centercenterPROJECT WORK C (EL3872C)
LECTURER: Mr. A Ogra
“Urban Renewal/Regeneration: The removal of informal structures within the larger areas of the city and the replacement of those slums with well aesthetic urban structures so as to unlock a wider range of development potentials”.
Student Name: Bonolo N. Ndlovu
Student Number: 201518787
NDip: Town and Regional Planning
Department of Town and Regional Planning
Faculty of engineering and the Built Environment
9410077300PROJECT WORK C (EL3872C)
LECTURER: Mr. A Ogra
“Urban Renewal/Regeneration: The removal of informal structures within the larger areas of the city and the replacement of those slums with well aesthetic urban structures so as to unlock a wider range of development potentials”.
Student Name: Bonolo N. Ndlovu
Student Number: 201518787
NDip: Town and Regional Planning
Department of Town and Regional Planning
Faculty of engineering and the Built Environment
I DECLARE THAT THE DOCUMENT TITLED “URBAN RENEWAL PROJECT WORK- MODULE C” IS MY OWN WORK AND THAT ALL THE SOURCES THAT I HAVE USED AND QUOTED HAVE BEEN INDICATED AND ACKNOWLEDGED BY MEANS OF COMPLETE REFRENCE.
I THANK THE CITY OF EKURHULENI AND THE CITY OF JOHANNESBURG FOR PROVIDING ME WITH FUNDAMENTAL CONCEPTS AND INFORMATION THAT HELPED ME BUILD THE FOUNDATION OF HOW IT IS FORMULATED AND WHAT AN URBAN RENEWAL PLAN IS. I WOULD ALSO LIKE TO THANK IZWELISHA TOWN PLANNERS FOR GIVING ME THE PLATFORM TO LEARN THE INS AND OUTS OF TOWN PLANNING, FOR GUIDING AND MENTORING ME SINCE THE MONTH OF MARCH, I WOULD ALSO LIKE TO ACKNOWLEDGE THE UNIVERSITY OF JOHANNESBURG, SPECIFICALLY THE TOWN AND REGIONAL DEPARTMENT FOR GIVING ME THE OPPORTUNITY TO CONDUCT THIS STUDY.
Urban renewal is one of the topics on almost everyone’s lips and is mentioned in many multi-disciplinary fields. According to the books and other articles; urban renewal is the argumented process that considers the role of a particular concept of culture in enabling major projects which frequently involve the conversation of public resources, into private assets, to be projected in a benign light. The Urban Renewal Project is one of the many government urban renewal strategies that not only aim at enhancing urban infrastructure but the social, economic, educational, and the justice pockets of the country. It was implemented to spear head economic growth and freedom, to alleviate poverty, to enhance development, to decrease crime and corruption, to increase investment in social infrastructure and human resource development and to enhance the development capacity of the local government. In a nutshell, this programme is utilised to reinvent the image of townships and cities.
AbbreviationsTopia – A place that exists or has the potential to exist.
Joshco- Johannesburg social housing company
COJ- City of Johannesburg
Soweto- South Western Township
GNDP: Gross National Domestic Product
LISP: Local Integrated Development Plan
DPLG: Department of Provincial and Local Government
ISRDP: Integrated Sustainable Rural Development Programme
GIS: Geographical Information System
RS: Remote Sensing
UNDESA: United Nations Department of Economic and Social Affairs
CMIP: Consolidated Municipal Infrastructure Programme
CPJ-Central Johannesburg Partnership
JHC-Johannesburg Housing Company
CHA-cope housing Association
JDA-Johannesburg Development Agency
BACS-Business Against Crime Surveillance Technology
TABLE OF CONTENTS Page
List of Maps5
List of Table(s)6
SECTION -1: INTRODUCTION8
URBAN RENWAL OVERVIEW
URBAN RENEWAL IN DEVELOPED COUNTRIES
URBAN RENEWAL IN DEVELOPING COUNTRIES
URBAN RENEWAL IN SOUTH AFRICA
SECTION -2: URBAN RENEWAL ISSUES
CITY AND AREA SELECTION
RATIONALE FOR SELECTION
PROFILE OF CITY AND AREA SELECTED
URBAN RENEWAL APPROACHES
CHALLENGES AND OPPORTUNITIES
SECTION -3: URBAN RENEWAL SURVEY/ SITE VISIT
DATA COLLECTION/ SURVEY METHOD APPLIED
URBAN RENEWAL- SURVEY
KEY URBAN RENEWAL PROBLEMS IDENTIFIED
AREA/ COMMUNITY SURVEY AND I NTERVIEWS
CHALLENGES AND OPPORTUNITIES
SECTION -4: URBAN RENEWAL PLAN
PROPOSED STRATEGY AND INTERVENTIONS
DETAILED URBAN RENWAL PLAN
SECTION-5: MONITORING AND EVALUATION
INDICATORS FOR MEASURING URBAN RENEWAL
MONITORING AND EVALUATION PLAN
The aim of this Project is to help stimulate our understanding of all aspects that deal with urban renewal in South Africa as a whole. The main focus is on all aspects of urban renewal, such as what promotes it?, the urban centres considered, the criteria of what makes places to be considered for urban renewal as well as other factors that contribute to its success as well as its downfall. This project is entirely based on an analysis of South African city centres in which urban and economic strategies are incorporated within those centres to ensure growth and the type of change that will bring about a great future.
Urban renewal is the term used to describe the process of the redevelopment of deteriorated areas of a city through destruction and new construction, or through extensive rehabilitation. Many urban renewal projects are government funded or sponsored (Lewis, 2004).
Urban renewal occurs as a result of change in cities caused by urbanisation, migration trends, globalisation and poverty. The process of change does not affect all cities equally or in the same way but the overall trend is towards greater division and lack of balance between concentrations of wealth and poverty within and between cities. The ability of government to respond to this process is impacted upon by larger arguments on the role of government in general and the relationship between local government, the private sector and civil society in particular (Chikitwa, 2008).
The purpose of urban renewal is to improve specific areas of a city that are poorly developed or underdeveloped. These areas can have old deteriorated buildings and bad streets and utilities or the areas can lack streets and utilities altogether (Moed, 2011).
According to Maries and Ruley (2012), the process of urban renewal has been complicated by local factors including the legacy of apartheid, legislation and settlement planning, private sector investment decisions, political, social and economic transition and inter-governmental relationships, government capacity and financial constraints. Although urban transformation and decline is linked to international trends and local circumstances that may be beyond the direct control of government, it is clear that decline may be sparked by non-cyclical factors and may be ameliorated or exacerbated by the quality of public leadership and partnership.
IMAGE ADAPTED FROM: WWW.COJ/GIS. CO.ZAUrban renewal provides the following tools:
Urban renewal allows the use of tax increment financing to finance improvement projects. It also allows for special powers to buy and assemble sites for development or redevelopment, if that is desired. And third, it allows for special flexibility in working with private parties to complete development projects. It allows for the rehabilitation or conservation of existing buildings. An urban renewal agency can assist in rehabilitation projects of any type (residential, commercial, and industrial), typically through loans and grants to private property owners. Acquisition and improvement of property (The Committee has recommended that the Agency should have no condemnation authority) an urban renewal agency can acquire property, typically for re-sale for private or a combination of public/private development.
