Prosperity or futility? Effects of micro-regeneration on neighborhood commercial vitality

Liu, G; Yang, Y; Li, K; Shrestha, A and Zhuang, T (2025) Prosperity or futility? Effects of micro-regeneration on neighborhood commercial vitality. Engineering, Construction and Architectural Management, 32(6), pp. 3779-3803. ISSN 0969-9988

Abstract

Purpose: Micro-regeneration can effectively enhance a neighborhood's commercial vitality and serve as a viable approach to boost economic benefits. However, the small scale of micro-regeneration efforts and the fragmented nature of information currently limit the availability of strong empirical evidence demonstrating its impact on neighborhood commercial vitality. The aim of the study was to examine the link between micro-regeneration and neighborhood commercial vitality, focusing on the average, time-lag, spatial spillover, and spatial heterogeneity effects. Design/methodology/approach: Using the panel data set of 1,755 neighborhoods in Chongqing from 2016 to 2021 as the research sample, the difference-in-differences (DID) method was employed in this study to explore the impact micro-regeneration has on neighborhood commercial vitality. Findings: The results illustrate that: (1) micro-regeneration can promote neighborhood commercial vitality in terms of the number and types of local consumption amenities by 27.76 and 5.89%, respectively, with no time-lag effect; (2) the positive spillovers can exist within the range of 5,000 meters–5,500 meters of regenerated neighborhoods; and (3) the effect of micro-regeneration on neighborhood commercial vitality can be greater in peripheral areas than in core areas of the city. Originality/value: The findings fill the knowledge gap on the relationship between micro-regeneration and neighborhood commercial vitality. Additionally, the results on the time-lag effect, spatial spillover effects, and spatial heterogeneity provide practical implications that can support the government and private sector in developing temporal and spatial arrangements for micro-regeneration projects.

Item Type: Article
Uncontrolled Keywords: difference-in-differences; local commercial amenities; micro-regeneration; neighborhood commercial vitality
Index terms: private sector, regeneration project, small scale, consumption, evidence, methodology
Subjects: consumer economics, evaluation and assessment methods, production management, research methods, economic development, industry analysis
Topics: Project Management, Business Strategy, Research Practice, Stakeholder Management, Urban Studies
Descriptive scope: 4 PCTA

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