nomenclatures of scenic positions and residential belongings will be embedded in this chapter.

Besides, this chapter included the reappraisal of old research on related subject followed by a list of factors that affect residential belongings value and the hedonistic theoretical account applied in old research workers. The measuring of scenic positions applied in this survey is discussed in conformity with the reappraisal on the past researches. The reappraisal of old researches and literatures contributes to the lineation that formed the methods of measuring and hedonistic modeling in the terminal of this chapter.

2.2 Scenic Positions

Harmonizing to Oxford English Dictionary ( 2008 ) , scenic position refers to a sight or ocular visual aspect of the natural characteristics on a landscape considered in footings of their visual aspect, particularly when picturesque. It can besides be denoted as a portraiture of natural scenery, affording delighting positions of natural characteristics. Yet, Vermont League of Cities and Towns ( 1998 ) stated that a scenic position is a broad angle or bird’s-eye field of sight and may include natural and/or manmade constructions. Briefly, a scenic position may be from a stationary point of view or be seen as one travels along a roadway, waterway, or way. A position may be a sight to a far off object, such as a mountain, or to a nearby object.

In other signifiers, scenic position can be expressed as the ocular aesthetic of the natural environment, which supplying or associating to positions of impressive or attractive natural scenery ( Suhardi et al, 2006 ) . The sense of landscape aesthetics is derived from the interaction of the viewing audiences with the landscape object ( Preble and Preble, 1994 ) . The attending has been given to stress the function of human development and knowledge in finding landscape penchants and therefore aesthetics. However, Hull and Revell ( 1989 ) defined landscape penchant survey must limited to the out-of-door environment, natural or built, which can be straight alleged by a individual sing and utilizing those environment comfortss. They farther elaborated that a scenic position is the subset of a landscape, which is observed from one location ( vantage point ) that looking in front of one way. By and large, scenic positions can be concluded as scene generated via observation, either on natural or built environment from one focal base point that provide animating views and delighting environment while contribute to the economic value and comfy enjoyment of existent belongings.

2.2.1 Issues on Scenic Positions

It is an undoubted fact that location, location, location applies in any existent estate survey ( Pearson, 1991 ) and frequently referred as the chief factor lending to residential belongings value. However, a desirable location is determined by a combination of factors such as handiness and propinquity to public comfortss and besides other outwardnesss in the context of residential belongingss ( Bourassa et Al, 2003 ) . One of the cardinal properties that raise attending among the research workers in the survey of the residential belongings monetary value is the environment outwardnesss formed in the locality of the residential belongings.

Several researches done in the yesteryear have study on the impact of environmental outwardnesss on house monetary values ( Pacione, 1984 ; Garrod and Willis, 1992 ; Boyle and Kiel, 2001 ; Jim and Chen, 2006 ) . For case, Boyle and Kiel ( 2001 ) studied on the impact of land utilizations, air and H2O quality on residential belongings value while Pacione ( 1984 ) surveyed and evaluated on the relationship of residential belongings value and the residential environment quality such as visual aspect of the residential country, air quality, country of trees and verdure nearby.

Other than this, Garrod and Willis ( 1992 ) had studied on the impact of landscape features on the house monetary values such as positions of forest, urban country and unfastened H2O country. Jim and Chen ( 2006 ) conducted their research in Guangzhou, China, where they investigated on the environmental properties related to the house monetary value such as position of green infinites and propinquity to wood and H2O organic structures. Then, they further their research in the same survey country with the focal point on environmental outwardnesss such as position of green infinite, H2O organic structure, street and edifice.

Arthur et Al ( 1977 ) stated that scenic beauty is frequently embedded in the landscape constituents, as it is a physical trait of the landscape. Therefore, it is a usual phenomenon that research workers frequently relate the scenic position to the landscape background such as river, sea and mountain. Pleasant scenic positions normally contribute to the positive impacts of residential belongings value such as ocean frontage, ocean and lake positions ( Doss and Taff, 1996 ; Benson et Al, 1997 ) . However, it does n’t intend that all the ocular impacts on these landscapes will decidedly give a positive impact on lodging monetary value.