The agency has the power of eminent domain (condemnation) for redevelopment purposes. The agency must identify properties to be acquired in the urban renewal plan. Properties must be acquired at fair market value. Once acquired, urban renewal agencies can clear and improve the properties prior to resale or lease. Any persons or businesses displaced by agency property acquisition are entitled to relocation assistance, which makes the process more fair and acceptable to the community. Resale or lease of property.
An urban renewal agency can sell or lease property it owns for redevelopment. The agency can legally sell for less than fair market value. Property can be sold for its “fair re-use value” which is the value for a specified use required in the urban renewal plan. This allows property to be reduced in price to make particularly desirable development projects financially feasible.
Urban renewal is unique in that it can be funded by tax increment revenues. Tax increment revenues are the amount of property taxes generated by the increase in total assessed values in the urban renewal area from the time the urban renewal area is first established. The assessed value of an urban renewal area at the time the plan is adopted is called the “frozen base”.
Urban renewal refers to the redevelopment of urban centers, most often with an emphasis on the redevelopment of economic infrastructure. Urban renewal is used to refer to multi sectoral interventions, which are undertaken within specific geographic areas over a medium term timeframe (Engelbrecht, 2004:1 0). Urban renewal entails the allocation of considerable resources to achieve redevelopment goals, it is the all the undertakings and activities necessary to renew the neighbourhood according to plan.
Furthermore it states that urban renewal creates winners and losers, as funds are derived and diverted from other projects. Therefore urban renewal should be closely monitored and evaluated to determine its effectiveness in reaching goals and objectives. Nesbitt (1958:64), states that many people now are beginning to recognise that urban renewal has arrived to stay and its promise is beginning to materialize in many communities.
Urban renewal entails the allocation of considerable resources to achieve redevelopment goals, it is the all the undertakings and activities necessary to renew the neighbourhood according to plan (Englebretcht, 2006: 1 0). Englebretcht (2006: 1 0) further states that urban renewal creates winners and losers, as funds are derived and diverted from other projects. Therefore urban renewal should be closely monitored and evaluated to determine its effectiveness in reaching goals and objectives. The practice of urban renewal sits at the interface of dialogues concerning the role of countries in the global economy and the role of the governments in meeting the basic needs, distributing wealth and equalizing access to opportunities.
In cities around the world, urban renewal is transforming underutilised and degraded areas into spaces and built environments that meet contemporary living, working or cultural needs. Urban renewal can happen incrementally, as new investment modernises established urban areas, but it is usually facilitated by a dedicated public effort. Successful urban renewal can generate many benefits, but as critics have highlighted, these have not always eventuated (Juatra 2011).
A review of recent case studies suggests ten guiding principles for urban renewal decision-making that will support good outcomes from a public interest perspective. a Urban renewal – benefits and critiques Urban renewal can generate a range of benefits – better utilisation of existing and proposed infrastructure; increased city productivity from the co-location of more intensive jobs and housing; attracting visitors and additional expenditure; and new employment opportunities (Mandry 2012).
Renewal projects that set clear delivery or efficiency targets can also offer more sustainable development through lower greenhouse emissions and more affordable housing compared to ‘business as usual’. However there have been criticisms of large scale urban renewal processes.
For instance, in a recent paper, Mike Harris (2011) argues that “large scale urban projects represent a new way of planning the city that is centrally concerned with marketing and the provision of competitive infrastructure….much of today’s city making is undertaken by delivering a list of big, often disconnected projects with the primary aim of attracting investment, the benefits of which are almost always reaped by the private sector.” Harris documents many critiques of operational aspects of these projects – a global rather than local focus; minimal commitment to socially just policies; and business-like governance processes that are undemocratic and don’t provide opportunities for public participation. He also notes wide criticism of their built outcomes – for instance, being similar in look and feel; typically being made up of large office buildings, luxury residential apartments and iconic architecture rather than diverse uses; lacking the layering of old and new, small and big; often disconnected from the surrounding city; containing lifeless, predictable and controllable public spaces; and indifferent to specificities and uniqueness of context.
Is the renewal of Urban Centres important?
Yes, Urban renewal in urban centres is beyond important as urban centres are multi-purposeful nodes that consist of solid transportation systems that create an environment that promotes the integration of retail, commercial, residential and cultural mechanisms. They offer employment opportunities for an enormous percentage of the population and also linkage within suburban and township populations as they need each other for the sake of co-existence through well designed and organised transportation systems that also promote convenience.
Urban centres are a substantial source that promotes serious growth within the regional economy. They also encourage and greatly contribute towards the gross national domestic product and are an important foundation of income and profits for the government and the country concerned as a whole. This then expands on the fact that it is highly important to execute the urban renewal process to ensure that the declining urban centres are enhanced and also considered as being important because they also form part of basis as one of the most important components of economic policy even at their stage of decline.
Best practice principles.
There is no single way to undertake urban renewal, as it depends on the local context and circumstances. But it is reasonable to expect that the ‘public interest’ would be a starting driver for action. After all, without a public interest motive there would be no need for government action or intervention to facilitate renewal. And the criticisms of current urban renewal processes show clearly why a public interest perspective is needed.
However Grobbler (2006) said that global cities or cities of national or regional importance, the community of stakeholders stretches on a continuum from the global community, where stakeholders may be corporations or government agencies who view projects as ways to generate profits and brand development opportunities, all the way through to the current and future local community or residents, who are the
‘Everyday’ of the project. This principle argues that those who are part of the city – visitors, children, the underprivileged, workers and students – should benefit from the increasing value urban renewal can generate, along with investors.
These benefits extend to new community facilities, the reclamation of public space, etc. Ultimately, the communities for whom the value is created to share, should be those with long-term interests, not transient stakeholders with a primary focus on value extraction and repatriation. It is evident that private involvement must make a return on investment in order to deliver these projects. However, the community that must live in and interact with the resultant developments should also gain value from this process. 2. Develop the plan with stakeholders Part of delivering on the shared value idea is to engage with the community and establish meaningful stakeholder engagement and representation in preparing the plan. Urban renewal within an existing community should share the development of vision and planning from an early stage, to encourage ownership within the community. Renewal projects without a direct incumbent community (a redevelopment of industrial lands, for example) should heavily invest in information-sharing to raise awareness and acceptance of the process across the wider urban community.
A balance needs to be struck between community engagement which is narrowly focused on local short term interests, and that which draws out local knowledge and historical commitments to inform and underpin planning. This ‘balancing act’ can be greatly assisted by adopting rigorous, transparent and holistic appraisal methods which can provide a common platform.
Developed and developing countries
2667013373100Many terms such as developed, developing, less developed, underdeveloped, undeveloped are commonly given to counties or places around the world to assist in categorizing countries according to their economic status based on income per capita, GDP, industrialization, literacy rate, living standards, foreign investments received yearly, etc. According to analyst Wilson, 1966, The IMF and World Bank have statistical measures for the convenience of classification, though there are no definitions for this classification and many developing and under or undeveloped countries are critical of this terminology. Urban renewal in developed countries is a program of land re development in areas of moderate to high density urban land use. In these countries renewal has had both successes and failures. Its living form began in the late 19th century in developed nations and experienced an intense phase in the late 1940s under the rubric of reconstruction. The process has had a major impact on many urban landscapes, and has played an important role in the history and demographics of cities around the world.
