Betterment capture for social redistribution: A developer obligation for touristic developments

This article presents the results of a research project on design particular value capture instrument in form development obligation. has been modelled to part betterment engendered by tourism-oriented plans. The subsequently explores potential applying this levy interest social goals, thus complementing traditional municipal funding sources. concept is applied Urban Zoning Plan Planning Unit 11 municipality Lagoa, located Algarve, Portugal. It tries overcome several gaps and contradictions identified literature planning practices different instruments diversified urban contexts. These shortcomings refer to: (i) uncertainties as why land rises; (ii) undefined thresholds between profit; (iii) classification whether tax or an wealth redistribution; (iv) application captured value; (v) dilemmas private property rights citizens’ over betterments due public decisions; (vi) regulation versus free market operation; (vii) responsibilities, benefits obligations individuals development; (viii) design, execution well risks instruments. adds specific requirements enforced Portuguese Land Act regarding economic financial sustainability development. based objective, reliable, comparable data. data organised into management information system which supports flexible continually updatable model assess decisions. easily generalizable other Finally, proposed achieve goals assessed against background factors such fiscal challenges currently faced municipalities, rising importance increasingly stakeholders their awareness issues