UC Irvine

Although urban growth boundaries (UGBs) are increasingly used as a containment policy to promote contiguous and compact urban forms, little is known about how UGBs affect development within the designated area or how development is displaced to other cities. This study analyzes the UGB's containment and spillover effects, focusing on the case of the Portland metropolitan area where UGBs have long been implemented. This is accomplished by employing a spatial market disequilibrium framework in which explicit consideration is given to the containment and spillover processes when under the influences of UGBs. The findings suggest that UGBs can promote development within the boundaries, but that cooperation with neighboring municipalities is necessary to effectively attain the policy goals. © 2013 Wiley Periodicals, Inc.