Earthquakes are widely recognized as unpredictable and infrequent disasters that result in serious impacts on human settlements. Land use planning is one non-structural measure used to eliminate disaster risk by steering future development away from the existing built environment and enforcing particular structural engineering measures according to the disaster risk. However, arguments have arisen about applying land use planning to earthquake risk areas, as this serves as a type of disaster risk information disclosure that might impact the willingness to develop land or property value. Therefore, this study uses the spatial autocorrelation coefficient to examine the impact of land use planning on both land use and property transactions in the Chelungpu fault zone area (15 m from each side of the fault line) in Taiwan. The overall impacts with and without zoning regulation in the fault zone area are explored. The results demonstrate that parcels that changed to building use in the earlier time period (1995–2008) are located distant from those maintaining the same building use, whereas, later, building use (2008–2014) is located on or nearby the fault zone area. In addition, the most recently constructed buildings are located in or close to the fault zone area and have a relatively higher property price. The legal zoning regulation along the fault zone for building use requires lower height and less intensive building, which might help mitigate the potential impact of future earthquakes.
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