TOLEDO, Ohio — You don’t have to be a beer lover to love craft beer. That’s because a new study reveals people who live near craft breweries enjoy higher property values, in addition to easy access to the occasional fresh cold one.
Researchers from the University of Toledo studied the city of Charlotte, North Carolina after 21 craft breweries opened there between March 2009 and October 2016. They found that condominiums in the central part of Charlotte showed a three-percent increase in sales value after a brewery opened a half a mile away or closer, while single-family homes in center-city neighborhoods increased in value by 10 percent.
“Being able to walk to a craft brewery in the evening or late afternoon on the weekend is considered a positive amenity that would – for some people – be attractive when looking at a house,” explains lead author Dr. Neil Reid, professor of geography and planning at the university, in a media release. “There is a different attitude toward a craft brewery. It’s perceived differently than a liquor store or bar.”
The researchers evaluated properties sold between 2002 and 2017 for the study and found that several areas close to a brewery were associated with a relatively higher price premium before the brewery opened. Yet after its arrival, the brewery only added to this premium.
There was no effect, however, on commercial property values.
“This new research shows that craft breweries contribute to increased property tax revenues for local governments, in addition to job creation and aiding neighborhood revitalization efforts,” says Reid. “However, the effects to residential property values may not be as significant in places with higher rates of vacancies and lower population growth, as well as in more established cities such as Chicago or New York.”
The craft brewery boom pumped more than $76.2 billion into the economy in 2017, leading to more than 500,000 new jobs for Americans, according to the Brewers Association.
The study was published in the journal Growth and Change: A Journal of Urban and Regional Policy.