The Demolition Rate Of Residential Buildings In Iran. Banafsheh Najafi

Similar documents
FEATURES OF PRICE BUBBLE IN REAL ESTATE MARKET IN LITHUANIA

Strategic Study and Dynamics Decision for Development Program of City Housing

UNDERSTANDING DEVELOPER S DECISION- MAKING IN THE REGION OF WATERLOO

Terms of Reference for Town of Caledon Housing Study

HOUSING ELEMENT GOAL, OBJECTIVES & POLICIES

How to Read a Real Estate Appraisal Report

Table of Contents. Appendix...22

HOUSING ISSUES REPORT

REAL PROPERTY VALUATION METHODS

Towards Housing Affordability in Vancouver

The cost of increasing social and affordable housing supply in New South Wales

FORMALIZATION OF INFORMAL REAL ESTATE. Prof Chryssy Potsiou FIG President, UNECE WPLA bureau member

Dense housing and urban sustainable development

Performance Assessment of PAK Policy in the Process of Housing Supply in Iran (Case Study: Isfahan province, )

A case study of Ahmedabad, India

Some Thoughts on Massive Affordable Housing Schemes under the Pressure of Commodity Housing Inventory in China s Cities

Outline. Property taxes-general. Tax concept. Property taxes-liabilities. authorizations. Property taxes-authorizations

The Official Real Estate Appraisal in Germany

On the Responsiveness of Housing Development to Rent and Price Changes: Evidence from Switzerland

City of Exeter Housing Element

The City shall support a suitable mix of housing by: [9J (3)(c)(5)]

Salem HNA and EOA Advisory Committee Meeting #6

Comparative Study on Affordable Housing Policies of Six Major Chinese Cities. Xiang Cai

HOMESTEAD PLAN. City of Buffalo

Secured Market Rental Housing Policy

Resettlement Policy framework for the Albania s Improvement of the Management and Conditions of the Secondary and Local Roads Project

SAMPLE LANGUAGE FOR HISTORIC PRESERVATION ORDINANCE

Is there a conspicuous consumption effect in Bucharest housing market?

THAT Council receives for information the Report from the Planner II dated April 25, 2016 with respect to the annual Housing Report update.

Appraisers and Assessors of Real Estate

ANALYSIS OF RELATIONSHIP BETWEEN MARKET VALUE OF PROPERTY AND ITS DISTANCE FROM CENTER OF CAPITAL

Water Use in the Multi family Housing Sector. Jack C. Kiefer, Ph.D. Lisa R. Krentz

The Change of Urban-rural Income Gap in Hefei and Its Influence on Economic Development

Sherston Parish Housing Needs Survey Survey Report February 2012 Wiltshire Council County Hall, Bythesea Road, Trowbridge BA14 8JN

1. INTRODUCTION .., Since, Sri Lanka's economy turn in to!tee market economy policy, there has been a. 1.1 Background

Study the Situation of Housing Social Quantitative and Qualitative Indicators in Rural Areas of Ghachsaran Township,Iran

Rental Housing Strategy Study # 1

[03.01] User Cost Method. International Comparison Program. Global Office. 2 nd Regional Coordinators Meeting. April 14-16, 2010.

Intangibles CHAPTER CHAPTER OBJECTIVES. After careful study of this chapter, you will be able to:

Chapter III THE HOUSING STOCK

Document under Separate Cover Refer to LPS State of Housing

Our Focus: Your Future 2007 YEAR END HOUSING MONITORING AND SUBDIVISION STATUS REPORTS

Assessment to Low-cost Apartment in Sidoarjo District, East Java Province

HOUSING ELEMENT Inventory Analysis

ASSESSMENT OF ACCESSIBILITY IN APARTMENT MIXED-USE HOUSING -IN THE CASE OF KABUL

Metro Vancouver Purpose-Built Rental Housing Inventory and Risk Analysis. Profile for the District of West Vancouver

The Coldwell Banker Carlson Real Estate Market Report

An Investigation into the Potential Relationship between Property Values and High Voltage Overhead Transmission Lines in Ireland

CHAPTER 8: HOUSING. Of these units, 2011 Census statistics indicate that 77% are owned and 23% are rental units.

