IDEAS home Printed from https://ideas.repec.org/a/gam/jlands/v11y2022i12p2248-d998616.html
   My bibliography  Save this article

Challenges, Experience, and Prospects of Urban Renewal in High-Density Cities: A Review for Hong Kong

Author

Listed:
  • Yidi Wang

    (Tsinghua Hang Lung Center for Real Estate Studies, Institute of Real Estate Studies, Department of Construction Management, Tsinghua University, Haidian District, Beijing 100084, China)

  • Ying Fan

    (Department of Building and Real Estate, the Hong Kong Polytechnic University, Kowloon, Hong Kong)

  • Zan Yang

    (Tsinghua Hang Lung Center for Real Estate Studies, Institute of Real Estate Studies, Department of Construction Management, Tsinghua University, Haidian District, Beijing 100084, China
    Department of Real Estate and Construction Management, KTH Royal Institute of Technology, 114 28 Stockholm, Sweden)

Abstract

Redevelopment in Hong Kong must be accelerated in response to urban decay and land shortages. However, due to a lack of incentives and effective policy tools under Hong Kong’s floor area ratio regulations, there has been limited public–private partnerships in the urban renewal process, reducing both the public welfare and the efficiency of land use. We review the evolution of Hong Kong’s density schemes for addressing urban redevelopment issues to identify the most important barriers to private sector involvement. We also summarise the international experience and identify viable policies, compare cases in Hong Kong with successful transfer of development rights (TDRs) examples, point out TDRs’ shortcomings, and propose targeted policy optimisation strategies. On a practical level, this study has implications for the creation of targeted density policies to address Hong Kong’s ageing infrastructure and facilitate the urban transformation of Hong Kong and similar high-density cities so that they can continue to support sustainable urban growth.

