Additional neighborhood effects following renovation of historical heritage: an empirical investigation of the case of Himeji Castle

Historical buildings require periodic renovation to ensure that their historical value is preserved for future generations. In this study, we use the renovation project conducted at Himeji Castle over about 5 and a half years from 2009 as a case study to analyze the impact of the renovation on the neighboring areas. As shown by the changes in land price trends, it was found that the renovation project had the effect of accelerating the upward trend in land price during the renovation period. In some areas, however, this acceleration effect was shown to diminish after the completion of the project. Nevertheless, the short-term increase in land price during this period was found to be sustained even after the completion of the project. We consider this price increase to be a neighborhood effect created by the renovation.