National Technical University of Athens School of Rural and Surveying Engineering

Non-Profit Co-operative Housing: Working to Safeguard Canada s Affordable Housing Stock for Present and Future Generations

RESETTLEMENT POLICY FRAMEWORK AND PROCEDURAL GUIDELINES GAUNGXI ROADS DEVELOPMENT II PROJECT

Evacuation Design Focused on Quality of Flow

STATPAK MARKET IN A MINUTE A SUMMARY OF MARKET CONDITIONS FOR JUNE & FIRST HALF McEnearney.com CONTRACTS URGENCY INDEX INVENTORY INTEREST RATES

Enlightened Urbanism: A Model for Development of Vacant Buildings Downtown

Impact of Building Byelaws on Housing: A Comparative Study of Development Control Rules of Jaipur and Pune

November An updated analysis of the overall housing needs of the City of Aberdeen. Prepared by: Community Partners Research, Inc.

The Right to Urban Land

Subject. Date: January 12, Chair and Members of Planning and Development Committee 2016/02/01

The Florida Affordable Housing Suitability Model. Florida Housing Coalition State Conference Sept. 27, 2011

THE EFFECT OF PROXIMITY TO PUBLIC TRANSIT ON PROPERTY VALUES

Tangible Personal Property Summation Valuation Procedures

Land and Shelter Challenges in Albania. Yan Zhang Urban Economist Europe and Central Asia Region

MONTGOMERY COUNTY MAY 2018

Application of the Residual Approach to Value

SECURED MARKET RENTAL HOUSING POLICY NEW WESTMINSTER

RP1 85 November The Resettlement Policy Framework (RPF) Report on the GEF Hai Basin Project. (Final Version)

2006 YEAR END HOUSING MONITORING AND SUBDIVISION STATUS REPORTS

RESEARCH ON PROPERTY VALUES AND RAIL TRANSIT

Report on the methodology of house price indices

Housing Issues Report Shoreline Towers Inc. Proposal 2313 & 2323 Lake Shore Boulevard West. Prepared by PMG Planning Consultants November 18, 2014

Messung der Preise Schwerin, 16 June 2015 Page 1

STATPAK MARKET IN A MINUTE A SUMMARY OF MARKET CONDITIONS FOR JULY McEnearney.com CONTRACTS URGENCY INDEX INVENTORY INTEREST RATES AFFORDABILITY

RESIDENTIAL MARKET ANALYSIS

Housing Price Forecasts. Illinois and Chicago PMSA, March 2018

A Tale of Two Canadas

2018 Real Estate Forecast Breakfast. Real Estate Market Update

How should we measure residential property prices to inform policy makers?

City Of La Mesa Acquisition, Anti-Displacement and Relocation Assistance Plan This Residential Anti-displacement and Relocation Assistance Plan

Housing Bulletin Monthly Report

Building to Scale: Delivering on Mass Housing in East Africa. Moderated by: Sen. Arch. Sylvia Kasanga

An overview of the real estate market the Fisher-DiPasquale-Wheaton model

PURPOSE OF STUDY. physical and social environments, as well as our political and economic institutions. As a commodity,

How Did Foreclosures Affect Property Values in Georgia School Districts?

