The impact of landscape quality on property investment decisions

Abstract

Purpose – The purpose of this paper is to explore the investment decision-making process of major stakeholders in the property sector, with a specific focus on determining the impact of location quality (the quality of the immediate and wider environment within which the site is located) on the property investment decision. Design/methodology/approach – The research was undertaken in the context of UK business parks in two regional property markets; South Yorkshire and the South East. Interviews were undertaken with key stakeholder groups adopting an innovative approach utilising graphics and visualisations to explore the impact of landscape quality on investment decisions. Findings – When landscape quality in business parks is considered holistically, it has only an indirect role to play in the property investment decision. Occupiers in South Yorkshire and the South East have low expectations of landscape quality on business park sites, but there are elements of landscape quality that occupiers appreciate and consider to add to the quality of the site. However, investors and developers do not consider landscape quality plays a role in their decision process. There exists the potential for the “removed” perspective of investors and developers to result in a dislocation between their perception of occupiers’ requirement and reality. Originality/value – This study represents the first attempt to explore, in detail, the role of landscape quality in property decisions of key stakeholders in the UK property market. It also uses innovative methods to convey complex concepts of landscape quality to non-technical participants.