The zoning tax

REDRAWN FROM STUDY DATAFigure 2 · Manhattan price-to-cost ratios

Figure 2 · Manhattan price-to-cost ratios. Values digitized from Figure 2 in the archived publication; minor reading error is possible.
Sale price / physical construction cost	Manhattan condominiums
0.5×	1
1×	5
1.5×	18
2×	42
2.5×	66
3×	82
3.5×	91
4×	96
5×	99

Share the evidence

Most Manhattan condos sold far above physical construction cost.

The distribution places most units above a price-to-cost ratio of one, with many between roughly two and four.

Source: Glaeser, Gyourko & Saks (2005)
Figure: Figure 2 · Manhattan price-to-cost ratios · Figure 2; PDF p. 52
Redraw data: Values digitized from Figure 2 in the archived publication; minor reading error is possible.
Keep in mind: Price above construction cost can reflect land and amenities as well as regulation; the paper uses additional evidence to interpret the wedge.

View values used in redraw

Values used to redraw Figure 2 · Manhattan price-to-cost ratios
Sale price / physical construction cost	Manhattan condominiums
0.5×	1
1×	5
1.5×	18
2×	42
2.5×	66
3×	82
3.5×	91
4×	96
5×	99