add site
services
publishers
database
health videos
toolbar
stats
live show
health store
more stuff
JOIN/LOGIN
| advertise add site services publishers database health videos
| | about toolbar stats live show health store more stuff JOIN/LOGIN |
CAOHC | OSHA Stakeholder Meeting on Construction Industry caohc.org | Construction - Inappropriate Use of Drugs & Alcohol in the Construction medscreen.co.uk |
 In recent years, Iran's construction market has been thriving due to an increase in national and international investment to the extent that it is now the largest in the Middle East region. The Central Bank of Iran indicate that 70 percent of the Iranians own homes, with huge amounts of idle money entering the housing market. [1] [2] The annual turnover in the construction industry amounts to US$38.4 billion.[3] Statistics from March 2004 to March 2005 put the number of total Iranian households at 15.1 million and the total number of dwelling units at 13.5 million, signifying a demand for at least 5.1 million dwelling units. Every year there is a need for 750,000 additional units as young couples embark on married life.[4] At present, 2000 units are being built every day although this needs to increase to 2740 units. In addition, Iran’s geographical position over a seismic belt necessitates the reinforcement and renovation of housing. This is possible only through a boom in real-estate development and foreign investment. Restoration of old buildings is one of the priorities for the Government of Iran. Estimates show that about US$143 billion needs to be allocated in the next 10 years for restoration of 14,000 meters of critically decaying buildings.[5] The government will earmark 11.5 percent of the funding while the rest will be supplied by public investment and bank loans (2007).
[edit] History For a decade after the revolution, the land question, especially in cities, was among the most contested issues in the Islamic Republic. The collapse of state authority, coupled with the populist convictions of the new regime and spontaneous popular land occupations labeled as “revolutionary housing,” led to the dramatic expansion of cities. Tehran doubled in size within two years, and Ahvaz tripled in area from 9 to 29 square miles. But only a small fraction of this geographic expansion was confiscated private land. The rest, more than 90 percent of the total distributed, had been public land. From 1979 to 1993 nearly half a million hectares of predominantly public unoccupied land was converted into private and cooperative residential property. New state institutions like the Urban Land Organization and the Housing Foundation played the key role in this massive transfer of property. By the mid-1980s more than 60 percent of all urban residential land transactions were being allocated by the state.[6] This large-scale transfer of mostly public land, coupled with the absence of enforceable regulation, transformed Iran’s urban geography. Between 1979 and 1982, 75 percent of all new construction in Tehran occurred outside the formal city limits, where satellite villages were transformed into sprawling suburbs. Remarkably, by 1986 urban housing stock had doubled, as Housing Ministry surveys showed that more than half of all urban dwellings in the entire country had been built after the revolution. It was private individuals who built these 2.3 million new units. The state merely transferred the public land into private hands; its share of investment in housing construction (affordable or otherwise) was less than 2 percent of the total after the revolution.[7] [edit] MarketSee also: Demography of Iran  The housing industry is one of the few segments of the Iranian economy where state capital shares as little as two per cent of the market, and the remaining 98 per cent is private sector investment. There is little red tape or hurdles and, as a result, through launching mass development projects, the use of new technologies and fast-pace project execution, a larger portion of the housing market is accessible. This is also true for new construction materials and technological advances. Thousands of foreign firms, mainly Chinese or European, have established agents in Iran or partnerships with domestic manufacturers, both investing directly in the housing market and targeting other Persian Gulf markets. Around 3 to 6 percent of housing units constructed yearly are solely for renting purposes. Around 20 percent of housing units in urban areas are rented. The average increase in house prices has been around 20 percent over the past ten years with a peak reached between 2006 and 2008.[8] In terms of investment, the rival markets of real estate market are gold and car. The average size of housing units has been around 80 square meters over the past five years. [9] [edit] Mehr Housing SchemeThe Central Bank of Iran has allocated 24 trillion rials ($2.4 billion) in loans for the implementation of Mehr Housing Scheme (2009).[10] Under this scheme real estate developers are offered free lands in return for building cheap residential units for first-time buyers on 99-year lease contracts. The government then commissioned agent banks to offer loans to the real estate developers to prepare the lands and begin construction projects in an attempt to increase production and create equilibrium in the supply and demand curve (2008). Close to 400,000 units have been built and permits have been issued for another 12,000.[11] About 3.7 million people have so far registered for Mehr Housing Plan (2008). About 10 million rials is to be paid by applicants for preparing the land and another 10 million to be given by the government in the form of banking facilities. Applicants should pay about 20 percent of the construction costs. In addition, about 140 million rials worth of housing loans will be granted to them (10,000 rials=1 USD in 2008).[12] [edit] Facts & Figures (2003)Construction is one of the most important sectors in Iran accounting for 20 – 50% of the total private investment. One of the prime investment targets of well off Iranians as tangible. [edit] Housing
[edit] Industry
[edit] Government
[edit] Construction MaterialSee also: IMIDRO
[edit] Problems
[edit] Latest development
[edit] Opportunities for foreign companiesSee also: Foreign Direct Investment in Iran
The Iran construction market is potentially ripe for the import of construction material to accommodate local demands. According to the statistics presented by the Iran Imports Book, which is published by the Islamic Republic of Iran Customs Office, Iran’s major imported items include:
Other imported items are: glass, timber flooring, lighting, paint, electrical and electronic fittings and accessories, lock, key hardware and aluminum for façade design. [edit] See also
[edit] References
[edit] External links
|
| ↑ top of page ↑ | about thumbshots |
