Industry structure in real estate development: is city building competitive?
Industrial organisation has received considerable attention over time in both political and scholarly arenas focusing on industry generally and on specific economic sectors like media, telecommunications, food retailing and air transport. Real estate development is a large industry and major shaper of the built environment whose structure has implications for the form and structure of cities, for sustainability and for power relations with industry regulators. Yet, there has been remarkably little interest in, and little is known about, the industry's structure, and little exists of a quantitative nature to describe that structure. Drawing on evidence, existing literature and case study material, this article investigates the nature of the development industry structure and suggests that it is not necessarily competitive and, in some instances, can be highly oligopolistic. It discusses factors, including industry regulation (planning), that may shape structure. This discussion further suggests that the industry is not competitive and that it is likely to concentrate further.
Urban Policy & Research
Housing Markets, Development, Management
History and Theory of the Built Environment (excl. Architecture)