Conversely, unsympathetic positions would take to the decrease of residential belongings value ( Jim and Chen, 2009 ) . Tyrvainen and Miettinen ( 2000 ) found out that fluctuation in distance of residential from aesthetic landscape could diminish the quality of positions while Tse and Love ( 2000 ) stated that graveyard position would stamp down the residential belongings value for their instance in Hong Kong, due to traditional Chinese cultural adopted. Therefore, it can be concluded that value of position could besides associate to the cultural and position of single and public towards the quality of position presented. In fact, it is proven that the appraisal on aesthetic quality of the landscape comes from the human head ‘s perceptual experience and reading of the landscape ( Suhardi et al, 2006 ) .

Due to the heterogeneousness of penchants towards assortment of scenic positions, consumers ‘ fancy is considered to be a major job in the appraisal of the willingness to pay for environmental properties. Several research workers presumed that penchant on environmental aesthetics is really depends on the positions observed, which would possess a knowing perceptual experience or prospective functional significance for the percipient ( Scott and Canter, 1997 ; Han, 2010 ) . Therefore, it is of import to hold an apprehension of people ratings and penchant determinations in the survey of scenic positions appraisal.

Following the betterment of demand and grasp towards the demand of delighting residential belongingss, position agreeableness has became an of import portion of environmental properties, which bit by bit acquiring attending from home-buyers or users on its visibleness from the position of peculiar residential belongings. Due to the rise of users ‘ realisation towards scenic position comfortss, the analysis of the influences of assorted position characteristics on residential belongings value such as a lake, ocean, mountain or bird’s-eye unfastened infinites have besides been examined.

2.2.2 Types and Quality of Scenic Positions

From an economic point of position, these position comfortss services are public goods without a market monetary value due to its inability to be transacted straight in the market. Despite its characteristic as a public good, positions are non unvarying. It is varied by type and quality ( Benson et al, 1998 ) . Several surveies done by the abroad research workers have classified scenic positions harmonizing to natural and reinforced environment. Several empirical surveies on the environmental aesthetics have summarised that people prefer position of natural environment over built environment ( Scott and Canter, 1997 ; Han, 2010 ) . However, scenic positions can be diversified into inside informations prior to the landscapes surrounded by both type and quality. They are discussed as below.

2.2.2.1 Water organic structures

There are several past researches done by the abroad research workers utilizing H2O position as one of the variable to analyze the relationship of position and lodging monetary value ( Brown and Pollakowski, 1977 ; Jim and Chen, 2006 ) . However, the definition of H2O organic structures should be classified clearly in the survey of scenic position due to the assortment in nature that yields the different facet of result.

Garrod and Willis ( 1992 ) stated that H2O has played a big fraction in the devising of landscape and architecture, where edifices started to take advantage of these H2O organic structures to heighten their functional design and gaining control the spirit and mastermind of the topographic point. In footings of landscape, H2O organic structures runing from lake to sea are contributed to the lineation of natural life environment. The type of H2O organic structures that proven to lend mostly to the formation of scenic positions are identified and discussed as follows:

Lake

Harmonizing to Town and Country Planning Act ( Amendment 1995 ) , lake is defined as an Earth surface of the afloat country of one hectare or more with a assortment of deepnesss that by and large contain foods that can engender aquatic life for socio-economic benefits and recreational community. By and large talking, lake is referred as a H2O organic structure of considerable size and described as localised in a basin that is surrounded by land. To distinguish, lakes are really inland and non portion of the ocean, but are larger and deeper than pools. Often, the position of lake is mostly appreciated as aesthetic comfortss due to its natural flowing of H2O that give a composure esthesis to the perceivers.

Several surveies have been done by the research workers over the old ages sing the lake position comfortss and how it contributes to the value of residential belongingss ( Smith, 1994 ; Doss & A ; Taff, 1996 ; Luttik, 2000 ; Seiler et Al, 2001 ; Bond et Al, 2002 ) . These researches done have shown that lake position really yield the positive impact to the residential house monetary value. Other than this, researches done by Pollard ( 1982 ) and Lange & A ; Schaeffer ( 2001 ) to analyze the impact of lake position to apartment rent and room monetary value severally besides give a important positive impact, perchance due to the grasp of lake position by most of the people as delighting position.

However, these surveies done applied Dummy Variable method, where the research workers used “ lake position ” and “ no lake position ” to give simple categorization without specifying the quality of the position observed. A survey done by Benson et Al ( 1998 ) has shown that simple categorization of “ position ” or “ no position ” is unequal, where he conducted the research with the categorization of “ lake position from lakefront ” and “ lake position from non-lakefront ” for the residential belongingss studied. The survey conducted found that the lake position from lakefront increase the market monetary value of an otherwise comparable place by about 127 % while the lake position from non-lakefront are found to add about 18 % . This proved that the quality of position is really needed to be classified in inside informations.

