From land markets to housing markets · for low income house builders in Medellin. The Municipal...

10
Open f-iouse International Vol. 10. No. 4 1985. FM25 univcrsid;rd P! 1ciw:ll dz C01"t:lhi~ .-. FROM LAND MARKETS TO HOUSING MARKETS: l . . .' 4. ., ' ; [&.&:i*, , ,;, ! *:<, ;?, ,.. ', transformation of illegal settlements in Medellin. Paul Baross, Nora Mesa This paper reports on some comparative aspects of low income settlement development in Medellin, Colombia. The notion of "comparative" refers to two different kinds of settlement formations which are recognized as such 60th in the popular language and within the working framework the Municipal Planning Agency uses to classify the - various unauthorized neighbourhoods in the city. One settlement type is called "invasione", the other "pirata". Invasiones, as the name suggests, are created through the illegal occupation of land. The possession is initially symbolized by the construction of a simple shelter (rancho) and the staking out of "plots", which the families consider INITIAL STAGE of an invasion site at the edge of a public housing project. CONSOLIDA TED IN YASlONES S/ TE. as their territorial domain. Often neither the boundary of the actual "site", nor a recognizable physical "plan" exists in this initial stage, because new families continue to expand the invasion area and fill in new "plots". (2) Pirata developments are organized by landowners or promoters, who subdivide and sell residential plots without obtaining the necessary development permits from the municipal authorities. These settlements have a definite site boundary, planned layout, space set aside for public use and plots are clearly marked, often a range of different sizes. Thus in the initial stage of development, which we will call llautonomous", reflecting the fact that there is no municipal participation in the process, the two settlement types have a very different space appropriation character (Figure 1 ). This difference is also evident for a casual observer; invasione sites are physically unorganized and all the dwellings have a temporary character, pirata sites have a rudimentary road network and most families start building with permanent materials. (Figure 2, 3). We could also assume that there are different types of families participating in the two processes (income, jobs, demographic composition), because in the invasione settlements land is free, whereas in the pirata sites the land is sold. We say that we "assume" for two reasons. On the one hand income reporting through orthodox questionnaires remain notoriously unreliable. On the other hand, initially land prices in pirata settlements were rather low and the developers usually offered credits extending up to 10 years to pay for the plot. In the late 1960's. when pirata development flourished, families having an income around the minimum wage could easily buy plots from pirata developers. Thus the cost of land did not appear to be a serious barrier to participate in this process. (3) In the past twenty years both pirata developers and invaders ensured a substantial supply of land for low income house builders in Medellin. The Municipal Planning office estimated that between 1960 - 1982 some 33.000 dwellings were built in neighbourhoods which have been classified as pirata and 27.000 units in those where land was illegally occupied. That this popular housing process produced a number of dwellings far superior in quantity than the units sponsored and built by various public housing agencies in Medellin does not surprise us. What is important to note, however, that the location of the popular settlements within the overall urban structure tended to be better than that of the low cost housing estates built by the government, even if it could be argued that the site conditions

Transcript of From land markets to housing markets · for low income house builders in Medellin. The Municipal...

Page 1: From land markets to housing markets · for low income house builders in Medellin. The Municipal Planning office estimated that between 1960 - 1982 some 33.000 dwellings were built

Open f-iouse International Vol. 10. No. 4 1985. FM25

univcrsid;rd P! 1ciw:ll dz C01"t:lhi~

.-. FROM LAND MARKETS TO HOUSING MARKETS:

l . . . ' 4. ., ' ; [&.&:i*, , ,;, ! *:<, ; ? , , . . ' ,

transformation of illegal settlements in Medellin.

Paul Baross, Nora Mesa

T h i s paper r e p o r t s o n some comparat ive aspects o f low income sett lement development i n Medel l in, Colombia. The not ion o f "comparative" r e f e r s t o two d i f f e r e n t k i n d s o f set t lement formations w h i c h a re recognized as such 60th in the popu la r language and w i t h i n t h e w o r k i n g f ramework t h e Munic ipal Planning Agency uses t o c lass i fy t h e

- var ious unauthor ized ne ighbourhoods in the c i t y . One sett lement t y p e i s ca l led "invasione", t h e o ther "p i rata" .

Invasiones, as the name suggests , a re c reated t h r o u g h the i l legal occupat ion o f land. T h e possession is i n i t i a l l y symbol ized b y t h e const ruc t ion o f a simple she l te r ( rancho) and t h e s tak ing o u t o f "plots", w h i c h t h e families cons ider

I N I T I A L S T A G E of an invasion site at the edge of a public housing project.

