The Minister of Local Government should consider introducing special zoning to Rejuvenate our CBDS.

CENTRAL  business districts serve as a source of national pride, embodying power, progress, and historical significance while symbolizing order. These areas are characterised by a high concentration of office buildings, financial institutions, and various enterprises, often complemented by retail shops, restaurants, and entertainment venues.

The advantages of CBDs for their users are substantial, as they provide a central hub for operations, facilitating easy access for clients, suppliers, and visitors through established transportation networks. Furthermore, they offer valuable market insights and agglomeration economies, enabling businesses to remain close to competitors and customers while staying informed about market trends and competitor strategies.

Establishing a presence in a Central Business District carries reputational benefits, projecting a positive image to business partners and clients, while fostering employee pride in being part of such a prominent area. Typically, offices in these districts boast superior infrastructure, featuring modern high-rise buildings equipped with excellent amenities that enhance the experience for both employees and clients.

Paul Philani Poshai who is a Property Practitioner in South Africa.

Given these factors, the CBD emerges as a crucial focal point for the state, businesses, and the general public. It is essential for the government to invest significantly in the development and appearance of its CBD, as evidenced by recent upgrades made in preparation for the SADC summit, a noble initiative which the government has committed to continuing. This initiative underscores the vital role that the CBD plays in the broader economic landscape.

The central business districts (CBDs) have become increasingly disordered, prompting corporations to relocate to decentralised nodes due to well-documented issues such as traffic congestion, inadequate infrastructure, unsanitary conditions, crime and rampant informality. This challenge is not exclusive to Harare, as numerous African cities struggle to reconcile informal economies with colonial-era planning regulations, resulting in varied outcomes across different nations.  While this article does not aim to explore those complexities, it emphasizes the importance of continuous learning and adaptation. It is evident that Harare has entered a phase of urban decay. Investment in the central business district is virtually non-existent, with no new construction occurring for many years. Urban decay, commonly known as urban rot or blight, describes the sociological decline of once-vibrant city areas into neglect and deterioration. Regrettably, the entire city is experiencing this decline.

Numerous cities globally have implemented zoning and infrastructure strategies to combat urban decay, including Seoul, Ahmedabad, Buenos Aires, and Santiago. Closer to home in South Africa, both Johannesburg and Cape Town have employed proactive zoning and upzoning methods to revitalise their central business districts with notable progress. Our situation is not devoid of successful precedents; what is required is the determination to act.

As a realtor, I perceive the CBD as a significant opportunity for gross capital formation; however, the process of capital formation necessitates a degree of order, something that is currently lacking. Given the substantial investments from pension funds, medical aids, banks, listed property, and mutual funds in our CBDs, it is evident that these areas cannot be allowed to deteriorate. The potential losses are too great to bear and are in fact unnecessary. I recommend the establishment of special zoning regulations to effectively tackle these issues. This proposal suggests that the entire city of Harare (and other CBDS) be designated as  special zones, providing developers, and owners with the flexibility needed to turnaround their investments. Such an approach would facilitate a market-oriented planning mechanism, contrasting with the current prescriptive and outdated zoning framework. We discuss it below.

Problems surrounding the current zoning

The existing town planning framework is inflexible, antiquated and, in certain cases, has not fulfilled its intended role, contributing to urban decline. It fails to accommodate various emerging factors, such as lifestyle estates, business parks with mixed uses, and general mixed-use developments, freight villages among other development formats seamlessly. The existing system, which is derived from our colonial history, is insufficiently flexible to tackle current local issues. It is likely that our former colonisers have updated their frameworks to adapt to a constantly evolving environment. We might have benefited from reapplying their successful strategies, as there is merit in adopting effective practices when we are uncertain about our capacity to innovate.

The current planning approach tends to be more reactive than proactive, undermining the fundamental objectives of effective planning. Regional, local, and master plans have not been consistently updated, and when revisions occur, they often lack a forward-thinking perspective and fail to integrate cohesively. Furthermore, the prescriptive nature of the old planning codes may stem from urban designers’ attempts to impose a specific character in certain areas of the central business district. The critical question remains whether these traditional urban design strategies are effective in addressing the new challenges posed by our complex historical context, from colonization to democracy, real estate industry changes as well as general societal change. A significant issue is the outdated legislation governing town planning, primarily the Regional Town and Country Planning Act, which originated in 1933, underwent revisions in 1976, and has only seen superficial updates since. This situation reflects poorly on the country’s commitment to meaningful development, as it is unreasonable to anticipate progress amid such disarray and neglect of critical issues.