River

Harmonizing to the National Land Code 1965, river is referred as any river, watercourse, brook or other natural H2O flows, and any subdivision of the river, flow/delta or divergence made from it. However, there is no general regulation that really defined what can be called a river. Geographically, a river is by agencies of a natural watercourse, normally referred to as fresh water that fluxing towards an ocean, a lake, a sea, or another river. Small rivers may besides be called by several other names, including watercourse, brook, creek, rill, tributary and rivulet.

In the research conducted by Jim and Chen ( 2007 ) in Guang Zhou, China, they really treated and classified river position as H2O position, which yield a important positive impact to house monetary value of around 7.3 % to 13.7 % compared to those belongingss that have no river position. Further, Garrod and Willis ( 1992 ) in their survey have shown that quality of river position is besides different due to the propinquity to the position itself. As a consequence, they shown that distance of river position observed from the house gave significantly positive impact to the house monetary value via their survey utilizing propinquity of river and distance of river within 1km as their variables.

Sea

Most normally, the term “ sea ” refers to a big sweep of saline H2O connected with an ocean, and is normally used as a equivalent word for ocean. From the past surveies of the scenic positions, sea position is the scenic position that has been most normally studied among the research workers ( Kask and Maani, 1992 ; Tse, 2002 ; Portnov et Al, 2005 ; Hui et Al, 2007 ) . All the researches did hold shown a statistically important of positive impact except for the survey by Portnov et Al ( 2005 ) that shown undistinguished impact in their survey at Israel, which might mostly due to the deficiency of realization and grasp of scenic position in the state.

To be more elaborate, some of the research workers have really further their surveies on the facet of sea position sing the grasp of sea position as one of the major beginning of aesthetics comfortss. Pompe and Rinehart ( 1994 ) have included the variables such as distance to the nearest beach and ocean position observed in their surveies. On the other manus, Bourassa et Al ( 2003 ) used the distance to seashore as one of the variable while Jim and Chen ( 2009 ) applied distance to seashore and visibleness of the sea position as their studied variables.

Though, Benson et Al ( 1997 ) has advanced the survey on the observation of sea position impact through the application of a four-way position categorization system by adding variables such as oceanfront, unobstructed ocean position, partial ocean position and no position, which give important difference among the impact of different quality of sea position. Ocean frontage is found to add a sum of 147 % premium to the lodging monetary value in compared with “ no position ” belongings while unobstructed ocean position and a partial ocean position added premium of 32 % and 10 % severally, comparative to no position belongingss. From the survey conducted, he stated that H2O positions observed from different focal point may run from high-quality full positions to low-quality partial positions, even within the same vicinity.

In the undermentioned twelvemonth, Benson et Al ( 1998 ) conducted another survey in different survey country, where they classified sea position into four quality classs runing from full ocean position to hapless partial ocean position. In this instance, they determined the quality of sea position based on the grade of obstructor, with quality judged to be lower for more obstructed positions. They, so farther captured possible extra information of a position – the distance from the H2O as one the variables utilizing Geographic Information Systems ( GIS ) . Distance from the scenic positions observed from a focal point is besides been measured and applied by several research workers in these types of surveies, where they believed that distance to the position itself will caused differences in the quality of positions, either positively or negatively due to the nature of the position.

Besides, other variables related to sea position are besides applied in the past surveies by the research workers such as coastal zone or country in order to mensurate its impact to the quality of positions. As referred to the Town and Country Planning Act ( Amendment 1995 ) , seashore can be defined as a sensitive countries and has its ain ecosystem where every life life in the seashore intertwined with each other. The term “ coastal zone ” can be used alternatively, which is a spacial zone where interaction of the sea and land procedures occurs.

Harmonizing to Department of Irrigation and Drainage ( JPS ) , coastal country is referred as an country covering 5 km country adjacent to the land ( back shore ) and 16.1km into the sea of maritime mean neap tide ( shore forepart ) . The country covered the part on the land, which includes rivers and H2O militias that affected by salt H2O. In extra, the coastline is where the land meets the sea or ocean. However, a precise line that can be called a coastline is difficult to be determined due to the dynamic nature of tides.