URBAN RENEWAL IN DEVELOPED COUNTRIES
Urban Renewal in the United States of America (Las Vegas)
In America, urban renewal refers to the redevelopment and/ or rehabilitation of older parts of towns and cities. In Britain, urban renewal is highly associated with the desire for housing upgrading and reform, especially in the interest of the urban poor (Onokerhoraye and Omuta, 1994). Urban renewal according to Roberts (2000) “is a normative concept and rooted in British urban policy.
It leads to the resolution of urban problems and seeks to bring about a lasting improvement in the economic, physical, social and environmental conditions of an area that has been subjected to change”. Although the main aim is to eliminate substandard and inadequate housing, urban renewal has become a catch-all for other strategies such as the revitalization of downtown, promotion of University or hospital centres, industrial redevelopment and the creation of new-towns-town (Zuckerman, 1991).
In summary, urban renewal aims at improving the physical, social-economic and ecological aspects of urban areas through various actions including redevelopment, rehabilitation, and heritage preservation.
Downtown Project — Las Vegas
Urban renewal is probably not the first thing to come to mind when you think about Las Vegas, but the Downtown Project is looking to change that.
The project states its many goals and one of these goals is to make downtown Las Vegas a place of inspiration, entrepreneurial energy, creativity, innovation, and upward mobility, a place where individuals can feel some sense of safety and security and sense of discovery in a sustainable way.
Tony Hsieh, founder of Zappos, is the force behind the Downtown Project. He was looking for a place to move his expanding company, and he decided on the old Las Vegas City Hall building. To create a place his employees would enjoy working in and playing, he invested $350 million in 2012 to create the Downtown Project, according to The Atlantic. The project has created over 800 jobs for people within the area and neighboring areas and includes hangout hotspots, restaurants, grocery stores, bookstores and the Downtown Container Park which currently houses 39 businesses in shipping containers. One thing that really catches attention is a praying mantis statue that shoots flames from its antennae at night.
‘Urban renewal in this area involved the rearrangement of businesses, the demolition of structures, the relocation of people, and the use of eminent domain (government purchase of property for public purpose) as a legal instrument to take private property for city-initiated development projects’. This was carried out in rural areas, referred to as village renewal, though it may not be exactly the same in practice.
Urban Renewal in Europe.
In Europe, the evolution of renewal policies followed a similar pattern, the need for the modernization of old city centers initiated during the industrial revolution came later to Europe than to the United States. As a result, European countries have often looked at the American experience as a model for urban renewal (Grebler, 1964). However, unlike in the United States, urban renewal in European countries sometimes proceeded without the benefit of national programs specifically designed to assist in this process (Grebler, 1964).
The first example of state involvement in urban renewal was in Britain in the mid nineteenth century to fight the unsanitary conditions in working-class neighbourhoods through slum clearance (Couch, 1990). The renewal of war-damaged cities and towns all over Europe in the 1920s is considered the most extensive process of urban renewal in history, compressed into one single generation (Greller, 1964). Until the 1950s, flats and tenements were considered as a suitable form for replacement of working class housing.
After World War II, the losses sustained during the war triggered an increased consciousness of the historic continuum embodied in the urban scene of previous eras, and growing attention was given to conservation and rehabilitation of historical towns and city sections (Grebler, 1964). As early as 1954, conservation and rehabilitation became fully accepted parts of urban renewal programs in Europe, long before it was in the United States (Grebler, 1964). By the end of the 1960s, most renewal policies began to totally discard large-scale slum clearance, and programs were reoriented towards rehabilitation and area improvement (Couch, 1990). Today, in the western world, most urban renewal actions are based on residential rehabilitation and upgrading.
Comparing Urban renewal in developed countries.
The causes and effects of urban segregation on the increase in social inequalities in the major Spanish cities have been thoroughly studied (Garcia Almirall et al., 2008; Leal and Domínguez, 2008; López and Rey, 2008; Nel·lo, 2004). Firstly, they entail the paradox that municipalities with the biggest urban deficits and the greatest needs in terms of social services tend to have a more limited fiscal base, while areas where these needs are lower have more resources as a result of their capacity to levy fiscal charges.
From a town planning perspective, this means that, to a certain extent, neighbourhoods and towns where the population has greater purchasing power and is concentrated, tend to have better public spaces and better public equipment and attract better private services. Conversely, areas with lower income populations are where deficits are historically higher and home to higher demands on public space and public equipment and have greater difficulties in financing their acquisition and implementation.
We encounter similar effects within the housing market, especially in countries like Spain, where the rental market has a relatively reduced weight and where most families own the housing units they live in: neighbourhoods inhabited by lower income populations are those where, in principle, buildings tend to be older and poorer quality and hence the owners experience greater difficulties in maintaining them. Furthermore, the concentration of rather problematic social situations in such areas reduces expectations as to property values and this influences land owners when considering engaging in possible renewal projects. Moreover, in many cases, shortages in terms of public spaces, infrastructures, and housing are accompanied by high commuting costs, in terms of both economic resources and time, given the usually peripheral position of many of these neighbourhoods in relation to the centre of the respective urban area.
Finally, we should also consider that segregated reproduction patterns amongst social groups, especially as far as education is concerned, may pose a significant barrier to equal opportunity and social mobility. In Catalonia, however, the effects of urban segregation have been more benign than in other European countries and, since the restoration of democracy, there has been a considerable improvement in the standards of living of most districts and cities.
The progress occurred due to the combined results of demand and efforts by local communities, the policies implemented by municipalities, overall economic development, and the dynamics of spatial integration, especially in the metropolitan area of Barcelona. Here, these dynamics have resulted in a reduction in the cleavages of the income distribution capacity of different social groups to choose their residence comparing the average income of the population in each municipality and the respective average housing prices. 689 The challenges of urban renewal and the Catalan experience between the city and the rest of the area, steadily falling over the last two decades (Giner, 2002).
However, since the mid-1990s, the risks of rising social segregation have tended to worsen and, in certain places, some problems that seemed to have been overcome have re-emerged such as housing overcrowding, degradation of public space, and difficulties as to the provision of basic services. This development brought about mainly by two factors: the evolution of the real estate market in Spain and the change in demographic trends (Nel·lo, 2008).
Firstly, the housing market witnessed a rapid increase in prices, which began in 1996 and lasted for more than a decade and did not stop until 2007. As a result of these market developments, the percentage of income families have to allocate to housing costs has increased dramatically, to the point that accessing affordable housing became difficult for much of the population.
Since natural diseases increase by high rates in the developing countries, they will have short population doubling time. This is not the case with developed countries. Developed countries are characterized by a low death rate and low birth rate as well. There is usually a very small gap between the two rates in developed countries (Wilson, 1966).Developed countries are not characterized by shortcomings. They are well-developed in all fronts and are served well by water supplies, amenities, educational institutions, health care concerns. This is because of the fact that people are endowed with awareness about every possible aspect relating to human existence. The absence of shortcomings in the developed countries is possibly due to the fact there is a low birth rate in these countries. Nutrition is available in plenty to mothers and infants in developed countries.
URBAN RENEWAL IN DEVELOPING COUNTRIES
Urban renewal in NIGERIA
One of the most remarkable developments in the world especially since the 1980s is rapid urbanization. Today, according to UNDESA (2015), “fifty-four percent (54%) of the world’s population lives in urban areas, a proportion that is expected to increase to 66% by 2050z. Projections show that urbanization combined with the overall growth of the world?s population could add another 2.5 billion people to urban populations by 2050, with close to 90% of the increase concentrated in Asia and Africa (UNDESA, 2015).
