An and his co-authors find that overall, these developments have positive effects on surrounding property values, particularly in communities with lower incomes. They take a different approach from most other research in the field by analyzing high-density developments in an area — in this case, Cook County, Illinois — as opposed to more scattered ones.

“[Our findings underscore] the importance of a balanced approach to funding affordable housing investments across a wide variety of communities,” the authors write. “Further development of such properties in higher-opportunity neighborhoods has the potential to help lower-income households reap the benefits of living in more affluent areas.”

The full paper can be read at https://doi.org/10.1016/j.jhe.2022.101838.