CONSOLIDA TED IN YASlONES S / T E .

as t h e i r t e r r i t o r i a l domain. O f ten ne i t he r t h e b o u n d a r y o f the actual "s i te" , n o r a recognizable phys i ca l "p lan" ex is ts in t h i s i n i t i a l stage, because new families con t i nue t o expand the invas ion area and fill in new "plots". ( 2 )

P i ra ta developments a re organ ized by landowners o r promoters, who s u b d i v i d e a n d sel l res ident ia l p lo ts w i thou t ob ta in ing t h e necessary development permi ts f rom t h e munic ipa l author i t ies. These sett lements have a de f i n i t e s i t e boundary , p lanned layout , space se t aside f o r pub l i c use a n d p lo t s are c lea r l y marked, o f t en a range o f d i f f e r e n t sizes.

T h u s in t h e i n i t i a l s tage o f development, which we w i l l ca l l llautonomous", re f l ec t i ng the fac t t h a t t he re is n o munic ipal pa r t i c i pa t i on i n t he process, t h e t w o sett lement t ypes have a v e r y d i f f e r e n t space app rop r i a t i on cha rac te r ( F i g u r e 1 ). T h i s d i f f e rence i s also ev iden t f o r a casual observer ; invasione s i tes a re phys i ca l l y unorgan ized a n d al l t he dwel l ings have a temporary character , p i ra ta s i tes have a rud imen ta ry road ne twork a n d most families s t a r t b u i l d i n g w i t h permanent materials. ( F i g u r e 2, 3 ) . We cou ld also assume t h a t t he re are d i f f e r e n t types o f families pa r t i c i pa t i ng i n t h e two processes ( income, jobs, demographic composi t ion), because in t h e invasione sett lements l and is f ree, whereas in t h e p i ra ta s i tes t h e l a n d is sold. We say t h a t we "assume" fo r t w o reasons. O n the one hand income r e p o r t i n g t h r o u g h o r thodox quest ionnaires remain no to r i ous l y unre l iab le . On the o the r hand, i n i t i a l l y land pr ices in p i ra ta sett lements were r a t h e r low and t h e developers usua l ly o f f e r e d c r e d i t s ex tend ing up t o 10 years t o pay for t h e p lo t . I n t h e late 1960's. when p i ra ta development f lour ished, families h a v i n g an income a round t h e minimum wage cou ld easi ly b u y p lo ts f rom p i ra ta developers. Thus the cos t o f l and d i d n o t appear t o b e a ser ious b a r r i e r t o par t ic ipa te i n t h i s process. (3 )

I n t h e pas t twen ty years b o t h p i ra ta developers a n d i nvade rs ensured a substant ia l s u p p l y o f l and f o r low income house bu i l de rs i n Medell in. T h e Munic ipal Planning o f f i ce estimated tha t between 1960 - 1982 some 33.000 dwel l ings were built in ne ighbourhoods wh ich have been c lassi f ied as p i r a t a a n d 27.000 u n i t s i n those where land was i l lega l ly occupied. T h a t t h i s popu lar hous ing process p roduced a number o f dwel l ings f a r supe r io r i n q u a n t i t y t h a n the un i t s sponsored and b u i l t b y var ious pub l i c housing agencies i n Medel l in does n o t s u r p r i s e us . What is important t o note, however, tha t t he location o f the popular sett lements w i th in the overal l u r b a n s t r u c t u r e tended to be b e t t e r t han tha t o f the low cost hous ing estates b u i l t b y the government, even if i t cou ld be a rgued tha t the s i te condi t ions

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F I G U R E I

SEQUENCE O F S P A C E A P P R O P R I A T l O N

Lime

time

ACTORS OF DEVELOPaNT

S - Scate C - Coonuniry

P - P i r a u F - Family

M O R P H O L O C Y O F A N I N V A S I O N S I T E ( M A R I A C A N 0 1978 - 8 4 )

F I G U R E 3

M O R P H O L O C Y OF A P l R A T A S I T E ( A U R E S 1976 - 84 1

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F I G U R E 4

L O C A T I O N O F U N A U T H O R I Z E D S E T T L E M E N T S A N D G O V E R N M E N T S P O N S O R E D H O U S I N G P R O J E C T S (1964-1984)

( topography) f o r popu lar housing were less favourable. (F ig . 4) .

