Within 0.1 mile: Effects are strongest close to the development. In low-income neighborhoods, nearby homes see a +6.5% price increase — the amenity effect of new investment replacing blight. In higher-income neighborhoods the same proximity produces a −2.5% decline, which Eriksen & Yang (2022) attribute to density effects rather than affordability stigma.
Source: Diamond & McQuade, Journal of Political Economy 127(3), 2019.
Nonparametric difference-in-differences across 129 counties in 15 states.
Note: Eriksen & Yang (2022) find the negative effect in higher-income areas applies equally to unsubsidized multifamily and dissipates when controlling for population density.
· betterblocksnj.org