Paul Isely, Erik E. Nordman, Shaun Howard, Richard Bowman
Journal of Ocean and Coastal Economics 4(1)
DOI: https://doi.org/10.15351/2373-8456.1076 | Published online Oct 3, 2017
The presence of Phragmites australis, an invasive wetland plant, negatively affects coastal property values and home prices rise with distance from Phragmites. Home prices increased as distance to Phragmites increased at a rate of $3.90/meter. Removing Phragmites from a property so that the next closest Phragmites was 400 m away results in a property value increase of over $1,500. Removing all Phragmites within 400 m of any property results in a total property value impact of $837,000. This generates about $13,457-$15,121 in additional property taxes each year once the prices and taxes adjust to the plant’s removal. We estimated the cost of Phragmites removal at $687/ha. Removing the approximately 36 ha of Phragmites in the area would cost about $25,041. Future treatments would likely be less than that of the first year. The estimated cost of the first year of Phragmites removal is less than the estimated two years of annual property tax revenue increases.