I n the subsequent p a r t s o f t he paper we rev iew ou r research f ind ings about the consolidation process o f b o t h p i ra ta a n d invasion settlements. I n ou r v iew t h i s process i s underp inned b y fou r mechanisms :

- (a ) legit imisation, wh ich g radua l l y establishes the settlement ( i t s s i te and layout ) and the land tenure o f families w i t h i n the legal framework o f municipal p lann ing and administrat ion.

( b ) pub l ic investment, wh i ch gradua l ly increases pub l ic expend i tu re f o r i n f ras t ruc tu re and services in the location.

( c ) community investment: wh ich in the absence o f pub l ic investment, o r complementing it (maintenance) develops col lect ive faci l i t ies and enhances the organizat ional capaci ty o f residents.

( d ) family investment: wh ich accounts f o r t he progressive development o f housing u n i t s b y the residents.

These mechanisms can b e separated and descr ibed empirical ly, b u t the i r con t r i bu t i on t o the process o f consolidation cannot be p red i c ted theoretical ly. Rather, the process must be viewed as hav ing a synenergetic and con junc tura l effect, each re in forc ing , o r i n t he i r absence det rac t ing f rom the i11,pd~t o f the o ther . ( 4 )

T h e research mater ia l presented here i s d r a w n f rom 8 sett lements in Medellin, 3 o f wh ich were c lassi f ied b y the Munic ipal Planning Off ice as p i ra ta and 5 as invasione sites. (5 ) We estimate tha t together t h e y account f o r 10 percent o f t he housing stock developed i l legal ly in the c i t y since the 1960's. T h e oldest sett lement in o u r sample dates back to 1964, the most recent one was establ ished in 1980. From each sett lement 20 (or ig ina l ) p lo ts were d r a w n from a "representat ive" b lock (manzana) . Us ing the p lo t as a basic u n i t we asked what k i n d o f families l i ve on i t , when did they come, what d i d t hey b u y as an " e n t r y po in t " , what have they built, ove r how long, how d i d t hey f inance the i r hous ing t ransact ions, etc. Us ing the i r recollections we were able t o approximate the process o f p r i v a t e investment in the sett lement since i t s establishment, as well as the densi f icat ion process wh ich resu l ted f rom the f u r t h e r subd iv is ion o f p lots o r t he bu i l d i ng o f addi t ional u n i t s f o r sale o r ren t .

We s t r u c t u r e d the in terv iewed families i n to "classes" (F1 - F6) and created "housing classes" t o c lassi fy the dwel! ings in which they l i ved (HO-H6). We postulated tha t the family classes would cor respond t o housing classes i f the la t te r was bough t by the families f rom government agencies who b u i l d houses fo r low income target g roups. The except ions were the F1 and F2 g roups (who cou ld on ly l i ve i n ranchos o r pa r t i a l l y t rans formqd bu i l d i ng on unserv iced s i tes) , because these housing types ( H I , H2) were no t o f f e red b y the government. We assumed tha t these people would be e i ther completely outs ide -$he opt ions thd t the pub l i c housing de l i ve ry system can o f fe r o r a t best would be renters . T h i s "correspondence" between Family and Housing classes i s an important postulat ion i n the analysis. I f the aggregate re lat ionship between the Family and Housing classes is negat ive, families l i ve i n worse housing condit ions in the unauthor ized sett lements than they would i f t hey had access t o pub l ic housing, then we

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could conclude tha t the popu la r hous ing process is infer ior t o the government sponsored hous ing.

- If, on the other hand , we find a b e t t e r aggregate C-elationship o u r conc lus ion wou ld b e tha t t he

~ o p u l a r housing process p r o v i d e s b e t t e r hous ing values than pub l i c housing. ( F i g u r e 5, 6 ) .

CONQUISTADORES

U S E S D E FAMILIAS m C€ M V l W D A S

I . . . . . . . . . . H 0 .i ,L . i o . so . i o . io . o ' io 40 i o i o ' loo *A

F I G U R E 5

N E G A T I V E R E L A T I O N S H I P BETWEEN F A M I L Y CLASSES A NO H O U S I N G C L A S S E S *

CLASES DE FAMIUAS CLLSES D E VlVlENDAS

. -.

