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RICS Proactive Approach to Help the Government with the Urban Renewal Strategy Review

HONG KONG, Nov. 18 /PRNewswire-Asia/ -- A review of Urban Renewal Strategy (URS) or policy in Hong Kong has been carried out by the Development Bureau, HKSAR Government, to tackle challenges posed by the continual ageing of Hong Kong's building stock, as well as increasing demands from the public for retention of the historical character and the unique characteristics of local areas, including preservation of heritage buildings. Following its successful URS Conference organised in July 2009, the Royal Institution of Chartered Surveyors (RICS) Hong Kong today announces the publication of its URS Report, which summarises its views on the best practice on urban renewal, with reference to the UR experiences presented by the overseas experts, panel members and participants of the Conference.

(Logo: http://www.prnasia.com/sa/2009/08/17/200908171721.jpg )

Mr. David Tse, Chairman of RICS URS Task Force, and Hong Kong External Affairs Committee, said, "We are delighted to be able to contribute our professional views to help build and improve the sustainable Urban Renewal process with a view of achieving health, happiness and wellbeing of the Hong Kong communities, by inviting influential speakers to share with us their invaluable overseas experience on urban renewal. This report with expertise recommendations has already been sent to the Development Bureau for their study and evaluation. We hope to see practical changes in the URS policies being put forward by the Government in the near future."

Summary of our recommendations is as follows:

How can Government Policy help?

For urban renewal to be successful, the Government must provide leadership, this will not come from the private sector alone. Clear public goals are required, and a future 'vision' needs to be set by the public sector, which needs to see itself as a 'Public Entrepreneur'. In terms of policy implementation, drastic shifts and changes in Government policy tend not to work - there must be some level of consistency. A single and coherent Government policy is needed to deliver successful urban renewal, which itself is an "Evolution not Revolution" process.

Land Ownership and the Public Sector

The public sector or its delivery agencies such as URA needs to own the land or at least be in control of the land in urban renewal projects as successful urban renewal projects usually require a long term view - typically 20 to 25 years, focusing on long term financial returns, as well as perhaps less tangible benefits to the community and economy as a whole. The advantage of land ownership or control is that the public sector or its delivery agencies are able to take the initiative and make things happen. Planning controls, for example, can designate a use for a particular piece of land but this does not oblige the land owner to go ahead and redevelop the land for that particular use.

Financing and Public, Private Partnership

Public sector financing is always required, especially in the initial stages. Private sector funding can and probably should be utilised too but this is unlikely to come in the early stages of urban renewal projects, normally only in the later stages. The public sector investment tends to be required early on, particularly in providing the initial infrastructure that will be required to allow urban renewal to happen. It appears that in all cases of successful urban renewal, where the initiative and initial funding has been provided by the public sector, the private sector still has a strong role to play, both through providing funding and enabling the delivery of change management. The goal is to encourage and seek effective public, private partnerships in urban renewal projects. In the current global economic climate funding, whether public or private can be difficult to come by. Innovative funding techniques such as 'Tax Increment Financing' should be considered, where securities are issued to raise money which can be paid back out of future taxation revenue from completed developments.

The Need for Public Consultation

Consultation with the local communities from the outset is essential for successful urban renewal. There needs to a transparent public engagement process, with real-costed choices given, but avoid giving unrealistic expectations, or contradictory criteria to the public. Communications amongst local residents and professionals are to be encouraged so as to gain trust and confidence from the community and to achieve community cohesion. In consulting, 'survey fatigue' must be avoided, and the consultation process cannot go on forever. At some point, Government needs to make a decision, and draw up the most suitable URS at the time for immediate action.

The Community

Another goal of urban regeneration must be to ensure that communities are not destroyed and broken up. There must be provision, in terms of type and affordability of accommodation, for mixed uses and incomes, where an urban renewal scheme is being implemented and where possible, the original residents, should they wish, should be facilitated in being able to return once urban regeneration has taken place. Community space and facilities should ideally be 'owned' and 'managed' by the community with assistance of professional management teams.

