Ineed

newton bay is a sparsely populated area. the government plans to build an international airport there and announces this plan publicly. when hotel chains learn about the airport, they become interested in building new hotels near the airport to accommodate travelers. what is the likely economic impact of this situation on commercial real estate in newton bay?
(there can be more then one)
the demand for land will increase.

the price of land will decrease.

the demand for land will decrease.

the price of land will increase.

the demand for land will not change.

Answer

The demand for land will increase. and the price of land will increase.

Explanation

A land is a natural resource  or a property owned by people. The value of a land increases in different areas and this varies according to the demand and the development of the area which includes the good infrastructure, security. industries and other productive facilities. so when the government builds a an airport in Newton bay, even if the area is sparsely populated the land in the surrounding will increase in price and also the price will go high. This is because many will target the travelers in their business and they are sure  that the government will enhance security in the area and security will be good

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