Alice charles conference_the_potential_of_landbanking_28.04


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Presentation to the conference “Land Banking & Housing Development: The (New) Role of the Planning System”at the National Institute for Regional & Spatial Analysis(NIRSA) in NUI Maynooth on 28th April 2011

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Alice charles conference_the_potential_of_landbanking_28.04

  1. 1. The Potential of Landbanking inIrelandAlice Charles, BSc Hons PG Dip TCP MRTPIMIPI
  2. 2. What happened The legacy Banking Solutions Landbanking solutions employed in Ireland and elsewhere What we need to do Disclaimer: Whilst I am an External Member of the NAMA Planning Advisory Committee, views are mine & mine alone in capacity as Planning Consultant.Overview
  3. 3. What Happened?
  4. 4. Increased prosperity in the 90’s with development ofmultinational sectorAs employment & income increased, house prices rocketedConstruction rose in response & this increased employment &income, leading to further construction: multiplier effect.Returning migrants in late 90’s & early 00’s drives demand forhouses furtherEuro introduced with reduced interest rates, making cheapmoney available so borrowing large amounts becomes norm& construction intensifiesBenchmarking drove up wages & prices furtherAs property prices rose, value of collateral increased andbanks perceived risk of property lending fellTax incentivesNeed to get on the property ladderProperty Developers were everywhereGlobal financial meltdown & Irish banks exposedWhat happened? Economy
  5. 5. Culture of ‘every place should be developed’! Politically watered down NSS Developers & vested interests had undue influence on plan making Councillors & management succumbed to pressure Mere ‘regard’ given to national & regional policy when Plan making. Little if any citizen participation, just ‘men with fields’. Bad development plan zonings Developers had little regard to statutory Plans in buying or developing land Banks ignored planning parameters in lending Bad design, overdevelopment, car dominated, poor residential environment, lack of social infrastructure Bad planning decisions ABP had to refuse or amend many poor quality developments on appealWhat happened? Planning
  6. 6. The Legacy…
  7. 7. Collapsed economy & development sectorSurplus partially completed or completeddevelopment: Unfinished estates Zombie hotels & golf courses Struggling private hospitals Vacant modern offices Vacant dated offices Derelict historic properties High levels of vacany in village, town and city centresAbundance of Raw Land: Permitted development Zoned land - 44,000 hectares Unzoned land The legacy
  8. 8. The legacy – Infrastructure Deficiencies
  9. 9. The legacy… Inadequate Waste Water Treatment & Plethora of One offHousing
  10. 10. Banking Solutions…
  11. 11. NAMA established as mechanism to deal withriskiest loans on banks balance sheetsNAMA operates within confines of NAMA Act 2009Asset management agencyAcquires good & bad loans at market value fromIrish banking institutionsRequires borrowers to submit business plans forapprovalCan appoint receiversc76 billion Portfolio & c22,000 LoansAssets spread throughout Ireland, UK, US & widerworldPlanning Advisory Committee established in 2010 Banking Solutions: NAMA
  12. 12. Majority established Global Restructuring teams Manage major corporate clients who in financial distress. Aim is to maximise debt recovery Revised Business Plans sought for approval Can appoint receivers Land/Property assets could be partially managed by NAMA and foreign banksBanking Solutions: Foreign Banks
  13. 13. Landbanking Solutions employed in Ireland or elsewhere….
  14. 14. Land Commission established through Land Act 1923 & dissolved by Oireachtas in 1992 Land vested in Land Commission for re- allocation included: Tenanted land Untenanted land in Congested District Boards (CBDs) All untenanted land outside CDB acquired by voluntary agreement and re-allocated Landlord initially paid through Govt Bonds & post 1950 in cash. Tenant received a notional advance from the Land Commission & entered into a Land Purchase repayment scheme – like a mortgage. 2.5 million acres of land were distributed among some 150,000 beneficiariesLandbanking Solutions employed in Ireland – LandCommission
  15. 15. Industrial Development Authority established 1949 (now Industrial Development Agency Ireland) Responsible for the attracting & developing FDI in Ireland Identify strategic employment locations, acquires land, seeks planning approval, services & landscapes site & attract occupants. Today Major Strategic Employment Sites include: Letterkenny, Belview Port, Ringaskiddy, Dundalk, Oranmore & Athenry. Reviewing wider landbank and offloading non core assets.Landbanking Solutions employed in Ireland – IDAIreland
  16. 16. Formerly English Partnerships National housing & regeneration delivery agency for England Work in association with Regional Development Agencies & Local Authorities Programmes include: Affordable Homes Programme BLAC Land & Regeneration National Coalfields Programme (est 1997) Surplus Public Sector Land Growth Points Initiative Urban Regeneration Companies e.g. Gloucester HeritageLandbanking Solutions employed in England –Homes & Community Agency
  17. 17. Brownfield Land Assembly Trust (BLAT) established as pilot in 2002 by South East of England Regional Development Agency (SEEDA) Est as Brownfield Land Assembly Company in 2007 - PPP Aim to tackle shortage of good quality housing at affordable prices & community & social infrastructure needs in South East. Worked in partnership with Local Authorities & Housing Corporations. Identified small brownfield sites not in urban capacity studies, acquire & assembled sites, decontaminate, develop masterplan & seek planning approval, service & in some cases develop. Operated in Growth Areas: Thames Gateway, Reading & Hastings Targeted purchase of 1000haLandbanking Solutions employed in England –SEEDA’s Brownfield Land Assembly Trust (BLAT)
