Urban Development Under Structural Adjustment: Istanbul, Turkey Dr Savvas Verdis
(Perez 2003)
(Cecen, A. Suut Dogruel, and Fatma Dogruel 1994)
Relative Unit of Labour Cost
OECD
Agricultural Support
OECD
GDP
OECD
Unemployment Rate by Region
OECD
Population Increase
GINI Regional Disparities
OECD
Difference of per capita GDP of metro regions to their national level (2002)
OECD
Distribution of the Banking Sector in Istanbul
(Ă–zdemir 2002)
(Ocakci 2000)
OECD
OECD
OECD
OECD
OECD
(Alper and Saglam 2001)
Defining the Illegality of Gecekondus
Built on public land, typically belonging to the Treasury Constructed on private property, not belonging to homeowner Built on shared title land Constructed without occupancy or construction permits
Government Approaches to Gecekondus
1940's
Demolition of structures by State and Municipal Authorities
1960's
State accepted them as inevitable due to rapid urbanisation. As part of five year developmental plan in 1963, State accepts amnesties and legalises large areas.
1980's
Legalised areas allowed to redevelop into apartments. First generation gecekondu owners could now get increased rents from new waves of migration.
1990's
State demolitions of new gecekondu districts. Provision of services to legalised areas.
2000's
Densification of legalised gecekondus, with increases strain on infrastructure.
(Baharoglu and Leitmann 1998)
(Baharoglu and Leitmann 1998)
(Baharoglu 1996)
(Baharoglu 1996)
Esenler: Rent Gaps & Rent Relationships
(Erman and Eken 2004)
The Politics of Sultanbeyli
OECD
Gokkafes Building
Financing Public Projects Developer Pays Characteristics Financing municipal bonds or developer investments through increased taxes, based on property values
Tax Incremental Financing
Examples Chicago TIF areas, USA
Community incentives with recapture agreements • Clawbacks • Recision • Recalibration
Supply-side economics to maximise jobs & tax-base. - Recover all subsidy costs. - Cancel subsidy agreement. - Adjust subsidy to reflect changing business condition.
Pay for impact costs of development • Impact fees • developer exactions (infrastructure or services) • developer constructed off site infrastructure
Burden of finance to groups not yet present in the area - Internalising the social costs of marginal development - Based on negotiation - Spreading benefits to fringe areas
Land Leasing (Long term occupancy & development rights)
Ending the free/ cheap use of land resources. Capturing land value increments due to public investments
Guangdong, China
Revenue earmarked to finance contracts
Goias, Brazil
Large Scale projects that can typically pay for themselves
TfL, London
Invest early at times of low prices
Shanghai Chengtou Corporation
Public Private Partnerships
Section 106, UK Section 106, UK
Public Financing Bond Issuance Government Fiscal Input Enterprize Zones
Navi SEZ Mumbai, India
Revolving Loan Funds Amalgamating tax bases
South African Townships
Cross border joint ventures Acquiring Land
Local Authority Service Procurement- UK CPO, Government Offices Relocation
Rural Land Acquisition, China
Catalyst Financing Public Attraction Projects Brownfield Projects
High initial costs
Retail Finance
Westfield, London
Private Financing Bank Credit on Municipal Asset collateral
Typically involves Land assets
Joint Ventures Venture Capital
UK Housing Associations – Private Developers Private ownership stake of public services
(Peterson 2007; White, Bingham, and Hill 2003; Chapman 2008)