The characteristics of urban village in Shenzhen

The characteristics of urban village in Shenzhen:

Due to the advanced economy and high rental income, the urban villages in Shenzhen have some unique characteristics.

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First, the number and the scale of illegal buildings are large, and the growth is rapid (Yin, et al, 2009). According to the statistics of Shenzhen Municipal Government, at present, there are more than 300,000 private houses in urban villages inside and outside the Shenzhen Special Economic Zone, and there are over 2 million rental houses. If one house covers 100 square meters and the average five floors are calculated, the floor area of 300,000 private houses in urban villages will be more than 150 million square meters and each person will live 10 square meters. The actual population may be more than 8 million, excluding the houses that are occupied by landlords and empty.

Secondly, the building density is high, the floor is high, and the floor area ratio is high (Yin, et al, 2009). At present, Shenzhen, especially inside the SEZ, the building density is generally high. Some villages have a construction rate of more than 90%, with an average of 7-8 floors, even have 15 floors or more, and the floor area ratio even reach to 6, which is much higher than the 40% building density specified in the Shenzhen Urban Planning Standards and Guidelines, and the floor area ratio is 2.1 (Lv and Zhou, 2006).

The third is that there is a great profit. At present, the average rent per square meter of rented houses inside the SEZ is about 18-25 Yuan (Research group of Shenzhen Academy of Social Sciences, 2004). The rent of a 700-square-meter is around 13,000 Yuan per month and the owners will earn 150,000 a year. If the private house is close to the main street, the rent of the first-floor shop is several times than the rent of the private house, and the total income of one-year rent can reach more than 200,000 Yuan. The cost of building a 700-800 square meters settlement is around 400,000 to 500,000 Yuan, which means they can get cost recovery in three to 5 years.

The paper will illustrate two urban villages in Shenzhen and examines how formal and informal intuitions help and deter regime building in the course of redevelopment. Yunong Village, and Gangxia Village have received wide attention in discussions on Shenzhen’s urban village redevelopment.

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