PLAYON

C U S E S DE FAUIUAS CLASES OE V I V I E N D G

S. PABLO

F I G U R E 6

F I G U R E 7

T H E Q U A L I T Y O F H O U S I N G S T O C K I N P I R A T A (*) A N D I N V A S I O N (**) S E T T L E M E N T S (19841

(*) information aggregated for 3 settlements (**) information aggregated for 5 secclements

invas ion A p i s a t a

- RI and H2 ---- 83 . H&. H5

POSl T I VE RELA T I O N S H I P BETWEEN F A M I L Y CLASSES A N D H O U S I N G C L A S S E S * F I G U R E 8

L

D I S T R I B U T I O N O F H O U S I N G TYPES I N P I R A T A * o n l y f o r owne r occup ie r s A N D I N V A S I O N S E T T L E M E N T S

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We beg in t o compare t h e (aggregate) hous ing stock i n t h e p i ra ta a n d invasione sett lements as o f 1984. (F igu re 7, 8 ) . It i s ev ident , t h a t p i ra tas tend to have a b e t t e r qua l i t y o f housing, par t ia l l y because o f t h e absence o f v e r y low qua l i ty she l te r (H1 and H2) .

However, t h i s aggregate p i c t u r e i s misleading. When we p lo t t h e hous ing m i x t u r e separately f o r each sett lement, and reg i s te r t h e in format ion o n the time scale ( locat ing t h e c u r r e n t hous ing m ix tu re a t t he po in t when t h e set t lement was establ ished), we see t h a t hous ing m i x t u r e changes dramat ical ly ove r time. T h e q u a l i t y o f housing is more s t r o n g l y re la ted t o t h e age o f t h e sett lement t han i t s development o r i g in . T h e hous ing m i x t u r e ( re f l ec t i ng the amount o f family investment in t h e set t lement) tends t o converge. (F igu re 8 ) .

The g r a p h s also conf i rm tha t i n i t i a l family investment in p i ra ta a n d invasiones sett lements i s substant ia l l y d i f fe rent . In Aures wh ich was establ ished in 1976 we observed t h a t on l y 25% o f t he hous ing s tock ' remained in H1 o r H2 stages by 1984, whereas i n Maria Cano, establ ished in 1978,'

F

75% o f t h e houses were s t i l l o f poor qua l i t y . I f we were t o t r u s t o u r l ine o f in terpo la t ion (a somewhat mechanical dev ice) we wou ld estimate tha t i t takes 8-10 years f o r people who s t a r t l i v i n g in invasiones s i tes t o catch up w i t h t h e housing qua l i t y mix t h a t character ises p i ra ta s i tes i n t h e f i r s t few years o f t h e i r existence.

The phenomenon o f s t r o n g i n i t i a l d i f f e rence a n d long te rm convergence o f hous ing q u a l i t y m ix could be expla ined i n a number o f d i f f e r e n t ways.

(a) Families i n invasione s i tes are poorer , a n d there fore i t takes them a longer time t o consolidate.

O v r data does no t p o i n t t o t h i s exp lanat ion consistent ly . Examining o n l y two most recent p i ra ta a n d invasione sett lements, Au res a n d Maria Cano t h e share o f people who ea rn a r o u n d minimum wage o r less is approximately t h e same (90% a n d 95% respec t i ve l y ) , a l though there i s about 30% o f people who a r e below t h e mininium wage level i n Maria Cano a n d non o f these t ypes o f families can be found i n Aures. B u t when we look a t t h e un iverse o f a l l sett lements, n o c lear p i c t u r e emerges wh ich wou ld substant ia te t h a t p i ra ta sett lements cons is ten t ly have a lower share o f poor people than invasione sett lements. (Tab le 1 )

( b ) lnvasione sites a re soon i n f i l t r a t e d by be t te r o f f families ( replacement) a n d these second wave families have b e t t e r capaci ty f o r hous ing improvement.

The re i s s t ronge r ind ica t ion tha t o v e r t ime t h e ropor t ion o f the lowest t h ree family categor ies h- F01 declines, b o t h i n p i ra ta a n d

invasione settlements. T h e two h ighes t income categories (F5 and F61 are missing i n t h e f i r s t 5-8 years o f the establ ishment o f t h e sett lements (again b o t h i n p i ra ta a n d invasion t y p e s ) , - b u t beg in t o appear later ( F i g u r e 9) . T h i s tendency suppor ts a more un iversa l observat ion, t h a t t he re is an i n f i l t r a t i on o f be t te r -o f f low income g roups i n these unauthor ized developments in t h e i r la te r stage o f consolidation. However, i t does no t expla in t h e in i t ia l l y poorer hous ing s tock i n t he invasione settlements, s ince the "gen t r i f i ca t i on " movement is p resent i n b o t h sett lement types.

P IRATA SETTLEMENT, i n i t i a l s tage o f consolidation.

