The document outlines the complexities of town planning and urban management, focusing specifically on affordable housing challenges for low- and middle-income groups. It discusses historical perspectives, urbanization impacts, policy frameworks, and effective management strategies. Key themes include the importance of land acquisition, zoning regulations, and innovative funding models to facilitate equitable development in housing.

1. Town planning and urban management
Orientation class
TOPIC:Affordablehousing
By Miss Irum Khan

2.  PAPER: TOWN PLANNING & URBAN MANAGEMENT
(100 MARKS)I. Definition of Town Planning, Goals
and objectives of Town Planning: Town Planning as
a multi-disciplinary approach and relationship of
Town Planning with other professions.
 Historical Perspective of Urban Planning: Planning
of historical towns in the world. Examples of
planned towns in Europe, Nile Valley region,
Euphrates and Tigris Valley region and Indus Valley
region (Mohenjodaro, Harappa, Kot Diji and Mehr
Garh) and Gandhara Civilization.

3. SYLLABUS
 Urban Rural Differences and Hierarchy of
Settlements: Urbanization and its effects on the
environment of urban areas.
 History of planning in Pakistan: 5 year plans.
 Managing Urbanization How to manage
urbanization Best Practices and use
classification policy Building and development
control Removal of encroachments Introduction
to Intelligent Transport Systems (ITS)
 Housing community and Economic
Development:

4. SYLLABUS
 Prepare professionals with the skills and
knowledge of equitable development. Commitment
to expanding opportunities and providing quality life
for disadvantaged groups.
 Public Policy and Urban Design Management:
Solving social and environmental problems using:
a. Economics. Policy analysis. Political science.
Urban Design
 Sustainability, Environmental Policy and Planning:
How society conserves and manages its natural
resources and works to promote development.
 Urban Information System
________________________

5. MOST REPEATED QUESTIONS
 Q1: Discuss different Ways and approaches to
reduce the housing cost for the low income people in
order to promote equitable development. (20)
 Q2: How housing for lower and middle income people
are becoming a challenge? Why site (20) and
services schemes fail to adress the issue of housing
for all segments of the society? Discuss.
 Q3: What is housing affordability? Discuss the
housing issues of low- and middle-income groups in
the context of affordability. Futher, how Naya Pakistan
Housing program can help in resolving the housing
issues of the low-and middle-income groups?

6.  Q: What is housing affordability? Discuss the
housing issues of low- and middle-income groups in
the context of affordability. Futher, how Naya
Pakistan Housing program can help in resolving the
housing issues of the low-and middle-income
groups?
Affordable housing
How can we define affordability?
Not only being able to afford to rent or buy a
house but also being able to afford to live in it

7. SUPPLY SIDE CHALLENGES
(1). Land acquisition (2). Land use (3) Finance (4) Construction Design
Demand Side Challenges
 Grant
 Exemption
 Credit
 Support Services

8. HOUSING AFFORDABILITY
1 3
4
2
01.House Purchase Price.
Cost of land infrastructure
labour and profit.
02.Ability to Finance down
payments depending on
available saving existing
debt and Loan payments
04.Cost to kept the house land
lease insurance and building
maintenance
03. Ability to financially
service loans. Interest rates
and loan tenure income and
non housing expenditure.

9. Common Challenges to Affordability
 Housing cost raising disproportionately to
household incomes.
 Scarcity of land for affordable housing.
 Demographic changes (Population growth)
energy poverty.

10. Measuring Affordability
 Median multiple method: House price i.e is 3 times or
less than the annual income of median household.
 Housing cost burden housing expenditure should be
less than 30% of household income.
 Residential Income. Residual income (that is sufficient
to service basic needs deducted) can finance mortgage
obligation.
Land Acquisition Land use Zone Fund and securing titling and regulation
House design and development determine eligibility
Eligibility Evaluate purchase model Credit financing

11. LAND ACQUISITION AND TITLING
 Land acquisition is perhaps the most important and
complicated piece of affordable housing puzzle. The
process entails confirmation of ownership, a survey that
defines dimension to be acquired, determining market
value procurement through fairs process in case of public
land and through negotiations in case of private land.
 Pooling Land Alternate land
 Tradable Land quotas 10% in China for Agri land
 Formal Acquisitions. In case seller don’t want to
sell but need of hour is to develop that in public interest.
Though compensations are paid.

