Auckland and Wellington head the second highest band in a comprehensive AsiaPacific area report on the inclusiveness of 35 cities in the region. The kiwi cities are “high on social inclusion” although not as mature as their Aussie counterparts in “their journey to reduce wealth and life-style inequality”
Global real estate leaders Cushman and Wakefield hope their Inclusive Cities Barometer will encourage discussion and further acceptance of the influence of real estate activities on urban inclusion and the social fabric of our cities
The Cushman and Wakefield (C&W) report defines inclusive cities broadly as urban environments that prioritise diversity and equity with a close connectivity between housing and work locations to support families.
The company contends that more inclusive cities should be regarded as an asset, not a cost.
Near 60 percent of the world population live in an urban environment and together account for 80 percent of GDP.
Given the magnitude and scope of what drives inclusive cities, the report says it is easy to become overwhelmed by their scale and complexity.
The starting point is, in fact, more straightforward — recognise inclusiveness as an asset, not a cost. More inclusive cities tend to attract more talent and innovation, leading to investment and growth.
In creating this balanced investment and life-quality environment the real estate industry plays a key role with the government and constructions sectors to develop a roadmap to social value as well as provide a healthy return on investment, the report says.
C&W chose not to produce a ranking as “we believe that rankings foster competition and inherently compare cities on a scale that doesn’t account for the rich tapestry of unique histories, cultures, and geographical climates that each city embodies.
“Rankings also overlook how far cities have come in their overall economic, social and urban
development.
“Instead, we’ve developed a barometer that highlights successes as well as areas for improvement, recognising that not all cities start from the same starting line,” the company says.
“Often working hand-in-hand with architects and city planners, developers and investors are at the forefront of deciding what gets built, how buildings will be used, and as a result how the shape of the city will take place,” the reports says.
In cities that are less mature in their development of urban inclusion, developers and investors may need to take the lead, which should be factored into project feasibility modelling.
Successful collaboration between city municipalities, developers, and investors can lead to economies of scale, and creating more inclusive environments for all.
In cities that are further along their journey of social inclusion, there are likely to be stronger policy frameworks that outline roles and responsibilities.
There are many stakeholders to a building in addition to end-users, including citizens and people who live close to or walk past these buildings every day, according to the report.
The impact of development on these people should also be considered as stakeholders, with the objective being to maximise their benefits in any project delivery.
Through participatory design approaches, developers can accommodate more nuanced and inclusive needs of a broader range of stakeholders.
From an investment perspective, developing social as well as economic value will influence total returns through decreased vacancy rates, void periods and increased rental income through desirable rentability.
In addition, more nuanced sources and models of financing also provide opportunities to construct innovative financing structures that benefit both social and economic returns.
Developers and occupiers
The report provides a comprehensive checklist for both corporate occupiers and developers
Company occupiers can enhance the social value to employees at the macro level by selecting to operate from specific cities across AsiaPacific that will facilitate a way of life desirable for employees.
On a more micro level should choosing buildings that are well connected via public transportation to accessible high quality, affordable housing with strong access to healthcare and educational facilities, such as daycares and schools, the report notes.
Developers and investors should consult with local resident groups to ensure that longer-term, downstream risks and consequences of occupation for the wider community are managed for multiple user types.
Among the guidelines the reports says they should create places that inspire and represent the city’s identity through cultural arts, promote green and biophilic development and cultivate a supply chain that provides jobs to local residents.
Further examples for other asset classes and stakeholder groups are available within C&W’s Reworking the Workplace Companion Guide
An inclusive city anchors a profitable investment
C&W have compiled the industry’s first and most comprehensive dataset on inclusive cities with an extensive analysis of nearly 4,000 data points.
The cities represented in the barometer are at varying stages of their journey towards more inclusive and vibrant urban environments. Instead of ranking cities by performance, the barometer measures their progress relative to these starting points, highlighting exemplary successes and providing detailed, actionable pathways for improvement.
As key players in the development, management, and evolution of inclusive cities, the real estate and construction sectors make daily decisions that shape urban spaces and influences the lives and inclusivity of communities and citizens, the report says.
C&W believe the Barometer acts as a prompt for the commercial real estate industry to challenge the social status quo, offering guidelines on integrating and enhancing social value at every decision-making stage — from individual assets to city-wide portfolios.
The report offers a definition of both spatial and environmental inclusivity. It says inclusive cities raise the quality of living through the built environment, enhance public safety and use mobility and dignified access to promote equity.
Further, inclusive cities strive to maintain liveable temperatures through sustainable urban planning and green infrastructure.
As part of the its infrastructure inclusive cities offers fair and proportionate income-to-property price ratios for housing and commercial space , fair rentals and adequate social housing.
The report says that by prioritising equitable distribution and accessibility of resources, amenities, and services, an inclusive city facilitates equitable access to opportunities for all citizens by ensuring equal access to quality housing, transportation, education, healthcare and employment opportunities.
Through a collaboration between urban planners, government, design and real estate
industries, inclusive cities strive to create thriving, vibrant and successful environments for everyone to flourish.
This growth can extend beyond organisational growth, not just for organisations, but opportunities for social mobility and entrepreneurship across the socio-economic scale.
They are also more resilient and adaptable to the changing needs and expectations of their citizens and stakeholders.
Complex factors
However, many complex and interrelated factors influence inclusivity in an urban context.
Are there high-quality jobs for all skill groups?
Can people travel safely, reliably, and cost-effectively on public transport to reach these jobs?
Are they safe leaving buildings in parts of the city late at night?
Do they face discrimination or isolation in certain parts of the city?
Controlling these factors to create inclusive cities relies on collaboration between communities, policymakers, and organisations.
Security and safety
The spin off benefit from structured inclusive cities is lower crime rates and overall safety including safety for women.
An integral part of that safety and security is enhanced by fast, low-cost public transportation resulting in less time in rush hour and a higher commuting quality of life.
Safety and security is also improved by automatic access to water, electricity and safe sanitation.
There should be easy access to quality and safe parks and recreation areas. Shade from trees in green natural spaces helps with liveable temperature levels and air pollution.