Suggested Citation

  • Yidi Wang & Ying Fan & Zan Yang, 2022. "Challenges, Experience, and Prospects of Urban Renewal in High-Density Cities: A Review for Hong Kong," Land, MDPI, vol. 11(12), pages 1-20, December.
    • Handle: RePEc:gam:jlands:v:11:y:2022:i:12:p:2248-:d:998616
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2073-445X/11/12/2248/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2073-445X/11/12/2248/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Mabbs-Zeno, Carl C., 1981. "Design of Programs Using Transferable Development Rights to Preserve Farmland in the Northeast," Journal of the Northeastern Agricultural Economics Council, Northeastern Agricultural and Resource Economics Association, vol. 10(2), pages 1-6, October.
    2. McConnell, Virginia D. & Kopits, Elizabeth & Walls, Margaret, 2003. "How Well Can Markets for Development Rights Work? Evaluating a Farmland Preservation Program," Discussion Papers 10659, Resources for the Future.
    3. Bertaud, Alain & Brueckner, Jan K., 2005. "Analyzing building-height restrictions: predicted impacts and welfare costs," Regional Science and Urban Economics, Elsevier, vol. 35(2), pages 109-125, March.
    4. Nesticò, Antonio & Elia, Cristina & Naddeo, Vincenzo, 2020. "Sustainability of urban regeneration projects: Novel selection model based on analytic network process and zero-one goal programming," Land Use Policy, Elsevier, vol. 99(C).
    5. Evangeline R. Linkous & Timothy S. Chapin, 2014. "TDR Program Performance in Florida," Journal of the American Planning Association, Taylor & Francis Journals, vol. 80(3), pages 253-267, July.
    6. Mee Kam Ng, 2002. "Property-led urban renewal in Hong Kong: any place for the community?," Sustainable Development, John Wiley & Sons, Ltd., vol. 10(3), pages 140-146.
    7. Rachel Weber, 2010. "Selling City Futures: The Financialization of Urban Redevelopment Policy," Economic Geography, Clark University, vol. 86(3), pages 251-274, July.
    8. Heimlich, Ralph E. & Anderson, William D., 2001. "Development At The Urban Fringe And Beyond: Impacts On Agriculture And Rural Land," Agricultural Economic Reports 33943, United States Department of Agriculture, Economic Research Service.
    9. Gao, Jinlong & Chen, Wen & Yuan, Feng, 2017. "Spatial restructuring and the logic of industrial land redevelopment in urban China: I. Theoretical considerations," Land Use Policy, Elsevier, vol. 68(C), pages 604-613.
    10. Paul Thorsnes & Gerald P. W. Simons, 1999. "Letting The Market Preserve Land: The Case For A Market‐Driven Transfer Of Development Rights Program," Contemporary Economic Policy, Western Economic Association International, vol. 17(2), pages 256-266, April.
    11. Falco, Enzo & Chiodelli, Francesco, 2018. "The transfer of development rights in the midst of the economic crisis: Potential, innovation and limits in Italy," Land Use Policy, Elsevier, vol. 72(C), pages 381-388.
    12. Elizabeth Kopits & Virginia McConnell & Margaret Walls, 2008. "Making Markets for Development Rights Work: What Determines Demand?," Land Economics, University of Wisconsin Press, vol. 84(1), pages 1-16.
    13. Krieger, J. & Higgins, D.L., 2002. "Housing and health: Time again for public health action," American Journal of Public Health, American Public Health Association, vol. 92(5), pages 758-768.
    14. David E. Mills, 1989. "Is Zoning a Negative-Sum Game?," Land Economics, University of Wisconsin Press, vol. 65(1), pages 1-12.
    15. Tatsuhito Kono & Takayuki Kaneko & Hisa Morisugi, 2010. "Necessity of minimum floor area ratio regulation: a second-best policy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 44(3), pages 523-539, June.
    16. Kim, Minjee, 2020. "Upzoning and value capture: How U.S. local governments use land use regulation power to create and capture value from real estate developments," Land Use Policy, Elsevier, vol. 95(C).
    17. J. Rosie Tighe & Joanna P. Ganning, 2016. "Do Shrinking Cities Allow Redevelopment Without Displacement? An Analysis of Affordability Based on Housing and Transportation Costs for Redeveloping, Declining, and Stable Neighborhoods," Housing Policy Debate, Taylor & Francis Journals, vol. 26(4-5), pages 785-800, September.
    18. J.M. Pogodzinski & Tim R. Sass, 1991. "Measuring the Effects of Municipal Zoning Regulations: A Survey," Urban Studies, Urban Studies Journal Limited, vol. 28(4), pages 597-621, August.
    19. Aaron A. Moore, 2013. "Trading Density for Benefits: Toronto and Vancouver Compared," IMFG Papers 13, University of Toronto, Institute on Municipal Finance and Governance.
    20. Yvonne Rydin, 1998. "Land Use Planning and Environmental Capacity: Reassessing the Use of Regulatory Policy Tools to Achieve Sustainable Development," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 41(6), pages 749-765.
    21. Shahab, Sina & Clinch, J. Peter & O'Neill, Eoin, 2019. "An Analysis of the Factors Influencing Transaction Costs in Transferable Development Rights Programmes," Ecological Economics, Elsevier, vol. 156(C), pages 409-419.
    22. Arnott, Richard J. & MacKinnon, James G., 1977. "Measuring the costs of height restrictions with a general equilibrium model," Regional Science and Urban Economics, Elsevier, vol. 7(4), pages 359-375, November.
    23. Rebelo, Emília Malcata, 2017. "Land betterment capture revisited: A methodology for territorial plans," Land Use Policy, Elsevier, vol. 69(C), pages 392-407.
    24. Joshi, Kirti Kusum & Kono, Tatsuhito, 2009. "Optimization of floor area ratio regulation in a growing city," Regional Science and Urban Economics, Elsevier, vol. 39(4), pages 502-511, July.
