Dar Es Salaam From Slums To Real Estate
Dar Es Salaam From Slums To Real Estate
Dar Es Salaam From Slums To Real Estate
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Table of Contents
Abstract .......................................................................................................................................................... i
1. Introduction ........................................................................................................................................... 1
1.1 National Initiatives to Reduce Informal Settlements and Economically Empower the Poor ........... 2
1.1.1 Urban Housing Programme ...................................................................................................... 2
1.1.2 National Sites and Services and Squatter Up-grading Programme .......................................... 2
1.1.3 Sustainable Cities Programme .................................................................................................. 3
1.1.4 Community Infrastructure Upgrading Programme................................................................... 3
1.1.5 Unplanned Urban Settlements Regularization Program .......................................................... 3
1.1.6 Property and Business Formalization Programme ................................................................... 3
1.2Slums meaning concepts and their causes .......................................................................................... 4
1.2.1 Slums: Some Definitions ........................................................................................................... 4
1.2.2 Definition of a Squatter Settlement: ......................................................................................... 4
1.2 Real Estate and Real Estate Development .................................................................................... 5
1.3 Challenges facing Slums ............................................................................................................... 6
1.4 Causes that create and expand slums ............................................................................................ 6
1.5 Rationale why should slums upgrading program should be introduced ....................................... 7
1.6 Vision ............................................................................................................................................ 8
1.7 Strategies ....................................................................................................................................... 8
1.8 Project Goals and Objectives ........................................................................................................ 8
1.9 The Gap of knowledge .................................................................................................................. 8
1.10 Importance of Slum upgrading program ...................................................................................... 9
2. Conceptualization ................................................................................................................................. 9
2.1 The Difference between slums and Real Estate .......................................................................... 11
2.3 Proposed Areas ........................................................................................................................... 13
3. Options of the Real Estate Development ............................................................................................ 14
4. Case Studies of Good Practices .......................................................................................................... 18
4.1 Participatory slum upgrading programs (PSUP) ......................................................................... 18
5. Integrated land use and Real Estate .................................................................................................... 22
6. Dar es Salaam Demographic Profile: .................................................................................................. 22
7. Dar es Salaam Demographic Profile: .................................................................................................. 22
5.1 Spatial distribution of population ................................................................................................ 24
7.2 Age structure of population......................................................................................................... 26
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7.3 Socio-Economic Profile of Dar es Salaam .................................................................................. 26
7.4 Legal Framework: ....................................................................................................................... 26
7.4.1 Policies .................................................................................................................................... 26
7.4.3 Acts ......................................................................................................................................... 26
7.4.4 Guidelines ............................................................................................................................... 27
5.5 Institutional Framework: ............................................................................................................. 27
7.7 Infrastructure: .............................................................................................................................. 28
8.1 Stakeholders to be involved ........................................................................................................ 29
8.2 Assess the Internal Environment................................................................................................. 31
A. Considering private Real Estate developers , the following aspects should be described to the
extent possible ......................................................................................................................................... 31
8.3 Evaluate and Diagnose Key Problems ........................................................................................ 31
8.4 Benchmarks and Performance Indicators: .................................................................................. 32
8. Activities to be Conduted.................................................................................................................... 32
8.1 Proposed Interventions/ Technical Approach ............................................................................. 32
8.10 Land Development Plan .............................................................................................................. 35
9. Finance and Economics ...................................................................................................................... 36
9.1 Cost Estimation ........................................................................................................................... 36
9.2 Quantifying Benefits ................................................................................................................... 36
9.3 Financial and Economic Analysis ............................................................................................... 37
9.4 Mobilization of Funds ................................................................................................................. 37
10. Implementing the Plan .................................................................................................................... 37
10.1 Introduction ................................................................................................................................. 38
10.2 Develop the Implementation Plan ............................................................................................... 39
10.3 Policy Advocacy ......................................................................................................................... 39
References ................................................................................................................................................... 40
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List of Tables
List of Figures
Figure 3-1: Slum Areas Dar es salaam........................................................................................................ 13
Figure 5-1: Population trend in figures ....................................................................................................... 23
Figure 1-5-2: Dar es Salaam population projection .................................................................................... 23
Figure 5-3: Dar es Salaam population density ............................................................................................ 25
Figure 10-1: Implementation Plan .............................................................................................................. 38
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From Slums to Real Estate
Prepared by: Charles Mkalawa (PhD) June, 2017
1. Introduction
The earliest slum upgrading projects in Africa were sponsored by the World Bank and US
AID,(Sumila Gulyani & Ellen M Bassett, 2007) These projects, which took place in capital cities
and larger secondary cities, were envisioned as housing projects and were intended to provide a
large quantity of affordable units in cities experiencing the most chronic housing shortages(Karimi,
2016). These early projects were expensive and ambitious covering large geographic areas and
serving large proportions of the target city's population. The Senegal Sites and Services Project,
for instance, planned to produce serviced plots for 152 000 people in two Dakar
neighborhoods(Sumila Gulyani & Ellen M Bassett, 2007). Zambia's First Urban Project
encompassed fourteen settlement areas and affected almost half of Lusaka's population(Sumila
Gulyani & Ellen M Bassett, 2007).
