Abstract
This study examines how third places—informal gathering spots like coffee shops and bars—influence neighborhood housing values as a measure of local quality of life. Using two-way fixed effects regression on business data from five Great Lakes states, we find a significant positive association between third-place establishments and housing prices. The effect is strongest for eating and drinking venues, particularly in metropolitan areas where such amenities are highly capitalized into housing values. In nonmetropolitan areas, impacts are weaker and often statistically insignificant. These findings demonstrate how geography and social context shape third places' influence on housing markets, offering implications for development.
Type
Publication
