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Questions and Answers

Higher traffic levels will be found nearer the CBD?

I would like to know why when we get closer to the Central Business District the traffic levels will be higher.

Posted by Felipe
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1. People are heading there for work in the morning.
2. People are just leaving there after work.
3. People go there to deliver stuff during the workday.

A lot of CBDs are dead after working hours, though. No traffic worries then.

Why is the land rent so high in CBD?

Posted by sidhu
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If doing business in CBD is more attractive than elsewhere for reasons of easier access to qualified workforce as well as to customers, then the companies are prepared to pay more rent than elsewhere.

As more a company can earn at a specific place, as more is left over to pay the rent – and of course there is a competition, so at the end only those companies stay in CBD who really can profit of the area.

Why will land value be higher for buildings in the centre of a city's CBD?

Posted by
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CBD = Central Business District. All big Companies want to have their Office/Business in Centre of the City (CBD). Bigger the demand the higher the price of Land and Property.

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