There's an interesting development vs. conservation issue on the horizon in St. Lucy, Barbados. Read about it here at the Barbados Advocate. The Arawak cement plant is currently located in the relatively undeveloped northwest region of the island, near Maycock's Bay. The plant is located right on the coast, and if you swim in the area you see a film of particulate matter on the surface of the sea. In addition to this air pollution, the plant is also quite noisy. The combination of air, noise and water pollution no doubt creates a host of negative external effects for nearby residents. The site apparently looks appealing for a new cruise ship port, or perhaps a new airport. Of course, the land could also be set aside for conservation, or developed for residential uses.
What can we say about how land rents for the area will depend on alternative uses? What kind of research questions might we consider before going forward? Does anyone have an indication as to how this might play out?