Towns and cities in developing countries have been expanding rapidly, and the total number of urban dwellers in the region is now roughly doubling every ten years (Otoo, 1982). Urbanization in Nigeria is characterized of economic growth without development. According to George (2002), “an average of 6,000 people move to Lagos every day and the United Nation has estimated that the city of Lagos will swell to 25 million by 2016”. The consequence of this is unabated gross degradation and decay of all the constituent fabrics of the city.
Makoko is an integral part of the Lagos community in terms of its population, and its importance to the economy of Lagos state, Nigeria. Makoko is one of the many water and shoreline settlements. Their economic activity includes salt making, sand dredging, sawmills, firewood, and fishing. According to Habitat (2007), Makoko is one of the 43 large blighted slums identified in Lagos, and has been classified as one of the 9 largest slums in the city. Makoko is characterized by adverse environmental conditions otherwise known as urban slum. The total area of space covered by this settlement cannot be easily estimated as residents continue to build and encroach on the water body as population increases. According to Kilani (2012), Makoko, “village in the city” shows a community long abandoned by government, and with inadequate basic social amenities.
The residents lack sufficient sanitation – „communal latrines are shared by about 15 households and wastewater, excreta, kitchen waste and polythene bags go straight into the water?, the oily black water is no longer suitable for fishing; it emits a pungent smell, and a thick layer of white scum gathers around the shack stilts, when it rains, conditions turn particularly nasty (Udoma, 2013). Despite the poor environmental conditions found in the settlement, Makoko continues to grow in both population size and physical boundary. More housing units can be seen sprawling into the Lagoon and road side. The aim of this study, therefore, is to examine the urban renewal activities and their effectiveness in Makoko with a view to modelling possible changes overtime, using remote sensing (RS) and Geographic Information System (GIS) techniques.
Urban Renewal in SOUTH AFRICA
The 1994 elections brought about a revolution in South Africa’s policy direction as we were influenced by poor governance and poor operation it also provided the backdrop for the policies and instruments introduced after 1994, which were aimed at addressing the challenges emanating from decades of underdevelopment and discrimination in South Africa. The aim of the new government was to change the structure of cities. South African cities have inherited a dysfunctional urban environment with skewed settlement patterns which are functionally inefficient and quite costly, huge service infrastructure backlogs in historically underdeveloped areas and large spatial separations and disparities between towns and townships (The Department of Provincial and Local Government, 1998) (Wilson,1966).
In 2001, informed by six years of developmental interventions, the Urban Renewal Programme URP and Integrated Sustainable Rural Development Programme ISRDP were launched during the State of the Nation Address of President Mbeki. With the launch of these programmes, it was the intention of government to “conduct a sustained campaign against rural and urban poverty and underdevelopment, bringing in the resources of all three spheres of government in a coordinated manner” (State of the Nation Address, 2001).
At the inception of the URP, the democratic local government system as it exists today had been in existence for two months. The intention was that these new structures of local government would be the focal institution of government to ensure the co-ordinated implementation of the programmes (State of the Nation Address, 2001). The DPLG was tasked as the national coordinating Ministry for the ISRDP and URP.
In the South African context, the process of urban transformation has been complicated by local factors including the legacy of apartheid, legislation and settlement planning, private sector investment decisions, political, social and economic transition and inter-governmental relationships, government capacity and financial constraints.
Common features of the programmes include:
Poverty targeting and alleviation as an explicit objective. The nodal localities identified very deliberately correspond with the landscape of under-development and poverty in South Africa
Focus on addressing the micro- and local economic development imperatives that seek to complement and sustain the macro-economic stability that has been achieved as a country
Improved co-ordination and integration of service delivery across government, with a particular focus at a local level
The decentralisation of decision-making and setting of priorities at a local level, aimed directly at building robust and sustainable municipalities and a strong local government sphere
The need for a demand-driven approach to development, where local projects are identified through the municipal integrated development planning process
Recognition that various partnerships will be necessary to ensure the success of each of the programmes.
South Africa’s cities and towns are a major focus of growth and economic dynamism (Urban Development Framework, 1997) (Wilson, 1966). The South African urban economies are supported by good urban infrastructure and the consolidation and extension of this urban infrastructure can contribute significantly to the creation of employment opportunities and poverty alleviation through the extension of social service provision.
Since the introduction of the 1994 White Paper on Housing (DoH, 1994), approximately 3.7-million housing opportunities have been created, ranging from the subsidized free-standing house to the more recent social and rental housing (The Presidency, 2014). This formidable achievement is perhaps unprecedented in its scale and approach. The provided houses have been on the periphery of cities which has swiftly reinforced the spatial legacy of apartheid. However the plans introduced do not only look at human settlement transformation but also ways in which the economy can be grown .As such cities provide significant vehicles for economic, social and political change within South Africa.Growth in cities was historically reduced by mechanism to inhibit black urbanization and whilst this process ultimately collapsed under the weight of urbanization pressure, cities were slow to respond to the new challenge.
How can urban centre renewal activities be supported, enhanced and scaled up?
Legislation and Regulations – Urban renewal consultants are coping with the economic and social contrast which exists in South African cities. Urban centre upgrades are further complicated by the joining of formal and informal business interests which bring influence upon everything from the procedure of public transportation hubs to regulation over public open spaces.
This difficult harmonising act is made worse by legislation and regulations which either weaken urban management by deregulating or sheltering certain activities or impose building or operational standards which are unsuitable or excessive (Moyo, 2011). It is accordingly vital factors that a review of national legislation and regulations be commenced to identify and modify legislation which unreasonably hampers urban management. Urban centers are multi-functional nodes, with strong transportation hubs, incorporating commercial, retail, cultural and relatively limited residential components (GDDPLG, 1997). Urban centers are important because of their accessibility, the diversity of goods and services which they offer and the highly concentrated levels of public and private sector infrastructure investment in these areas. Urban centers have strong image roles, tend to be an important source of revenue for local government, be a significant source of regional growth and may make substantial contributions to gross national domestic product. Thus, for example, despite its state of decline, the Johannesburg Central Business District continues to be the most important source of revenue for the City of Johannesburg.
In the South African context, the concept of urban renewal has its genesis in two distinct policy trajectories. These are the RDP White paper on local government (November 1994), which emphasises social transformation and basic needs, and economic development policy documents emphasizing the need for economic growth and transformation. This reflects the policy complexities arising out of the South African concern for maintaining a balance between the mutually reinforcing processes of growth and development (Engelbrecht, 2004: 10).
Internationally, the renewal of urban centres typically forms part of a broader strategy to promote city economic development. The implicit policy assumption underpinning these projects is that the decline of urban centres is linked to market failure due to the collapse of private sector confidence. Based upon this understanding, the dominant objective of the renewal of urban centres is to restore the confidence of the private sector, to create a sustainable property market and to restructure and diversify the local economy (Engelbrecht, 2004: 4). The Department of Provincial Local Government DPLG developed an Implementation Framework for the Urban Renewal Programme. The purpose of the Framework for the Urban Renewal Programme is to translate the vision of the Urban Renewal Programme into tangible ways that will guide all role-players in achieving the community development vision. The framework offers a systematic guide to the policy, the purpose and objectives of the URP and the financial and institutional arrangements that exist for this programme. It also offers guidance on management arrangements as well as varied approaches on mobilising appropriate human resources and capacities (Department of Provincial Local Government (DPLG)).
