Sun Sheng Han

Shanghai between State and Market in Urban Transformation

Economic liberalisation has brought fascinating changes to Chinas urban development by undermining state control and introducing market forces to economic decision-making, raising the fundamental question of what are the current roles of state and market in urban transformation. By using Shanghai as an example, this paper argues that the stereotype perception of rigid state intervention is no longer applicable towards an understanding of Chinas urban transformation. The same is true of the overwhelmingly described market influences. Rather, urban development in contemporary China is shaped by the interplay between state and market. The state plays the key role in determining the timing, the pace and the economic and spatial configuration of Shanghais development, while the market is an indispensable part in central and local state decision-making. With the continuous reform and economic liberalisation, China is moving towards a small government and a sea of private enterprises. Whether and how the state remains in firm control, and how the state and market interact with each other in shaping Chinas urban transformation remains to be seen in the present century.

The Institutional Structure of a Property Market in Inland China: Chongqing

This paper contributes to the understanding of Chinas urban development by examining the institutional structure of a property market in an inland city: Chongqing. Data were collected from three recent projects through field reconnaissance and interviews. A framework of institutional analysis was used in discussing and interpreting the data. Our analyses revealed an emerging property market with dynamic and evolving new institutions in inland China. In this new market, a variety of actors with different roles and interests in the property development process had come into play. Formal and informal rules governing the development process had been evolving. Although with a time-lag, the rapid formation of Chongqings property market was similar to that in the coastal cities. Nevertheless, in contrast to the coastal cities, this time-lag led to a property market which was more dependent on state involvement. Chongqings property market was dominated by government not only because the government formulated development directions and set up rules and regulations, but also due to the practice that government participated in development projects as a party. Irregularities in land allocation, price setting and development control created a keen desire among developers to forge a close relationship with the government. It remained a challenge to the government to set up a complete, transparent and enforceable set of rules in order to guide the newly emerging property market towards maturity.

Land Acquisition in Transitional Hanoi, Vietnam

This paper examines the institutional changes in Vietnams urban development that have emerged as the economy has been restructured in a deliberate national policy entitled Doi Moi. The main focus is on the issue of compensation in land acquisition. Data were collected from field reconnaissance surveys, key informant interviews and secondary sources. Findings revealed a clear move towards the establishment of private property rights on land use, illustrated by the changes associated with land law and the dynamic interplays among the main actors in this transition. The governments role in land acquisition has been minimised gradually. A coalition between the government and land developers was discernible in the case studies, often associated with a low compensation rate in land acquisition, which was proposed by the government in favour of the developers but at the expense of individual sitting tenants. At another level, the law enforcement behaviour of local authorities was shaped by considerations of possible rent-seeking and concerns about intervention from higher-level authorities. These attributes of the transitional institutions in urban development will remain in the foreseeable future if Vietnam continues its current Doi Moi policy for rapid economic growth.This paper examines the institutional changes in Vietnams urban development that have emerged as the economy has been restructured in a deliberate national policy entitled Doi Moi. The main focus is on the issue of compensation in land acquisition. Data were collected from field reconnaissance surveys, key informant interviews and secondary sources. Findings revealed a clear move towards the establishment of private property rights on land use, illustrated by the changes associated with land law and the dynamic interplays among the main actors in this transition. The governments role in land acquisition has been minimised gradually. A coalition between the government and land developers was discernible in the case studies, often associated with a low compensation rate in land acquisition, which was proposed by the government in favour of the developers but at the expense of individual sitting tenants. At another level, the law enforcement behaviour of local authorities was shaped by considerations of possible rent-seeking and concerns about intervention from higher-level authorities. These attributes of the transitional institutions in urban development will remain in the foreseeable future if Vietnam continues its current Doi Moi policy for rapid economic growth.

Public housing and ethnic integration in Singapore

Abstract Prior to 1960, various immigrant ethnic groups were concentrated in different parts of Singapore, forming enclaves. The immigrant population was thus spatially segregated, with different ethnic concentrations in different parts of the island. Since 1960, the Singapore Government has used public housing as a policy instrument to integrate the multi-ethnic population spatially. This paper examines the implementation of this policy over the past four decades and evaluates its success. Using geographic information system technology, the ethnic composition of public housing estates can be traced on maps. The spatial distribution of the main races is shown at constituency level (i.e., division) but discussion includes the individual block level. The findings show that public housing has succeeded in reducing the intensity of the ethnic enclaves while increasing social integration.

Modeling the Value of View in High-Rise Apartments: A 3D GIS Approach

Views, being a qualitative and subjective variable, are difficult to measure and quantify for valuation purposes. In order to quantify view in a variable, there is a need to reflect the influence of the height of surrounding buildings, the surrounding topography, and the height and orientation of the subject property itself. Such influences could be captured only through the use of 3D modeling techniques. Few studies have explored the use of 3D modeling for valuation and mass-appraisal purposes. In this paper we demonstrate the use of 3D geographic information systems and regression analysis to estimate the value of views in high-rise apartments. We focus on the value of sea views in private high-rise residential properties located near the eastern coast of Singapore. Our results show that an unobstructed sea view will add an average premium of 15% to the property price. In addition, we further illustrate the application of our model in a simulation exercise to maximize the sea view of a redevelopment project in the same neighbourhood. We further suggest the implications of pricing strategies of private developers in pre construction sales.

