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Spatial Hedonic Pricing Models for Testing the Adequacy of Acoustic Areas in Madrid, Spain

Keywords: Acoustical area , road traffic noise , strategic noise map , spatial hedonic pricing models

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Abstract:

Road traffic noise is one of the main concerns of large cities. Most of them have classified their territory in acoustic areas and have constructed strategic noise maps. From both sources we have elaborated seven types of acoustic neighbourhoods according to both their noise gap in regard to the legal standard and the percentage of population exposed to noise. A spatial Durbin model has been selected as the strategy that best models the impact of noise on housing prices. However, results for Madrid do not confirm the hedonic theory and indicate, as one of the possibilities, that the official acoustic areas in Madrid could be incorrectly designed.

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