<abstract xmlns="http://www.w3.org/1999/xhtml"><p>Stigmatized property is real estate burdened with an external negative effect. Individual cases are spread along a broad spectrum, along many dimensions that include the rational and the irrational, the acute and the chronic. Examples for the stigmatizing effect are a nearby airport, ground water contaminated by chemicals, presence of a high-voltage power line, and so on. Evaluation of these properties needs special methodology. Stigma can reduce the property’s market value through a particular, multi-layered filter. The author systematically examines the professional literature’s cases of evaluation of stigmatized properties. The research aims to organize and compare the cases in order to calculate the market value of stigmatized properties. Based on the analysis, six significant dimensions are identified. A focus group of 19 experts examined and individually evaluated the stigmatizing effects along these different dimensions. The author suggests that it is possible to estimate the stigma’s effect and compare different cases to one another effectively. The results allow the international methodology of valuation to be processed.</p></abstract>

Stigmatized property is real estate burdened with an external negative effect. Individual cases are spread along a broad spectrum, along many dimensions that include the rational and the irrational, the acute and the chronic. Examples for the stigmatizing effect are a nearby airport, ground water contaminated by chemicals, presence of a high-voltage power line, and so on. Evaluation of these properties needs special methodology. Stigma can reduce the property’s market value through a particular, multi-layered filter. The author systematically examines the professional literature’s cases of evaluation of stigmatized properties. The research aims to organize and compare the cases in order to calculate the market value of stigmatized properties. Based on the analysis, six significant dimensions are identified. A focus group of 19 experts examined and individually evaluated the stigmatizing effects along these different dimensions. The author suggests that it is possible to estimate the stigma’s effect and compare different cases to one another effectively. The results allow the international methodology of valuation to be processed.

Evaluation of stigmatized properties

Organization, Technology and Management in Construction: an International Journal

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

{"article-title":"Evaluation of stigmatized properties"}

Stigmatized property is real estate burdened with an external negative effect. Individual cases are spread along a broad spectrum, along many dimensions that...

Evaluation of stigmatized properties

Article Category: Research Article

Published Online: Dec 29, 2017

Page range: 1615 - 1626

Received: Sep 02, 2017

Accepted: Nov 24, 2017

DOI: https://doi.org/10.1515/otmcj-2016-0025

Keywords
real estate valuation, stigmatized property, market value

© 2017 István Hajnal, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Evaluation of stigmatized properties

Article Category: Research Article

Published Online: Dec 29, 2017

Page range: 1615 - 1626

Received: Sep 02, 2017

Accepted: Nov 24, 2017

DOI: https://doi.org/10.1515/otmcj-2016-0025

Keywordsreal estate valuation, stigmatized property, market value

© 2017 István Hajnal, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
real estate valuation, stigmatized property, market value