Tier 3 · À-la-carte extension
Hedonic Regression on Commercial Real Estate
Decompose commercial property value into component drivers — proximity to anchors, transit access, water frontage, and zoning.
Creative-Class-Led · % of decomposable commercial value
Dominant driver: Creative-anchor proximity (32% of decomposable value)
R² = 0.78 · n = 1,247 commercial parcels
What the model reveals
Creative anchor proximity is the dominant value driver.
This scenario shows downtown commercial property values driven primarily by proximity to creative-class anchors (Salvador Dali Museum, Mahaffey, Mural District). Transit and water frontage matter, but creative-anchor proximity is the single largest decomposable component. Implication: doubling down on creative-arts cluster is a property-tax accretive strategy.
Recommendation
Continue and expand creative-arts cluster investment. Co-locate new commercial development with anchors. Cultural-tourism cluster is property-tax accretive.
Full coefficient table
| Factor | Coef. ($/sqft) | % Value | p-value | Sig. |
|---|---|---|---|---|
| Creative-anchor proximity (≤0.25mi) | $84.2 | 32% | 0.001 | *** |
| Water frontage / view | $51.7 | 19% | 0.002 | *** |
| Transit access (SunRunner ≤0.1mi) | $38.4 | 14% | 0.011 | ** |
| Mixed-use zoning | $27.1 | 10% | 0.026 | * |
| Building age (newer = +) | $22.8 | 9% | 0.044 | * |
| Parking ratio | $13.5 | 5% | 0.183 | ns |
| Census-tract median HHI | $18.2 | 7% | 0.057 | * |
| Unexplained residual | — | 4% | 1.000 | ns |
Illustrative dummy data
All figures shown are illustrative and chosen to demonstrate three meaningfully different findings. Final analysis at engagement award is derived from authoritative sources (BLS, ACS, Florida DEO, IMPLAN, CoStar) with full methodology documentation.
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