does municipal development increase neighborhood attractiveness and home prices?

[Denvol Haye]

ive heard that commercial developments (new high rises, retail stores, etc) could improve the value of surrounding homes but whats about major municipal development ? like new city hall being built around the corner? will this help home values ? if the local gov is making major investments, does it indicate the area is up and coming / transitioning ? 

[Nathan A.]

I would look at whether the city is investing in upgrading things like roads, parks and street lights. Is the mix of retail changing? Are the workers at the new city hall going to attract new shops and restaurants that in turn attract others? I wouldn't think a new city hall alone would do it.