HousingCairo Fromsmall-scaleinformalhousingconstruction tosemi-professionalspeculativeurbanschemes. 1 CharlotteMalterre-Barthes 1 ETHZ/ArchitectureDepartment,ChairofMarcAngélil,Neunbrunnenstrasse50,8050Zürich, [email protected] ViewoverArd-el-Liwa,Cairo(©LorenzBürgi) ABSTRACT(max.250words) Approximately60%ofthetwentymillioninhabitantsofthebiggestcityontheAfricancontinentarelivingin so-called informal housing. Up to fifteen-story concrete and brick-infill constructions, these housing settlements in Cairo are considered informal because they were built without permits, mostly on former agrarian land. While the phenomenon is not new, the pace of illegal constructions on fertile areas at the capital’sfringeshasacceleratedsincethe2011revolution.Markedbyincrementalconstruction,settlements predominantlyfollowpropertylinesandthecontoursoffeddans–thebaseunitofagriculturalfieldsinEgypt, 1 1 narrowstripoflandof100-300meterslongand6-17meterswide,framedbyirrigationcanals. After2011, illegaldevelopmentsaccelerated–apossibleconsequenceofthepowervacuumleftfollowingthecollapseof therulingregime.Therearenoimpedimentstothemechanismsofpresent-dayurbanization,whichdestroys thousands of hectares of arable land. Considering the absence of any form of control, incremental and selfbuilt construction has evolved into a neoliberal speculative scheme. New semi-legal construction firms are currentlyengagedinanunderhandedproductionofarealestatestocktobesoldillicitly,butnonethelessin plain sight. This profitable mode of illegal construction is noticeable in the transformation of housing typologies,evolvingfromself-built,low-risestructurestosemi-professionallybuilt,fifteen-storytowersbought as securities on the market within the framework of a grey economy. Informal construction at this stage of development points to the manner in which capital and financial forces have penetrated into what was normallyasmall-scaleandself-builtformofurbanproduction. KEYWORDS(upto5) Informalhousing,self-built,politicaleconomy,Cairo,Egypt AUTHORBIOGRAPHY:(short,notmorethan5lines) CharlotteMalterre-Barthesisanarchitectandurbandesigner(ENSAMarseille,TUVienna,ETHZ).Directorof theMasterofAdvancedStudiesinUrbanDesign(ChairofMarcAngélil,ETHZ)investigatingurbandynamicsof Cairo,shecurrentlyworksonherdoctoraldegreeonFoodandTerritories,casestudyEgypt.Co-founderofthe urban research office OMNIBUS, she lectured and taught workshops at the AA, the Storefront for Art and Architecture,Hong-KongUniversity,andFCL-Singapore.SheiseditorwithMarcAngélilof“HousingCairo:The InformalResponse”(RubyPress). 1 GalilaElKadi,"L'articulationDesDeuxCircuitsDeLaGestionFonciéreEnEgypte:LeCasDuCaire,"inHousingAfrica's UrbanPoor,ed.PhilipAmis,PeterCuttLloyd,andInstituteInternationalAfrican(Manchester;NewYork:Manchester UniversityPressfortheInternationalAfricanInstitute,1990) 2 1Introduction(max.250words) Home to approximately 60% of the twenty million inhabitants of the Egyptian capital, so-called informal housingareup-to-fifteen-storyconcreteandbrick-infillconstructionsbuiltwithoutpermits,mostlyonformer agrarian land. While the phenomenon is not new, the pace of illegal constructions on fertile areas at the capital’sfringeshasacceleratedsincethe2011revolution.InUnderstandingCairo,DavidSimsclaimsthat“in 1950 there were virtually no informal settlements around Cairo,” and that the first developments on agriculturallandappearedintheearly1960’sfollowingGamalAbdelNasser’sindustrializationpolicies.State 2 housingprogramsprovedunabletocopewiththeensuingruralmigration. Adecadelater,housingclusters were identified spreading incrementally on privately owned farmland in close proximity to existing rural villagesjustnorthofCairo.Illegalurbanizationonthecity’sedgescontinuedtothriveunderAnwarSadat’sand HosniMubarak’stermsinoffice,fueledbymarketliberalizationpoliciesandremittancesfromEgyptianmale laborersintheGulf.AftertheJanuary2011events,illegaldevelopmentsaccelerated–apossibleconsequence ofthepowervacuumleftfollowingthecollapseoftherulingregime.Consideringtheabsenceofanyformof control,incrementalandself-builtconstructionhasevolvedintoaneoliberalspeculativescheme.Newsemilegalconstructionfirmsarecurrentlyengagedinanunderhandedproductionofarealestatestocktobesold illicitly, but nonetheless in plain sight. This profitable mode of illegal construction is noticeable in the transformationofhousingtypologies,evolvingfromself-built,low-risestructurestosemi-professionallybuilt, fifteen-storytowers. 