Integrating technology and economic rationality: Reflection and optimization of Shenzhen's urban renewal capacity policy

LIN Qiang, LI Qian, LI Meng-hui, WANG Qi

JOURNAL OF NATURAL RESOURCES ›› 2025, Vol. 40 ›› Issue (6) : 1555-1568.

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JOURNAL OF NATURAL RESOURCES ›› 2025, Vol. 40 ›› Issue (6) : 1555-1568. DOI: 10.31497/zrzyxb.20250608
Urban Renewal and Governance Reform

Integrating technology and economic rationality: Reflection and optimization of Shenzhen's urban renewal capacity policy

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Abstract

Floor area is vital influencing factor of urban regeneration development gains. The article, based on Shenzhen experience analyzing the rule of floor area determination in urban regeneration, presents the evidence for the strong conflict between market-oriented and planning technology-oriented floor area determination, which brings the unequal development right among the subjects, the huge profit gap among different projects, the higher floor area ratio, and the subordinate functional type of urban construction, etc. The conflict has been proved not good for improving the quality and efficiency of floor area allocation. Therefore, this article analyzes the cooperative transformation mode of urban renewal,and uses an economic benefit analysis model based on four indicators: demolition and construction ratio, demolition and compensation ratio, saleable housing price unit price, and profit margin. It analyzes the mathematical relationship between various indicators in different types of renovation projects and examines the economic relationship between the government, market entities, and original rights holders in urban renewal. As a result of these investigations, suggestions, for instance, separating the market-oriented floor area and planning technology-oriented floor area, developing the demolition and construction ratio-based rule of floor area determination, enhancing the guidance of the demolition and compensation negotiation, are identified for improving the rule of floor area determination in urban regeneration at the end of this article.

Key words

urban renewal / floor area / balance of benefits / demolition and construction ratio / demolition and compensation ratio / Shenzhen

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LIN Qiang, LI Qian, LI Meng-hui, WANG Qi. Integrating technology and economic rationality: Reflection and optimization of Shenzhen's urban renewal capacity policy[J]. JOURNAL OF NATURAL RESOURCES, 2025, 40(6): 1555-1568 https://doi.org/10.31497/zrzyxb.20250608

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National territory spatial governance is an essential part of national governance, and spatial development rights are the critical content of national territory spatial governance. The reforms of national territory spatial planning, the regulation of territorial use control, and the property rights system of natural resource assets are advancing simultaneously. This has become a proposition of fundamental significance both theoretically and practically to examine national territory spatial governance from the perspective of spatial development rights. Based on the analysis of the basic connotation and main operation fields of national territory spatial governance, this paper dives deep into the formation basis and critical characteristics of spatial development rights and accordingly proposes the operation logic of territory spatial governance based on spatial development rights. The main findings include: (1) The main operation fields of national territory spatial governance lie in the whole life cycle of the development and protection of territorial space, which is tightly related to the allocation, regulation and realization of spatial development rights. (2) In China, spatial development rights originated from the unique two-level land development rights system. They are consisting of the changes in land use type and the intensity among the construction and non-construction land, as well as within the smaller land types. Furthermore, they have also formed a two-level structure and are implicitly rooted in the current laws and regulations, and are related to the whole process of development and protection of the whole territorial space and all kinds of natural resource types. (3) The crux of the successful operation of national territory spatial governance is the allocation and regulation of spatial development rights, as well as the interaction and coordination among multiple subjects. We suggest that further research and practice should focus on the theory of spatial development rights, the market of graded trading of spatial development rights, and the integrated coordination system, thus advancing the system's modernization and governance capacity and the reforms of the property rights of natural resource assets.

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