Investigation of the effects of transportation investments on real estate prices: Case study Beylikduzu & Esenyurt

Transportation investments provide many benefits such as economic growth and less commuter costs. The goal of this study is to determine and measure the effect of transportation systems on real estate prices. The parameters affecting the property prices are determined through a comprehensive literature review. These parameters are evaluated by analyzing the outcomes of the survey administered to 81 real estate experts. The data (3,498 real estates) is gathered using a convenience sampling technique. The parameters with higher frequency in the literature and suitability of the case study of Beylikduzu and Esenyurt are proximity to transportation systems, the closest high school, shopping mall, hospital, the seaside, Central Business District, existence of facilities, floor level, age, size, number of rooms and credit viability of the real estate. In order to investigate combined effects of two transportation systems, a new hedonic price model (HPM), "overlapping zone model" (OZM) is proposed. The dataset is analyzed by ordinary least squares (OLS), spatial auto regression (SAR), geographically weighted regression (GWR) for the residential properties in the primary (PCA) and the secondary catchment areas (SCA). Multiscale geographically weighted regression (MGWR) is used for the first time in the literature. The proximity to the BRT line and metro line provides a premium to the medium and small real estates in PCA, and to almost all types of real estate prices in all neighborhoods within both catchment areas, respectively. The proposed model performed better than HPM for all methods in the defined overlapping zone. The OZM can be transferred to the other study areas. Also, the findings of this dissertation can be used as a guide for policy makers.