12. TITLING
• Existence of legal titles and property right
encourages investment in land.
• If not affordable for individual house land.
Community right concept .
Land trust / bank
Land lease concept.
As per Un-habitat there is ten year lease in India.

13. Land Use Zonning and Regulation
 Urban land cover is growing more rapidly than urban
population at estimate of twice the rate (UU 2018)
Urban sprawl is decreasing density of built environment .
Factors contributing to sprawl.
 Land use pattern that prioritize
 Personal vehicles.
 Social norms
 Land use segregation
 Economics incentive favoring low density housing (US,
increasing Tax for multifamily unit.
 Unmet needs of dense area
 Land speculations.

14. Greenfield development allows
for large-sized home easy to
scale projects clear site
development disadvantages
commuting distance/cost high
cost of urban infra.
Brown field development
reduce sprawl.
Connectivity to already
developed network.
Encourage high density
living.
Housing Development Sites

15. ZONNING
Intensification in fill development
Densification
Increasing No. of household
TRANSIT OREINTEND
ZONING
Upgrading infrastructure (transit) making affordable land available along the
transit nodes.
Algormathic zonning it measure the communities happiness by measuring
commute time, service availability/ housing cost A. token based system for
correcting externalities and awarding pro-social communities plus program
development.
initiative of southwales in partnership communities focused on neighborhood
reutilization.
Mixed used development. It includes all types of zone in single cluster
residential, commercial, retail etc.
• Reduce Commuting time.
• Vitalize neighborhood

16. INCLUSIONARY ZONNING
 Inclusionary Zonning is process of developing
sector for different income sector ranging
from high income to low income
 Maximum floor to area ratio.
 Permissible height
 Emergency control of buildings.
Land use Regulation

17. Mexico repealed minimum parking requirements
As they were affecting residential development
and increasing pressure on rental houses.
FSI can succeed density of building not people
living there. In building it has promoted urban
sprawl 12%.
20% increase in housing prices.
Incentivize developers to create small no. of large
appartment reducing size. Of space for stairwell
lobbies that led to led affordability and supply.
Inverse incentive fsI. Which reward developers for
building smaller apartments by allowing them
more FSI to use.

18. E.G if benchmark is 75Sqm and they develop
small apartment of 50 Sqm they will be
allowed to develop large appartment and buy
25 sqm below market level.
An urban expert Allian bertaud graphed the
relationship between cost and height And said
it has no environmental considerations. In
Norway 2015 assessments of buildings found
that height has no impact on Co2 emission
upto 12 story increase from 20 to 30 bring
negligible. Premium story.

19. How to counter this:
 David Schleicher perspective tax
incremental transfer. Sharing tax revenues
from new development with existing
residents through rebates in their
property taxes.
 Another way is to land value. Tax model
in which underlying value of land is taxes
rather than property on land.

20. Funding Affordable housing
Special PurposeVehicle
Refinancing
BANK AND LOCAL
Financial institution
Project House hold
Institutional
Investor
Corporate
Development project
Issue
Bonds
Issue
Bonds

21. Government Funding
Facilitating Debt
through low interest
rates
Tax Exemption or
incentives
Facilitating Debt
through low interest
rates

22. Funding from Institution investor :
• Microfinance Institutions credit unions.
Funding from capital markets.
• Real estate investment trust bond market
mortgages.
• Funding through local currency bond markets.

23.  To be continued.
 Join our session to learn more. How to
construct affordable housing by
innovation in design materials and space.