In the South African context, there is no specific national policy framework for the renewal of urban centres although the importance of urban centres is alluded to in a number of sectoral policy documents. Policy is however being developed from below as local governments have a strong interest in the reversing the decline of urban centres in order to promote local economic growth, protect their asset base and support their own fiscal objectives (Engelbrecht, 2004: 4 ).Role players in urban renewal.
In the public sector, various restrictions of the public management environment require significantly different set of behaviour reaction from public strategic managers as they are influenced by various factors over which there is little or no control at all. Butterick (2000:9) highlights the reasons and causes for projects failures. An example could be the lack of clear strategy in managing the project and lack of a rational way of managing the required changes. This implies that each organisation has to ensure that their projects are driven by the benefit that supports their strategy. These problems contribute towards the nature of incomplete, improper planned projects that leads to urban decay.
The practice of urban renewal sits at the interface of dialogues concerning the role of cities in the global economy and the role of cities in meeting basic needs, distributing wealth and equalizing access to opportunity. Within the South African context, the concept of urban renewal has its genesis in two distinct policy trajectories namely the RDP and White paper on Local Government (1998), with its emphasis on social transformation and basic needs and economic development policy documents. This reflects the policy complexities arising out of the South African concern for the maintenance of a balance between the mutually reinforcing processes of growth and development (Engelbrecht, 2004: 5).
Furthermore, Engelbrecht (2004:5) states that the power in cities resides in the hands of those who have the authority to “impose a vision on space” and urban renewal is thus not an exercise in neutrality but constitutes a fundamental intervention in the physical, economic, social and institutional space of cities to achieve particular policy objectives. Urban renewal typically entails the allocation of considerable resources to achieve redevelopment goals and this inevitably creates winners and losers as funds are diverted from other projects. It is accordingly appropriate that urban renewal should be closely monitored and evaluated to determine its effectiveness in reaching policy goals. This document seeks to identify some key performance measures that might be used to evaluate the success of urban renewal interventions in different contexts (Engelbrecht 2004:6). Housing provision is one of the implemented ways that spearhead Urban renewal in South Africa. The Department of Human Settlements puts upgrading of well-located informal settlements as its main priority and aims at providing proper basic services to these settlements. The Department has increased the amount of rental housing allocation to 100 000 units per year. The table below illustrates the rate of public housing development in South Africa:
YEAR NUMBER,OF HOUSES_BUILT
Urban renewal is something very big and also highly important especially considering all the great changes that come with it. There are however also a number of challenges that come with it and some cannot be change or fixed due to the fact that things will never be fair, there will always be imbalances. A lot of money is used to implement these projects in places that have declined. The biggest issue becomes when a budget has been placed and then a project goes without being completed.
The urban renewal projects in developed and developing countries are very different as developed countries maintain more and use more money and their study areas are not always big areas. It could just be a very small park or even a bus stop and a square for heritage and history purposes. This is for preservation.
SECTION 2- URBAN RENEWAL ISSUES
The subsections below discuss the critical issues for URP.
Engelbrecht (2004:32) states that the absence of strong urban centers within most township areas in South Africa constitutes a significant policy problem. There is political pressure to develop urban centers for a variety of reasons including redress and equity, the desire to simulate economic activity and create jobs and the role of urban centers as a focus for civic pride and place-making activities. The economic viability and financial sustainability of these areas is however doubtful in view of the absence of economic agglomeration, low population densities and the restricted buying power of residents.
Attempts to develop urban centers within township areas should accordingly only be undertaken after a very clear assessment of the financial and economic viability of these areas and the impact of these new areas on existing urban centers and secondary nodes. There is currently no national policy framework to contextualize or support the renewal of urban centers in South Africa although principles supporting urban renewal were included in both the Urban Development Framework and the
Development Facilitation Act 67 of 1995. The Department of Provincial and Local Government has recently commenced with the preparation of a policy document to guide urban renewal and to review the Urban Development Framework. At provincial level, only the Gauteng.
Provincial Government has issued policies which directly address the renewal of urban centers. The Gauteng Growth and Development Framework were prepared during 1997 and the Gauteng Department of Finance and Economic Affairs simultaneously issued the Gauteng Trade and Industrial Strategy (OPLG, 2000). Furthermore, Engelbrecht (2006:35) states that during the period of political transition, urban centers received relatively little attention but there has more recently been a surge of interest in the redevelopment and renewal of declining urban centers by local governments.
The absence of national policies to guide urban renewal has not impeded the implementation of renewal projects which tend to be informed by the following mutually reinforcing, locally-derived policy objectives, the renewal of urban centers is understood as a necessary precondition for, economic growth. Renewal projects accordingly seek to rebuild the economic base of declining areas and achieve this by creating a functioning property market to attract sustained private investment which may be channeled in a direction that supports economic diversification and the reinterpretation of the role of the urban centre in the economy of the city.
The renewal of urban centers is directly linked to the fiscal objectives of local government as many urban renewal initiatives aim to reinforce and grow the rates base of local government. This objective is closely aligned with the need to protect and optimize the existing asset base of urban centers which includes substantial public investment in underlying engineering services, transportation hubs and public open spaces, and private investment in the form of commercial and residential property.
Urban centers play a critical role in addressing exclusion by linking the urban poor to the remainder of the city particularly through the effective operation of transportation hubs and through the creation of residential spaces within urban centers.
In South Africa, the levels of unemployment and poverty are extremely high and two of South Africa’s most pressing problems (Engelbrecht, 2006:30). There is also a widely acknowledged need for housing and municipal infrastructure (water supply, sewerage, streets, storm water drainage, electricity, refuse collection). There is a need for physical infrastructure in both urban and rural areas. The infrastructure backlog is aggravated by the apparent lack of capacity and skills at institutional, community and individual levels.
Urban renewal and inner city regeneration projects are a priority for the South African government which has invested in several areas to stem the tide of decline in its nine major cities. Commitment to alleviation of poverty has become very high on the government agenda and will stay one of the focal points of government. A labour intensive approach can be used to maximize the number of people employed in urban renewal projects and this can go a long way in alleviating poverty and reducing the more than 28% unemployment rate in South Africa (Engelbrecht, 2006:31).
Urban renewal created the conditions for gentrification in the United States. While envisioned as a way to redevelop residential slums and blighted commercial areas in cities, it often resulted in vast areas being demolished and replaced by freeways, expressways, housing projects and vacant lots. While it did revitalize many cities, it was often at a very high cost to its existing communities and in many cases simply resulted in the destruction of vibrant – if run down -indigenous neighbourhoods. In other words urban renewal in many cases in fact resulted in urban removal. Urban renewal has in hindsight been deemed a failure by many U.S. urban planners and civic leaders and has been reformulated with a focus on redevelopment of existing communities. This reformulation has, however, not addressed the devastating effects on indigenous communities the very communities urban planners were supposed to help (Osborn, 2012: 16).
The changes brought to the social, natural and build environment of Soweto through urban renewal can have a serious impact on the flourishing of urban culture. Just as much as the preservation of the environment and community can be important for that of the local culture, culture is itself essential in their development. It is often the local culture which defines what is special and unique about a group of people or a place, giving them their identity and making them last over generations (Nozick, 1 992). It is therefore important to ensure that in the process of renewal, the urban culture is not destroyed, but stimulated and promoted through a conscious transformation of the urban environment.
