Pages

The Challenges of Managing Urban Growth and Implication to Real Estate Professionals

1. Introduction

The process of urban population growth can be explained in term of natural increase in population, rural-urban migration and city annexation into surrounding rural areas. Urban city or mega city within a country has been a victim of any urbanization because they offer number of competitive advantages such as higher wages, education, health care, and social cultural attractions, that all result in a better quality of life for the poorest members of the society as mentioned by Bronwen (2006).

As much as the opportunities offered by these urban cities, they simultaneously present urban management challenges such as housing shortages, inadequate infrastructures, poor urban quality of life etc.

In foregoing discussion references will be made to Nigeria as one of the most populous country in Africa, and most of these challenges and implication it poses for real estate professionals will be analyzed.

2.  Concept of Urbanization

Urbanization as described by Agboola (2006) is a global phenomenon and is a process of special concentrations of urban populations that is premised on some basic push and pulls factors called urban transformation forces. Agboola classified these factors into three major processes namely natural increase in population, rural-urban migration and city annexation into the surrounding of rural areas.

Most mega cities of the world are experiencing population explosion and this is due to the reason that urban cities offer a number of competitive advantages such as higher wages, education, health care and social and cultural attractions; all which give an improved quality of life for resident and economic growth for countries.

Unemployment, dependency relationship, low income level and inadequate infrastructure on the other hand are common characteristic of rural area and the proportional increase in the population of urban dwellers is largely due to transformational forces of rural-urban migration.

Nigeria for example is urbanizing at an astonishing pace with a population of 88.5million as at 1991 and by 2006, the population rise to 140million according to provisional result by National Population Commission Showing an increase of 60% within 16years.The country is among those with highest urban growth rate in the world due to migration from the rural to urban area as reported by the FGN (2003).

Lagos, the former capital of the country is peculiar with this urban population. The city is growing in size by more than 10 percent per year, which will make it the third largest city in the World by 2020 according to DFID (2005) and currently its population stood at 18million. The city is Nigeria's financial, commercial and industrial nerve centre with over 2000 manufacturing industries and over 200 financial institutions.

According to Fashola (2008) Lagos city alone harbor above 60 percent of the Nigeria's total industrial investment, it accounts for more than 40% of all labour emoluments paid in the country.

Fashola further said that statistics put the number of people per square kilometer in the city of Lagos or 18:150 with a land area of 738 square kilometers and a population of well 18million. This was compared with Mexico City's land area of 2072 square kilometers with 8400 people per square kilometer and New York's population of 17,800,000 and its land area of 8,683 square kilometer and 2050 people per square kilometer.

With this analysis, it is quite clear that city of Lagos has attained a mega city and a lot of challenges will be faced by the Real Estate professional in managing the menace associating with this over population city.

3  Problem Associated with Managing Urban Growth

Urban cities are host to colossal urban management challenges and these mostly affect the developing countries.

Lagos city is congested and as a result its affect social infrastructure such as

1. Housing
2. Water and sewer
3. Transportation
4. Infrastructure Facilities
5. Pollution

1. The implications which real estate professionals are faced with urban change management

The pace and complexity of urban change such that environmental professional are faced with challenges of managing the urban change. This cannot be done with isolated action of Town planning officer alone. It requires synergy and collaborations from all professional stakeholders, ranges from Architect, Engineer, Surveyors, Estate surveyors, Land surveyors etc.

The collaboration in this stage according to William (2000) requires more than information exchange, or even collective decision making, it involves partnerships, mutual trust and undertaking ,it must be seen as a principles that needs conscious practice to optimize resources and actions, forming a basis for mutual support , and avoiding duplication gap and conflict.

Against the background of change mentioned earlier, the implication environmental professional are likely face with could be viewed from the following perceptive:

Many factors such as commercial viability, proximity to lagoon, center of business distinct are always taking into consideration in locating a development. Some of these locations might be unsuitable or special foundation design depending on the type of soil. It may be a made up land may need removal of debus first. The area may be prior to flooding. This will require Government and environment professional attention and put in place adequate control and regulation.

Many cases of collapsed building in Lagos were as a result of lack of adequate control on the part of Government and negligence of professional in carrying out their duties other reasons are

1. Boycotting  the professionals
2. Contractors cutting corners by using unsuitable materials to make more gains
3. Inadequate foundation design
4. Building life span or aging building.
5. Layout of a site.

How a development project is paid out can be important from an environmental point of view as stated in CEM paper 3001. Urbanization has resulted in many slums development without proper layout. In 1990, Lagos state Government demolished the slum of Maroko as a result of the improper layout, the closeness to lagoon, and the impact they have on the immediate environment. Though the decision was widely condemned but Maroko today is one of the high brow area in Lagos. The present Governor of the state is planning light rail mass transit route in the city to fight the problem of transportation as a result of teaming population. A lot of house, petrol station and industries have been built along the standard and approved set back. Houses will be demolished and those with approved plan and adequate documents will be compensated while those without will not.

1. The control of emissions

Emission from industrial process and from traffic are the main source of pollution in the city of Lagos Government is intending to scrap the popular transport buses called 'Molue' in Lagos and replace it with modern luxury buses. Also, there are measure to control vehicular emission, the age and state of vehicles and discharging illegal roadsides activities. Industries will now be paying fines and taxes for the control of emissions and waste. All these will create a difficulties in making decision as a lot of home will be affected and eventually render a lot of people homeless.

