Shantytown Redevelopment and Housing Prices: Empirical Evidence from Chinese Cities

China has been undergoing urban regeneration and reconstruction over the past few decades. To improve housing conditions of poor better achieve goal new urbanization, Chinese government launched top-down shantytown redevelopment nationwide in 2008. Little is known about economic effectiveness redevelopment. Based on city-level data from 2014–2018, this study examined impact prices by using fixed effects regression analysis instrumental variables (IV) methods. The results show that significantly increases at city level, each 10% increase size redeveloped shantytowns associated with an average 1.4% prices. There regional heterogeneity, central western regions having a greater effect rising home imposed negatively decrease affordability for those households not included projects; thus, more inclusive policy should be considered.