It is generally recognized that displacement from familiar locations translates into drastic changes in lifestyle and requires long-term readjustment which can cause serious psychological trauma, especially for the most vulnerable portion of the population, i.e. young children and the elderly (Beauregard, 1981). The loss of contact with a familiar environment to which people have developed strong emotional attachments may occurs both when residents are displaced and when familiar environments are radically altered by revitalizing activities (Beauregard et al, 1981 ). While Jacobs (1961:279) explains this attachment as “the security of the home base, being, in part, a literal security from.
CITY AND AREA SELECTION
Area selected: New Doornfontein, Johannesburg.
New Doornfontein is a central suburb of Johannesburg specifically located on the eastern part of Johannesburg, in South Africa in which some of South Africa’s major entities and corporations such as The University of Johannesburg (Doornfontein Campus), Liberty Holdings Limited, Standard Bank, Sappi and Bidvest (formerly Rennies) Bank are based. Situated due east of the city centre, New Doorfontein is the Fifth-largest office node in the city of Johannesburg containing many multi-storied buildings representing various architectural styles including Art Deco and Brutalist. Numerous office buildings have and are in the process of being converted to residential apartments. The Ellis Park and Johannesburg Stadiums are situated within the New Doornfontein area. The Vodacon Tower is a landmark that connects Braamfontein to the city centre, traversing South Africa’s most extensive passenger train marshalling yard (Nafuru ; 2002).
Rationale for Selection.
The reason why I chose Braamfontein as study is that it is one of the city that form part of Johannesburg and I am currently doing my work integrated learning there. Choosing Braamfontein makes it easy for the site visit and since I work around the area I need to understand it better.
Braamfontein and its immediate surroundings, is an educational, government and business hub. It is the home of two major universities (Wits and UJ), three of the four big banks (FNB, Standard and ABSA), the administrative centres of both the City of Johannesburg and Gauteng Province and major corporations such as Liberty Life, SAB Miller, Anglo American, Transnet and others. It is also a transport hub with South
Africa’s largest mini-bus taxi rank, railway stations (Metrorail, Gautrain and national), bus routes and motorways (M1 and M2).
Over recent years Braamfontein has also begun to develop into an exciting and vibrant entertainment and cultural centre. There are music venues, theatres, bars and restaurants, a weekend market, the new Wits University Art Museum, and lots of new housing developments targeting students and young professionals.
The beginning of a software innovation hub is also taking shape in Braamfontein. Wits University’s Joburg Centre for Software Engineering (JCSE) and Digital Arts Centre are on the Wits East Campus. Thought works, the innovative American software company, has set up shop in Braamfontein. There are also plans for IBM to establish its South African “Skills Development and Research Institute” at Wits.
Profile of City and Area Selected.
Braamfontein is a commercially and culturally diverse business district comprising a mix of office blocks, student accommodation, restaurants, retail outlets, colleges, theatres and hotels. Colloquially known as ‘Braamies’, it is the seat of the City of
Johannesburg’s local government and is the home of South Africa’s Constitutional Court and a top South African university, the University of the Witwatersrand.
An area with working class roots, in the early 1950s, when the centre of Johannesburg declined, Braamfontein became the alternative metropolitan place to work and play. Between the late 1980s and early 2000s, urban decay from the inner city spread to Braamfontein, causing an exodus of corporate and tertiary institutions northward.
In 2002, local government realised how important the location and function of Braamfontein was to the local economy, and embarked on a multi-million rand regeneration programme for the area, supplemented by significant private-sector investment.
Today, a city improvement district (CID), managed by the Braamfontein Management District, provides security and maintenance of the upgraded environment, including a high visibility uniformed security force, parking attendants, closed circuit TV cameras, and extensive greening initiatives.
Braamfontein’s transformation from a rundown business district to a revamped Soho style neighbourhood with chic hotels, art galleries, trendy bars clubs and restaurants, continues apace.
A number of Braamfontein’s buildings have been, or are being turned into student accommodation or Manhattan-style loft apartments. Repairs to infrastructure and public artworks have enhanced the urban environment.
Braamfontein’s allure is its mix of historical landmarks, like the Lord Milner Hotel dating back to 1906, and its bustling modern African mélange of hair salons, newspaper kiosks, fast-food restaurants, spaza (informal) shops and internet cafés.
Likewise, Braamfontein attractions range from cultural stalwarts like the Johannesburg
Theatre, to the revolutionary Origins Centre that re-examines humankind’s past through the medium of rock art.
Braamfontein must-sees include the striking Nelson Mandela Bridge, the Constitution Hill complex, the Johannesburg Planetarium, and a whole new generation of contemporary creative spaces, like 70 Juta, that house avant-garde interior design, art, fashion, and film studios.
Braamfontein offers a wide range of dining options, from fast food to contemporary fine dining. Try Café de La Vie in the Bridge Precinct, La Menu café in Hotel Lamunu, Post deli and café in 70 Juta, Narina Trogon, and SP Café. For clubbing and cocktails go to Kitchener’s Carvery Bar, One Bar, S Bar, the Grove, and Simply Blue.
Besides the persistent problematic it is therefore of utmost important to point out the vital role townships are playing for growths and stability in South Africa as they are the sites of transformation par excellence and can be labelled as laboratories of social and economic transformation and factories of democratization.
The aforementioned highlights the importance of coordinated governmental activities to concentrate on these areas. It also adds to the notion of localising migration policy as successful migration depends on “invitation and integration of people” and therefore is to be decided on local level where people could be personally reached. The community is the arena to mobilise public participation and to improve local engagement of migrants and migrant’s self?organisations. The Neighbourhood is the stage for individual encounter, communication, sharing of experiences, creation of mutual visions and to start off joint actions for better livelihoods.
Quantitative questionnaire surveyThe where 50 face to face interviews conducted with the residents of… on selected houses
The interviews were conducted by N. Ndaba, and it took a period of 5days
Research and collect data associated with the Study Area, as well as prepare
Base maps of existing conditions for the Study Area.
Three sections in the questionnaireSection 1: impact of urban renewal Program
Section 2:House holds
Section2: Questions about individuals in house hold
What are you takes on the new development that is to the implemented on your area?
Do you support urban renewal projects and why.
What effects does it have on your surroundings?
Do you by any chance going to benefit from all of this e.g. job creation
Except urban renewal, which methods of using this old areas do you prefer?
Where you made aware of the new development before that tried to evict you.
Are you certified with your current living conditions?
Did they provide you with alternative land?
Are you certified with the service delivery of this place yes no if no state what is missing
If no state why
What other challenges do you face in this area/crime during the day at night, drugs ,jobs unemployment ,different sickness
What are the current living conditions you facing floods, fire
How many years have you resided in this neighborhood .5-10years
What is your age
Do you have access to different transport systems ,name em
Urban Renewal Problems IdentifiedThere are some major problems with urban renewal. Some of these urban renewal programmes focus on using property values to try to reconstruct the material fabric. This means that anyone who is not involved in these large sums of money is never properly are eventually kicked out, and most urban renewal programmes tend to endorse the interests of property developers above all.When problem neighborhood are identified, all the things that function well there tend to be ignored. Successful business get destroyed – simply bulldozed out – and in particular ‘informal economies’ get wiped away. Much of the economy is invisible to the ‘experts’ the state sends in to explore – so, informal childcare networks, car maintenance ‘businesses’, odd jobs, warehouses in garages and sheds(Meeks1980,Liu 2005).. All these things get wiped out, and then the experts sit and ponder why all the folk who’ve been moved out are still broke! They can’t afford the replacement housing in the property development model, and they’ve got no networks of employment and sociability.Finally, urban regeneration basically proposes that buildings shape people’s lives. Of course, buildings do do this, but not in the ways that planners pre-suppose. Inhabitants of buildings matter. Fixing their problems, however, has to take place in an ‘invisible plane’. If most people in a ‘problem’ neighborhood are functionally illiterate, knocking down and rebuilding their houses won’t solve that.There are very awful, less awful, neutral and beneficial examples of it. But the regeneration literature generally is unable to distinguish between these, because they don’t talk to the people that live there very much before, during and especially after, the intervention. The following are some of the renewal problems that the Mzimhlophe community is facing.