Dar es Salaam city, the business center and the most populated city of Tanzania with 20% of the
national GDP, Is keeping on growing spatially without improvement of infrastructures and
housing(Mkalawa & Haixiao, 2014). There is big shortage of housing in Dar es Salaam and this
have been caused by: lack of current master plan to coordinate urban growth(Sumila Gulyani &
Genevieve Connors, 2002), rapid population growth, rural -urban migration and high rise demand
of housing(UN-HABITAT, 2008). The status shows that the current rate of informal settlements
has escalated to 70% of the entire city(Peter Ngau & Achieng, 2012).
Most of the city areas have been developed without a plan of land use causing them to end up into
slums(UN-HABITAT, 2008). There is wide areas where people live in slums with poor or no
accessibility to road water services, sewage. This areas include part of Mwananyamala kwa kopa
, Mikocheni A Bonde la Mpunga , Msasani ,kawe, mbagala, Gongo la mboto, Kiwalani
,Magomeni, Manzese, Mburahati, Mabibo, Kigogo, Ukonga Keko, Yombo ,Kitunda, Kivule,
Makongo, Goba ,Wazo, Tandale, Vingunguti , Sandali and Kiwalani. The map ( Figure 2-1)
Attached.
With slums problem, there are number of challenges which has raised up in the city include:
criminal cases, mobility problem, poor distribution or lack of services, land shortage in abundance
and lack of decent housing(Fernanda Magalhes & Francesco di Villarosa, 2012; Laura Jaitman
& Jos Brakarz, 2013; UN-HABITAT, 2007).
This proposal is brought forward to propose the idea of improving the aforementioned areas from
slums to real estates by proposing the number of options described on section 3 of this proposal.
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1.1 National Initiatives to Reduce Informal Settlements and
Economically Empower the Poor
The Government of Tanzania has over the years developed various policies and programmes to
address the problem of informal settlements.
The initiatives include:
The Urban Housing Programme of 1969, National Sites and Squatter Upgrading Programme
(1972- 1990), Sustainable Cities Programme initiated in 1992, Community infrastructure program
Infrastructure Upgrading Programme (2003-2012), Unplanned Urban Settlement Regularisation
Program was conceived in 2004, and the Property and Business Formalisation Programme also
initiated in 2004.
Development of the initiatives has been largely informed by both global and national policy
commitments on informal settlements, such as the Millennium Development Goals, National
Vision 2025, National Strategy for Growth and Reduction of Poverty (NSGRP), National Land
Policy of 1995, and the Human Settlement Policy of 2000 .
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1.1.3 Sustainable Cities Programme In 1992, Sustainable Cities Programme was launched
and became operational in 1993. The main objective of the programme was to build capacity of
the Dar es Salaam City Council to plan, coordinate and manage urban development and growth,
with emphasis on improved multi-sectoral coordination and participation. Based on the successes
of the programme, its implementation was rolled out to seven other regions countrywide.
3
1.2Slums meaning concepts and their causes
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A squatter settlement, due to its inherent "non-legal" status, has services and infrastructure below
the "adequate" or minimum levels. Such services are both network and social infrastructure, like
water supply, sanitation, electricity, roads and drainage; schools, health centres, market places
etc. Water supply, for example, to individual households may be absent, or a few public or
community stand pipes may have been provided, using either the city networks, or a hand pump
itself. Informal networks for the supply of water may also be in place. Similar arrangements may
be made for electricity, drainage, toilet facilities etc. with little dependence on public authorities
or formal channels.
Social Characteristics:
Squatter settlement households belong to the lower income group, either working as wage
labour or in various informal sector enterprises. On an average, most earn wages at or near the
minimum wage level. But household income levels can also be high due to may income earners
and part-time jobs. Squatters are predominantly migrants, either rural-urban or urban-urban.
But many are also second or third generation squatters.
Legal Characteristics:
The key characteristic that delineates a squatter settlement is its lack of ownership of the land
parcel on which they have built their house. These could be vacant government or public land,
or marginal land parcels like railway setbacks or "undesirable" marshy land. Thus when the
land is not under "productive" use by the owner, it is appropriated by a squatter for building a
house. It has to be noted here that in many parts of Asia and Africa, a land owner may "rent"
out his land for a nominal fee to a family or families, with an informal or quasi-legal
arrangement, which is not however valid under law.
Developers buy land, finance real estate deals, build or have builders build projects, create,
imagine, control and orchestrate the process of development from the beginning to end. Developers
usually take the greatest risk in the creation or renovation of real estateand receive the greatest
rewards. Typically, developers purchase a tract of land, determine the marketing of the property,
develop the building program and design, obtain the necessary public approval and financing, build
the structures, and rent out, manage, and ultimately sell it.
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Sometimes property developers will only undertake part of the process. For example, some
developers source a property and get the plans and permits approved before selling the property
with the plans and permits to a builder at a premium price. Alternatively, a developer that is also
a builder may purchase a property with the plans and permits in place so that they do not have the
risk of failing to obtain planning approval and can start construction on the development
immediately.
Developers work with many different counterparts along each step of this process, including
architects, city planners, engineers, surveyors, inspectors, contractors, lawyers, leasing agents, etc.
In the Town and Country Planning context in the United Kingdom, 'development' is defined in the
Town and Country Planning Act 1990 s55.
1.2.1National Initiatives to Reduce Informal Settlements and Economically Empower the Poor
The Government of Tanzania has over the years developed various policies and programmes to
address the problem of informal settlements.
