Blog 1 – Capturing the Financial Backbone of Urban Design
Capturing the Financial Backbone of Urban Design
No matter how grand and beneficial the vision or objective of an urban development project is, its success in terms of delivery and long-term management relies heavily on sustainable financial funding. While this may sound bleak, the fact remains that without adequate and appropriate funding sources, no project can be brought to fruition. Moreover, this topics regarding the financial funding is rarely touched upon in academic teachings, and is often only to be experienced and realised through practical experience. As such, young graduates often enter the field of practice as brilliant and optimistic design thinkers, filled with expectations to make a change in the world, only to be confronted with the harsh realities of financial constraints: the question asked – where do you get the budget?
It is apparent that a well-planned financial strategy is a key component for ensuring on-time project delivery with promising quality and high standards, whilst supporting the maintenance and growth of the development over time, allowing the project to fully achieve its vision and adapt to future needs and climate challenges. There is a vast range of funding schemes, programmes and sources from both the public sectors (i.e., local or national government and city councils etc.) and private sectors (i.e., non-profit organisations and developers etc.); therefore, it becomes critical to consider who to approach and how to seek adequate financial support and attract future investments for the project’s longevity.
To begin, urban design and planning development involves a diverse array of stakeholders, each with their own interests, motives, priorities and values (Carmona et al., 2002). Certainly, mapping and identifying relevant stakeholders is the critical first step to align project goals and tailoring funding proposals effectively. Understanding the dynamics between stakeholders is essential to create meaningful dialogues and address specific issues to reach a compromise. In the case of a recent urban development proposal, Blue Green Newcastle, objectively a flood management project, which takes the partnership approach, has sought Environmental Agency, Northumbrian Water and Newcastle City Council. The project aligns with shared values focused on addressing the climate crisis, reducing long-term water management costs, and creating a climate-resilient city.
Optimistically, despite the different ways and forms, all key stakeholder groups recognise the importance of high-quality urban development. They share a common goodwill and aspiration for improvement, often motivated by the potential social, economic, environmental benefits that a well-executed urban design can offer (Carmona et al., 2023). Therefore, it is a matter of not only the design needs to be evidently supported and thoroughly researched, but also how the project is packaged and presented to the wider audience. Effectively promoting and showcasing the project’s value through various means is crucial for appealing and incentivising funding support.
Presented in Blue Green Newcastle, the project cannot be framed as just a flood management proposal, it needs to be positioned as a placemaking initiative that goes beyond the technical needs and requirements (Newcastle City Council, n.d.). In order to appeal to investors and public audiences, the project needs to be illustrated in a manner that captures the visual and experiential impact on the city, and how it will benefit the local communities and businesses. In terms of money talks and securing funding, the critical considerations lie in justifying the balance between unforeseeable costs from future damages and sunk costs from development; demonstrating both the immediate returns and long-term benefits of the investment. The proposal therefore needs to be evidently proved with facts and figures to instil confidence in stakeholders and attract future investors.
With the success of a similar award-winning climate resilient urban design scheme, Grey to Green Sheffield, along with the growing awareness and advocacy for the sustainability agenda, there is a significant opportunity for urban development projects to source and secure financial funding and support. The Grey to Green initiative becomes an exemplar precedent, showcasing effective funding strategies and providing a good estimation of cost and budget, and outlining the social, economic and environmental benefits of green infrastructure. More importantly, it helps to establish and foster a shared ambition and aspiration at a national level, to minimise public criticism, reducing administrative and procedural obstacles, thereby increasing the likelihood of successful project delivery. Lastly, it paves the way for bolder and innovative urban development (such as The Ouse Burn Way Initiative) in the future, provided that all aspects of the designs are thoroughly considered and aligned with present needs, and project management is well-planned.
References
Carmona, M., De Magalhães, C. & Edwards, M. (2002) ‘Stakeholder Views on Value and Urban Design’, Journal of urban design, 7(2), pp. 145–169.
Carmona, M., Gabrieli, T. and Bento, J. (2023) ‘Bridging the Design / Finance Divide: Adding “design strings” to the Finance of Urban Development’, Journal of Urban Design, 28(6), pp. 597–622.
Newcastle City Council (n.d.) Blue Green Newcastle: Challenge or opportunity? Available at: https://new.newcastle.gov.uk/planning-building-development/flood-management/newcastle-blue-green-city/blue-green-newcastle-challenge-or-opportunity (Accessed: 31 October 2024).