Most problems that these residents face on urban renewal is that it involves an upper class that views neighborhoods as unsuitable by their own standards. However the residents are not satisfied with their living conditions, but its inexpensive housing and one must live within one’s means. When the state gets involved or private buyers purchase buildings to rebuild and re-rent out, there might be an increase in quality and the prices also go up, and this generally doesn’t go over well with the current residents. If a person buys an apartment building for the sake of revitalization, the families or businesses utilizing that space for work or homes are automatically kicked out, or they then told to find an alternative area to reside on.
In this cases the residents are given the option to keep their apartment if they can afford the new prices. Some might, but in most situations families are without a home and in search of inexpensive housing that doesn’t seem to exist anymore because the community is undergoing “urban renewal”. For the residents of Mzimhlophe they have been paying small amount of rent now that there are these new houses the prices are expected to increase. Most of these residents will not afford to pay for this new rent, for most of them are pensioners who stay with their grand kids.
The government eventually recognized this quality within the process of renewal and attempted developing ways in which it could be avoided. Many possibilities were explored including lowering mortgages of the developers who were purchasing the land and then also lowering the cost of land in general (Bone,2009). All of this is on the basis that those parties involved have the intention on cleaning out the slums they bought. This concept can be equated to a house being less expensive if it’s not in the best condition and needs work done.
Current living conditionI have identified the size of the housing unit as one of the most vital factors
Predicting residential contentment. In most developed counties it is often measured by the number of bedrooms, a living room, a kitchen and bath rooms; it is also directly measured by the area of the housing unit in some other contexts (Meeks1980; Liu 2005). Too much overcrowding can lead to tension among family members and can put them at risk to disease. Therefore, the size of the housing unit is a basic need for healthy living thereby, a factor of great importance for the evaluation of residential satisfaction (Meeks1980; Liu 2005). The people living in Mimhlophe settlement are living in very small houses with a max number of 11 family members. The houses have one bed rooms some have 2, kitchen and living space. .That includes cleaning cooking, bathing, and living space. Another important housing attribute is housing quality (Liu 2005).
What I witnessed is that and what the residents told me was that residents the plight face on a daily basis is that toilets and washing basins are broken and parts are stripped. Residents showed me some of the walls that are crumbling and plasterwork that is falling off. Windows are broken and electricity is disconnected. Toilet facilities are few in number, there is litter everywhere and no proper waste collection services .The is poor provisions or unsafe conditions for the flow of traffic. Lack of proper provisions or unsafe conditions for the flow of pedestrians. Inadequate emergency vehicle access. What I discovered was shocking crime has increased over the last few years because of the empty clusters of double-storey units that are severely damaged, for people are restricted to stay there for they cannot afford the new rent .The are dilapidated unoccupied slum, due to shoddy workmanship by contractors. This will require millions of rands to restore these buildings and residents have to now wait longer for placement in these units.
Data Collection and AnalysesThe research was based on primary data from field survey, interviews, content analysis of public documents and other media. It began with interviewing the local community members and the comity to get background information about the urban renewal project and the targeted. Other information was guttered from the internet on past incidents form magazines, newspaper readings and reports. Therefore, snowball and purposive sampling techniques were used to identify the participants. The initial participants were sought through interactions with the residents through a door-to-door method or in the public spaces of these neighborhoods. Then through snowball sampling, more subjects were identified. To make sure the sample can represent each sub-group.
Purpose for land/opportunityThe property owners intentions where to build a world class mixed use and mixed income development on the land over the next five years, Joshco feels will create job opportunities and grow the city’s economy, while also assisting the metro in resolving the housing problem.
Joshco confirmed that it is working with the municipality to find alternative accommodation for the residents, for those who will not be able to pay rent they will be allocated into RDP houses situated in. Putting residents at ease, they have been told that the municipality has a strategic plan in place to mitigate the problem, adding that the human settlement department has already identified.
Area survey charts
ResultsI did not come across any statistically significant changes in perceptions of aesthetics, safety and workability in the neighborhood. I interview 50 householders who completed questionnaires and answered all the questions that I asked fairly.
Urban renewal fundingThe funding of the renewal of urban centres may be derived from a number of sources, but the primary contributors remain local government and the business sector. The Vusani Amadolobha Programme was recognized by the Gauteng Department of Development Planning and Local Government in 1997 and intended to support urban regeneration projects in urban centres. It provided support to urban renewal projects with an expected provincial government: local government and private sector. ”The total value of the programme (including leveraged funds) was R54 million over a period of 2 years and a total of 15 projects were funded. The programme was ultimately phased out in 2000 as the grants programme was not seen as a “core” departmental competence at the time”.
But later this program was replaced by the Blue IQ project. Local government contributions generally bridge the cost of and lower the risk associated with urban renewal projects, boosting property values on completion. The local governments assistance took the form of direct funding for selected projects and institutional funding for the. There are currently no national government funding streams which specifically support the renewal of urban centres. (McGreal S, Berry J, Lloyd G and McCarthy J, 2002).
5.8.1 Government funding contributionsIt is estimated that more than half of the world’s six billion people now live in cities, towns and other urban spaces. Current trends predict that this number will continue to rise with urban population growth being significantly more pervasive and rapid in the developing world than that of the developed. According to the World Bank, over 90 percent of recent urbanization has occurred in developing countries, with urban areas gaining an estimated 70 million new residents each year (Moskalyk 2011).
To establish effective urban renewal programmes the National government typically provide a long-term political vision for upgrading and underwrite their commitment with predictable and sustainable budgetary allocations. Although the is a variance in approaches to the method of providing financial assistance to support upgrading, national governments typically make the most substantial financial payment. In instances the government may seek to recover this contribution from recipient communities but in other cases, governments regard the upgrading of infrastructure for the benefit of the public, and recover the capital cost from the general tax base. Private sectorThis sector is one which is not owned by the state, where goods and services are produced by individuals and companies as opposed to the government which controls the public sector is understood to be the part of the economy that is owned and controlled by private individuals and business organizations in isolation from state ownership(Newell1977). This includes all types of non-governmental for-profit organizations in both their formal and informal forms. The history of housing development in South Africa is that of the private sector driven. In short, the private sector contributes a larger proportion of housing stock in the country.
The private sector in the housing delivery consists of the individuals and corporate organizations. The sector provides houses for their direct use, their staff, for rental or sale. The sector has been more efficient in the production of housing. That is why it has been suggested that the government should only create the enabling environment for the private sector to meet the housing need of the people.
