Volume 7 Issue 2 (June 2020)

Pages 253-261

Land Value Capture: Defining Crucial Variables Difference-in- Differences Model for Residential Properties Surrounding MRT Jakarta Stage I

Mohammed Ali Berawi, Alexander Darmawan, Gunawan, Perdana Miraj, Hamzah Abdul Rahman


Positive effect on property value can be gained from the development of public transportation system. This study is aimed to identify the variables that affect the residential property price around the first phase of the Jakarta MRT station project construction. The variables were based on the data of Land & Building Tax Imposition Base (NJOP). From the statistical analysis (multi collinearity, paired T, ANOVA, and normality test), it is found that variables significantly affecting the residential property price are unit area, shared building, shared land, land area, building area, density, distance to MRT/CBD/hospital/favorite high school, and public park.

Keywords: Land Value Capture; Residential Property; MRT