Abstract
This study evaluates the benefits of a Kleingarten (stay-type allotment garden) to the local municipality that sets up and operates it using data on investment, maintenance cost, and user fee revenue. One of the main findings of this study is that the local municipality, on average, suffers a considerable amount of deficit. The annual deficit of a typical Kleingarten, estimated by substituting median values to the regression results, is approximately 240,000 yen. Although the financial situation may be marginally improved by increasing the user fee, it can be safely concluded that it is difficult for a municipality to achieve profit by providing a Kleingarten.