The initiatives include:
The Urban Housing Programme of 1969, National Sites and Squatter Upgrading
Programme (1972- 1990), Sustainable Cities Programme initiated in 1992, Community
infrastructure program Infrastructure Upgrading Programme (2003-2012), Unplanned
Urban Settlement Regularisation Program was conceived in 2004, and the Property and
Business Formalisation Programme also initiated in 2004.
Development of the initiatives has been largely informed by both global and national policy
commitments on informal settlements, such as the Millennium Development Goals, National
Vision 2025, National Strategy for Growth and Reduction of Poverty (NSGRP), National
Land Policy of 1995, and the Human Settlement Policy of 2000.
Ruralurban migration.
Urbanization.
Poor house planning.
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Colonialism and segregation.
Poor infrastructure, social exclusion and economic stagnation.
Informal economy.
Poverty.
Politics.
Poor speed of planning in relation to land demand
Shortage of Affordable Housing Units
Availability of Idle Land
Economic Hardships
Physical upgrading of slums with street networks and improved access to municipal basic services
through augmentation of physical infrastructure has proven to make formidable positive social and
economic changes in many cities. Socially, upgraded slums improve the physical living conditions,
improve the general wellbeing of communities, and strengthen local social and cultural capital
networks, the livelihood generation opportunities, quality of life, and access to services and
opportunities in towns and cities. In many instances, processes to improve security of tenure
conditions are started.
Economically, upgraded slums trigger local economic development, improve urban mobility and
connectivity and integrate an enormous economically productive sphere into the physical and
socioeconomic fabric of the wider city.
In sum, slum and informal settlement upgrading becomes part of a town or cities broader urban
vision to enact the right to adequate housing and living standards for all by focusing on the role of
housing at the center of quality of life and thus policy action.
Cities and towns thus have the duty to mobilise action towards improving housing conditions in
slums as a means of meeting a basic human need. To achieve this, local participation has proved
to be pivotal in galvanizing partnerships that catapult communities to address immediate needs
within their locale. Participation can be turned into a powerful instrument to mobilize low income
communities around the land challenges, urban planning, management and governance issues of
their city neighbourhoods, provided that the participation is perceived to meaningful to them,
empowers them and improves their daily lives.
For this reason, participation is often most effective when initiated at the neighbourhood level
through individual or community projects which are relatively limited in scale and developed
progressively with outcomes which are achieved in the short, medium and long terms. The search
for solutions should be done by understanding security of tenure and land management
arrangements, participatory housing design, with a specific focus on the dwelling needs and
aspirations of the urban poor and vulnerable groups, including women-headed households.
Likewise, there is an urgent need to develop practical tools, knowledge resources and expertise in
designing environmentally sustainable and affordable green building solutions.
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Housing is an opportune and strategic setting through which achievement of mutually beneficial
goals of climate change mitigation and adaptation, as well as of sustainable urban development in
general is feasible. The planning of residential areas, slum upgrading and urban renewal will help
reduce the ecological and carbon footprint of cities and the greenhouse gasses of the national
building sector.
1.6 Vision
The vison of this proposal is to see the city of Dar es salaam manage to reduce amount of slums
significantly by the year 2035.
1.7 Strategies
To use the Public private partisanship (PPP) approach on awareness, rising campaign,
compensation acquisition, and implementation of real estate projects on the identified areas.
The aforementioned projects were mainly focused on providing security of tenure and
financing they fail to address the specific issue of planning to meet the human needs on their
settlements the important needs which need to be mainly address are: Waste management
facilities and services, water borne toilets, comprehensive road network, standard
housing structures, clean and safe drinking water, educational and health facilities. This
is the subject matter of this proposal to revert the aforementioned needs as main objective of
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the research using PPP approach to develop real estate from slums using provided options
analyzed on coming section of this proposal.
2. Conceptualization
Activity / Measure Steps Required Benefits Implications
Optimize slums Spell out the major Duplication avoided All areas with slums identified
causes of slums Gaps identified ,analyzed and a comprehensive
Identify the areas with All slum areas identified plan prepared
slums in Dar es salaam
Integrate with Rationalizing and team Better utilization and A better and networked team
other land uses and building and designing improvement of slum being identified and
real estate of the slum areas. areas. established
Stakeholders Identify donors
Organizing funds and
budget
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Activity / Measure Steps Required Benefits Implications
Enforce The enforcement agencies This would lead to This would require intensive
Regulations to take strict enforcement better Real Estate consultation with the
Effectively measures and Land use enforcement agencies
development
It would provide a
level playing field
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Activity / Measure Steps Required Benefits Implications
Improve Personnel efficiency Land services would This move may encounter
Internal within the organization to be improved both resistance from the personnel of
Efficiency of the be improved. qualitatively and the organization.
System quantitatively
Better real estate
and land use design
practices to be
evolved
Use Information Identifying processes Operating cost There may be opposition from
Technology which lend themselves to reduced staff for fear of displacement
Information Technology Better planning of
slums and also help It is necessary to re-
Re-engineer the in exercising better engineer the processes
processes in order to control before any attempt is
make them made to computerize
computer friendly them
Increase Non Tapping the real Additional revenue The revenue generation
land revenue estate potential of at virtually no extra models should be
property. cost carefully planned.
