Renter willingness to pay for urban green space

Abstract

Integrating nature and green space into urban areas is a growing social challenge. The dollar value that renters place on public amenities when choosing where to live is essential for policymakers and urban planners looking to provide equitable access to environmental amenities and other public goods. This study estimates renter willingness to pay (WTP) for urban green space in the greater Boston area, utilizing a sorting model framework with data on census, transit, and neighborhood quality measures. My results suggest that renter household WTP is between $1.17 and $1.64 for an additional percentage point of urban green space in their location decisions. I examine differences in WTP for green space between white and minority renters, uncovering both shared and divergent sorting behaviors, as well as disparities in the distribution of environmental benefits across groups.