P IRATA SETTLEMENT, i n i t i a l s tage o f consolidation.

%

TABLE l

Invasion:

Playon (1975) T 0 4 R

Los Councels (1971) T 0 R

Candelaria (1972) T 0 R

H a r l s C a n o (1978) T 0

C o l s l e ~ t a d o r i ~ (1980)

D l S T R l B U T l O N OF FAMILY TYPES I N PlRA TA AND INVASION SETTLEMENTS (7984)

4

-- 3 3 -- -

15 1 5

R - -

9 4 5

1 0

4

2 4 21 3

1 4 --

l 5 1 5

9 5

5 0

14

6 3 55 8

67 67 -- 65 60

5

6' 6 4

4 - -

28 6 3 6 2 4 4

4

1 0 10 --

21 17 4

5 5 --

l 8 18

4

-- --

8 8 -

--

-- -

4 4 --

8 8

-- ' --

-- 1 --

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R E L A T I O N S H I P B E T W E E N F A M I L Y TYPES A N D H O U S I N G T Y P E S I N T H E E I G H T S E T T L E M E N T S

cAUNCES A U R E S

NUEVO8 CONWSTADORES SAN NARrtN DE PORRES

CLASES M F A H I L I U C U S L S DE VIVIENOAS

m Fb -

Page 7: From land markets to housing markets · for low income house builders in Medellin. The Municipal Planning office estimated that between 1960 - 1982 some 33.000 dwellings were built

FIGURE 9

. D I S T R I B U T I O N OF F A M I L Y TYPES I N P I R A T A A N D I N V A S I O N S E T T L E M E N T S

m invasion A pirara

-F1, F2 and F3 ----F5 and F6

(C ) T h e t h i r d explanat ion invo lves the secu r i t y o f tenure .

A s we po in ted ou t b o t h p i ra ta and invasione sett lements are "i l legal" (unauthor ized) , but one i s obv ious ly more i l legal t h a n the o ther . In the p i ra ta s i tes families ac tua l ly b u y land, in invasiones they occupy it. T h e la t te r g r o u p n o t on ly ignores munic ipal p lann ing requirements but faces t h e poss ib i l i t y o f forced removals as landowners t r y t o reclaim t h e i r land. O u r data indicates a s t rong cor re la t ion between tenu re secu r i t y and i ~ o u s i n g q u a l i t y mix. In F igu re 10 we reproduce the d i s t r i b u t i o n o f hous ing a n d family classes i n a l l the e i g h t settlements. (6) I n t h e two recent invasione sites, Conquistadores and Maria Cano the ma jo r i t y o f families l i ve i n houses t h a t a re i n fe r i o r t o the t y p e we would expect them t o occupy. I n Aures, o n the o ther hand, o n l y 25% l i ve in poorer s t ruc tu res than expected, 5% has b e t t e r hous ing and 70% cons t ruc ted dwel l ings w h i c h cor respond to the i r family classes. Th i s s i tua t ion is rap id l y improv ing as t ime passes, qu i te dramat ical ly f o r invasione sites. In the- oldest invasione settlement in o u r sample (Playon) 60% o f the families l i v e in be t te r accommodation and 40% in the same qua l i t y . Roughly the same p r o p o r t i o n (59% - 41%) i s fbund in the oldest p i ra ta s i te, S. Pablo (F igu re 11) . T h u s t h e secur i ty o f t e n u r e appears t o be a s t rory ! d is incent ive t o i nves t in housing i n invasione neighbourhoods, but on ly fo r a s h o r t time, 2-5 years. I t i s t h i s t i m e lag which

accounts f o r the d i f f e rence between p i ra ta and invasione sett lements, a d i f f e rence wh ich rap id l y d iminishes in t h e subsequent years.

F I G U R E l 1

D I S T R I B U T I O N O F F A M I L I E S L1 V l N C I N "WORSEt1 A N D " B E T T E R " H O U S I N G U N I T S T H A N E X P E C T E D *

BETTER CONDITIONS

70 " "t

Yet, it is n o t v e r y c lear f rom o u r data how t h i s issue o f t e n u r e s e c u r i t y i s resolved. T h e process o f " l e g a l i ~ a t i o n ' ~ in Medel l in is a conlplicated one. O n t h e one h a n d a c q u i r i n g reg i s te red l and t i t l es t o t h e p lo t s ( a n d munic ipal approva l f o r the set t lement layout ) appears t o b e p rac t i ca l l y impossible. None o f t h e sett lements i n o u r sample has reached t h i s level o f legalization, a n d accord ing to subsequent i n q u i r y o n l y four unau tho r i zed sett lements in t h e c i t y (a l l p i ra ta developments dated be fo re 1950's) were accorded t h i s s ta tus up t i l l now. On t h e o ther h a n d the legal izat ion o f the s t r u c t u r e s i s a re la t ive ly easy process wh ich can mean e i the r t ha t the p lann ing

