
Traditionally, the municipalities' land policy has focused on acquiring land from peripheral areas with future expansion needs in mind. Instead of looking for more hectares in new areas, it would be more reasonable to produce more square footage in the already existing urban structure. Directing growth inward brings with it many benefits, which are repeated where there is a lot of growth.
First of all, the services and infrastructure that are already located in the area will be used more efficiently and more widely. It is also likely that the services will diversify as their user potential grows.
The surveys have also found that supplementary construction results in significantly lower costs for the municipality compared to new areas. It is also justified from the point of view of municipal finances to change the direction of land policy from reserving new land to refining the urban structure.
The carbon footprint is reduced by a fifth
According to the sample calculations of Rakli's low-carbon road map, construction within the existing urban structure causes a 20 percent lower carbon footprint than construction in new residential areas. In order to secure low carbon and biodiversity, there is no need to waste land and forest, even though you might think otherwise from the air.
When the new is built and the old is developed within the existing urban structure, many actors and different land ownership relationships are involved. At best, projects are carried forward with active cooperation between operators. The selection of means should be formed from a common vision of the development needs of the area and the site and give the implementer the opportunity to choose more specific solutions instead of the municipality deciding on them in advance.
The bonus could be considered as a land policy tool
For example, it is used in Vancouver, Canada density bonus, where the developer can be granted an additional right on top of the building right indicated in the land use plan, if it improves the area's services, environmental quality and comfort. The term "bonus" refers to better goods offered to citizens. The city regularly reports to the citizens about the value addition achieved with the density bonus.
The intention is not that the additional building right would replace the city's obligation to take care of community development, but would add services alongside the existing ones, such as daycare centers, park improvements, environmental art, building protection and movement services. In this way, the land use fee would also be allocated to the development of the area and not to the general treasury of the city. In Finland too, a bonus system like this could be seriously considered as a part of land policy instruments.
In order to ensure the implementation of projects, there should be more encouraging public and private sector cooperation models than at present. In the new term of office, MPs have an excellent opportunity for this, as the government program has identified the need to clarify the legislation related to land use agreements.
Big challenges in supplementary construction
It is possible to find fruitful solutions for planning and land policy legislation, which make the cooperation procedures recognizable and transparent. Ultimately, the ball is in the municipalities' court.
This is evident, for example, from a survey we made to office holders and leading politicians in charge of economic affairs in the largest cities, according to which, from the point of view of vitality, one of the biggest challenges in construction is the obstacles and delays in supplementary construction. However, there would still be tools in the toolbox. In some cities, it is felt that the atmosphere is not yet receptive enough for the active use of an external planning workforce.
In order to make wise use of the land use potential of cities, it is necessary to boldly introduce new good implementation methods into land policy. The real estate and construction sector is ready to continue the development of vitality tools with municipalities and legislators.
Kimmo Kurunmäki
Property owners and developers Rakli ry
Anu Kärkkäinen
Confederation of Finnish Construction Industries (CFCI)
The article was published in Kauppalehti on August 31.8.2023, XNUMX.
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