FAIR LEVERAGE OF LAND FOR FINANCING INFRASTRUCTURE AND URBAN DEVELOPMENT: HOW LAND VALUE CAPTURE(LVC) HAS FINANCED URBAN DEVELOPMENT IN BOGOTA-COLOMBIA

VANESSA VELASCO, GUSTAVO MARULANDA, LUIS TRIVENO

In Latin America, l cities have been leading projects for urban transformation of deteriorated and expansion areas through land readjustment or land assembly procedure. In Colombia, “partial plans” are the instrument for land readjustment implementation. These plans link an urban master plan with a real estate initiative, public facilities, and infrastructure required, in a defined geographic area or “partial plan-PP-”; through a landowners participation scheme to obtain additional construction rights in exchange for affordable housing or infrastructure land supply or financial sources. Additional Development Rights-ADR- are implemented in the central and north area of the city, were main projects for regeneration and expansion are being developed. Trough the control of land use planning “POT” and zoning regulations “FAR,” the Planning Department allows increasing density (“up-zoning”) in exchange of sources for urban infrastructure. Developments rights could be implemented in singular plots or partial plans. As a result, more than 50,000 housing units have been developed and urban infrastructure for the master plan “Lagos de Torca” and partial plan in central areas, are guaranteed. The Bogota government imposes on the developer of a new development project to pay for or a portion of the costs to the public sector of providing public services to the new development, in exchange for additional construction rights for its development. This instrument “plus value capture” has been implemented for the last 12 years and has to be used for affordable housing land supply and infrastructure construction. Through, the study of the 3 LVC instrument; PP; ADR and plus-value capture” will be possible to identify its role in the formulation and implementation of urban development, land housing supply, and urban infrastructure finance. Identifying main characteristics of these instruments will be a step to orientate LVC implementation in LAC as i) stakeholder participation mechanisms, ii) land management process, iii) institutional arrangement, and iv) mechanism for the LVC implementation

Event: Land Governance in an Interconnected World_Annual World Bank Conference on Land and Poverty_2018

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Document type:FAIR LEVERAGE OF LAND FOR FINANCING INFRASTRUCTURE AND URBAN DEVELOPMENT: HOW LAND VALUE CAPTURE(LVC) HAS FINANCED URBAN DEVELOPMENT IN BOGOTA-COLOMBIA (1422 kB - pdf)