<abstract xmlns="http://www.w3.org/1999/xhtml"><p>Measuring the service flow and the stock value of condominium apartments in Canada and decomposing these values into constant quality price and quantity components is important for many purposes. In addition, the System of National Accounts requires that these service flows and stock values for condos be decomposed into constant quality land and structure components. In Canada and most other countries, such a land and structure decomposition of condominium apartment sale prices does not currently exist. In this article, we provide such a decomposition of condominium apartment sales in Ottawa for the period 1996–2009. Specific attention is paid to the roles of communal land and structure space on condominium apartment unit selling prices. Key findings include methods to allocate land and building space to a single condominium unit, identifying the characteristics that best explain condominium prices, and developing an average depreciation rate for condos for the 14-year time period.</p></abstract>

Measuring the service flow and the stock value of condominium apartments in Canada and decomposing these values into constant quality price and quantity components is important for many purposes. In addition, the System of National Accounts requires that these service flows and stock values for condos be decomposed into constant quality land and structure components. In Canada and most other countries, such a land and structure decomposition of condominium apartment sale prices does not currently exist. In this article, we provide such a decomposition of condominium apartment sales in Ottawa for the period 1996–2009. Specific attention is paid to the roles of communal land and structure space on condominium apartment unit selling prices. Key findings include methods to allocate land and building space to a single condominium unit, identifying the characteristics that best explain condominium prices, and developing an average depreciation rate for condos for the 14-year time period.

Developing Land and Structure Price Indices for Ottawa Condominium Apartments

Journal of Official Statistics

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

{"article-title":"Developing Land and Structure Price Indices for Ottawa Condominium Apartments"}

Measuring the service flow and the stock value of condominium apartments in Canada and decomposing these values into constant quality price and quantity...

Developing Land and Structure Price Indices for Ottawa Condominium Apartments

Published Online: Dec 10, 2020

Page range: 763 - 802

Received: Nov 01, 2019

Accepted: Aug 01, 2020

DOI: https://doi.org/10.2478/jos-2020-0038

Keywords
Condominium apartment price indices, land and structure price indices, hedonic regressions, net depreciation rates, system of national accounts

© 2020 Kate Burnett-Isaacs et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Developing Land and Structure Price Indices for Ottawa Condominium Apartments

Published Online: Dec 10, 2020

Page range: 763 - 802

Received: Nov 01, 2019

Accepted: Aug 01, 2020

DOI: https://doi.org/10.2478/jos-2020-0038

KeywordsCondominium apartment price indices, land and structure price indices, hedonic regressions, net depreciation rates, system of national accounts

© 2020 Kate Burnett-Isaacs et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Keywords
Condominium apartment price indices, land and structure price indices, hedonic regressions, net depreciation rates, system of national accounts