2MainText(1500words) Heart of the Egyptian economy and institutions, Cairo draws rural migration from Upper Egypt and the Nile Valley constantly since the 1970s. While Nasser’s welfare state policies saw public housing programs and promulgated rent-control laws, construction of mass housing came to a standstill after the 1967 war with Israel. Soon after, evacuees from the Suez Canal Zone and Egyptian workers from the Gulf amplified the 3 housing demand in Cairo. Under Sadat, with limited national expenditures dedicated to public housing, the taskofhousingpopulationwastransferredtoprivateinvestors,whichdidnotrespondtotheneedsoflower incomefamilies.Forthese,theformalmarketremainsinaccessible,andhousingininformalareasistheonly affordablesolution.Informalhousingisthusthelogicalresponsetoalackofbothpublicandprivatesolutions foralargemajorityofEgyptians.Informalconstruction,mostlyonformalagrarianland,isdrivenandorganized bylocalactors,whomaimtoproducestandardizedhousingatreducedcostswhilegeneratingaprofit.These actors are partaken in the entire process: pooling financial capital, buying land, sourcing materials and resources,organizingandsupervisingconstruction,andconnectingtoinfrastructures.MahmoudGad,60years 4 old,residentofArd-el-Liwa,aninformalareaofCairo,isoneoftheseactors. Fromsmall-scaleinformalhousingconstructiontosemi-professionalspeculativeurbanschemes. MahmoudGadisoriginallyfromUpperEgyptandworkedintheGulfbetween1970and1990.Withhiswages, he secured a plot of agrarian land at the edge of the upscale neighborhood of Mohandesseen in Cairo. The land was bought through a gamaya, a savings-and-credit association, for two Egyptian pounds per square 5 6 meter(atthetime,about$5)withalegalsubdivisionlicense. Thegamayahiredengineerstodrawastreet gridcomplyingwithmunicipalrules(streetwidthoftenmetersformainroadsandeightforsecondaryroads). Theaverageplotcovered150squaremeters,fromwhichthespaceofthestreetwasdeducted,leavinganet 2 DavidSims,UnderstandingCairo:TheLogicofaCityoutofControl(Cairo:TheAmericanUniversityinCairoPress,2010) SarahSabry,"AnIntroductiontoInformalHousinginCairo,"inHousingCairo:TheInformalResponse,ed.MarcAngélil andCharlotteMalterre-Barthes(Berlin:RubyPress,2016) 4 CharlotteMalterre-Barthes,"AStoryofConstruction,"inHousingCairo:TheInformalResponse,ed.MarcAngéliland CharlotteMalterre-Barthes(Berlin:RubyPress,2016) 5 Agamayaisagroupsavingassociation,asocialmechanismthatreliesoncollecting,eachmonthforoneortwoyears,a fixedamountofmoneyfromeachmember.Agroupleadercollectsthefixedsharesandholdsthefund.Thenumberof memberspoolingtheirmoneyrangesfromasfewassixtoasmanyas40,andthemoneycollectedispaidoutaslump sumsinrotationtoeachmemberofthegroup,allowingthemtofinancemajorexpenditures(landpurchases,weddings, education,etc.).Arotatingsavings-and-creditassociation(ROSCA)isbasedonbalancedreciprocityandisapopularformof informalfinanceinwhichallmembersarebothsaversandborrowers. 6 Atthetime,thepoundwaspeggedtotheUSdollar;ithasfloatedsince1989andisworthroughly$0.12today. 3 3 surface of 125 square meters on which to erect a building. For construction on his 196 square meters plot, Mahmoudhiredacontractortoerectamulti-storybuilding.Fundsweremonthlytransferredtoacousin,who paidthecontractorincash–16,000poundsperfloor.Thebuildinghadthree60-square-meterapartmentsper floor,eachwithtwobedroomsandalivingroom.Thoughtherewerenoofficialheightregulations,Mahmoud decided on a five-story structure, which took eight months to build, one concrete slab per month plus foundations.Thefifteenapartmentswereputtorentforbetweensevenandtenpoundsamonth,respecting the rent-control laws (which applied regardless of the legality or tenure status of the unit itself), until 7 MahmoudmovedhisfamilyfromUpperEgyptintothebuilding,afewyearslater. Atthattime,AnwarSadat instigated the neoliberal policy of al-Infitah, steering away from Gamal Nasser’s state socialism and post8 colonial nationalism, opening the economy to foreign capital, and pivoting politically toward the West. As these changes were implemented, land prices everywhere in Cairo inflated. Speculation and construction emerged as the favored ways to reach prosperity, and land became the primary repository for remittances. Between 1974 and 1984, informal construction thrived, encouraged by the permissive attitude of the authoritiesandfueledbytheoilboomintheMiddleEastandtheensuingflowsofcapitalfromSaudiArabia