Transferring urban rent to the public: land value taxation

Official URL: http://risc01.sabanciuniv.edu/record=b1606724 (Table of Contents)

It is widely known that urban planning practice is becoming a tool of obtaining political and material rent because of lack of ‘urban land policy’ which guide governments’ and private sectors’ planning applications. As an outcome of becoming a capitalist society, current policies are focused on land that is mostly in the hands of individuals and land speculation is perceived as an investment instrument. In addition to the problems with urban land policy, Turkish economic policy is significantly depending on the construction industry. As a result of this reason, governments try to stimulate economic activity and create new employment opportunities through new construction projects. With the realized projects in recent years, there is huge spatial, economic and social intervention to the lives of the local people who suffer from the negative consequences of these processes but who cannot get enough share from rent. Since urban rent is formed over time and is not a product of one's labor, it shouldn’t be a product of only certain groups who profit. Urban rent which is formed as a result of urban development should be owned publicly. The basic motivation of the thesis is to discuss a proposal for ‘Land Value Taxation’ as a policy tool in the context of a land policy which is based on transferring urban land to the public. International examples of Land Value Taxation implementations are investigated and benefits of Land Value Taxation are explained through various exercises.