Focusing on There are legal problems
advertising associated with such
Revenue measures which need to
Working with be addressed properly
dedicated clients
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Slums are associated with poor sanitation due to lack Real state associated with better sanitation with proper
of proper garbage and sewage disposal sewage and garbage management systems.
Most of the houses and structures are permanent
Many of houses in slums are semi - permanent. Houses in real estate are durable and expensive since
they are of high quality and accommodating high
Houses in slums are very cheap since they are of poor income residents
quality and also due to low income of people living in Security is high around the real estate environment
slums with security light and security detection devices
Good scenery houses with uniform space from one
building to another
Slums are associated with high crime rate
Real estate are comprehensively connected with
services include: power, water, sanitation and sewage
Houses in slums are very close to each other and are system.
unplanned Many residents living in real estate are employed
No overcrowding problem in real estate
Slums do not have enough supply of water and power
due to their location on the edge of cities
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2.3 Proposed Areas
The map Figure 2-1 has indicating the areas which are currently facing slum problem. This proposal
is proposing this areas to be given a high priority basing on phases. The proposed areas are
including: part of Mwananyamala kwa kopa , Mikocheni A Bonde la Mpunga , Msasani ,kawe,
mbagala, Gongo la mboto, Kiwalani ,Magomeni, Manzese, Mburahati, Mabibo, Kigogo, Ukonga
Keko, Yombo ,Kitunda, Kivule, Makongo, Goba ,Wazo, Tandale, Vingunguti , Sandali and
Kiwalani. As mentioned on Section 1 of this proposal. This proposal is also proposing the phases
of implementation which is divided into four period of time.
Figure 2-1: Slum Areas Dar es salaam
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3. Options of the Real Estate Development
Table provides a summary options
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Options Description Advantages Cost and Income sources
Option A Definition : Re-housing involves the demolition of The land is usually provided at (i) cross-subsidization from the
the no cost to the developer few housing units sold to higher-
Rehousing shacks and resettlement into new housing Housing units are sold at income clients
(Relogement) Units assigned to the former inhabitants at construction cost, or well below (ii) Financial contributions from
affordable prices, typically in 4-5 story apartment market prices (sometimes at private land owners who recover
blocks. one-third of the market price their land and/or state-owned
Average cost per beneficiary household (60m 2) as creating an immediate equity entities recuperating their land.
initially envisioned: USD 16,500. position of up to two-thirds of
Planned State subsidy per household: (one-third)
the total market value for the
USD 5,500.
household).
In practice, the cost of a re-housing unit in
Casablanca
is estimated at USD 21,666.
Households are expected to pay their share and the
state will provide a subsidy to cover the difference.
Option B Definition: Households are expected to pay The cost of a re-sitting unit is
Re-sitting involves the demolition of the shacks part of the land development estimated at USD 12,000 in the
Resetting and relocation to another site with newly serviced costs and move voluntarily. case of a bi-household to be
(casement) plots and basic infrastructure assigned to slum divided between the two
dwellers. Most are given housing plans households) and USD 11,000 for a
and building codes to which mono-household.
they are expected to adhere.
There are two types: either the plots provided are Planned State subsidy per
fully serviced, or partially serviced at a minimum The developer provides household USD 3,437.
cost. Families are standard plans for a two or
Responsible for building their houses on these three-story house, where the
plots. In addition, some plots are designed to be bottom floor is usually for
Acquired jointly by two households (bi-household) commercial use and the next
two floors for residential use.
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Options Description Advantages Cost and Income sources
while others are to be acquired by one household For those who resist relocation,
(mono-household). a negotiation process starts
between the developer and the
household. It is required that
the shack be first demolished
before acquiring the new plot
and starting the construction.
This lag makes the transition
difficult.
Re-sitting is planned as a
mixed-income development,
where the small plots for the
poor are
Cross-subsidized by larger plots
sold at market rate to higher-
income families.
Option C Definition: Re-structuring refers to on-site In Restructuration only, there is The cost of a re-structuring a unit
upgrading on existing settlements, including no previous requirement to in Casablanca is estimated at USD
Re-structuring services offered in situ acquire the land, which 3,283.
(Re-structuration) (Water, sanitation, electricity, and roads) and un- significantly reduces the overall Planned State subsidy per
crowding most populated areas. cost of this type of slum household USD 2,062
This is the least disruptive option. This consists of upgrading.
improving the infrastructure while allowing the
residents to remain on their plots. It was initially
envisioned to apply this method to 29% of
participating households or 70,000 of them
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Options Description Advantages Cost and Income sources
Option D Typically, a single housing solution or a The choice of which path to
combination of two of them is assigned to a whole take should be based upon a
Housing option slum or sections of a slum. The solution chosen is consensus of all stakeholders
based on land, technical, and social considerations, including the slum
which depends on the specific context of each city communities,
and slum.
The criterion is not always explicit and it is usually
not easy to understand what justified the choice of
re-logement,
re-casement or re-structuration
.
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4. Case Studies of Good Practices
4.1 Participatory slum upgrading programs (PSUP)
The PSUPs approach is grounded on its emphasis on integrating slum dwellers into
the broader urban fabric and adopting a positive stance towards slum dwellers and
in-situ slum upgrading, using city-wide participatory planning methods. African,
Caribbean and Pacific (ACP) Member States have joined the programme with the
aim of addressing the challenge slums and improving living standards of urban poor
by adopting the integrated strategies and systemic change fronted by the PSUP as
well as benefit from inter-regional technical exchange achieved in each others
efforts.