andtheotherGulfstatestoEgypt.Thisperiodcanbeconsideredasawatershedforinformalhousing,witha shift from a construction out of need to a profit-oriented approach. Wealthy individuals bought land from farmersandsubdivideditontheirown,withoutengineersorlicenses,andignoringgovernmentalregulations. Some agrarian landlords subdivided their farmland to maximize the built-and-sold area, generating smaller streetsizes.Insteadofbuyinganetarea,purchaserswouldgetthewholeplotincludingthestreet–paying,for instance,fora100-square-meter plotfromwhichhalfastreethadtobededucted,andthusactuallygetting only70squaremeters.Thesepracticesandthelackofregulationmarkedthetruebeginningofinformality,the ‘ashwa’iyyat. When Mahmoud Gad returned from the Gulf, he got involved in the budding construction business in informal areas. Today, he defines himself as a developer-contractor. Since he has no permanent staff, he hires employees for specific contracts, purchases the raw construction material, and supervises construction. He considers real estate to be the most reliable and stable form of investment in Egypt. His newest building is representative of the formalization and capitalization processes that the informal construction industry is undergoing. With three business partners, he purchased two adjacent plots, a 500square-meter surface. He bought the agricultural land for about $200 per square meter. An engineer was commissioned to calculate the structure, and the building was completed in a year. He holds a permit approving construction on agricultural land, and the edifice complies with regulations. Authorities reviewed thestructuralplansandverifiedthesetbacksandthesizeofthelightandventilationshafts.Itisaten-story building with an elevator shaft; the first five stories are reserved for commercial use and the remaining five madeupofresidentialflats,withfourapartmentsperfloor,twooverlookingeachstreet.Atabout$200per square meter, the land cost $100,000, a sum split equally among the four business partners, who paid via lump-sum bank transfers. Each partner also contributed roughly $62,500 for construction, which cost some $250,000intotal.Eachpartnernowownsaquartershareofthecommercialfloors,oneresidentialfloor,anda flat; in total, each share is worth $225,000. Costs vary from $150,000 for the commercial spaces, and apartments’valuefrom$18,700fora90-square-meterflatwith3bedrooms,areceptionroom,andabalcony, to $20,000 for 129 square meters, or $22,500 for the largest flats on the main street. While Mahmoud will move in this building eventually, thus guaranteeing by his very presence the soundness of the structure to potentialbuyers,itappearsevidentthathisbuildingactivityisaspeculativeprocess. Transformationofhousingtypologies 7 th Rent-controllawsinEgyptdatefromtheearly20 century,whenthelandlords’righttoevacuatetenantswasfirst abolished.InthesocialistNasserera,astatutewaspassedallowingtheinheritanceofrentedunits,whichpermittedthe continuationofrent-controlimplicationsacrossgenerations.LawspassedunderSadatallowedtenantstore-rentor exchangetheunittheyoccupiedwithoutapprovalfromthelandlord.This,combinedwiththerentalinheritancelaw, markedthenear-fulleliminationoflandlords’rightsovertheirproperty,whilestillholdingthemresponsibleforits maintenance.Aftermaintainingthebulkoftheaforementionedlawsforovertwodecades,MubarakpassedRentLawNo. 4,of1996,whichexemptsunitserectedfromthatdateonwardsfromrentcontrols.SalmaMansour,"NewLaw,Old Problems:TheEgyptianRentControlDilemma,"TheChronicles-TheAmericanUniversityinCairo,(2009) 8 LeilaVignalandEricDenis,"CairoasRegional/GlobalEconomicCapital?,"inCairoCosmopolitan:Politics,Culture,and UrbanSpaceintheNewGlobalizedMiddleEast,ed.DianeSingermanandPaulAmar(Cairo,NewYork:AmericanUniversity inCairoPress,2006)99-152 4 The changes in the production processes of informal housing, and the shift to a profitable mode of illegal construction bordering to neoliberal speculative schemes are noticeable in the transformation of housing typologies, which have evolved from self-built, low-rise structures to semi-professionally built, fifteen-story towers.Initially,housingstructuresfollowedasimpletypologyofconcreteframesandbrickinfill,withstreet patternsregisteringagrariansubdivisions,generating‘urbancanyons’.Urbangrowthwasrelativelytimidand buildingswereplacedatadistancefromthemainroadascontractorsaimtoconcealillegalhousingfromthe authorities’attention.Buildingswere,atfirst,single-housetypesandmultistoryapartmentbuildings,much