Effects of road infrastructure development on residential property value and land development shifts in a peri-urban area of Karachi, Pakistan

Abstract

The introduction of road infrastructure development projects often triggers expectations of shifts in property values. Extensive research has already been conducted regarding the impact of such projects on property values and land development in developed regions. However, there is a research gap when it comes to developing countries like Pakistan. Therefore, this study aimed to investigate the influence of the road infrastructure development project, the M-9 Motorway, on residential property values and land development in a mega residential project in Bahria Town Karachi (BTK), Pakistan. This study employs a mixed-methodology approach, incorporating qualitative methods (interviews) and quantitative analysis (questionnaire surveys and property data analysis). Statistical tools such as Statistical Package for Social Sciences (SPSS), the Pearson correlation coefficient, and the Chi-square goodness of fit test were used for correlation and hypothesis testing. This research reveals that proximity to a major road infrastructure project directly impacts property purchase prices, rents, and land development in BTK, either positively or negatively. The obtained results align with both expectations and the existing literature. Although these findings should not directly apply to other locations and contexts, they can be considered suggestive indicators for planning purposes.