PSUP thus:
-provides key tools to address the challenge of slums and prevent the proliferation of new ones,
-provides a positive practical experience of inclusive integrated slum upgrading through which
all stakeholders learn key lessons and feel confident to adopt participatory planning in other
upgrading and planning processes,
-institutionalizes partnerships and improved governance arrangements
-equips government with key financing mechanisms for slum upgrading including mechanisms
to engage and empower slum dwellers themselves,
-delivers relevant, community led improved infrastructure to slum dwellers
-empowers key urban actors, especially slum dwellers themselves, to contribute to the
incremental eradication of urban poverty at community, city-wide and national levels.
Sources of financing
The financial mechanism includes a combination of public funding, financial contributions from
slum households (either cash or through loans), and a variety of other complementary sources
(municipalities, private land owners, etc.). In Casablanca(Anne Baverel, 2008), the breakdown of
sources of funding, regardless of the slum improvement housing solution chosen is the following:
Subsidies: 35.5%
Self-financing: 35.5%
Cross-subsidization: 23.3%
Municipalities: 0.9%
Others: 5%
4.3 Kenya
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Toi Market, Kibera is an example of how communities can use their saving for loaning and
business development.
It comprises of poor people who lack access to decent and affordable shelter, basic services,
employment or good income. Majorities are regarded as squatters who occupy land that is either
owned by the government, local councils or private individuals.
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Through sharing of information, communities can
avoid wasting time and making costly mistakes
The practices leave communities with a wealth of
experience
Communities learn that information is power
The practices promote good leadership values,
honesty, trust, transparency and accountability
When the government collaborates with communities
and N.G.O's, it amounts to broader understanding and
acceptance of community driven process in their own
settlements and at the national level.
The practice also teaches that you do not have to be a
University graduate to do research.
Networking makes information decimations simple
and efficient
It assists communities gather together in large groups
to learn and do things which they cannot do as
individuals.
Municipality Brazil
of Rio de
Janeiro.
Planned Performed
To reach, by the end of the project, 56,000 75,796 families reached in 62 favelas and 16 lot
families in 52 favelas and 17 lot divisions that divisions;
previously had no access to the services (logic (a) Urban and social Infrastructure (i) Basic
frame). sanitation: 96 percent of dwellings in the areas
(a) Urban and social Infrastructure (i) Basic with finished works have access to water and 90
sanitation: 100 percent of dwellers served with percent have sanitary services. Water mains: 398
access to water, a sanitary system, and pluvial km; sewer mains: 411 km; drainage networks:
drainage net. Estimation: 425 km of water 209 km. (ii) Street paving and public lighting:
mains; 430 km of sewer mains; 232 km of 9,890 lighting points installed and functioning.
drainage networks. (ii) Street paving and (iii) Geological risks: 100 percent of risks
public lighting: To pave 100 percent of the eliminated or mitigated in the urbanized area. (iv)
main streets and 80 percent of the secondary; Social equipment: All the favelas have at least 1
to provide 100 percent of the main streets, and daycare center and a sports field.
60 percent of the secondary streets with public 39 daycare centers and 51 sports fields installed.
lighting. To install 11,132 lighting points. (iii) (b) Community development actions (i)
Geological risks: To eliminate or mitigate the Community participation in planning and
principal geological risks in 100 percent of execution: The community participated in all the
favelas. (iv) Social equipment: Each favela phases of the project.
must have at least 1 daycare center, or another (ii) Educational actions in support of the projects,
form of child care, to care for children from maintenance of the sanitary and social
infancy to 4 years old, and 1 sports field. To infrastructure, environmental protection and
install 49 daycare centers and 69 sports fields. conservation:
(b) Community development actions (i) The indicator makes part of the group of 10
Community participation in planning and researched variables. The average for the 38
execution: 100 percent of families of each communities, for all the variables, was 6.4, the
community contacted and invited to participate minimum 4.6, and the maximum 8.0.
in the programs activities, of which 50 percent
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will participate at least once in meetings and (iii) Installment of support centers (POUSOS) to
other community activities. (ii) Educational bring technical assistance to the communities
actions in support of the projects, maintenance during the consolidation phase: In progress: 18
of the sanitary and social infrastructure, percent of favelas supported with POUSOs (11
environmental protection and conservation: installed and operating).
75 percent of dwellers consider that the
maintenance and sanitary conditions of
communities, during and after the program,
improved.
(iii) Installment of support centers (POUSOs)
to bring technical assistance to the
communities during the consolidation phase:
POUSOs installed in 70 percent of favelas and
meeting the urbanistic orientation demand. To
establish 12 POUSOs (ISDP). Obs.: 70 percent
would be the equivalent to 43 POUSOs.
