Research Projects

Municipal Revenue Law II and its Effects on Transactions and Prices of Vacant Land in Seven Cities in Chile
Efectos en las transacciones y precios de sitios vacantes en 7 ciudades de Chile, tras el reavalúo y la implementación de la sobretasa a sitios vacantes que se incluyen en la Ley de Rentas Municipales II

Start Date: December 2008
End Date: February 2010

Researchers
Francisco Sabatini is a sociologist and urban planning professor at the Institute of Urban and Land Studies at the Catholic University of Chile. He specializes in social segregation, environmental conflicts, and citizen participation. Isabel Brain is a sociologist and coordinator of the Urban and Land Policies Program (ProUrbana) at the Catholic University of Chile. Her research addresses urban development, affordable housing, residential segregation, land markets, and informal settlements. Pablo Celhay is an economist and researcher at the University Alberto Hurtado, in Santiago, Chile. He holds a master in public policy from the University of Chicago and is currently pursuing a masters degree in public policy at the School of Economics and Business at the University of Chile. Other project collaborators are Pía Mora and Daniel Rodríguez.

Description
In 2005 all properties in Chile were re-assessed. At the same time, a new instrument was developed, designed to control the speculative retention of urban land. The instrument consists of a surcharge of 100% over the appraised value for parcels of vacant land located in urban areas. This study analyzes the effects of the surcharge on land transactions and land prices in 7 cities in Chile, controlling for the impact on land prices before and after the law was introduced and the revaluation took place.

Descripción
El año 2005 se realizó un re-avalúo de todas las propiedades en Chile. Junto con ello, se diseñó un nuevo instrumento orientado a controlar la retención especulativa de suelo urbano, para lo cual se creó una sobretasa de 100% sobre el valor de avalúo para aquellos sitios que permanecen vacantes dentro de las áreas urbanas. Este estudio busca analizar los efectos, tanto en las transacciones como en los precios del suelo en 7 ciudades de Chile, de la aplicación de esta sobretasa, controlando por el impacto en los precios de la tierra antes y después del reavalúo para el pago de las contribuciones (predial).