Town planners are also highly vulnerable to political influence due to the absence of professional registration. Politicians are well known to advance short term gains, prioritising immediate benefits with limited, simplistic objectives which are mostly self-serving. Their tenure is inherently finite, placing the onus of fostering a vision-centric and outcome-focused political environment upon us all, rather than on individuals driven solely by personal gain. The University Political Administration Departments, which have significantly influenced political discourse and produced our current breed of political professionals/administrators over time, must also share in the accountability. A critical reassessment of their curriculum may be necessary, as the current one is proving ineffective. In light of this unfortunate reality, it is crucial to empower career town planners through legislative measures, allowing them to advocate for national interests and protect against the whims of self-serving politicians. Although ZIRUP and the Department of Physical Planning recognise this detrimental issue and its impact on national development, they have failed to address it effectively.

Planners also frequently cite a lack of capacity and financial resources to revise legislation and spatial plans, despite a surplus of unemployed Town Planning graduates, some of whom struggle to secure internships. They have been collecting various fees for town planning services, such as search fees, rezoning fees, and plan approval fees, which have been in place since time immemorial, yet  they still claim to lack the necessary resources. Planners acknowledge the necessity of refreshing the city’s planning framework, yet they neglect to secure the requisite funding, revealing a troubling lapse in their responsibilities. They may protest that funding is not within their purview, but it is the City Town Planner’s duty to ensure that all town planning matters are prioritised, as effective town planning is the very essence of urban vitality. They receive generous compensation for their roles and numerous perks, yet it seems that the ratepayers are not benefiting equitably currently.

As a result, the profession responsible for promoting national development appears ineffective, lacking professional determination, politically compromised, neglecting its responsibilities either intentionally or out of fear of repercussions, and potentially unfit for its designated role, contributing to the disarray observed in central business districts today. We have to correct this situation with the required urgency.

Beyond the technical hurdles, a myriad of factors fuels the reluctance to revise planning codes, with corruption standing out as a significant issue. The complex dynamics of rezoning foster an environment ripe for unethical practices, allowing city and state officials to profit at the expense of national advancement. The visible repercussions of this corruption are undeniable, creating a detrimental ripple effect leading to poorly managed cities with minimal economic contribution. Moreover, the lack of robust local governance in municipalities stifles urban progress, as city administrations frequently shift, prioritizing political manoeuvring over development. Consequently, local leaders become preoccupied with their political survival, leading to a dire situation where law enforcement is inadequate, policy formulation and implementation is ignored and town planning  activities are largely reactive. This unfortunately is a privilege reserved for developed nations, not for cities in the developing world who still need to play catch up.

The cumulative effect of these issues severely hinders infrastructure advancement, soiling the nation’s image, burdening municipal budgets, and fostering a disconcerting atmosphere of disorder and despondency. We also risk projecting an image of inability to self-manage, a notion that, while false, is reinforced by our failure to address the basics. Such a narrative must be confronted by every conscientious and devoted citizen as the burden of inaction paints us all with one brush.

Moreover, the town planners in our community often lack exposure to effective systems, and even when they do encounter such systems, their lack of enthusiasm is palpable, likely stemming from a desire to preserve avenues for corruption. Despite the abundant potential of Geographic Information Systems (GIS) to illuminate the city’s spatial dynamics, there remains a striking hesitance to embrace these tools. Technology, an unwavering constant, is often perceived as a catalyst for change. Furthermore, numerous local academics have participated in various town planning projects abroad, yet their expertise is not utilised as policy advisors for reasons reason best known to our city fathers. These are merely a few of the issues and may warrant individual articles for exhaustion.

What is Special Zoning

Special zoning aims not to supplant conventional zoning or outdated urban design paradigms, but rather to liberate developers from the constraints of traditional town planning regulations, facilitating a more efficient and expedited engagement in urban development while enhancing the value of their investments.

