In addition to TYPE=SP, some people use a radial smoother for analyzing spatial data. The option is TYPE=RSMOOTH. The radial smoother supports KNOTMETHOD=KDTREE(NEAREST), which is essentially a nearest neighbor approach. Links are provided in the documentation for the RANDOM statement. For an example, see the section "Spatial Smoothing" in Schabenberger (2005, p. 15)
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