The larger the size and scale of a project, the greater the chance that it will adversely affect the environment as stated in CEM paper 3001. This is very true if one relate to example of energy city being proposed at Badagry in Lagos. The decision of the Government on the road expansion scheme and to construct a light rail mass transit from Lagos Mainland to Badagry will be a good economic of scale to reduce the impact of transportation traffic on that axis. The expressway connecting mainland to Badagry is a busy road with a lot of traffic jam there by hindering economic activities in that area.

1. Environmental safeguard

Land reclamation on most part of Lagos Island has been described   as likely source of tsunami and flood for people on Victoria Island; the area is prone to flood as a result of split over from the Atlantic. Also the land reclamation on lagoon can also cause flooding on southern part of Ikorodu. All these activities are a serious challenge for environmental professional.

1. The Tools Available for the Environmental Profession

This can be linked to public policy instrument which Vendung (1998) defined as the set of techniques by which governmental authorities wield their power in attempting to ensure support and effect or prevent social change .He classified these instrument into four categories

1. Regulation
2. Public ownership and management
3. Incentives
4. Informational or educational campaigns.

1. Regulation of vehicles and transport facilities

Number of vehicles in the street can be reduced and regulated, if the government provide effective mass transit buses; light rail mass transit, light rail mass transit to conveying people from home to their place of work. It has been suggested that if government construct a metro line from Lagos to Ibadan, people can be working in Lagos and residing in Ibadan thereby reduce congestion in Lagos.

1. Public ownership of land through compulsory or negotiated acquisitions.

Land acquisition can be used to serve multiple goals and play a significant role in managing urban growth. Such acquisition can be used for roads, sewers, water lines, rail lines. An example is land use Act of 1978. This law gives power to the state government to compulsorily acquire land within their area of jurisdiction for development in the overall interest of the people. It also provide for the payment of compensation for the existing development on acquired land. This is what the Lagos state government employed for the construction of ring road from Apapa Warf to link Lagos Ibadan expressway.

1. Regulated approach

Legislation controls over the use and development of land. This can be done through establishing environmental regulation for development of master plan.

1. This control on the use and development of land as exist under the town and country planning systems
2. Strengthening the administrative management of environmental protection and strictly implement the environmental
3. Controls on the treatment of waste and disposal
4. Controls on noise could be put in place to reduce the level of noise from operations and activities within construction site; traffic on highways.

1. Use of Market Mechanism

Market mechanism can be used to provide clear price signals about the cost of using or jeopardizing environmental resources. Approaches to the use of market mechanism can be from the following

1. Changes to recover administrative costs
2. Changes to finance pollution control measures
3. Changes on producers to reflect environmental cost

1. The Use of Environmental Impact Assessment (EIA)

   EIA is a valuable tools use to evaluate the impact of new development on the environment as stated in CEM (2006) paper 2766.

It is an assessment of the possible impact- positive or negative- that a proposed project may have on the natural environment. The purpose is to ensure and guide the decision make on whether to proceed on a particular project or not.

1. Informational or Educational campaigns

Information as a public policy instrument according to Vendung (1998), covers government directed attempts at influencing people through transfer of knowledge, communicator of reasoned argument, and moral suasion in order to achieve a policy result.

        In Nigeria, establishing an Environmental education and Community Involvement Programme is enhances through many public agency such as Federal Environmental Planning Agency (FEPA), Kick against Indiscipline (KAI) in Nigeria.               

References

College of Estate management (CEM) (2005), Managing Urban Change, paper 3001

College of Estate management (CEM) (2002), Protecting the Environment, paper 2766

Bronwen (2006), Urban Management Challenges in Mega Cities: A survey of Catastrophic Events in the Developing and Developed world

Agboola T. (2006). Sustainable Urbanizations and the New Urban Planning: Dilemma of New Opportunities and the Challenges for Nigeria Technocratic Planners. A paper presented at the 2nd Postgraduate Diploma Regular forum lecture series in the department of Urban and Regional planning. Rufus Giwa Polytechnic, Owo, 3rd June 2006

Federal Government of Nigeria (2006): Sustainable Human Settlement Development in Nigeria: National Urban Strategies, Abuja. Federal Ministry of Housing and Urban Development

Department of International Development (DFID) 2005: Nigeria by Numbers, Development Magazine, 32: 8-9

Fashola B. (2008). Address delivered by Governor Fashola of Lagos State at the Maiden annual national conference on public transportation by the Lagos Metropolitan area Transport (LAMATA), held at Sheraton Hotel, Ikeja 6th – 8th May 2008

Williams R. (2000) Environmental Planning for Sustainable Urban Development:  A paper for Caribbean Water and Wastewater Association delivered at 9th Annual Conference & Exhibition at Chaguaramas, Trinidad, 2-6 October 2000

Vedung E. (1998) Policy Instruments and Their evaluation: Transaction Publishers, New Brunswick, NJ, pp 21-58

Article Source: http://www.articlesbase.com/regulatory-compliance-articles/the-challenges-of-managing-urban-growth-and-implication-to-real-estate-professionals-1536219.html