no1-8

[1] The central station in Tokyo 23 wards for land transaction prices

- Selection of the central station for hedonic analysis

○Hayato Nishi¹, Yasushi Asami² (1. Hitotsubashi University, 2. the University of Tokyo)

Keywords:Central station, Land price, Hedonic analysis, Non-linearity

The accessibility to the central area is the fundamental factor for analyzing real estate prices, and trains are the most important public transit in Tokyo, Japan. Therefore, many researchers use distances to the central station as a control variable when employing the hedonic regression approach. However, it is not apparent which is the appropriate central station. To resolve this problem, we propose an approach to select a better central station in which a non-linear relationship between price and distance is captured. The empirical result suggests employing Shibuya station as a center when we regress the unit prices of the residential land market in Tokyo 23 wards.