Many earlier studies have provided useful statistical information on the extent of vacant land in British towns and cities, but few have attempted to relate land vacancy to the wider development process. This paper presents recent evidence from Inner Manchester which suggests that valuation practices operate to prevent inner city land prices from falling even in areas of apparent over-supply. This creates a blockage in the development process. It is shown that asking prices for vacant sites currently on the market are often substantially in excess of the level of prices achieved in recent transactions. As the great waves of compulsory acquisition in Manchester are now over, the statutory rules of valuation do not account for this difference, although historic levels of value have been supported by recent local authority acquisitions by agreement. It is evident that the comparative method of valuation is unable to cope with few transactions or a declining economy, both of which characterize the inner city land market. As a result, inner city land prices appear to be revised downwards only slowly and reluctantly in response to lack of demand or excess supply.
- development process
- land market
- inner cities
- vacant land
Adams, C. D., Baum, A., & MacGregor, B. D. (1985). The influence of valuation practices upon the price of vacant inner city land. Journal of Property Research, 2(3), 157-173. https://doi.org/10.1080/02640828508723891