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OECD Culture and Local Development.pdf - PACA

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2. LOCAL DEVELOPMENT BASED ON ATTRACTING VISITORS AND TOURISTS<br />

- There is a second route available, even in the absence of monuments or symbolic<br />

sites.<br />

For example, the Main Street programme in the United States has produced a<br />

significant leverage effect on spending on the rehabilitation of older dwellings<br />

<strong>and</strong> related jobs. It has been shown that the rehabilitation of “main streets” in a<br />

score of small towns in Virginia induced private investment of more than $55 million.<br />

Moreover, in the last 15 years the Historical Rehabilitation Tax Credit has created<br />

nearly 13,000 jobs (Rykpema, 1995). States are constantly offering new financial<br />

incentives to undertake such renovations. In a recent case, the partnership<br />

between the National Trust for Historic Preservation <strong>and</strong> the National Trust<br />

Community Investment Corporation led to creation of the National Trust Small<br />

Deal Fund, designed to provide funding for small homeowner projects <strong>and</strong> to limit<br />

the transaction costs of such funding. It covers all states <strong>and</strong> all types of property 44 .<br />

- As increasing numbers of developing countries are also moving in this direction,<br />

recognising the economic <strong>and</strong> social benefits of renovation programmes (The<br />

World Bank, 1999). The restoration of historic districts also holds considerable<br />

development potential, whether we speak of protected areas in Europe or of<br />

community rehabilitation in countries like Ecuador (Quito), India (Ahmenabad)<br />

or Laos (Luang Prabang). Although situations, property legislation <strong>and</strong> financial<br />

resources may differ sharply, the same principles are in play.<br />

With renovations to flagship monuments, generally with government funding,<br />

the hope is generally to encourage private firms <strong>and</strong> households to upgrade their<br />

own premises or dwellings. Incentives may be of a tax nature, but more often they<br />

involve the offer of ready access to raw materials, advisory services, subsidised<br />

credit, etc. Voluntary networks are often important for coordinating these activities,<br />

which will involve studies, engineering, contracting, <strong>and</strong> temporary accommodation.<br />

An example is the “Pact Arim”, which helped with the renovation of nearly 30% of<br />

the inquilinato dwellings of old Quito (tiny dwellings resulting from the repeated<br />

subdivision of older, often ab<strong>and</strong>oned, residences) (Amiot, 2000). The local<br />

development impact can be considerable. Jobs have been created or revived,<br />

building improvements have sparked new activities, local craft shops have at least<br />

been saved from being expelled by real estate developments, <strong>and</strong> skills have<br />

been honed that can be used for other tasks.<br />

- To illustrate the potential of heritage buildings to create new qualifications<br />

<strong>and</strong> skills, the “school workshops” of Spain offer a good example (<strong>OECD</strong>, 1996).<br />

The practice here is to set up a “school” for the duration of work on rehabilitating<br />

a square surrounded by heritage buildings or old houses, city parks, or rural<br />

l<strong>and</strong>scapes. Young recruits receive both theoretical <strong>and</strong> practical training while<br />

64 CULTURE AND LOCAL DEVELOPMENT - ISBN 92-64-00990-6 - © <strong>OECD</strong> 2005

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