Economic Valuation of Urban Trees: Ribnjak Park Case Study, Zagreb

Abstract

Background and Purpose: Population growth, urbanisation and technological development are creating a growing need for urban forests and parks, which are becoming green oases for recreation and relaxation. Apart from the sociological and economic components, urban forest valuation is presented through tourism, the market value of main and secondary forest products, and the growing value of real estate in the vicinity of green areas. Environmental economics explores the optimal ratio between the costs and the benefits received from the investment in the environment. The aim of this research is monetary valuation of urban trees. Materials and Methods: A Danish model for tree value determination was applied in Ribnjak Park as a case study. The model is based on tree growing costs and the present value. It is limited by the subjective aesthetic tree value estimation, but it is used in Europe because of its practicality. Individual tree value estimation is used because of the tree damage from vehicles or new residential buildings. The method is suitable for individual trees or groups of trees, but it is not appropriate for forest stands. Twenty random selected trees from nine different tree species have been analysed in the park. Diameter at breast height, tree height, expected age, aesthetic value and location were recorded for each tree. Furthermore, ecological, social and health tree values were taken into account separately with the calculation of points. Results: According to the evaluation, the average monetary value of one tree in Ribnjak Park is 542 EUR. The average diameter at breast height is 57.86 cm with the average age of 96.14 years. Plane trees have the highest value in comparison to other sampled species. Conclusions: Tree values vary depending on age, dimension or aesthetic values. The disadvantage of this method is in the estimation of very old tree value and in high involvement of personal estimation, which creates an opportunity for future development of the model and for its modification. The calculation of urban forest values is a complex process because of its impossibility to do a market evaluation of all of the benefits that could be considered as public wealth.

Three Decades of Urban Forest and Green Space Research and Practice in Croatia and Slovenia

“…The economic aspects of urban forests and other green space was another less frequent theme in both countries (Figure 7). In Croatia, publications under this general theme dealt with the economic assessment of urban trees [151], the value of urban forests for residential land use that implements the hedonic pricing method [152], assessment of forest ecosystem services in urban forests [153], or the role of urban green space in tourism [154]. Two papers are more general.…”

Natural Capital Preservation in the Coastal Area

“…One of the tree pricing equations used to calculate the value of an individual tree in the park and other areas is based on the material value of wood product that is multiplied by factors based on species significance, condition and importance, as well as location of the tree [13]. Therefore, the assessment of ecological impacts is transformed into the following arithmetic steps [14]: tree value = dbh area × $ (value) × species factor × location factor × condition factor where dbh is the cross-section area at breast height.…”

“…And while the providers of tourist services use such public good as one of the main factors of attraction of the tourist destinations and thus through the sale of tourist service also collect certain rent, the value of public good, and thus also of the Mediterranean forests in tourism has not been systematically researched until mid-nineties [23]. The most comprehensive research, with regard to the aesthetic and recreation value of Croatian coastal forests, was implemented in a period from 1995 to 2001 with regard to tourism and the local community [13].…”