' agency " reg is ters" t he b u i l d i n g o r approves the b u i l d i n g standard. Reg is tered s t r u c t u r e s can b e se rv i ced b y the munic ipal i n f r a s t r u c t u r e agency ( w h i c h p rov ides water, e lec t r i c i t y a n d sewer ne tworks ) a n d hence the impor tant process o f p u b l i c investment can beg in . However, in many cases even more ten ta t i ve "recognit ions! ' cou ld increase the conf idence o f the families tha t t he i r set t lement w i l l n o t b e demolished. T h e organ izat ion o f res idents i n to the Juntas d e Accion Communal establ ishes a degree o f legi t imacy a n d access t o pol i t ical a n d munic ipal decis ion making, and so t h e designat ion o f the s i te as a sett lement by the Munic ipal Planning Depar tmen t cou ld amount t o a d e facto recogn i t ion .

While the aspect o f t enu re secu r i t y appeared to u s a c ruc ia l var iab le i n unders tand ing the development process o f t he unauthor ized

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settlements, i den t i f y i ng s ing le even ts wh ich , decis ively change the tenu re cond i t i on p r o v e d t o

be a n elusive task. P lo t t i ng t h e l e n g t h o f t ime tha t it took for t he var ious sett lements t o ob ta in municipal r eg i s t ra t i on o r legal p rov i s i on o f

L in f ras t ruc tu re (as opposed t o t h e i l legal connections t h a t was developed by t h e families themselves) we cou ld n o t d iscover a n y "pa t te rn " . (F igu re 12). Instead o f assuming t h a t t enu re secu r i t y i s t i ed t o a s ing le event , it i s b e t t e r t o i n t e r p r e t it as a r e s u l t o f a pr5cess o f permanent negotiat ion. T h e object o f negot ia t ion fo r invasione s i tes i s t o remove t h e t h r e a t o f evict ion, a n d hence pos i t ion them in t h e l a n d market t o t he same category as p i ra ta set t lements - t h a t i s unse rv i ced p lo t s in t h e u r b a n

e r i he r . Later , b o t h p i ra ta a n d invasione w t s w i l l h a v 7 t o compete f o r pub l i c investment in in f ras t ruc tu re , a compet i t ion wh ich i s f ough t on t h e basis o f organizat ional s t r e n g t h , pol i t ical connections (pat ronage) , locational s i tua t ion i n re la t ion to t h e e x i s t i n g n e t w o r k o f serv ices as well as t h e topograph ic a n d s i t e condi t ions o f t h e neighbourhoods.

F I G U R E 12

L L ~ l ~ l ~ ~ O F L E G A L I S A T I O N A N D L E G A L S E R V I C E P R O V I S I O N (WA T E R , E L E C T R I C I T Y )

registrarion

ENERBIA

a m s O m I S 10

ACUEDUCTO

unauthorized supply or services

l e g a l supply of services

In the prev ious section we showed a genera l tendency of convergence between ,p i ra ta a n d invasione sites i n terms o f t h e q u a l i t y o f hous ing mix ture , a process wh ich i s u n d e r p i n n e d b y the equalization o f tenure s e c u r i t y a n d p u b l i c investment in in f ras t ruc tu re . In t h i s p a r t we w i l l elaborate on a complementary issue: d o t h e two sett lement types also converge as hous ing markets? What we have in m ind is no t t o analyze whether land and hous ing p r i ces tend t o equalize over time, but whether t he process o f ga in ing access t o (be t te r ) hous ing i s s imi lar , in b o t h sett lements.

F I G U R E 13

I N I T I A L " H O U S I N G T R A N S A C T I O N " A N D C U R R E N T H O U S I N G Q U A L I T Y (1984)

R A N M O

M " U . n .. .a H 0-7.

P U Y O N

In F igu re 13 we rep roduce two I1 t rans format ion diagrams", showing o n t h e l e f t h a n d s i d e t h e t ype o f hous ing class people acqu i red when moved t o t he sett lement and o n t h e right h a n d s ide t h e c u r r e n t hous ing q u a l i t y mix. These g r a p h s represent "hous ing improvement1' i n a n aggregate scale o f each sett lement.