Housing Characteristics

Balance at Retirements Balance at Beginning Additions and End of ($ in thousands) of Year 3 at Cost Transfers Year 3

The role of policy in influencing differences between countries in the size of the private rented housing sector Professor Michael Oxley 26/2/14

Using Hedonics to Create Land and Structure Price Indexes for the Ottawa Condominium Market

The impact of the global financial crisis on selected aspects of the local residential property market in Poland

COMPARATIVE STUDY ON THE DYNAMICS OF REAL ESTATE MARKET PRICE OF APARTMENTS IN TÂRGU MUREŞ

Land Management Procedures and Informal Constructions in Cyprus. Marilena Theodorou, Land Surveyor, Cyprus, Dr Chryssy Potsiou, Lecturer NTUA, Greece

DRECREASING ASKED LEASE PRICES MARKED 2013

CITY OF VANCOUVER ADMINISTRATIVE REPORT

Vietnam Land Administration - the Past, Recent and for the Future

Working Title: Informal Settlers, Security of Land Tenure, Livelihoods and Intervention: A Case Study from Urban Fiji

PROJECT INFORMATION DOCUMENT (PID) CONCEPT STAGE Report No.: AB3229 Project Name. Land Registry and Cadastre Modernization Project Region

Appraisal Review Reminders

Cork Planning Authorities Joint Housing Strategy. Managers Joint Report on the submissions received and issues raised.

Following is an example of an income and expense benchmark worksheet:

Research report Tenancy sustainment in Scotland

Transcription:

The Demolition Rate Of Residential Buildings In Iran Banafsheh Najafi Statistical Center Of Iran, Tehran, Iran violet_yas@yahoo.com Abstract Housing sector is the main components of each country s capital stock which would affect the economic activities and measuring the wealth; therefore a precise estimation of it would be required for assessing the nation s capital. The inventory of housing units per is the most important information needed in housing sector as well as other economic and social planning and research sectors. The numbers of buildings in Iran are decreasing on one hand due to their continuous depreciation and on the other hand because of the economic factors which play a significant role in their destruction. The sudden and unplanned increase in the urban population causes the increase in the housing demand as one of the basic needs of the households. In addition the unprecedented interest in building construction and limitations in the supply of urban land would considerably increase the prices of land and housing which results in the destruction of existing buildings which are completely suitable for settling to provide newly constructed settlements. Furthermore only once per ten s (the last census was conducted after 5 s in Iran) the census population can be conducted and the population in between s is estimated based on the growth rate. Similarly the number of housing units in the country is estimated based on the net growth rate of housing units (units added and demolished units). Therefore it is required to determine the components which influence the building destructions and provide methods to calculate their rates. This will help the housing planners adopt appropriate strategies to mitigate this problem by developing new rules and regulations. In this study the relationship between the capital stock in general and the inventory of housing units in particular is evaluated, different kinds of destructions along with the influential components including the economic factors are analyzed. Different methods for the estimation of demolition rates are compared and the best approach based on census data is selected and it will be calculated for Iran. Key Words: Housing, The inventory of housing, destruction of buildings, demolition rate 1.Introduction Capital stock is one of the factors that play an important role in the economic development process.in Iran investment in the building, has always been a major part of total capital. But capital is always depreciated. Depreciation of building is a process that the quality and capacity of building, is reduced. This process gradually all essential features of a building affected and its major components, such as stability, consistency, beauty, ability to provide shelter, security and protection against external factors destroyed and building will be demolished.

Private sector investment in new buildings in urban areas by construction phase (bln rials) 500000 400000 300000 200000 100000 0 2010 2011 Total newly-started completed semi-finished The most important of these factors are: 1- The design features 2- Materials 3- How the construction process 4- How to use the building Neglect any of these cases, makes life shorter buildings and housing security decreases. But in Iran, especially in Tehran, in addition the depreciation, another factor, causes buildings demolition. It is the economic factors that play an important role in the demolition process. While the economic life of the building, before the physical life runs out. If the capital value of land increase the capital value of the existing building on it, the economic life come to the end, and destruction will be explained. Building value function in normal conditions due to its special features, is higher than the land value function. However, due to the gradual depreciation over time the value of building is reduced and is closed to the value of land. When these two are crossed with each other, the demolition of building be acceptable in terms of economic.if factors increase the speed of reduction of building function or increasing of land function, demolition comes sooner and encourage land owners for the use of the new situation of land.this factor cause the neglect and lack of building maintenance at the right times and depreciation is augmented. Increasing land prices in large cities is one of the characteristics of developing countries. On the one hand this is due to the high level of demand for urban land, which is caused by the rapid growth of urbanization and socio-economic developments. And on the other hand, this is due to the limited production capacity and supply of land suitable for a variety of applications.

