Investment in infrastructure three pillars of city resilience

LVC presets numerous opportunities for local economic development, but may be hindered by local and system-wide constraints
INVESTMENT IN INFRASTRUCTURE

• Enhanced budgetary resources for addressing social goals

• Land value gains / Increased tax revenue

• Self-financed infrastructure

• Improved urban environment

• Regulatory constraints

• Insecure land / property rights

• Lack of real estate market dynamics

LVC builds into the local economic development context by:
Bringing positive development implications
Being hampered by development challenges

• Lack of knowledge / management capacity

• Corruption

Despite being largely associated with transportation upgrades, LVC opens financing opportunities for many more infrastructure items
INVESTMENT IN INFRASTRUCTURE
Areas with proven track record in LVC

• Transportation and transit-related assets
• Water-supply sanitation
• Sewage and landfill

Lack of LVC track record but high LVC potential

• Flood mitigation
• Slum upgrades and resettlement
• Water-basin / land decontamination
• Environment cleaning and rehabilitation
• Historic preservation
• Land consolidation

Table below summarizes the common LVC instruments used in practice
INVESTMENT IN INFRASTRUCTURE

Instruments	Description	Examples in developing countries
Leveraging publicly owned land / property	Disposition of “excess” public land generates cash for area-wide infrastructure upgrades. Often involve land consolidation (e.g. through eminent domain) or/and entitlement before disposition	Bonifacio Global City (Philippines); Sabarmati Riverfront (India)