Tak ing the sample as a -whole (8 set t lements) we observed t h a t about 75 pe rcen t o f t h e (owner /occup ier ) families i n t h e p i r a t a a n d 63 percent in invasione ne ighbourhoods acqu i red (bough t o r occupied) p lo t s when t h e y set t led. 9 and 6 percent o f t h e families bough t ranchos o r t rans i t iona l dwel l ings ( respec t i ve l y ) in t h e p i ra ta sett lements and 20 a n d 9 percent in invas ion sites. These hous ing t ypes (H1 a n d H21 represent v e r y minimal improvement a n d we can lump them together w i t h H 0 (p lo t ) d e s c r i b i n g t h e sett lement when the hous ing component i s a t HO, H1 a n d H2 level as essent ia l ly a t a land market stage. Viewed f rom t h i s ang le we can a r g u e t h a t t h e hous ing process in b o t h set t lements overwhelmingly s t a r t s f rom (un improved) land (90% f o r p i ra tas a n d 92% for invas iones) and there fore these popu la r ne ighbourhoods a r e essent ia l ly l and r a t h e r t han hous ing markets .

Th i s argument can b e f u r t h e r s u p p o r t e d b y analysing the d i s t r i b u t i o n o f hous ing improvements t a k i n g t h e in i t ia l acqu i s i t i on o f hous ing qua l i t y as t h e basis ( F i g u r e 14) . In t h e uppe r end o f t he scale, those few famil ies who bough t H4 and H5 houses did n o t r e p o r t any addi t ional improvement, in t h e lower e n d t h e scale .

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F I G U R E 14 F I G U R E 15

RELA T l O N S H l P BETWEEN IN1 T l A L T R A N S A C T I O N AND SUBSEQUENT I M P R O V E M E N T

"l *I "S W* M 5 W

Improvement after purchasing H0

Improvement after purchasing H2

Improwement after p:.-<basing H4

I Yn ....a* -7.2 .¶

0 *l M ¶ l,, *4- *S l,.

Improvement after purchasing H1

Improvement after purchasing H3

improvement after purchasing H5

( H 0 and H I ) subsequent improvements a re b o t h substant ive and var ied.

However, these aggregate f i gu res t a k e a d i f f e r e n t dimension when we i nvoke again t h e time scale. In older settlements t he re is a g radua l decl ine o f families who repor ted t h a t they s ta r ted t h e i r housing process f rom a vacant p l o t o r acqu i re a simple ( H I , H2) s t ruc tu re . Correspondingly t ransact ions wh ich i nvo l ve more substant ia l dwell ings (H3, H4, H51 increase. (F igu re 15). Even more apparent i s t h e t ransformat ion from land t o hous ing market when we analyse the re la t ionsh ip between t h e t ransact ions in f i ve y e a r i n te rva l s a f t e r t h e establishment o f the set t lement. In t h e f i r s t f i v e years a l l o f the famil ies repo r ted tha t t h e y bought loccup ied land. Pu re l y l and t ransact ions dominate the second f i ve years in p i ra ta neighbourhoods, but in invasione s i tes some s ign i f i cant house b u y i n g a c t i v i t y appears. In the subsequent f i ve year i n t e r v a l ( 1 1-1 5 , 16-20) l and transactions decline, p resumably because o f increasing densities. S t i l l , a f t e r twen ty years o f settlement consolidation some 40-60 percent o f families enter these neighbourhoods as l and buye rs ( o f p lots wh ich a r e f u r t h e r subd i v ided ) aind beg in the house b u i l d i n g process. ( F i g u r e 16 1

" H O U S I N G T R A N S A C T I O N S N A T T H E TIME F A M I L I E S M O V E D T O T H E S E T T L E M E N T

cl invaslon A pirata

HO. Hi. HZ ---- H3. H 4 . H5

Another aspect o f t h e g radua l t ransformat ion o f unauthor ised sett lements f rom land t o hous ing markets is t h e appearance o f t h e ren ta l hous ing stock. We f o u n d rooms and apartments f o r r e n t in a n y s ign i f i cant degree only. i n o lder sett lements (S. Pablo 25%. S. M a r t i n 26%. Playon 20%) new neighbourhopds have o n l y 5-10% ren ta l un i ts .

However, when we d i s r e g a r d t h e t ime var iab le (new o r o l d ne ighbourhoods) no s ign i f i cant d i f fe rence cou ld b e found between p i ra ta and invasione sites.