Construction industry in China's regional economy, 1990-1998

Construction has been perceived as a pillar industry in Chinas economic revitalization. Policies and programmes have been implemented by the central and local governments to promote the development of the national and local construction industries, in the hope of driving the growth of the economy. Developments in Chinas economy and in particular, in different regions, can be used to test the hypotheses on the relationship between construction and economic development. This paper examines the geographical distribution of construction in the provinces of China, and the relationship between construction and regional economic growth. It also studies different types of projects, ownership patterns, and levels of technology applied. The study provides useful insights into the relationships between the construction industry, and the economy and development especially at the regional level.

Polycentric Urban Development and Spatial Clustering of Condominium Property Values: Singapore in the 1990s

Spatial decentralization is a common measure used by public planners to redistribute urban social and economic activities in order to resolve escalating problems such as crowdedness, pollution, and high cost of living in the central cities. Findings from studies assessing the changing rent gradient of cities, and probability of development around suburban centers, provide insights to the various impacts of spatial decentralization policies. The author makes use of global and local spatial auto-correlation statistics and seeks to explore the spatial clustering of property values in the context of polycentric urban development. Data were collected from the property sales transaction database in Singapore and analyzed employing geographic information systems and spatial statistics. Empirical results suggest that there was a remarkable redistribution among the planning regions as regards the number of condominium projects in the 1990s, which was in line with the polycentric urban development policy. A decline in the global Morans I indicates a change from a strong to a relatively weak positive clustering. However, the local Moran statistics show that a spatial pattern of property-value clusters continued during the study period. Findings of this research capture a market signal indicating that the spatial distribution of property values may not readily follow planning guidelines, at least in a given short time frame.

China’s Coastal Cities: Development, Planning and Challenges☆

Abstract Globalization of the world economy has assigned an important role to coastal cities to play in national development. In China, since the reform and openness policy was introduced in 1978, coastal cities have been called to act as “engines” in economic growth. By using the Chinese experiences, this paper examines the development of coastal cities in national economic change, and discusses the issues and challenges in coastal city planning. The Chinese experiences show that the development of coastal cities is dependent upon national policies of making use of the sea in connecting China to the global economy. Once national development strategy is determined, the economic and spatial structure of coastal cities can be planned accordingly. The use of market mechanisms to China’s land and housing markets provides an effective means for management of the coastal cities. Appropriate balances between government control and market determination in migration, between equity and efficiency in regional development, between economic growth and sustainability in resource use, are the main challenges ahead of Chinese planners in coastal city development.

Emerging Polycentricity in Beijing: Evidence from Housing Price Variations, 2001–05

This paper examines the emerging multiple centre urban spatial structure in Beijing using housing price variation as an indicator. A random sample of 3783 apartment units was used. These apartments were recent sales in 2001, 2003 and 2005. The dataset included transaction prices and main housing attributes gathered from the Beijing Construction Committee. A hedonic price model was calibrated to investigate the importance of the different urban centres to housing price variations. The results show that multiple urban centres (such as Tian’anmen, CBD, Zhongguancun and the Olympic Centre) explain more of the variations in housing price differences in the metropolitan space than any centre does alone. The findings also reveal changes in impacts from the individual centres in the study period. These outcomes confirm that Beijing is moving towards a polycentric urban form. The emerging multiple urban centres are key factors in understanding the spatial restructuring of Beijing, especially in modelling its emerging housing market.

The Spatial Distribution of Producer Services in Shanghai

This paper examines the location characteristics of the newly emerged producer services in Shanghai. The research questions are: how does the location of producer services fit into Shanghais spatial context? What are the factors shaping the spatial distribution pattern? Are the spatial distribution and its determinants similar to those observed in other cities? Analyses of data collected from field reconnaissance, interviews and secondary sources reveal that the spatial distribution of producer services in Shanghai is characterised by concentration and dispersion. The concentration of producer services in an extensive central-city core is similar to that observed in other cities. However, the wide spread of producer services over a fairly big region is unexpected. The paper adds insight to the study of producer services by contending that contextual factors such as an indigenous path of development, state intervention and market institution, determine the location of producer services in Shanghai.This paper examines the location characteristics of the newly emerged producer services in Shanghai. The research questions are: how does the location of producer services fit into Shanghais spatial context? What are the factors shaping the spatial distribution pattern? Are the spatial distribution and its determinants similar to those observed in other cities? Analyses of data collected from field reconnaissance, interviews and secondary sources reveal that the spatial distribution of producer services in Shanghai is characterised by concentration and dispersion. The concentration of producer services in an extensive central-city core is similar to that observed in other cities. However, the wide spread of producer services over a fairly big region is unexpected. The paper adds insight to the study of producer services by contending that contextual factors such as an indigenous path of development, state intervention and market institution, determine the location of producer services in Shanghai.