City Park systems benefit the municipality economically in two ways. The first is in additional sales tax revenue from visitors to the park spending at nearby businesses. The second is increases in property tax revenue from the appreciation of property values.
The goal of this project is to analyze residential homes near the park and quantify the amount of their property value that is attributable to the park.
Saint Patrick’s Park is the largest in the SJCP system at just under 400 acres. It sits just north of the city of south bend outside of city limits and just south of the Indiana-Michigan border, but is near residential neighborhoods to the north, east, and west.
The valuation methodology used in this analysis will focus on homes within 2000 feet of the park’s entrance and assumes a property value premium of 7%, per reviews of similar peer-reviewed hedonic value studies. This analysis will utilize publicly available information on surrounding parcels of land.