The growing public pressure against the spread of cell phone towers in
urban areas has created a need to understand their impact on adjacent house prices.
A few existing studies are, however, controversial in their methodology and
inconclusive in their results. Therefore, our study on the effect of cell phone towers
on house prices is designed to avoid these deficiencies. Property transaction data
collected from two suburbs within the Brisbane City Council were analysed
adopting the spatial hedonic property valuation model. The estimated models were
statistically significant and were largely in line with theoretical expectations. The
results revealed that proximity to cell phone towers negatively affects house values,
decreasing as the distance from the tower increases. A suitable compensation programme
for nearby property owners is, therefore, suggested as being an appropriate
policy response.

• The impact of cell phone towers on house prices: evidence from Brisbane, Australia