20850 - SUSTAINABLE URBAN REGENERATION

Innovation in the use and functions of urban space is an engine of economic growth and well-being. Shaping the development and re-development of cities affect also social inclusion and environmental dimensions. Urban regeneration allows reorganization and upgrade of abandoned or degraded areas or not answering to emerging needs induced by socioeconomic transformations. Urban regeneration is determinant in attracting investments, developing infrastructures and services, and impacting quality of life for a large share of population in developing and developed countries, embedding sustainability principles to improve the use of resources, circularity, resilience, liveability, and quality of life. The course aims to provide knowledge and instruments to design and assess urban regeneration processes and projects considering the perspective of different stakeholders, such as developers, financial operators, investors, asset managers, and public institutions, with the aim to measure business performance and social value. The course has an interdisciplinary cut, focusing on management, economic and financial dimensions of urban regeneration, including urban planning and policy concepts. Research knowledge developed by the SUR Lab of Bocconi University will be made available to students in collaboration with corporate partners operating in real estate. Site visits and internships will be also organized with their support.

Sustainable urban regeneration can be defined as “regeneration actions, policies and processes within a city, which address interrelated technical, spatial and socioeconomic problems in order to reduce environmental impact, mitigate risks, and improve quality of urban systems, lifestyles, and assets” (URBACT, 2015). Urban regeneration can trigger and contribute to sustainable urban development, provided that sustainability is deeply and fully integrated into the design, management, financing, monitoring, and operation of urban regeneration projects, with the overall aim to create value for the private sector, and for society at large. From this perspective, the evolution towards net-zero buildings and districts provides a significant contribution to climate goals.

Students will identify business and financial models for urban regeneration, and apply ESG criteria to assess impacts and social value-creation mechanisms.

The course will make use of international case studies, involve site visits to iconic projects, and host representatives of key players in urban regeneration. Project works, group assignments, and class discussions, applied to specific real cases, will complement lessons.

The course is structured into teaching modules: 

1. Global urbanization trends and the key role of cities in sustainable development

The aim is to frame the main challenges and opportunities linked to urban development considering worldwide urbanization dynamics. Drivers and challenges of urban sustainability will be analyzed in the context of the Agenda 2030 framework.

2. Planning, regulatory, and economic-financial instruments for sustainable urban regeneration

Approaches for urban regeneration will be investigated through case studies taking into consideration all relevant stakeholders and key phases of the process. The use of urban planning, regulatory, and economic-financial instruments will be assessed in relation to different contexts and conditions.

3. Assessing the impacts of urban sustainable regeneration projects: criteria and indicators

Urban regeneration can improve the quality of life in cities generating impacts on economic, environmental, and social domains. Protocols, certification standards, and indicators to evaluate the sustainability of urban regeneration projects will be considered within an ESG approach.

4. New paradigms and models for sustainable and inclusive urban regeneration

In a sustainable, smart, and inclusive city perspective, several dimensions of urban regeneration have to be considered, such as energy efficiency and decarbonization, resilience, nature-based solutions, sustainable mobility, circularity, and social inclusion.

5. Sustainable business models for urban regeneration

The role of actors involved in the supply chain will be assessed, also in connection with innovative management solutions. The relationship between institutional and business actors to mitigate risks, enhance social value, and enact value-capture mechanisms will be considered.

6. Asset management and valuation of urban regeneration projects

Land and property appraisal approaches will be analyzed to assess real estate assets and the impact of urban regeneration on them.

Intended Learning Outcomes (ILO)

• Understand the role of cities in global dynamics and the main drivers of sustainable urban development;
• Identify and assess the main elements of sustainable urban regeneration projects, considering their impact on the environment and society;
• Evaluate key phases, actors, and mechanisms that operate in urban regeneration projects to create value;
• Assess business models for sustainable urban regeneration;
• Get acquainted with an ESG approach to account for the value created by urban regeneration projects;
• Understand approaches to involve stakeholders and promote co-design solutions;
• Assess sustainability in asset management and evaluation of urban regeneration projects.

• Interpret urban dynamics;
• Assess the key elements of sustainable urban regeneration processes;
• Valuate the private and social impacts of urban regeneration projects;
• Design policies for sustainable urban regeneration;
• Define business models for sustainable urban regeneration;
• Apply ESG criteria to assess urban regeneration;
• Apply approaches and techniques for asset valuation.

• Face-to-face lectures
• Guest speaker's talks (in class or in distance)
• Company visits
• Exercises (exercises, database, software etc.)
• Case studies /Incidents (traditional, online)
• Individual assignments
• Group assignments
• Interactive class activities on campus/online (role playing, business game, simulation, online forum, instant polls)

Guest speaker's talks

Designers, developers, and investors involved in iconic worldwide urban regeneration projects will give talks on their projects. Representatives from international organizations (The World Bank, OECD) will also provide testimonies.

Case studies /Incidents (traditional, online)

Case studies of urban regeneration will be analyzed in class to apply concepts and instruments.

Group assignments

Group assignments will be provided in class to develop and evaluate urban regeneration projects and processes. A project work will be developed, in cooperation with developers and real estate operators (such as Hines Italy) throughout the whole course applying an ESG approach to assess value generated by an exemplary project.

Interactive class activities (role playing, business game, simulation, online forum, instant polls)

Interactive activities will support the advancement of the course. Visits to iconic urban regeneration sites will be organized to meet key players and observe generated impacts.

Final written exam (50%) aims to assess the level of appraisal related to economic, social, and environmental evaluation of urban regeneration projects and processes, business and financial models in real estate markets, and the application of ESG criteria.

Group assignment (30%): students will carry out project work throughout the whole course, related to exemplary urban regeneration cases dialoguing with planners, designers, developers, and other relevant stakeholders to assess ESG impacts and creation of social value under the professors’ supervision.

Active class participation (20%).

Final written exam (100%) aims to assess the level of appraisal related to economic, social, and environmental evaluation of urban regeneration projects and processes, business and financial models in real estate markets, and the application of ESG criteria.

Teaching materials will be communicated at the beginning of the course.

Roberts, P. (2017). "The evolution, definition and purpose of urban regneration". Roberts, P., Sykes, H., Granger, R. (ed.) Urban regeneration. Sage. pp. 9-43

Amirtahmasebi, Rana; Orloff, Mariana; Wahba, Sameh; Altman, Andrew. 2016. Regenerating Urban Land: A Practitioner's Guide to Leveraging Private Investment. Urban Development. World Bank, Washington.  pp. 88-124 and pp. 285-312

Brueggeman, William B. (2011). Real estate finance and investments / William B. Brueggeman, Jeffrey D. Fisher.—14th ed. New York : McGraw-Hill Education Part 1 pp. 1-41 and Part 2 pp. 508-573

Berry, J., McGreal, S., Deddis, B. (2011). "Urban regeneration: property investment and development". Taylor and Francis. pp. 50-76 and pp. 144-160