(c) Land-titling regularization: (i) 100 percent
of favelas and lot divisions will be declared as
special social interest areas, 6 months after the
works conclusion. (ii) 100 percent of projects
for alignment and public spaces, recognized 6
months after the end of the works. (iii) 100
percent of dwellings in the favelas and lot
divisions registered in the property tax cadaster
12 months after the works conclusion
Reliability Availbility
Designed sanitation,sewage,power and water Access to sanitation,sewage, bus servcies
systems on selected neighborhoods power and water
Safety Intergartion
Criminal and offesnive rate on slum areas Intergration of land use for real estate
development
Information
Availability of up-to-date information
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5. Integrated land use and Real Estate
The focus should be on compiling information concerning the following:
5.1 The External Environment
Socio-Economic Profile of the of Dar es salaam (Mwanza, Dodoma, and Arusha)
Demographic Profile of Dar es salaam
Projections
Real Estate /Planning Regulatory Framework
Institutional Framework
Dar es salaam City Development Perspective
The following will be also put on attention; The Real Estate Development Environment
which includes:
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50,765 72,330 93,363 272,821 843,090 1,377,201 2,487,288 4,364,541 6,000,000
Source (Nbs.go.tz)
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5.1 Spatial distribution of population
4. Dar es Salaam is a leading city with a highly pupation density of 3500 km2. Number of
areas within 10 km from city center are occupied with a high population density of more
than 12,000 peoples per km2.
These areas include Tandale, Ndugumbi, Manzese, Magomeni, Ubungo ,and Kimara With the population
density of (54,781, 36,841,35,254,24,400,11482,5602,4004) respectively. Also along Uhuru road in
Buguruni, Ilala, and Gerezani (kariakoo) with population density of 23528,15541,7276 respective. Along
Ally Hassan Mwinyi with streets, of Upanga ,Hananasif kindondoni, Mwanyamala ,Makumbusho,
Kijitonyama, Mikocheni (6,738,18557,10619,25280,34047,14533,4118 Respective ).Along Sam Nujoma
;Sinza, Ubungo, Makongo, (13,515,5,602,4866 respective)along Kilwa Road; Kurasini, Miburani, Mtoni,
Azimio, Mbagala and Kiburugwa (4,365,11,073,14,845,38,416,17,527,19,727 Respective)and lastly
Nyerere Road Keko, Changombe, Temeke, Sandali,Vingunguti, Kiwalani, Kipawa, Ukonga and Gongo la
Mboto(35163,6434,8632,17553,26737,20573,4945,8003,4776 respective).
24
Figure 7-3: Dar es Salaam population density
25
7.2 Age structure of population
Dar es Salaam city population structure youth is dominant population as big number of people
is are aged between 20 years to 25th where most are not employed and most of them are either
at school or looking for employment(UN-Habitat, 2014).
The city demographics assist with macro-level transport planning. Since it is good indicator of
the need of decent housing to support clear land use connectivity and mobility in the city y.
With this case slum upgrading to real estate is good since its comprehensive and well organized
and can fit with population density with housing demand. The population census has reported
the increase of people around the city metropolitan and provide the justification of the
restructuring housing and infrastructures.
The regulatory environment for urban public transport is laid down in various Tanzanian laws,
regulations, policies and executive orders. Being a Republic, all of them are National wide used.
Real Estate figure in in most of the lists below. The policy focusing on Tanzania real esate is still
on pipe line.
7.4.1 Policies
National Human and settlement policy 2000
7.4.3 Acts
Unit Title Act, No 16 2008
26
The Mortgage Financing (Special Provisions) Act No. 17 of 2008
The National Housing Corporation Act. Cap 295
7.4.4 Guidelines
Most of the city residents are developing the houses on private basses .by saving their
income for house development. There are some procedures which are under supervision of
municipal government which should be followed before house development. This include
asking a permit from municipal authority of your respective area. In this link in respective
there are some other institutions which are also involved.
As the Task Force constituted for improving the real estate development services would
have representation from all these agencies, it should be straight-forward to ascertain the
exact role of each. This will help in the distribution of responsibilities once the
improvement plan was prepared.
Ministry of lands, Municipals and Dar es Salaam City Planning Authorities: The real estate
development agents has to be a part of the city development plan. In practice, it has been
27
found that the city development plan often overlooks the real estate development
requirements. Therefore, the city development plan needs to be prepared with consideration
of housing and the transport plan prepared in accordance with it. If it is found that the city
development plan is making land uses planning difficult, the city development plan may
have to be suitably modified. The details of the city development plan, also referred to as
the CDP (Comprehensive Development Plan) are available from the City Development
Authorities.
7.7 Infrastructure:
Infrastructure: The operation of Real Estate system is dependent on the road infrastructure. In a
city, the road infrastructure is provided by different agencies, such as the city government, the
Ministry of works, transportation and infrastructure development through TANROADS and the
Dar es Salaam City Development Authorities. Besides housing, different land uses require different
types of infrastructure Commercial, institutional, recreational, housing estate, residential and
industrial require properly designed sidewalks, road crossings; cyclists require bicycle tracks;
Information on all these will help in ascertaining the bottlenecks in the system, which need to be
addressed. Information about the following parameters would be particularly useful:
Road right of way, length, bottlenecks.
Facilities for pedestrians, cyclists and other modes of transport.
Existing plans for expansion/upgrading of these facilities.
8. The Fiscal Regime:
(Figure 7-3) the financial viability of Real Estate development operations is a major issue. By
and large, Real Estate development services in the country are not financially viable. Although
viability can be improved by increasing efficiency, there are limits to any such improvement.
A major component of the cost is the Donor funds, taxes and levies of the Union, State and
local governments. The activities of a Real Estate development, whether in the public or private
sector, are subject to donor funds and taxes by various agencies.