The necessity for rezoning is rendered obsolete. If the city aims to maintain a specific character—whether financial, retail, or otherwise—it can bestow special rights with certain conditions attached. However, I believe this retention is unwarranted. The city’s priority should be to ensure that uses are harmonious, uphold quality through design standards, conform to infrastructure requirements and most importantly, unlock value, ultimately crafting a stunning skyline in a dynamic urban landscape.

In Harare, attention appears to have transitioned to the new city in Mount Hampden, leaving investors in the old CBD to navigate the situation independently, which is regrettable given the significant investments and the stakeholders involved in the CBD. Consequently, our pensioners, medical aid providers, and private citizens risk substantial losses if the matter remains unresolved The expansion of the city into new nodes is commendable; however, it should not occur at the cost of neglecting the issues present in the old city, as the same challenges will inevitably arise in the new city. This approach does not effectively address the existing problems. leading to a cyclical pattern of failure. Establishing new cities while allowing the old ones to deteriorate is not a viable solution. A more thoughtful and pragmatic strategy is essential to address the current circumstances effectively.

This proposal aligns with established academic theory, emphasizing the significant potential of Central Business Districts (CBDs) from a locational perspective. My argument is bolstered by the bid-rent theory, which illustrates the urban potential of specific locations within a study area through the concept of ‘bid-rent.’ This model aims to represent relative urban development value rather than direct land value and should be interpreted in that context. By introducing interventions such as new highway interchanges or transportation links, it is possible to pinpoint areas that are underutilising their urban potential, investigate the underlying causes, and assess whether targeted interventions could improve their development. In our case, we propose a change in town planning as a strategic intervention to facilitate urban renewal and revitalisation, grounded in the principles of bid-rent theory. The bid rent theory, though old, continues to hold significance in contemporary discussions.

What should be done

It is imperative for the cities and state to consider the introduction of special zoning within Zimbabwe’s zoning legislative framework. I propose that the entirety of Harare’s Central Business District  and other CBDs be designated as Special Zones, inviting developers to submit their innovative proposals for council endorsement. Property owners in the Harare CBD should be granted a fair opportunity to thoughtfully assess and potentially decline such developments through a board of committee established to facilitate redevelopment, with a structured mechanism established to address any arising concerns.

Benefits of Special Zoning

1 It create s a market oriented approach to town planning.

Special zoning allows developers to engage in decisions that significantly influence their financial outcomes. This opportunity enables them to realise the potential of their investments according to financial objectivity and economic realities of the time, rather than conforming to the interpretations of municipal planners.

2. Support REITS objectives

The recently introduced REITs represent a promising development; however, to truly catalyse development, it is essential to ease zoning regulations. The existing model already faces certain limitations, and imposing additional zoning constraints would only exacerbate these issues. Many stakeholders envision transforming current properties into residential and student housing, a vision that can only materialize by removing the financial and legal burdens associated with rezoning through special zoning provisions. Prominent landlords possess the potential to create dynamic precincts within the CBD like the Maboneng Precinct in downtown Johannesburg, aligning their developments with strategic investment goals, all of which could be realised through the facilitation of special zoning.

3. Agglomeration Economies of Scale

Although agglomeration occurs organically, the strategic application of specialised zoning can significantly enhance existing agglomeration by promoting larger developments and facilitating the integration of previously deemed incompatible uses, such as offices, sports, recreation, retail, and residential spaces in one building, commonly known as mixed-use developments.

4 Live Work and Stay

Furthermore, flexible zoning fosters a culture that encourages living, working, and staying within the same area. To realise this potential in the Central Business District (CBD), it is essential to recognise that the uses within the CBD should not only be horizontally integrated, (i.e. one use next to another), but also ideally vertically integrated, where different uses occupy the same building (residential, commercial and office). In addition to promoting walkability and reducing the necessity for commuting—which subsequently lessens dependence on both public transportation and private vehicles—higher residential densities within a more vibrant urban framework can lead to significantly enhanced efficiency in infrastructure and public transport systems. It also saves time lost in congestion in dollar terms. It is important to note that congestion imposes a measurable and substantial economic cost.

