Abstract
Real estate property value analysis is used for municipal taxation and budgeting. Commercial properties make up a large percentage of the property tax base in many, if not most, taxing jurisdictions. Data constraints limit the number of analyses conducted on commercial property value patterns. This study employs a fairly extensive data set to address that problem in the context of El Paso, Texas, a large metropolitan economy located on the United States border with Mexico. The sample contains data for 105,611 commercial real estate parcels. Empirical analysis is conducted using geographically weighted regression analysis. Results confirm that parameter estimation for the commercial property data in this sample should be conducted using methodologies that allow for spatial autocorrelation and heteroscedasticity.
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Acknowledgements
The authors thank David Stone and Howard Johnson from the El Paso County Central Appraisal District for invaluable support in facilitating access to the data required to conduct this research. The efforts of Beatriz Mesta, who assisted with editorial data processing, are greatly appreciated. Special thanks are extended to the Texas A&M Transportation Institute where Bujanda was previously employed. Partial funding support for Fullerton was received from El Paso Water, Hunt Communities, City of El Paso Office of Management & Budget, UTEP Center for the Study of Western Hemispheric Trade, National Science Foundation Grant DRL-1740695, and UTEP Hunt Institute for Global Competitiveness. Helpful comments were provided by Adam Walke, AlDouri Raed, and two anonymous referees.
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Fullerton, T.M., Bujanda, A. Commercial property values in a border metropolitan economy. Asia-Pac J Reg Sci 2, 337–360 (2018). https://doi.org/10.1007/s41685-017-0065-x
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DOI: https://doi.org/10.1007/s41685-017-0065-x