Urban Land Price: The Extraordinary Case of Honolulu, Hawaii

Abstract
The price of land in Honolulu is higher than in any other major US urban area. This paper examines several determinants of the supply and demand for land and discusses their likely influence on Honolulu's land price. It utilises comparisons between demand and supply conditions in Honolulu and in the forty most populous US urban areas to ascertain the strength of the respective determinants. The regression results confirm that natural and institutional constraints restricting the supply of land play an important role in determining price in Honolulu and in the forty-city sample.

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