Factors Affecting Price of Agricultural Land in Qaemshahr Township

Document Type : Research Paper

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Abstract

Land is a natural resource and a major factor of production. It is a commodity that both in terms of the location and the quality is uneven. This paper aims to determine the factors affecting the value of agricultural land in Ghaemshahr Township in Northern of Iran. For this purpose Hedonic method is used. Needed data were collected from a sample of 70 farmers in 2013.Results showed that land area, land quality and distance from the railroad had positive and distance from forest, distance from the city center and the distance from main road had negative effect on land prices. The average price of land in Ghaemshahr township for 1000 m2 estimated to be around 436 million Rials. Based on the findings of the study building better road and imposing limitations on land use were recommended.

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