We present a conceptual framework of the choices facing a developer
subdividing a parcel of fixed size. We use that conceptual framework to
specify econometric models of average lot size and the number of lots
per subdivision as functions of: minimum lot size zoning; forest
planting requirements under the Maryland FCA; subdivision size;
geographic features of the subdivision; subdivision location; and land
use surrounding the subdivision. Our empirical analysis uses data from
suburban subdivisions in the Baltimore-Washington suburbs. The estimated
coefficient of minimum lot size zoning is significantly greater than
zero (and not significantly different from one) in the average lot size
equation and negative in the number of lots equation, implying that this
form of regulation contributes to sprawl by reducing density and thereby
confirming findings in the theoretical literature and empirical findings
from nearby Calvert County, Maryland. The estimated coefficient of
forested planting requirements under the FCA is positive in the average
lot size equation, indicating that these requirements increase the
average size of lots in suburban subdivisions, but also positive (albeit
not significantly different from zero) in the number of lots equation.
Thus, forest planting requirements increase average lot sizes but not
the number of lots per subdivision, suggesting that they induce
developers to economize on space allocated to roads, sidewalks, and
other forms of infrastructure. Because forest planting requirements do
not necessarily increase the number of lots per subdivision, they do not
increase the amount of land needed to accommodate any given level of
population growth and hence they do not contribute to sprawl. Thus,
there may not be a conflict between forest preservation goals and
prevention of urban sprawl.
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Erik Lichtenberg is Professor and Ian Hardie Professor Emeritus in
the Department of Agricultural and Resource Economics, University of
Maryland College Park.
Funding for this project was provided by the National Center for
Smart Growth Small Grants Program, the USDA National Research Initiative
Competitive Grants Program, and the Maryland Agricultural Experiment
Station. Some data were provided from EPA STAR Grant R-82801201. We
thank Lori Lynch, Jackie Geoghegan, Bruce Gardner, Anna Alberini, and
participants of the AREUEA 2007 mid-year meeting for their comments and
suggestions.
This article was presented in a principal paper session at the AAEA
annual meeting (Portland, OR, July 2007). The articles in these sessions
are not subjected to the journal's standard refereeing process.
Table 1. Estimated Parameters of the Average Lot Size and Number
of Lots Models
Subdivisions with Public
Sewer Access
Average Number
Lots Size of Lot
Variable
Intercept 0.08639 54.65036 **
(0.05319) (11.08031)
Subdivision exempt from -0.02513 -15.22887
FCA (yes = 1) (0.04181) (8.71092)
Forested acres required by 0.01129 ** 0.26113
FCA (0.00369) (0.76947)
Zoned minimum lot size 1.13259 ** -78.64303 **
(acres) (0.06485) (13.51071)
Total site acreage 0.000436 0.88913 **
(0.000997) (0.20780)
Acres of floodplain -0.00723 -2.37453
in subdivision (0.00578) (1.20472)
Acres of wetland 0.017278 * -0.50431
in subdivision (0.00796) (1.65846)
Linear feet of stream -0.0001 ** 0.01761 **
in subdivision (0.000025) (0.00524)
Percentage of land within a 0.00362 * 0.27224
half mile (0.00149) (0.31123)
in farmland
Percentage of land within a 0.00106 -0.34276
half mile in parks, public (0.00277) (0.57774)
spaces, etc.
Percentage of land within a -0.0013 0.01271
half mile in forest, brush, (0.00110) (0.22861)
or undeveloped
Commuting distance to 0.000775 -1.09250 *
nearest CBD (road miles) (0.00212) (0.44138)
Subdivision located -0.13551 63.25595 **
in Charles County (0.09984) (20.79842)
Subdivision located -0.24474 * -13.32909
in Carroll County (0.10026) (2.88585)
Subdivision located (0.07560) -8.85609
in Howard County (0.04227) (8.80669)
Subdivision located -0.13117 ** 5.33535
in Montgomery County (0.04628) (9.64200)
[R.sup.2] 0.8194 0.4931
Number of observations 163 163
Subdivisions without
Public Sewer Access
Average Number
Lots Size of Lot
Variable
Intercept (2.80318) 13.97038
(2.18670) (8.03264)
Subdivision exempt from 4.03485 ** -7.45351 *
FCA (yes = 1) (0.99072) (3.63933)
Forested acres required by 0.02153 0.00794
FCA (0.02617) (0.09614)
Zoned minimum lot size 0.65777 * -1.32597
(acres) (0.31124) (1.14332)
Total site acreage -0.00327 0.23831 **
(0.01135) (0.04169)
Acres of floodplain -0.00253 -0.21721 **
in subdivision (0.01873) (0.06879)
Acres of wetland -0.03700 0.33103
in subdivision (0.05150) (0.18917)
Linear feet of stream -0.00006 -0.00022
in subdivision (0.000154) (0.000566)
Percentage of land within a 0.01524 -0.01114
half mile (0.02436) (0.08949)
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