  18. 18. Unification of Germany led to a 1 million empty apartments, abandoned industrial parks & social & cultural facilities in East Germany. Govt started to plan for shrinking cities & started demolition programme to remove abandoned buildings & put back to agriculture or park land. Shrinking Cities movement became active after 2000 Movement thinking has spread to other shrinking cities like DetroitLandbanking Solutions employed in Germany –East Germany (Berlin) planning for a shrinking city
  19. 19. What should we do?
  20. 20. Partially completed orcompleted development
  21. 21. Planning Guidance Manual to guide use of partially completed or completed development & landbanking. Build on Draft Report on Unfinished Estates. Role: DoEHLG working with NAMA Local Authorities. 1) National Planning Guidance Manual
  22. 22. Identify location (Done) Prepare Site Resolution Plans Engage with community Recognise each Estate is unique. Options include: Demolition – Where remote from public transport, employment, in flood plain, etc Retro fit – Where not developed in accordance with permission, BER standards & life times homes Betterment – relocate residents from Estates allocated for demolition to superior property elsewhere Reuse for community, social & recreational infrastructure, Allotments, Urban Farms, residential care, offices or other temporary uses. Pepper potting social & affordable housing in accordance with LA % requirement for social & affordable housing – need balanced communities! Role: Local Authorities, Developers & NAMA. 2) Unfinished Estates & Apartments – Partially completed or completed
  23. 23. Identify location Demand for bed spaces Prepare Site Resolution Plans Options include: Continue trading Sell Demolish Reuse Hotels for nursing homes, schools, hospitals & temporary uses Reuse Golf Courses for agriculture, provision of community, social and green infrastructure, forestry, horticultural uses and temporary uses. Role: Failte Ireland, Local Authorities, Developers & NAMA. 3) Zombie Hotels & Golf Courses
  24. 24. Identify location Assess demand for offices Prepare Site Resolution Plans Options include: Sell Demolish Reuse Offices for apartments, hospitals, residential care, community, social and green infrastructure and temporary uses Role: Local Authorities, Developers & NAMA. 4) Unfinished and or Vacant Offices – Modern & Dated
  25. 25. Raw Land
  26. 26. Develop Geographical Information System to allow for analysis & strategic planning: Dev Plan (Layers inc. land zonings, permissions, Natura 2000 sites, floodplains, etc) AIRO (Layers to include Unfinished Estates / Hotels, etc ) Other layers that need inclusion: grid, wind speed, transportation links, servicing, community & social infrastructure, employment profile, etc) Role: DoEHLG, Local Authorities, other Govt Depts, Universities & NAMA Also should consider working with likes of IBM Smart Cities team1) Survey, Analyse & Plan
  27. 27. Revise & focus the NSS around 5 key cities Needs to provide strategic framework for energy & waste related development to avoid next bubble Develop Marine Spatial Plan to inform strategic energy related development Role: DoEHLG.2) Revise National Spatial Strategy & produce MarineSpatial Plan
  28. 28. Prepare Urban Capacity Studies when PlanMaking (survey of district, housing capacity,include empty homes strategy, living above theshops, employment land survey, etc)Plan for infrastructure by undertakingInfrastructure Capacity Assessments(Include Physical, Social, Recreational &Community Infrastructure – Water, WasteWater, Transport, Health, Parks, Schools, etc)Equitable way of developing costeddevelopment contribution schemesRole: Local Authorities working with DoEHLG 3) Establish land capacity & Plan for Infrastructure
  29. 29. NAMA &/ IDA Ireland form Land Commission /National Regeneration OrganisationProgrammes could include: Return to Agriculture & Forestry (NAMA managed lands unzoned or dezoned & only suitable for agriculture/forestry) Brownfield Land Assembly initiative (assemble NAMA, State & Local Authority Brownfield Assets, masterplan, seek planning permission & service) Strategic Employment & Development Zones in Gateways Surplus Public Sector land & Foreign banks assets (If adjoining NAMA assets) - Purchased/vested in organisation Village, town & city centre regeneration - restore vibrancy and mixed use livingRole: NAMA & / IDA Ireland working withPublic Sector Bodies & Local Authority4) Land Commission / National Regeneration Agency for 21st Century
  30. 30. De-zone constrained & surplus land(above pipeline supply requirements)Strategic Reserve gives hope valueIntroduce strict green belt or horticulturalbelt around villages, towns & citiesPromote development of brownfield sitesfirst.Consider the promotion of a contemporaryIrish Garden City movement… Mediumdensity communities, gardens, allotments,integrated water and waste systems,mixed use, broadband, energyindependent neighbourhoods.Role: DoEHLG & LA’s.5) Plan for shrinking/consolidated villages, towns & cities
  31. 31. Density & height often confused Georgian Dublin most dense part of City Density needs to be achieved to deliver transportation & services in cost effective manner Development should reflect context Role: DoEHLG, Local Authorities & NAMA6) Ensure density in our Gateways in accordance with National Guidance
  32. 32. Discourage continued developmentfrenzy of one off houses.One off houses cost more in terms ofdelivery of infrastructure & services.Every one off house costs LocalAuthorities, NAMA & ultimately the taxpayer.Serviced sites in small villages & towns &offer housing choice & help to regeneratesettlements.Role: DoEHLG, Local Authorities &NAMA7) Discourage dispersed rural settlement pattern
  33. 33. Thank youAlice Charles, Director, Alice Charles PlanningEmail.