Costs of Right-of-Way Acquisition: Methods and Models for Estimation
Publication: Journal of Transportation Engineering
Volume 131, Issue 3
Abstract
Transportation infrastructure and other major projects often require the taking of real property, or right-of-way (ROW). Accurate estimation procedures are needed to facilitate budgeting and timely completion of projects. The costs of partial takings, commercial properties, remainder damages, court costs, utility relocations, and other ROW-related items are difficult to anticipate. Hedonic price models and large sample data analysis may be useful tools to help agencies track and predict ROW costs and the likelihood of damages. Hedonic price models for estimation of costs associated with taking property are proposed using recent acquisition data from several Texas corridors and full-parcel commercial sales transactions in Texas’ largest regions. Results indicate that damages depend heavily on parking, access, and location, the size of the taking is not as important as the value of improvements, and utility costs are highly variable. For the commercial property value models, improvement square footage and the condition of the property were very significant predictors, with a property in excellent condition being worth $22–$28 (2003 U.S.D.) more per square foot of improved area than a similar property in only fair condition.
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Acknowledgments
The writers wish to thank the Texas Department of Transportation for financial support and corridor data provision. Special thanks go to TxDOT administrators and staff for their contributions, particularly Gus Cannon, the project director, and John Campbell, TxDOT’s ROW Division director. Additional contributions were made by Pat Laosinchai, of TCAD, who provided the Travis County commercial sales data. James Jarrett and Annette Perrone also contributed to the research and administration of this project.
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Information & Authors
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Published In
Journal of Transportation Engineering
Volume 131 • Issue 3 • March 2005
Pages: 193 - 204
Copyright
© 2005 ASCE.
History
Received: Jan 26, 2004
Accepted: May 11, 2004
Published online: Mar 1, 2005
Published in print: Mar 2005
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