The effect of ground leases on house prices in Helsinki

Tyvimaa, Tanja, Gibler, Karen M., & Zahirovic-Herbert, Velma (2015) The effect of ground leases on house prices in Helsinki. Journal of Housing and the Built Environment, 30(3), pp. 451-470.

View at publisher


One imperfection in housing markets is imperfect knowledge about legal interests such as ground leases. Both actual reduced legal interest as well as uncertainty surrounding rights and future lease payments for houses constructed on leased land may affect prices relative to houses built on freehold land. We use regression analysis of sales prices of condominium transactions in Helsinki to examine the effect ground leases have on house prices. We find that prices on condominiums constructed on leased lots are discounted at least 5 %, on average. In addition, we see that the announcement of potentially large increases in base rents upon renewal contributes to the discount.

Impact and interest:

0 citations in Scopus
Search Google Scholar™
1 citations in Web of Science®

Citation counts are sourced monthly from Scopus and Web of Science® citation databases.

These databases contain citations from different subsets of available publications and different time periods and thus the citation count from each is usually different. Some works are not in either database and no count is displayed. Scopus includes citations from articles published in 1996 onwards, and Web of Science® generally from 1980 onwards.

Citations counts from the Google Scholar™ indexing service can be viewed at the linked Google Scholar™ search.

ID Code: 91371
Item Type: Journal Article
Refereed: Yes
Keywords: Condominium, Finland, Ground leases, Housing markets, House prices
DOI: 10.1007/s10901-014-9424-3
ISSN: 1573-7772
Divisions: Current > Schools > School of Civil Engineering & Built Environment
Current > QUT Faculties and Divisions > Science & Engineering Faculty
Deposited On: 18 Dec 2015 00:51
Last Modified: 04 Jan 2016 02:51

Export: EndNote | Dublin Core | BibTeX

Repository Staff Only: item control page