Economy, Business And Markets

7 Gov't Schemes to Renew Distressed Residential Areas in Iran

7 Gov't Schemes to Renew Distressed Residential Areas in Iran 7 Gov't Schemes to Renew Distressed Residential Areas in Iran

Seven housing schemes for distressed urban areas have been proposed by the Ministry of Roads and Urban Development in a joint initiative by the government, private sector and the public, deputy minister of urban development has announced.

"Through the Urban Development and Revitalization Organization, we have proposed seven ways to help provide homes to applicants in which the government has strived for a minimum-interference approach," Mohammad Saeed Izadi told ILNA.

"The first is self-possession. Here the government will assist by creating the necessary conditions and offering loans to those living in distressed urban areas so that they can build their own homes."

The head of the Urban Development and Revitalization Organization described the second model as partaking in construction, saying that the government will sell property to residents and (then) continue to support them by issuing construction permits. In this model "mass builders will have the main role."

The deputy minister identified the 'developer version' as the third offer, saying the government is insistent on this model. "In this approach, we only allocate loans to applicants and will not partner with the developer."

Reinforcing and strengthening charity organizations is the fourth model. "The fifth calls for providing housing through urban revitalization and empowering cooperatives in which the government can activate construction projects by encouraging and incentivizing cooperatives that are prolific on the local level," Izadi said.

In the land readjustment sixth scheme local residents play the primary role and the funding is generated from "other types of financing similar to other models of providing housing in distressed urban areas."

The official stressed that in the seven schemes those that will have the "maximum contribution from the private sector" will have priority when it comes to offering facilities and incentives.

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