    25. Jason Hackworth & Neil Smith, 2001. "The changing state of gentrification," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 92(4), pages 464-477, November.
    26. Mabbs-Zeno, Carl C., 1981. "Design of Programs Using Transferable Development Rights to Preserve Farmland in the Northeast," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 0(Number 2), pages 1-6, October.
    27. Patricia Machemer & Michael Kaplowitz, 2002. "A Framework for Evaluating Transferable Development Rights Programmes," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 45(6), pages 773-795.
    28. Jeffrey Biggar, 2021. "Approaching Negotiations in Urban Redevelopment Projects: A Multiple Case Analysis of Stakeholder Involvement in Community Benefit Agreements," Planning Theory & Practice, Taylor & Francis Journals, vol. 22(5), pages 725-746, October.
    29. Yung Yau, 2012. "Homeowner Involvement, Land Readjustment, and Sustainable Urban Regeneration in Hong Kong," Journal of Urban Technology, Taylor & Francis Journals, vol. 19(1), pages 3-22.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tikoudis, Ioannis & Verhoef, Erik T. & van Ommeren, Jos N., 2018. "Second-best urban tolls in a monocentric city with housing market regulations," Transportation Research Part B: Methodological, Elsevier, vol. 117(PA), pages 342-359.
    2. Cheng, Long & Brown, Gregory & Liu, Yan & Searle, Glen, 2020. "An evaluation of contemporary China’s land use policy – The Link Policy: A case study from Ezhou, Hubei Province," Land Use Policy, Elsevier, vol. 91(C).
    3. Shahab, Sina & Clinch, J. Peter & O'Neill, Eoin, 2019. "An Analysis of the Factors Influencing Transaction Costs in Transferable Development Rights Programmes," Ecological Economics, Elsevier, vol. 156(C), pages 409-419.
    4. Bruno, Erica & Falco, Enzo & Shahab, Sina & Geneletti, Davide, 2023. "Integrating ecosystem services in transfer of development rights: a literature review," Land Use Policy, Elsevier, vol. 131(C).
    5. Ferreira, António, 2020. "Reconsidering the merit of market-oriented planning innovations: Critical insights on Transferable Development Rights from Coimbra, Portugal," Land Use Policy, Elsevier, vol. 99(C).
    6. McConnell, Virginia D. & Kopits, Elizabeth & Walls, Margaret, 2005. "Farmland Preservation and Residential Density: Can Development Rights Markets Affect Land Use?," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 34(2), pages 1-14, October.
    7. Tian, Yingying & Zhou, Dingyang & Jiang, Guanghui, 2021. "A new quality management system of admittance indicators to improve industrial land use efficiency in the Beijing−Tianjin−Hebei region," Land Use Policy, Elsevier, vol. 107(C).
    8. Kono, Tatsuhito & Joshi, Kirti Kusum & Kato, Takeaki & Yokoi, Takahisa, 2012. "Optimal regulation on building size and city boundary: An effective second-best remedy for traffic congestion externality," Regional Science and Urban Economics, Elsevier, vol. 42(4), pages 619-630.
    9. Wang, Bo & Li, Fan & Feng, Shuyi & Shen, Tong, 2020. "Transfer of development rights, farmland preservation, and economic growth: a case study of Chongqing’s land quotas trading program," Land Use Policy, Elsevier, vol. 95(C).
    10. Proeger, Till & Meub, Lukas & Bizer, Kilian, 2017. "The role of communication on an experimental market for tradable development rights," Land Use Policy, Elsevier, vol. 68(C), pages 614-624.
    11. Jan K. Brueckner & Shihe Fu & Yizhen Gu & Junfu Zhang, 2017. "Measuring the Stringency of Land Use Regulation: The Case of China's Building Height Limits," The Review of Economics and Statistics, MIT Press, vol. 99(4), pages 663-677, July.
    12. Tatsuhito Kono & Hiroya Kawaguchi, 2017. "Cordon Pricing and Land‐Use Regulation," Scandinavian Journal of Economics, Wiley Blackwell, vol. 119(2), pages 405-434, April.
    13. Till Proeger & Lukas Meub & Kilian Bizer, 2018. "Laboratory Experiments of Tradable Development Rights: A Synthesis of Different Treatments," Sustainability, MDPI, vol. 10(6), pages 1-19, June.
    14. Elizabeth Kopits & Virginia McConnell & Margaret Walls, 2008. "Making Markets for Development Rights Work: What Determines Demand?," Land Economics, University of Wisconsin Press, vol. 84(1), pages 1-16.
    15. J. Peter Clinch & Eoin O'Neill, 2010. "Assessing the Relative Merits of Development Charges and Transferable Development Rights in an Uncertain World," Urban Studies, Urban Studies Journal Limited, vol. 47(4), pages 891-911, April.
    16. Takeda, Yoshihiro & Kono, Tatsuhito & Zhang, Yang, 2019. "Welfare effects of floor area ratio regulation on landowners and residents with different levels of income," Journal of Housing Economics, Elsevier, vol. 46(C).
    17. Przemysław Śleszyński & Maciej Nowak & Paweł Sudra & Magdalena Załęczna & Małgorzata Blaszke, 2021. "Economic Consequences of Adopting Local Spatial Development Plans for the Spatial Management System: The Case of Poland," Land, MDPI, vol. 10(2), pages 1-22, January.
    18. Walls, Margaret & McConnell, Virginia & Kopits, Elizabeth, 2003. "How Well Can Markets for Development Rights Work? Evaluating a Farmland Preservation Program," RFF Working Paper Series dp-03-08, Resources for the Future.
    19. Walls, Margaret, 2012. "Markets for Development Rights: Lessons Learned from Three Decades of a TDR Program," RFF Working Paper Series dp-12-49, Resources for the Future.
    20. Chen, Chun & Yu, Li & Choguill, Charles L., 2020. "“Dipiao”, Chinese approach to transfer of land development rights: The experiences of Chongqing," Land Use Policy, Elsevier, vol. 99(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlands:v:11:y:2022:i:12:p:2248-:d:998616. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.