2.2.2.2 Mountain

In the Oxford English Dictionary ( 2008 ) , a mountain is defined as a natural lift of the Earth surface lifting more or less suddenly from the environing degree and achieving an height which, comparatively to the next lift, is impressive or noteworthy. Briefly, a mountain is a big landform that stretches above the environing land in a limited country normally in the signifier of a extremum. In our state, mountain normally provides verdure to the seeing of perceivers due to the nature of mountain in Malaysia that wild grown with workss and trees. Due to the grasp of verdure among the occupants, it is believe that mountain does give some premiums to the lodging monetary value every bit good, such as survey by Song and Knaap ( 2004 ) . However, there is besides a contradict observation by Jim and Chen ( 2009 ) , where they surprisingly found that mountain position in Hong Kong caused a negative impact to the lodging monetary value. However, distance to mountain has found to make a positive impact to the lodging monetary value. This shown that different quality of scenic positions can really convey a diverse result towards the lodging monetary value.

2.2.2.3 Open Space

Based on the proviso of Town and Country Planning Act 1976 ( Amended 1995 ) , unfastened infinite means any land whether enclosed or non which is laid out or reserved for puting out entirely or partially as a public garden, park, athleticss and diversion land, pleasance land, walk or as a public topographic point. In brief, unfastened infinite that normally referred as unfastened infinite preserve, and unfastened infinite reserve, are be aftering footings that used to depict countries of protected or conserved land or H2O on which development is indefinitely set aside. Similarly, the term green infinite is frequently used in the same mode to mention the same construction as good.

The intent of an unfastened infinite reserve normally include the saving of a community or part ‘s rural natural environment for the intent of recreational, ecological, environmental, aesthetic, or agricultural involvements. Frequently, unfastened infinite countries provide communities with legion comfortss, among them chances for diversion, scenic positions, and even a simple absence of development ( Irwin, 2002 ) . There are different types of unfastened infinite that normally being studied and treated by the research workers as portion of scenic positions to the populace or occupants. The elaborate definition of unfastened infinite harmonizing to the type of unfastened infinite observed is summarised as in Table 2.1.

Table 2.1: Types of Open Space

Type of Open Space

Definition

Public Park & A ; Garden

Area of land usually enclosed, designed, constructed, managed and maintained as a public park or garden.

Private Garden Or Ground

Areas of land usually enclosed and associated with a house or establishment and reserved for private usage.

Amenity Garden Space

Landscape country supplying ocular agreeableness or dividing different edifices or land utilizations for environmental, ocular or safety ground i.e. route brinks or green infinites In concern park, and used for assortment of informal or societal activities such as Sun bathing, field daies or kick-a-bouts.

Play Space For Children And Adolescents

Areas supplying safe and accessible chances for kids ‘s drama normally linked to lodging country.

Sports Areas

Large and by and large level country of grassland or specially designed surfaces, set chiefly for designated athletics i.e. playing Fieldss, golf class, and tennis tribunals, bowling leafy vegetables, countries which are by and large bookable.

Green Corridors

Paths including canals, river corridors and old railroad lines, associating different country within a town and metropolis as portion of a designated and managed web and used for walking, cycling, or Equus caballus equitation, or associating town and metropoliss to their encompassing countryside or state Parkss. These may associate green infinites together.

Natural/Semi Natural Green Space

Areas of undeveloped or antecedently developed with residuary natural home grounds or which have been planted or colonized by flora and wildlife, including forest and wetland countries.

Other Functional Green Spaces

Allotments, God’s acre and graveyards

Civic Space

Squares, streets and waterfront promenades, preponderantly of difficult landscape gardening that provide a focal point for prosaic activities and do connexion for people and for wildlife, where trees and seting are included.

Beginning: South Johor Economic Region Comprehensive Development Plan ( 2006 )

Prior to the researches done in the yesteryear, it is proven that the position on unfastened infinites really yield a premium to residential belongingss by added around 8 % – 20 % to the lodging monetary value, comparative to no position belongingss ( Luttik, 2000 ; Crompton, 2001 ) . The research conducted by Jim and Chen in Guang Zhou, China ( 2006 ) and Hong Kong ( 2007 ) severally on position of green infinites and garden view yielded a positive impact to the lodging monetary value. However, Morancho ( 2003 ) found that both type of unfastened infinites are undistinguished towards lodging monetary value in Spain. On the other manus, Song and Knaap ( 2004 ) concluded that distance to the unfastened infinite is really act upon the quality of positions, where they found that propinquity to public park gave a positive impact to the lodging monetary value.

