Abstract
This paper focuses a facility location model assuming that demand for service originates from users traveling, which is not directly for the purpose of obtaining the service, as is seen in actual behavior. We combine such a flow-demand location model and the traditional median model. Effect of change in jobs-housing spatial structure on optimal facility location is analyzed considering two types of demand: commuting-based demand and home-based demand. With some examples on an ideal triangular lattice urban network, it is shown that facility location decentralizes toward outer suburbs as spatial correlation of home and workplaces gets stronger, or as home-based demand gets more dominant.