25.09.2015 Views

Changing public space

Changing public space

Changing public space

SHOW MORE
SHOW LESS

You also want an ePaper? Increase the reach of your titles

YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.

2) a decrease in the free access of <strong>public</strong> <strong>space</strong>, 3) more coherence between <strong>public</strong> <strong>space</strong> and the<br />

surrounding buildings, and 4) a more complicated redevelopment process (i.e., longer duration,<br />

more compromises). These possible effects are discussed with respect to the four research objects<br />

in which the private sector was actually involved. Again, the four <strong>public</strong>ly realised squares<br />

(Schouwburgplein, Grote Markt, Markt, and Oude Markt) are only referred to when illustrative<br />

for the redevelopment of the PPP squares.<br />

8.3.1 Budget<br />

Section 4.4.1 described three different modes of the private sector’s financial contribution to the<br />

redevelopment of <strong>public</strong> <strong>space</strong>: direct, semi-direct, and indirect. The situation of direct financial<br />

contribution is applicable to the Beurstraverse in Rotterdam. As described earlier, it is developed,<br />

owned, and managed by a consortium including the local government, ING Bank, and C&A’s<br />

pension fund Focas. The financial contribution to the redevelopment differed per member. The<br />

local government participated for 21 million guilders (9.52 million euro), the equivalent of the<br />

land value of the Beursplein area at the time. The private parties financed the other 7/8 of the<br />

total costs. This included the costs of the construction of the shops, but also the design of <strong>public</strong><br />

<strong>space</strong> in the form of the sunken mall. The management costs of the Beurstraverse, including<br />

maintenance and surveillance, are shared in a similar manner among the consortium members. It<br />

is thus a good example of a <strong>public</strong>(ly accessible) <strong>space</strong> that is developed and managed by means<br />

of direct financial contributions of the private sector.<br />

Private parties can also boost the municipal budget for the project (Section 4.4.1). One of<br />

the interviewed representatives of the private sector indicated that his organisation occasionally<br />

increases the budget available for redeveloping the <strong>public</strong> <strong>space</strong> in front of its property. However,<br />

this form of voluntary, semi-direct contribution hardly occurs in general. Special assessments<br />

that force private parties to contribute were also not applied in the four PPP squares. However,<br />

Enschede has levied a tax to redevelop other parts of the city centre including the Oude Markt<br />

(Section 6.4.2). During the research, it became clear that such special assessments are highly<br />

contested. The local entrepreneurs of the Dutch city Breda appealed against their compulsory<br />

contributions to the redevelopment of the city centre. Their argument was that special<br />

assessments can only be charged when improvements increase the value of their real estate, for<br />

example by upgrading the sewer or electricity network but not by beautifying <strong>public</strong> <strong>space</strong>. The<br />

Dutch Retail Council (RND) supported their view: “Nowadays, we observe more and more that<br />

‘embellishments’ are being recouped from the owners of retail premises, of which we seriously<br />

wonder if it is all that pretty and necessary …” (RND, 2007, translation from Dutch by the<br />

author). The court ruled in favour of the entrepreneurs in July 2005 and stated that shopkeepers<br />

do not have to pay contributions unless there is a crucial change in the design, nature, or extent<br />

of their immediate surroundings (RND, 2007). In future redevelopment projects, semi-direct<br />

contributions like those used for redeveloping the Oude Markt will thus probably become rare.<br />

The third mode of private-sector involvement refers to situations in which the local<br />

government redevelops <strong>public</strong> <strong>space</strong> with the development yield raised through the sale of former<br />

<strong>public</strong> <strong>space</strong>. Such an indirect financial contribution has been applied at the Statenplein, Van<br />

Heekplein, and Loeffplein (Table 8.3). The Statenplein was reduced in size by the construction<br />

of the Nieuwe Blok. The municipality owned the land, which was sold to the private sector to be<br />

developed and managed (by respectively Multi and Achmea). At the Van Heekplein, the private<br />

actors also had to purchase municipal land to enlarge their property. This not only included land<br />

171

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!