2.2.2.4 Urban Landscape

Urban landscape normally referred to the built construction that formed a portion of scenic positions from one focal point, such as the visual aspect of street or edifice that create urban positions. Some of the people might fond of urban position appeared from their residential belongings particularly during the dark clip when the street visible radiations are on. However, a survey by Jim and Chen ( 2009 ) in Hong Kong shown that urban landscape with edifice positions gave an undistinguished consequence while urban landscape with street positions gave a negative impact to the lodging monetary value. This might be due to the visual aspect of streets that frequently refer to as a beginning of sound pollution or racketiness by the transit or vehicles passed by.

2.2.2.5 Summary on the Classification of Scenic Positions

Based on the reappraisal on the different types of scenic positions as discussed in above, the categorization of scenic positions is summarised briefly as follows:

Figure 2.1: Types of Scenic Positions

2.2.3 Measurement of Scenic Positions

Isolating the function of visibleness, the ability to see distant positions clearly in the finding of lodging monetary value is hard ( Beron et al, 2001 ) . Yet, landscape are defined by Daniel ( 2001 ) , cited from lexicon as a position of scenery, where a part of a district that the oculus can grok in a individual position. Several research workers applied ocular impact appraisal in these types of survey and did fieldwork to the peculiar residential belongingss ( Garrod and Willis, 1992 ; Jim and Chen, 2009 ) . It is of import to inspect and detect from the several belongingss in footings of forepart, side and back lift of the residential edifice to account for surface elements like flora or edifices that might do obstructor and block positions. An perceiver ‘s field of vision or position from land is being analysed in the measuring of grade to the position observed on the landscape ( Cavailhes, 2008 ) .

Germino et Al ( 2001 ) applied the measuring on the deepness of the position in their survey, where the deepness of position was calculated as the proportion of the entire viewable country that was located in the most distant screening zone. Several measurings applied that might impact the result on qualities of positions observed from the landscape context are considered such as distance from the positions, angle of position, panoramic or narrow position, focal point within a position and degree of visibleness. These are farther discussed in Chapter 3.

Other than that, propinquity from the landscapes or positions studied must be measured excessively in order to detect the differences due to the qualities of positions by different distance. These inside informations are derived utilizing Geographic Information Systems ( GIS ) techniques. Besides, these parts are farther discussed under Chapter 3.

2.2.4 Summary on Previous Research

The old researches done that specifically relevant to this subject had been reviewed and the sum-up is concluded in the Table 2.2.

Table 2.2: Summary of Previous Researches on Scenic Positions

Writers

Date of Publication

Study Area

Dependent Variable

Type of View ( IV )