28
Table 7-3 Fiscal Parameters between central Government and LGAs
29
SN Name of stakeholders Interest Impact
to
project
Primary stakeholders
inhabitants Shelter +
Clean water, sewage, sanitation, power and access
Income
Tenure security
Local Government leaders Lobbying ,Vote ,income ,services +/-
Women and Children Tenure security ,services ,shelter and security +/-
Ilala Municipal Council Revenue ,policy implementation ,Planning and income generation +
Temeke Municipal Council Revenue ,policy implementation ,Planning and income generation +
Kinondoni Municipal Revenue ,policy implementation ,Planning and income generation +
Council
Dar es salaam city Council Tax collection ,advocacy ,initiate planning +
National Housing Real estate development, +
Corporation Rent collection
Policy implementation
Investment opportunities
Ministry of lands Policy development +
Research
Monitoring and evaluation
Advocacy
Planning Approval
Secondary stakeholders
Ministry of works transport Policy development +
and communication Research
Monitoring and evaluation
Advocacy
Planning Approval
Regional Administration Policy development +/-
and Local Government Research
Monitoring and evaluation
Advocacy
Planning Approval
Tanzania Building Agency Policy implementation +
TBA Advocacy
Local Real Estate Real estate development +
Developers
Social Security funds Security fund saving +
Institutions Investment on real estates
Local banks Funding +
Profit
Academic & Research Research +/-
institutions
30
SN Name of stakeholders Interest Impact
to
project
NEMC Policy implementation +/-
Research
External stakeholders
World Bank Donor +
UN-Habitats Research +/-
Donor
Policy evaluation
Interest group Policy evaluation +/-
Advocacy
Lobbying
UNPD Advocacy ,policy evaluation +/-
Having described the external environment, an analysis of the existing housing system needs to be
made. Information on housing should be reviewed. The housing system can be broadly classified
into two categories operated by a government agency or by private operators.
31
include a consumer perspective on real estate services, which can help to ascertain the
weaknesses of the system and also to set goals for the improvement plan. The invaders
perception could be obtained either by structured interviews or through a well-designed
return questionnaire .This would reveal various aspects about real estate which cannot be
captured through various performance indices.
The type of problems and issues that may be highlighted on Table 7-4 below, though this
should be supplemented by other city-specific problems:
8. Activities to be Conduted
32
A Preparatory Phase, during which further analysis, assessments and stakeholder meeting carried
out (as per Specific Objective 3);
An Implementation Phase, during which capacity building activities will be delivered and pilot
demonstration interventions carried out (as per Specific Objectives 5).
Preparatory Phase
Under the Specific Objective 1
Analysis, assessments and stakeholder consultations carried out
Planned Activity 8.2
Carry out strategic planning, surveys and assessments in Dar es Salaam
Sub-Activity 8.2.1:
Obtain detailed mapping products of Dar es Salaam through on-the-job training of
LGA and MLHSD technicians and planners, including aspects such as road and drainage network,
flood risk areas, housing density, existence of basic/social infrastructure, environmental aspects,
etc.
Sub-Activity 8.2.2:
Carry out specific a socio-economic survey at the household level in
Dar es Salaam by applying a sampling scheme (data to be disaggregated by sex) through
community-based organizations (CBOs) residing in these informal settlements (to be specifically
trained for the purpose) looking at issues such as: family size, land tenure, average income,
livelihood options, access to basic and social services, gender issues, etc.
Sub-Activity 8.3.1:
Develop specific slum upgrading guidelines for the Kanyama targeting local government
technicians and planners
Sub-Activity 8.3.2:
Prepare awareness raising materials for community mobilization on urban management activities
such as: sanitation and hygiene promotion, solid waste management, land occupation mechanisms
and rights, gender issues, among other issues
Sub-Activity 8.3.3:
Testing, edition and printing of the prepared guidelines and tools
Implementation Phase
Sub-Activity 8.4.1:
Deliver training interactive sessions to LGAs and MLHHD technical staff on the developed slum
upgrading guidelines for the informal areas of Dar es Salaam
33
Sub-Activity 8.4.2
:
With the support of the results of the socio-economic survey in Dar es Salaam, conduct on-the-job
training of LGA and MLLHSD staff on participatory planning approach at the neighborhood level
through mapping support. The participants of these planning sessions, well balanced in terms of
gender, will be representatives from the targeted communities, LGA, MLHSD, private sector,
academia and CBOs.
Sub-Activity 8.4.3:
Based on the priority slum upgrading interventions from the participatory planning sessions,
prepare the needed technical plans and designs with all specifications for implementation. Cost-
effective and locally-adapted solutions will be privileged, and community involvement (including
women) in labor-intensive activities ensured.
The priority interventions to be carried out in Dar es Salaam are described in the following sub-
activities, and are consistent with the participatory planning session to be hold in Dar es Salaam.
Sub-Activity 8.4.4:
Open feeder roads and construct secondary or tertiary drainage channels
Through labor-intensive activities, by employing community members (including women) as man-
power. This will allow the targeted community to receive a temporary income or food (if the food-
for-work option will be accepted) and at the same time improve the physical living conditions of
their neighborhood. These labor-intensive activities will be supervised by qualified technicians
and supported by skilled labor to be hired for the purpose. Opening of feeder roads will facilitate
transportation, slum upgrading and the extension of the water supply network to reach more
households. In addition, improving the drainage conditions, especially in Dar es Salaam which
was almost entirely flooded twice during rainy season within the past 4 years, is a must.
