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The topography of regulatory costs: The shadow cost-gradient of parking standards
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DOI：10.1016/j.jue.2026.103830.png)
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Abstract
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This paper examines the shadow cost of minimum parking requirements (MPRs) for commercial real estate in Los Angeles County. This cost is defined as the difference between a parking space's market value and its combined construction and land costs. To estimate this shadow cost on a property-by-property basis, we use Mixed Geographically Weighted hedonic estimates to determine the value of on-site parking and location-specific parking cost estimates. Our methodology could also be applied to analyze the cost gradients of other zoning regulations, such as height limits and inclusionary housing.
Keywords:
shadow cost
minimum parking requirements
hedonic pricing
zoning regulations
parking standards
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