Neighbourhoods and housing submarkets in the city of Barcelona

Dionysia Lambiri

The University of Reading

19th Advanced Summer School in Regional Science

University of Groningen, 4-12 July 2006

Motivation and aims of the study

Barcelona: a well-documented city Barcelona: a heterogeneous city

Aims: Examination of change in the urban neighbourhoods

of the municipality of Barcelona Identification of housing submarkets Link the identified submarkets with submarkets in

neighbouring municipalities

The 10 Districts

The 38 ZSA

Evolution of household income in the 38 ZSA of Barcelona (Barcelona=100)

1988 1996 more than 150130-150110-130

90-11070-90

less than 70

Unemployment change in the 38 ZSA (1988-1996)

ZSA with a significant decrease in unemployment

ZSA with a significant increase in unemployment

% change of house values in the 38 ZSA of Barcelona (1988-1996)

no house values availableless than 60%60%-90%90%-120%

120%-150%more than 150%

0 0.2 0.4 0.6 0.8 1 1.2 1.4

CIUTATVELLA

EIXAMP LE

SANTS-MONTJ UiC

LES CORTS-P EDRALBES

SARRIA-SANT GERVASI

GRACIA

HORTA-GUINARDO

NOU BARRIS

SANT ANDREU

SANT MARTI

IDD 1988-2000

“Dynamic” Districts: House price increase above the city average

CIUTATVELLA, SANTS-MONTJUiC, HORTA-GUINARDO, SANT ANDREU, SANT MARTI

“Stable” Districts: House price increase close to the average

EIXAMPLE, NOU BARRIS

“Slow” Districts: House price increase lower than the average

LES CORTS-PEDRALBES, SARRIA-SANT GERVASI, GRACIA

Neighbourhood Clusters

Variables/ZSA characteristics Clusters

Family Income Unemployment Activity rate ZSA population with

basic education only

House

Values

Land

Values

1 AVERAGE AVERAGE AVERAGE AVERAGE AVERAGE AVERAGE

2 LOW HIGH AVERAGE HIGH LOW LOW

3 HIGH LOW AVERAGE LOW HIGH HIGH

1988 1996

House Values (1996)

Univariate LISA cluster map Significance Map

(p=0.01, p=0.05)

Questions

Spatial weights to use in very small spatial disaggregation levels like ZSA

Linking clusters of neighbourhoods with neighbouring municipalities. Problems of scale?

Possible extensions to hedonic estimation of house prices including spatial effects