Experience shows that digging and paving with concrete slabs secondary and tertiary drains and
cleaning the existing main drain, although not solving the problem, at least helps alleviating it. In
addition of damaging infrastructure and housing, flooding brings waterborne diseases such as
malaria and cholera which provoke many deaths in the peri-urban areas of Lusaka
-
Sub-Activity 8.4.5:
Stimulate housing improvement/development schemes for those households
with secure tenure by establishing a small revolving fund and applying micro-finance
mechanisms, to provide a concrete response to the need of affordable housing by the low-income
population living in the peri-urban areas
34
partnerships between the LCC and these organized community groups and at the same time
maintain the urban system in good health
Sub-Activity 8.5.2:
Organize regular gender-balanced community consultations during the whole implementation
phase of the project
Under Objective
: Leverage and coordinate additional private and donor funding
Sub-Activity 8.6.1:
Serve as focal point with the United Nations Country Team (UNCT) to coordinate the participation
of other UN agencies in settlement upgrading and urban development, working closely with the
UN Resident Coordinator to brief UNCT on progress of the program, integrating ongoing work of
other UN agencies, and identifying gaps
Sub-Activity 8.7.1
Work with World Bank, Municipal Authorities for Temeke, Ubungo ,Kigamboni, Kinondoni and
Ilala .Real Estate agencies to develop multi-year programming by Ministry of lands ,city Council,
Ministry of works ,Infrastructure and communication , and other agencies on specific aspects of
settlement upgrading and to scale up (and complement) the work of PSUP and UN-Habitat,
feeding this into the preparations for the 2017-2020 Tanzania National Development Strategy .
Sub-Activity 8.9.1:
Broker partnership among private banks, community savings associations,
LGA, and local micro-finance institutions (MFIs) to develop loan products for self-built house
construction that combines community savings, public subsidy, and private capital.
The housing development Plan should cover the needs of all uses, especially commercial,
Residential, Institutional, Industrial use and conservation, so that full land use integration
35
is considered. There are several Real Estate agencies dealing with Land use plan and it is
important that all are involved in preparing a common land use plan.
Supporting Land use plan, which can be highly cost-effective, allows better quality
services, improving both operational capacity and the conditions for customers.
Providing parking and basic amenities at termini, for both vehicles operations and for
passengers
36
Revenue from advertising on houses.
Once the cost and the benefit streams have been quantified, an economic and financial
analysis should be carried out to determine whether the houses improvement plans are
viable or not. Two agencies are investing public authorities like the city government and
the real estate companies. As a first step, it is necessary to assign costs and benefits between
them. For example, fare box revenue is a cash inflow for the tax operator, but not for the
city government. In several project reports this distinction is not made and a macro
economic and financial analysis is undertaken for the entire plan, which often leads to
misleading results. The economic analysis is required to make policy decisions.
The financial analysis is necessary for tax operators. The economic benefits accrue to other
agencies or users.
The analyses should include FIRR (Financial Internal Rate of Return) and EIRR
(Economic Internal Rate of Return) and NPV (Net Present Value). They may guide
decision makers on fares policy. For example if economic return is very high, subsidizing
public housing through tax concessions is appropriate. A high EIRR may indicate potential
financial benefits can be realized.
37
10.1 Introduction
An Implementation Plan (
Figure 10-1) should be developed for the Actions selected in Stage 4. This must consider
all the elements of the project, how they are linked and sequenced, how they are to be
financed, and who should implement them. It must also consider risks and how to deal with
unexpected circumstances, delays, challenges and setbacks.
Above all, the Implementation Plan must be realistic and take into account the conditions
of the host environment.
The objectives of this stage are to:
Develop a practical Implementation Plan that will achieve the desired actions within the
available resources and constraints in an effective and efficient manner
Prepare the implementation team and structures to deliver the project
This stage consists of four activities:
Develop the comprehensive Action Plan, including individual actions, their linkages and
interdependencies, sequencing, timing and communications strategy
Develop the Financing Plan, including financing of actions and project management
Assess Feasibility and Risk and prepare Contingency Plans
Identify Roles and Responsibilities and specify the Implementation Team
Action Time
and
Sequencing
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10.2 Develop the Implementation Plan
Ensure that responsibilities are clearly defined
Where possible, involve directly affected stakeholders in implementation e.g. within
project and design teams both to harness their knowledge and to maintain their support
Make adequate provision for training and know-how transfer to both the project
implementers and stakeholders who must operate, use or manage the system. This could
include study tours and secondments for innovative processes, so that the implementation
team properly understands what it is trying to implement
Ensure that the financing plan is practical, comprehensive and realistic. Double-check that
the finances really are available and that stakeholders are willing to commit the investment
and operating funds
Where operators are expected to provide investment finance, consider ways to assist them
to gain access to funds at reasonable rates. This is especially important where banks do not
have experience of lending to the sector.
Pay adequate attention to the disruption and inconvenience during the implementation and
start-up phases. This covers customers, other house -users, and the buildings themselves.
It this is not properly planned.
In the Risk Assessment and Contingency Planning Process, be honest in assessing the real
level of risk. Pay attention to the risks of legal challenges (including ones designed solely
to delay) and of stakeholders working against the project
In complex projects, prepare mechanisms for handling disputes among stakeholders
39
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