2.Results In 5 s in Tehran(Capital of Iran) the price of a square meter of land is closed to the price of a square meter of floor area. One of the reasons of it is stagflation in the housing market. The housing market stagflation is one of the most dangerous inflation. It causes to close or equal the price per square meter of land and floor area Since land is non-transferable and can not be reproduced each piece of land,, will create a monopoly for the owner.then the increase in land prices, unlike other goods, not only do not increase the land supply and price adjustment but also the price of land will increase more. Also the construction permit of high-density has significant impact on the demolition. The reasons of increasing the density are: 1 - the policies and decisions of the municipality in sales densities. 2-High demand for construction and limited supply of land in the area or areas of the city. 3-The high commercial value of land in certain areas. There are many high density Buildings in some areas, so that constructors, pay fine of density to destroy low density buildings. Permits issued for construction of building in urban area by number of storeys(number) 80000 60000 40000 20000 0 2010 2011 1storey 2storey 3storey 4storey 5and more storey 3.Conclusion Demolition rate of residential buildings: Demolition rate of the residential buildings is important in understanding the status and inventory of residential units. Considering the importance of the housing sector in the economy,

the amount of investments made in this sector, human resources and materials related to this section, keep the national capital, increasing its useful life and better use of it is necessary. Reasons for the demolition rate: 1-Impact assessment policies regarding urban development issues. 2-Understanding the decision-makers, the changes in the housing sector as national capital. If the rate of demolition of residential buildings is most of the standards, it must investigate the factors that affecting it, and plan to minimize them. Demolition rate in Iran according to Population and Housing Census(1996,2006,2011): DR(Demolition rate)=(((cd t2-t1 -((DN t2 -DN t1 )) /DN t1 )*100 CD t2-t1 (constructed between first & second survey) DN t2 (dwelling number1) DN t1 (dwelling number2) Average rate of demolition 1996-2006 Each For 10 demolished built (1) Differences in housing inventory Description 1.6 16 1773632 6863449 5089817 Total 0.7 7 513465 5031617 4518152 Urban area 3.3 33 1260167 1831832 571665 Rural area Average rate of demolition 2006-2011 Each For 5 (3) demolished built (2) Differences in housing inventory Description 1.0 5.2 828461 4923240 4094779 Total 0.1 0.5 61470 3411702 3350232 Urban area 9.3 46.4 2053945 2798492 744547 Rural area 1) The of construction completion is between 1996-2006 2) The of construction completion is between 2006-2011 3) After 2006, Population and Housing Census in Iran each 5 is done.

According to table, about 5.2 percent of housing units that built up to 2011, have been destroyed between 2006-2011. between 2006-2011, every 0.1 percent of housing units in urban area and 9.3 percent of housing units in rural area was demolished. The most reason to demolish buildings in rural area related to low quality building materials. Also some villages were deserted because of migration then their building was demolished. References: 1."Report the construction activities of the private sector in urban areas ",(2010-2011) Central Bank of the Islamic Republic of Iran 2."Journal of Information building permits issued by municipalities in Iran",(2006-2011) Statistical Center of Iran 3.Yazdani F.(2001)"Land economics" Journal of Planning and housing Economics, 26 4.Amakchi, F(1998)"Introduce two models for computing buildings demolition" housing bulletin,32 5.Dipasqual Denise,(1997), Why Don t We Know More About Housing Supply?, Journal of Real Estate Finance and Economics,Vol18,Issue1