The Prospect Of Low-cost Housing Provision By
The Private Sector: A Case Study On The Urban
Poor In Bangkok
Author(s)
N. Sahachaisaeree
Abstract
Spontaneous settlement has been a major problem for Third World cities since
the 1940s. Urban low cost housing not only helps solve the housing deficiency
issue in the cities, but it also helps ease the cost of labour and amplify the level
of industrial development as well. State intervention on housing provision could
hardly solve the problem, since it requires large amounts of fiscal budget and
efforts. The research aims to investigate the possibility of involving the private
sector to provide low-cost housing to the urban poor. The study applied a
questionnaire survey on 1,000 low-income households from the Bangkok inner
city, suburban Bangkok, and outer Bangkok, together with 88 real-estate firms in
various sizes and classes to obtain data matching the needs of the urban poor
with the interest of private sectors to join the program. The study found that most
real estate operators agreed with the collaborative ideas but not necessarily
wanted to join the program. The study found that the Baht 350,000-500,000
range of price was most feasible for private public collaboration to provide
housing for the urban poor in Bangkok. For housing types, the private sector was
mostly interested in doing projects in the condominium and flat types. For
incentives, the private sector gave priority to the connection of utilities, the
relaxation of development control, tax reduction on commercial tax, and
relaxation on the property transfer tax respectively. The study suggested that
outer Bangkok would be an ideal location for potential schemes to cut land cost.
Since the most attractive incentive was title deed transfer tax break, followed by
exile tax reduction, relaxation of estate and building regulation, and the right to
public utilities and infrastructure connections.
Keywords: low-cost housing, urban poor, public-private partnership.
Keywords
low-cost housing, urban poor, public-private partnership.
Related Book
Other papers in this volume
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