Method

Statistical Significance

Value of Estimate

Brown & A ; Pollakowski

1977

Seattle, Washington

House Price

Water View

Dummy Variable

Insignificant

A

A

Distance to H2O position

Distance to Waterfront Variable

A

A

A

A

A

A

A

A

A

Pollard

1982

Lake Michigan, Chicago

Apartment Rent

Position of Lake Michigan

Dummy Variable

+

7 %

A

A

A

A

A

A

A

A

Garrod & A ; Willis

1992

Gloucestershire, UK

House Price

Proximity of River

Distance of River Variable

+

A

A

Woodland View

Dummy Variable

A

A

Proximity of River within 1km

Dummy Variable

+

A

A

A

A

A

A

A

A

A

Kask & A ; Maani

1992

Auckland, New Zealand

House Price

Sea View

Dummy Variable

+

18.5 %

A

A

A

A

A

A

A

A

Do & amp ; Sirmans

1994

San Diego Country, California

House Price

Position

Dummy Variable

+

A

A

A

A

A

A

A

A

A

Pompe & A ; Rinehart

1994

Surfside Beach & A ; Garden City, South Carolina

House Price & A ; Land Price

Distance to beach

Distance of nearest beach Variable

A

A

Ocean View

Dummy Variable

+

A

A

Beach broad interacted

Nearest beach broad Variable

A

A

A

A

A

A

A

A

A

Rodriguez & A ; Sirmans

1994

Fairfox Country, Virginia

House Price

Position

Dummy Variable

+

8 %

A

A

A

A

A

A

A

A

Smith

1994

Chicago

House Price

Lake View

Dummy Variable

+

11 %

A

A

A

A

A

A

A

A

Doss & A ; Taff

1996

Ramsey Country, Minnesota

House Price

Lake View

Dummy Variable

+

44 %

A

A

A

A

A

A

A

A

Benson

1997

Point Roberts, Washington

House Price

Ocean frontage

Dummy Variable

+

147 %

A

Unobstructed Ocean View

Dummy Variable

+

32 %

A

Partial Ocean View

Dummy Variable

+

10 %

A

A

A

A

A

A

A

A

Benson, et Al

1998

Bellingham, Washington

House Price

Full Ocean View

Dummy Variable

+

60 %

A

Low-Quality Confined Ocean View

Dummy Variable

8 %

A

Lake View from lakefront

Dummy Variable

+

127 %

A

Lake position from non-lakefront

Dummy Variable

+

18 %

A

Mountain View

Dummy Variable

Insignificant

A

A

A

A

A

A

A

A

A

Luttik

2000

Nederlands

House Price

Lake View

Dummy Variable

+

8 % ~ 10 %

A

Open Space

Dummy Variable

+

6 % ~ 12 %

A

Park View

Dummy Variable

+

7 % ~ 8 %

A

Green strip Position

Dummy Variable

+

4 % ~ 5 %

A

Canal View

Dummy Variable

+

4 % ~ 5 %

A

A

A

A

A

A

A

A

Tse & A ; Love

2000

Hong Kong

House Price

Cemetary Position

Dummy Variable

A

A

A

A

A

A

A

A

A

Tyrvainen & A ; Miettinen

2000

Helsinki, Finland

House Price

Distance to Scenic View

Distance to the nearest wood

5.9 % per kilometer closer

A

Forest Position

Dummy Variable

+

4.90 %

A

A

A

A

A

A

A

A

Crompton

2001

USA

House Price

Naturalistic Parks & A ; Open Spaces

Dummy Variable

+

8 % ~ 20 %

A

A

A

A

A

A

A

A

Hite, et Al

2001

A

House Price

Cemetary Landfills

Dummy Variable

A

A

A

A

A

A

A

A

A

Lange & A ; Schaeffer

2001

Zurich, Switzerland

Room Price

Position of Lake Zurich & A ; Alps

Dummy Variable

+

A

A

A

A

A

A

A

A

A

Seiler et Al

2001

Lake Erie

House Price

Lake View

Dummy Variable

+

56 %

A

A

A

A

A

A

A

A

Chemical bond et Al

2002

Lake Erie

House Price

Lake View

Dummy Variable

+

89.90 %

A

A

A

A

A

A

A

A

Peterson & A ; Boyle

2002

Simsbury and Avon, Connecticut

House Price

Development & A ; Forested Area

Visibility Variable

A

A

Agriculture & A ; Water

Visibility Variable

Insignificant

A

A

A

A

A

A

A

A

A

Tse

2002

Hong Kong

House Price

Sea View

Dummy Variable

+

9.3 %

A

A

A

A

A

A

A

A

Bourassa et Al

2003

Auckland, New Zealand

House Price

Water positions

Dummy Variable

+

65 %

A

Distance to seashore variable

Distance Variable

A

A

A

A

A

A

A

A

A

Morancho

2003

Castellon, Spain

House Price

Position of a garden or a public park

Dummy Variable

Insignificant

A

A

Size of nearest urban green country

Size of nearest Garden Variable

Insignificant

A

A

A

A

A

A

A

A

A

Song & A ; Knaap

2004

Washington Country

House Price

Proximity of Public Park

Distance to Nearest Public Park

+

A

A

Mountain View

Dummy Variable

+

A

A

A

A

A

A

A

A

A

Portnov, et Al

2005

Haifa, Israel

House Price

Sea View

Dummy Variable

Insignificant

A

A

A

A

A

A

A

A

A

Jim & A ; Chen

2006

Guang Zhou, China

House Price

Position of Green Spaces

Dummy Variable

+

7.1 %

A

Distance to Water Bodies

Distance to the nearest H2O

+

13.2 %

A

A

A

A

A

A

A

A

Hui, et Al

2007

Hong Kong

House Price

Sea View

Dummy Variable

+

1.1 %

A

A

A

A

A

A

A

A

Jim & A ; Chen

2007

Guang Zhou, China

House Price

River View/Water View

Dummy Variable

+

7.3 % ~ 13.7 %

A

A

A

A

A

A

A

A

Jim & A ; Chen

2007

Hong Kong

House Price

Garden Vista

Dummy Variable

+

A

A

A

A

A

A

A

A

A

Leung et Al

2007

Hong Kong

House Price

Distance from hill within 0-500m

Dummy Variable

+

A

A

Distance from H2O within 0-500m

Dummy Variable

Insignificant

A

A

A

A

A

A

A

A

A

Jim & A ; Chen

2009

Hong Kong

House Price

Sea View

Dummy Variable

+

2.97 %

A

Mountain View

Dummy Variable

2.18 %

A

Distance to Seashore

Distance to the nearest coast

6.70 %

A

Distance to Mountain

Distance to the nearest mountain

+

A

A

Urban Landscape ( Street )