The Planning System

The planning system must be made more effective and flexible, with greater use of mediators and facilitators to resolve disputes or public objections across the whole of the planning spectrum. There also needs to be better education and training of non-official members, official members of all tiers of Boards or Committees across the whole of the planning system, planning officers, consultants, developers, and other stakeholders involved in urban renewal into the need to better prepare the necessary planning application to ensure it speeds through the current planning system without adversely impacting upon the need for public consultation.

Master Planning and Design

Master plans need to be visionary but also realistic and properly costed, striking a good balance between the "Need" (e.g. the alleviation of deprivation), and "Opportunity" (e.g. maximising the market potential). The aim of a master plan must be to let people know both what and how change is going to happen. A master plan should be a phase towards action. The urban designer involved in drawing up the master plan needs a long term view, mixed incomes and uses, holistic or whole-area approach should be encouraged in urban renewal planning so as to create vibrancy and well-being community. Most importantly a design must be locally distinctive - of its place and 'timeless'- and of design excellence. Heritage conservation is a valid goal however it must always be 'proportionate'. Keeping existing buildings may be a good idea in some circumstances, particularly as there should be a goal of keeping 'affordable' space within an urban renewal scheme.

Delivery Agencies

Avoid too many delivery agencies - the less the better. Delivery agencies work best with full planning and compulsory purchase (land resumption) powers. They should not be seen as a private developer but should be looking after the public interest. They do however need to work in partnership with the private sector, to ensure effective delivery of urban renewal projects.

The Need for Social Impact Assessment

As said above, public funding is always needed in almost every urban renewal project, which usually requires a long term view - typically 20 to 25 years, a traditional cost-benefit analysis tends to produce a negative outcome. Therefore it is necessary to assess the less intangible social benefits or effects (direct, e.g. public space, indirect, e.g. health and safety, external e.g. air quality, and distributional, e.g. employment) of an urban renewal project e.g. by carrying out a Social Cost-Benefit Analysis (SCBA). Urban renewal cannot be sustainable if the people and the environment are not taken into account, but in the end it needs to be made economic sense.

To view the full report, titled "Best Practice in Urban Renewal Report", please download from the following link :

http://www.ricsasia.org/newsDetail.php?id=115

To view the event photos, please download from the following link :

http://creativegp.com/RICS/URSPhotos.zip

About RICS & RICS Asia

RICS (Royal Institution of Chartered Surveyors) is the mark of property professionalism worldwide. It covers all aspects of property, construction and associated environmental issues. RICS has 140,000 members globally and represents, regulates and promotes the work of property professionals throughout 122 countries.

The RICS Asia supports a network of over 11,000 individual professionals across the Asia Pacific region with an objective to help develop the property and construction markets in these countries, by introducing professional standards, best practice and international experience. It promotes RICS and its members as the natural advisors on all property matters. It also ensures that services and career development opportunities are provided to members.

The RICS Asia region covers national associations and local groups locating in Brunei, Malaysia, Singapore, Thailand, The People's Republic of China and the SAR Hong Kong. It also has members working across the region such as Bangladesh, Bhutan, Burma/Myanmar, Cambodia, Indonesia, Japan, Kiribati, Laos PDR, Macao, Mongolia, Nepal, North Korea, South Korea, Taiwan, The Maldives, The Philippines, Timor East and Vietnam. For more information, please visit: http://www.ricsasia.org .

Media enquiry, please contact:

RICS Asia Public Relations Representative

Ms Belinda Chan / Ms Ava Lau

Tel: +852-2372-0090

Fax: +852-2372-0490

Mobile: +852-9379-3045 / +852-9829-2913

Email: belinda@creativegp.com / ava@creativegp.com

Source: Royal Institution of Chartered Surveyors
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