Institute of Social and Economic Research, University of Alaska Anchorage
Abstract
Growing interest in quantifying values of ecosystem services has generated numerous studies
attempting to measure the contribution of neighborhood environmental amenities to urban and
suburban property values. Proximity to freshwater resources -- lakes and streams -- has also figured
prominently in many of these studies.
Alaska’s Matanuska-Susitna (Mat-Su) Borough, analogous to a county under state law, is a large and
rapidly urbanizing local government jurisdiction adjacent to Anchorage, the state’s largest
metropolitan area. As the population of the borough grows, and more land becomes subdivided and
developed, an important question arises regarding the contribution of remaining undeveloped land
and natural amenities to the economy of the borough. Visitors who are attracted to the scenery and
recreation opportunities of the borough capture some of that value, and contribute to the borough
economy through local purchases of goods and services. Private owners of borough real estate, who
are willing to pay more for property located close to natural areas and recreation sites, also
appropriate a portion of the value, however. This study focuses on this latter component of value of
ecosystem services. It provides estimates of the enhanced value of private residential property and
undeveloped land in the Mat-Su borough created by local protected open space and outdoor
recreation opportunities.
After briefly describing the Mat-Su Borough region, we summarize the valuation methods and the data
available for the study. Then we present statistical results, followed by a discussion of the implications
of the findings for valuing ecosystem services in the Borough. We conclude with suggestions for
future research to improve the estimates.The Nature Conservancy of Alaska.
The Bullitt Foundation.
The U.S. Fish and Wildlife Servic