Dummy Variable

3.70 %

A

Urban Landscape ( Building )

Dummy Variable

Insignificant

A

A

A

A

A

A

A

A

A

2.3 Residential Property

Harmonizing to the Road, Drainage and Building Act 1974 ( Act 133 ) , residential is defined as lodging which includes construction or workss that used wholly or partly construct or fit for the use of human life. Briefly, it is a construction functioning as a private abode or shelter for one or more individuals, particularly for a household. Due to the changing of clip, the function of lodging evolved from a physical protection of human being to a tool that serves as a societal outgo, an adjunct to development and as an investing ( Harris & A ; Arku, 2006 ) .

Housing, frequently known as residential belongingss has typically been analyzed as durable lasting goods, bing in a market in long-term equilibrium ( Goodman, 1978 ) . Residential belongingss transacted in the market frequently reflect the differences in preferable properties of houses and the value attached to the houses therein. Taylor ( 2003 ) stated that monetary value of a residential belongings is determined by the purchaser ‘s appraisal of the belongings ‘s features such as physical characteristics, environment and local arrangement.

2.3.1 Types of Residential Property

Housing can be differs and divided into different class based on type, size and design ( Mohamad et al, 2010 ) . Harmonizing to Manual of Town Planning Guideline and Standard ( Town and Country Planning Department, 2007 ) , the categorization of residential belongings can be divided into two chief types which is the landed belongings or subdivision belongings. Landed residential belongingss normally consist of cottages, semi-detached houses, bunch houses and patio houses. Meanwhile, subdivided residential belongingss consist of belongingss such as condominiums, flats, flats and town houses, which portion the common country with other occupants. However, this survey will concentrate merely on the landed residential belongingss as the range of the survey.

Landed residential belongingss are runing from single-storey per unit to multi-storey per unit accommodated with assorted designs and positions. Briefly, the landed residential belongingss have been classified and defined by Department of Statistic Malaysia ( 2010 ) as shown in Table 2.3.

Table 2.3: Types of Landed Residential Property

No.

Types of Landed Residential Property

Description

1.

Terraced Houses

Houses built in rows of three or more units of which each has a common wall or walls bordering with the following house. This class can either be on the left or right side or on both sides.

Normally have unfastened infinites at the forepart and back.

2.

Semi-Detached Houses

Two separate houses, which portion a common wall and have separate entrywaies.

Normally have front, rear and any one side unfastened infinites.

3.

Detached Houses

A separate house, which does non portion a common wall with another house.

Besides known as cottage or single house.

Have unfastened infinites on all sides.

4.

Bunch Houses

A separate house, which portions a party wall with the following house and joins back to endorse with another house.

Normally have front and any one side unfastened infinites.

Beginning: Codes and Classifications, Department of Statistic Malaysia ( 2010 )

2.3.2 Determinants of Residential Attributes that Effect Residential Value

Harmonizing to Garrod and Willis ( 1992 ) , each house represents a alone combination of features, where the monetary value a possible purchaser is willing to pay ( WTP ) depends on the features disciple in the residential belongingss. In using the Hedonic Price method to the residential belongingss studied, the determiners of house monetary values can be divided into four groups as follows ( Garrod and Willis, 1992 ; Lake et Al, 1998 ; Hui et Al, 2006 ) :

Structural variables ( e.g. , figure of suites, age and status of construction, etc )

Handiness variables ( e.g. , entree to CBD, etc )

Vicinity variables: ( e.g. , propinquity to school, etc )

Environmental variables ( e.g. , the focal point variables: visibleness of scenic positions, etc )

2.3.2.1 Structural Attribute

As stated by Lake et Al ( 1998 ) , structural variables define the cloth of each edifice and the secret plan upon which it is built. The belongings value normally consequence by this property. For illustration, it includes type of belongings, type of rubric retention, figure of sleeping rooms and bathrooms, land country and floor country, figure of floors, etc, which normally have direct positive influences to the lodging monetary value.