It appears t o u s tha t r e n t a l u n i t s a re among t h e be t te r hous ing categor ies (H3, H 4 , H51 and hence the level o f fami ly investment must reach a re la t ive ly h i g h level in t h e sett lement f o r t h i s t y p e o f hous ing solut ion t o be present. Owners must compete w i t h t he ren ta l stock in t h e i nne r c i t y and o the r well consol idated neighbourhoods.

In conc lud ing we ra ise two observat ions. F i r s t t ha t in Medel l in invasione a n d p i ra ta neighbourhoods may pose d i f f e ren t p rac t i ca l problems o f t h e p lann ing f o r the i r improvement (de f i n i t i on o f site, i nse r t i on o f i n f r a s t r u c t u r e and social fac i l i t ies, legal izat ion), b u t as hous in

_Iq rocesses t h e y e x h i b i t s t r o n g s imi lar i t ies a te r e_f_ the i r s t few years o f i n i t i a l land occupation. In fact, t he tools o f neighbourhood improvement ( legal recogn i t ion and pub l i c investment) ac t as a power fu l ca ta l ys t t o i n teg ra te these areas i n t he main stream of low income hous ing ac t iv i t ies i n t he c i t y .

Page 10: From land markets to housing markets · for low income house builders in Medellin. The Municipal Planning office estimated that between 1960 - 1982 some 33.000 dwellings were built

FIGURE 16

RELA TIONSHIP BETWEEN THE PERIOD OF ENTERING THE SETTLEMENT (AFTER ITS

- IN IT IAL ESTABLISHMENT) AND THE TYPE OF HOUSING TRANSACTION

. invasion A pirata

Notes

1 . Much of the information for wr i t ing this paper comes from a research study carr ied out by PE VAL i n 1984. Mejoramiento Barr io l en Medellin en 10s ult imo 20 onos, 1964-1984. The research was coordinated b y Arango, G., Baross, P., Coupe, F., Mesa, N., and Gonzalez, D . I l lustrations are reproduced f ~ o m the or iginal repor t .

2. There ore two types of invasions, organized when a large number of families plan the land occupation in advance, and unorganized, when the process is a more gradual encroachment on the invaded property.

3. This information is provided by Coupe, F . , and Noorduiin, A. from their cu r ren t investigation of sales record of the largest pirota developer i n Medellin.

4. We note, here that there is a generally held (simplistic) view which argues for a r ig id , sequential relationship among these mechanisms, legitimization leaaing to public investment, leading to private investment, leading to collective investment.

5. In the paper these setilements wi l l - be referred to as

Son Pablo (1964) (pirato) : 1300 dwellings San Martin ( 1 968) (p i ra ta) : 300 dwellings A ures (1 976) (p i ra ta) : 300 dwellings E lP layon (1971) (invas!on): 750 d~uel l iogs Los Caunces (19711 (invosion): 520 dwellings La Candelaria (1 972) (invasion) : 370 dwellings Maria Cano ( 1 978) (invasionj : 220 dwellings Nuevos (1 980) (invasion) : 800 dwellings Conquistadores

6. Here the data is selected for owner-occupiers - transactions of 110. H I . 112 only. ---- transactions of H3. H4, H5

Second, t h a t t he c u r r e n t c r i t i c ism o f t h e "marx is t " school on T u r n e r ' s w r i t i ngs about t he market charac ter o f low income hous ing stock i s l a rge l y misplaced. F o r decades v e r y l i t t l e - exchange o f houses i s occur r ing , people in low income sett lements buy land and b u i l d houses r a t h e r t h a n engage in house transactions. T h e market charac ter o f low income hous ing i s s t rongest in i t s land component. Because even in late stages o f consol idat ion o f sett lements most new families s t i l l buy l and .as the e n t r y acqu is i t ion f o r se t t l ing . t h e market in tegra t ion o f popu lar hous ing shou ld b e expla ined t h r o u g h t h e t rans i t i on f rom use values t o exchange values o f t h e land component and n o t t he dwel l ing component. T h e l a t t e r becomes a s ign i f i cant market fea ture o f popu lar hous ing when ren ta l accommodation appears as a s ign i f i cant aspect o f p r i v a t e ( fami ly ) investment in the settlements.

PAUL BAROSS, Inst i tu te for Housing Studies, P.O. Box 20718, 3001 JA Rotterdam, The Netherlands

NORA MESA, - Centro de Estudios del Hobitat Popular, Facultad de Arquitectura, Universidod Nacional Apartado Aereo 1779, Medellin, Colombia.