The Effects of High-Speed Rail on the Real Estate Market for Residential Use: A Comparison of Medium-Sized and Metropolitan Cities in Italy

The effects of high-speed rail networks (HSR) on the local economy and environment have been the subject of numerous studies. Numerous studies have revealed how the real estate market and HSR have a relationship that boosts housing prices. Italy introduced TAV in 2008. The companies RFI and Italo NTV are the two companies operating in the country. The effects of the TAV on property values have not yet been thoroughly studied for all countries, and in Italy there is little empir-ical evidence. In medium-sized Italian cities with high-speed rail, the relationship between HSR and real estate values properties as residential, commercial, tertiary, and industrial is investigated. The study uses a dataset covering from 2006 to 2022 that includes the HSR stations in major and medium-sized Italian cities as well as those that are currently under construction, analysing the HSR stations managed both by RFI and Italo NTV. The methodology is based on the GEE model according to the hedonic price approach. The main results identify some variable socioeconomic factors that contribute to the increase in prices of residential buildings near stations, while the price of commercial buildings is determined by the frequency of trains and the presence of existing activities. The price of industrial buildings decreases with the increasing distance to the HSR stations and government offices. The price of tertiary and commercial buildings shows an increase in price as the distance from the high-speed railway station increases.