Other than that, the quality of edifice construction such as building stuff, age of edifice, etc besides influence the belongings value. Peoples tend to purchase belongings that is equipped with more functional and complete which will really carry through their day-to-day demands. A figure of variables are able to obtain through the informations provided by JPPH while some of the information demand to be collected during the review.

2.3.2.2 Accessibility Attribute

Accessibility, in its simplest linguistic communication, is defined as the easiness to go from one topographic point to another ( Hui et al, 2007 ) . Normally, it is used to specify the easiness with which local or part comfortss can be accessed from the belongings. For instant, topographic points holding a direct and fast agencies of transit to the CBD in the propinquity are considered as being more accessible and preferred due to the clip, cost and energy save for their necessities. Besides the variables included in this property are distance to the nearest school, clinic, constabulary station etc.

2.3.2.3 Neighbourhood Attribute

Neighbourhood variables describe the features of the local country in which the belongings is located and census informations are a good index of these properties ( Lake et Al, 1998 ) . A better vicinity will guarantee more satisfy families that finally lead to positive impact to the lodging monetary value. From the survey by Chin and Chau ( 2002 ) , they found that the properties for vicinity is divided into three which included socioeconomic variables such as residential family, services that provided from the Government and outwardnesss such as offense rates and noise pollution.

2.3.2.4 Environmental Attribute

There are several environmental variables were researched in past studied such as noise associated with the roads, handiness of the green country, etc. However, this survey will concentrate specifically upon the ocular impact and quality of scenic positions from the residential belongings observed.

2.4 Hedonic Pricing Approach

The hedonistic pricing method is a revealed penchant method to measure the benefits and services provided by natural and environmental goods, which normally use the existent estate market as a alternate ( Jim & A ; Chen, 2009 ) . In fact, Hamid ( 2006 ) stated that it is the most normally used method to gauge different fluctuations that formed residential belongings value, which represent the part of local environment properties to the residential belongings value, such as quality of environment and environment comfortss. A reappraisal on the past surveies done cogent evidence that it is utile to gauge the economic benefits of environmental-quality betterments from the deduction of hedonistic surveies.

Hedonic monetary value analysis applied in which the ratings of assorted constituents are determined implicitly through arrested development analysis. This technique views the monetary value of a place as reflecting its structural, environmental and neighbourhood properties, where the fringy inexplicit monetary value of single features can be estimated utilizing a multiple arrested development theoretical account with lodging monetary value as the dependant variable and assorted determiners as explanatory variables. Normally, four wide classs of variables are focus in the hedonistic theoretical account, chiefly structural ( S ) , handiness ( A ) , neighbourhood ( N ) and environmental ( E ) attributes as discussed in the old portion of this chapter.

Each feature has its ain inexplicit monetary value, which could be estimated by the hedonistic equation as:

,

Or

,

where I? is coefficient vector for each properties which measure its impact on the lodging monetary value while Iµ is a vector of random mistake footings. Although there are many signifiers that can be used to depict the relationships between monetary value and lodging properties, the normally adopted signifiers are semi-log signifiers in parametric, where it is suggested that the estimated coefficient will be more dependable.

In this survey, there are two chief tools which will be used to help the analysis undertakings. These included the Multiple Regression Analysis ( MRA ) and Geographical Information System ( GIS ) . The brief accounts sing the method will be farther included in the Chapter 3.

2.5 Decision

By and large, the measuring of scenic positions applied in this survey is discussed based on the reappraisal on the past researches. The reappraisal of old researches and literatures lead to the part of the lineation that formed the methods of measuring applied on scenic positions, the application of GIS in the spacial measuring and hedonistic modeling in the terminal of this chapter. Further account sing the elaborate ways to carry on the method of measuring will be enclosed in chapter 3.

Besides, this chapter included the treatment of old research on scenic positions studied and practiced by other research workers, followed by a list of other determiners that affect residential belongings value in order to accomplish the aims mentioned in the first chapter. All the factors chosen are based on the information handiness and restriction of this survey. Based on the listed factors, the research worker has selected several determiners under the four chief properties as discussed in the chapter to be included as independent variables for the Multiple Regression Analysis and spacial properties for Geographic Information System. This will be farther explicate on the following chapter which is the Methodology portion. As for this chapter, different type and qualities of scenic positions have proved to give important impact to residential value.