Local governments along a new suburban line can play a pivotal role in land assemblage for both railway and housing development. Under market freehold systems, inclusive land adjustment schemes can be effective to economize urban infrastructure costs and produce transit-oriented built environments together with new rail stations, if land use planning and development incentives are attractive enough for individual landholders to make contributions to the districts designated.
A “special” land readjustment approach was introduced, aiming to supply a large volume of new housing lots into the high-demand market together with fast rail infrastructure and services to and from central Tokyo. Public entities could proactively obtain land parcels contributed by individual private land-holders through the land readjustment scheme. Upon an approval of the project, the contributed land parcels were partially replotted for the railway facility uses transferred to the former Railway Construction Agency at the assessment price, while the other contributed parcels were sold for private property development around newly coming stations, leading to land acquisition cost savings, promoting transit oriented developments, and ensuring sufficient volume of passengers soon after operation.
- Legislative arrangements to allow for land readjustment
- Special legislation allowing and promoting integrated development of railway and land (e.g. Housing-Railway Development Law in the case of Japan - see http://www.houko.com/00/01/H01/061.HTM for details)
It is important to bear in mind that much of the area developed through this project was greenfield development (partially brownfield development in sections near Tokyo), hence due attention is recommended in the application of this solution.