Beach renourishment and property value growth: The case of Folly Beach, South Carolina

Abstract

Numerous studies using a variety of methods suggest that beach renourishment generates benefits to both recreational users and property owners. To date, however, only Cordes, Gatlaff and Yezer (2001) have used repeat sales data, and they found no effect of renourishment on property values. We use a repeat sales index to investigate the effects of the Army Corps of Engineers' renourishment of Folly Beach, South Carolina. We find that beach renourishment has maintained property value appreciation rates when contrasted against rates in a comparable real estate market-nearby Isle of Palms, South Carolina. © Southern Regional Science Association 2012.