4. Employment and Economic Growth

The expected redevelopment and building endeavours will serve as a powerful driver for job creation and economic expansion, igniting a construction surge as the market shifts towards more lucrative opportunities. The vibrancy of real estate construction serves as a compelling barometer of economic prosperity, a fact that is hardly surprising. In a typical real estate development, the interplay of debt and equity creates a symbiotic relationship that benefits both financial institutions and investors alike. Funds are allocated to contractors who procure essential materials, while insurers safeguard the entire process, from financing to the construction site. The site itself is a confluence of expertise, involving consulting engineers, architects, safety officers, equipment rental specialists, and skilled labourers. This sector encapsulates nearly all critical economic domains during and post-construction, making it imperative for any nation aspiring for robust economic growth to focus on this essential industry. In our context, the immediate opportunity lies in unlocking special zoning initiatives.

5 Enhanced Income and Capital Growth

The expected new developments are likely to enhance the income and capital growth prospects of stakeholders. Most stakeholders are struggling with dated zoning that is difficult and time consuming to change. This will enable them to give value to their investors each depending on their objectives. The situation also unlocks the potential to buy and sell development rights for both owners and the local authority unlocking further capital and income growth.

7.Eliminates Bureaucracy and Red Tape

This streamlined approach eradicates unnecessary bureaucracy and red tape, significantly reducing both application times and costs. It removes the requirement for rezoning, enabling municipalities to concentrate their efforts on advancing development rather than justifying why a project should be hindered by current regulations.

8. Promotes Innovation.

Conventional zoning stifles creativity, confining thought to merely permitted and consented uses. Numerous innovative concepts languish unfulfilled, hindered by stringent town planning regulations. Property investors frequently lament that while their ideas are viable, local planning restrictions thwart their realisation. This self-imposed limitation on development is counterproductive, and a transformation in our approach is essential.

9 Revenue for the city

This section is expected to attract significant attention from the City of Harare and other municipalities nationwide that encounter difficulties in revenue generation and sufficiency. The city has the potential to adopt special zoning measures that would enable developers to acquire development rights for a fee. Numerous properties in the central business district are currently underutilised and could benefit from an expanded array of rights through special zoning. In this context, the primary focus is on the sale of these rights. Nevertheless, the city must exercise caution regarding pricing, as overly high fees may compromise the attractiveness of the developments. Ultimately, this strategy enables the city to monetise development rights, rather than receiving no compensation at all as is the case. at present, while developers incur costs for rezoning, they do not pay for the rights they obtain. The primary justification for varying skylines often pertains to sunlight accessibility. Zimbabwe enjoys abundant sunlight. Additionally, there exists the potential to establish a comprehensive market for development rights. However, this lucrative opportunity requires strict regulation to prevent the hoarding and speculation of development rights, which could hinder actual development. Therefore, it is advisable for local authorities to maintain the authority to trade development rights independently, setting prices in collaboration with developers. We possess the airspace; thus, we should consider monetising it.

This matter is quite controversial yet feasible for implementation. Perhaps in our case, it would be prudent to wait until developers are sufficiently capitalised and capital costs are lower, among other considerations.

Conclusion

The above benefits though not exhaustive gives us an idea of what we are potentially missing in the absence of special zoning legislation and its implementation in our country. They initiate a vital discussion aimed at realising these opportunities. It is our collective responsibility to develop our country by fostering and imagining the necessary environment for growth. The onus lies solely on us; no external saviour will emerge. We must leverage our vibrant diaspora human capital to unlock value for our advancement. Our central business districts will always belong to Zimbabweans, and it is only we who can rejuvenate them. Embracing a spirit of progressive nationalism and pride in our efforts to enhance our communities and economic sectors is essential for national prosperity. The implementation of special zoning is not only feasible but can also catalyse significant development when executed in harmony with existing zoning regulation. Planning is a powerful tool for national development and should never be left to chance. The die is cast, let the conversation begin in earnest!

Paul Philani Poshai is a Property Investment Analyst in South Africa and writes in his personal capacity. He also advises on cross border real estate investments and ESG.

M.Sc. Real Estate- University of Pretoria.

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paul@atumsa.co.za/ paul.poshayi@gmail.com