The sector should make sure that the houses built are affordable to all household income and price of housing. In the case of home ownership or rental, affordability is defined as owning a house with a value equal to slightly more than twice the house hold annual income or renting a house not more than 30 per cent of the household gross monthly income (Newell1977). The erroneous impression of the private sector is that poor/the low-income households cannot pay for accommodation, but researches have shown a high level correlation between low income earners and affordable housing.
The private sector should encourage and support end-user driven initiatives in housing delivery through the use of cooperatives or organizations. Houses should be developed on both owner-occupied and rental basis so as top remote a vibrant housing market in the country. It is erroneous and unthinkable that all households need housing in owner-occupier basis. The point is that rental housing sector has been and shall continue to be the major provider of the bulk of housing for the low-income households. Hence, the private sector should take initiative.
A realistic and functional design that minimize cost and enhance utility should be adhered to by the private sector. The objective of private sector involvement in housing development is to achieve value maximization in relation to the cost. Value maximization in projects such as housing could be achieved by completing the housing project within the estimated budgetcompleting the housing project within the estimated time frame and completing the housing project according to specifications or standards required.
Table 1: Public and private investment in the Inner City, within JDA area based regeneration areas
Area Public Investment Private investment
Braamfontein R55.7million R4billion
Newtown R188.7million R2.7billion
Greater Ellis Park R106.7million R1.1billion
Fashion District & Jewel City 33.2million R2.5billion
High Court 8.3million R3billion
Source: JDA Investment Analysis II, Rhizome Management Services, 2009
Public sectorThis sector is therefore controlled by the state which includes the government organization .This includes state institutions on all levels national, regional and local; government owned corporations (GOCs) and the state’s national and international development partners .The is the part of the economy that is concerned with providing various government services. The composition of the public sector varies by country, but in most countries the public sector includes such services as the military, police, public transit and care of public roads, public education, housing development, along with health care and those working for the government itself, such as elected officials. The public sector might provide services that a non-payer cannot be excluded from (such as street lighting), services which benefit all of society rather than just the individual who uses the service.
For any important action of government to be effectively undertaken, it requires an understanding of the role of government: that such actions are not simply an unfortunate necessity where there are market failures, but that, given the levels of poverty and uneven distribution of resources prevailing in much of the world, government action is central to ensuring improvement in the housing of slum dwellers.
Public planning, broadly defined as setting the framework for the regulation of land uses and the social and economic policies designed to improve people’s lives, is necessary if the actions of governments, private entities, and citizens are to be coordinated so as to be mutually reinforcing rather than in conflict with each other. The planning function may be located in a separate government agency, or part of an agency devoted to development (not so desirable, because often the implicit goal of such an agency is growth, with equity and social justice for slum dwellers being a hoped for consequence rather than a primary goal), or as part of a housing agency (again not so desirable, because it separates the planning for housing from the planning for other aspects of urban life essential to it, e.g. transportation, infrastructure provision, or environmental quality).
Likewise, public planning must take place at national, regional, municipal, and community levels, and in coordinated fashion; often a national law may provide the framework within which the various levels of planning take place, and how differences among them may be reconciled. At each level, the highest possible degree of resident participation is essential for public planning to be both effective and democratic; the balance between the inevitable delays and contentions must be negotiated in the context of different histories and conditions. But in all cases the provision of an institutionalized and open public planning process is necessary if housing for slum dwellers is to be provided both efficiently and democratically.
Examples of issues which need to be dealt with in terms of coordinated planning:
The balance between the use of land for housing and the set-aside of land for environmental purposes.
The coordination of planning for transportation and land-use for housing.
The provision of adequate commercial, employment, and service facilities concurrently with housing development.
The determination of land suitable for housing, and the recommendation of measures to make land available for such purposes (e.g. eminent domain, land banking, prohibition of idle use, determination of social purpose)
Social society sectorThis sector is operated by non-governmental organizations and institutions that manifest interests and will of citizens. Civil society includes the family and the private sphere, referred to as the “third sector” of society (Moskalyk, 2011). Civil society exceeds the limits of the concept of ‘community’, to include all society segments which, in theory, lie outside both the sphere of production (private sector) and the state . However, civil society economic components of non-profit and voluntary organizations form an active part of the production sphere of society. The civil society has a strong effect on the supply and demand of goods and services and, consequently, on the shape and function of the market. Thus, in practice, the boundaries between state, civil society and market are often complex. As such civil society increases diversity of spaces in housing development.
Some of the organizations involved in civil society are registered charities, development non-governmental organizations (NGOs), community groups, women’s organizations, faith-based organizations, professional associations, trade unions, self-help groups, social movements, business associations, coalitions and advocacy groups (Barabara.2008). These organizations therefore focus on level of formality, values, or theoretical perspectives. These function in representation8, technical expertise9, capacity-building10, service delivery11and various social functions12. However, it is important to recognize that civil society organizations (CSOs) and non-governmental organizations (NGOs) differ in the degree to which they provide these functions (.Barabara.2008)
The diversity of places, actors, institutional forms, formality and power CSOs have and the differences in the degree of function provision is very much related to the structure of civil society. In agreement with this, it is recognized by the international development policies that “good urban governance is characterized by the interdependent principles of sustainability, equity, efficiency, transparency and accountability, security, civic engagement and citizenship” (Moskalyk, 2011) (). Thus, the UN emphasizes that “participation is a fundamental prerequisite of sustainable development”.
This however shows the role of this sector in urban development decision-making with focus on civil society participation in the process by providing an institutional analysis of urban land-use decision making . This is to identify the key society forces that dominate the decision-making and organizational structure of the process, in particular the institutional forms of civil society participation (mental models and organizational structure) that contribute to long term collaborative urban governance of sustainable urban land development that includes housing development.
In years to come South Africa should be a world-class country with better service delivery and efficiencies, which meet world best practice. Its economy and labor force will specialize in the service sector and will be strongly outward orientated such that the City economy operates on a global scale. The strong economic growth resultant from this competitive economic behavior will drive up City tax revenues, private sector profits and individual disposable income levels such that the standard of living and quality of life of all the City’s inhabitants will increase in a sustainable manner the built environment with a balance with the natural environment and South Africa can be a better county. With most people owning their own households and those coming from other provinces and countries having to enjoy proper accommodation.
Conclusions & lessons learned
Primarily the beginning of the city as a centre of human activity freed ever-increasing numbers of people from the burden of finding food and shelter for themselves, directly from the land. Ingenuity, tied for thousands of generations to the task of feeding and managing small groups of people, was now free to pursue its seemingly infinite potential. The essential role of the city in human affairs runs deep well beyond the streets and buildings and into the realms of conscious and subconscious awareness that makes us who we are. Winston Churchill says that ‘We shape our cities, then they shape us. This is why we say that the face of the world is linked to the future of its cities, we have no choice but to make them work
South Africa faces a choice: Either it can let Johannesburg struggle along as an increasingly unlikely member of a global network of world cities, or the nation can decide to unite in its efforts to keep Johannesburg and by implication Africa – at the cutting edge of global economic change and competitiveness. In effect, all of southern Africa is a ‘branch economy’ of Johannesburg. The branches all need their tree to grow stronger in the jungle of global economic competition. That is why Johannesburg’s future should be a national issue. The issues facing Johannesburg are of national and continental importance. They cannot be left to the city council alone. A concerted national initiative is urgently required.
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Websites and linkshttp://www.wits.ac.za/library/services/