likeMahmoudGad’sfirsthome,withatypicalbuilding’sfootprintvaryingfrom75to125squaremeters, and one or two small apartments per floor. This corresponds to what urban researcher Davis Sims identifiesasthe“classicalinformal,” characterizedbysimplebrick-and-concreteconstructionofoneandupto 9 7 floors –the maximum acceptable height to be reached without a lift. This is currently still the prevalent typologyintheseareas.Itisoftenabuildingcommandedbyafamily,hometoanelderlycouplewithoneson per floor. The structure is left open on the roof for further extension. At the other side of the spectrum, speculativeone-offtowersappearedinthemid-1990s,mainlyatthefringesofCairo.Thetowertypologyhas amuchlargerfootprint,from250upto450squaremeters,withlargerapartmentsandseveralunitsper 8 floor. Unlike the plain apparent brick and concrete aspect of the simple types, towers are plastered and paintedinbrightcolorstofacilitatesellingandrental.10Buildingshaveupto15floors,andifinhabited,are equippedwithlifts.AftertheJanuary2011eventsandthecollapseoftheregime,contractorsgrewconfident andmoreupfrontwithspeculativeillegalconstructions.Hightowerswithbalconiesandornamentalfacades appeared along Cairo Ring Road. Units bought as securities on the market within the framework of a grey economy, these dwelling have owners, yet they often remain unoccupied, materializing their speculative nature. This new typology shows the penetration of market forces with larger investments operating in a neoliberalmode,withcontractorsandinvestorsengagedinanunderhandedproductionofarealestatestock tobesoldillicitly,butnonethelessinplainsight. 3Conclusion(max.500words) Informalconstructionatthisstageofdevelopmentpointstothemannerinwhichcapitalandfinancialforces havepenetratedintowhatwasnormallyasmall-scaleandself-builtformofurbanproduction.Whatemerged in the 1970s as the popular response to public incapacities to provide affordable housing solutions to lower classes in Egypt has evolved into a classic market processes, tending towards formal modes of real-estate investment.Whilethe‘classicinformal’typestillprevails,the‘tower’typeisthearchitecturalsignofamarketorientedlogic,onethatmightturninformalconstructionintoamoreformalizedprocess.Towersmaterializein mannermoreobviousthenthemorediscreettypestheillegalaspectofinformalconstruction.Thisblatancy might force authorities to take action. While it is know that many public policies attempting to combat 11 informalconstructionhavebeenimplemented,nonewasabletolimittheircontinuousexpansion. Another directioncouldbeexplored,thatoflegalization.Currently,intermsoftenure,buildingsininformalareasare notfullyregisteredasbuiltonthemunicipalcadaster.Atthemomentoflandpurchase,asignedchange-ofownershipcontractisbroughttothenotarypublictobecertified.Buildingsininformalareasarenotofficially registeredandarethusexemptedoflandtax.Thisrepresentsanuntappedresourceforthenationalbudget, whichcouldbeexploited,providingthatinformalareaswouldbelegalizedandbenefitfrompublicservices.In short, the emergence of speculative typologies, with an architecture similar to that on formal markets, is pointing towards a possible dismissal of the current dichotomy between formal and informal, and for the recognitionoftheseareasasinherentlypartofthecity. Acknowledgement TheauthorthanksMahmudGad,HanaaGadandCLUSTERfortheirhelpandsupportduringfieldwork. 9 Sims,105. MariaKouvariandHeechulJung,"ANewVernacular.Typology,Construction,andAesthetics"inHousingCairo:The InformalResponse,ed.MarcAngélilandCharlotteMalterre-Barthes(Berlin:RubyPress,2016). 11 ZoiAlexandropoulouandMarilenaFotopoulou,"WaronInformality:GovernmentalPoliciesagainst‘Ashwa’iyyat"in HousingCairo:TheInformalResponse,ed.MarcAngélilandCharlotteMalterre-Barthes(Berlin:RubyPress,2016). 10 5 GraphicWork,Images 01) Transformation of typologies: From small-scale informal housing construction to semi-professional speculativeurbanschemes.(©DrawingsbyMariaKouvariandHeechulJung,withCharlotteMalterre-Barthes, in "A New Vernacular. Typology, Construction, and Aesthetics " In Housing Cairo: The Informal Response, editedbyMarcAngélilandCharlotteMalterre-Barthes.Berlin:RubyPress,2016.) 6 02)‘Classicalinformal’typology:Earlyconstructionstageofatypicalbrickandconcretebuildingononeplot, Ard-el-Liwa,Cairo(©MASUrbanDesign) 7 10.00 m 4.50 m (2) 2.90 m (2) 4.00 m 2.65 m (3) (4) (1) (1) Living-room (2) Bedroom (3) Kitchen (4) WC-bathroom 1.15 m 7.90 m 3.10 m 03)‘Classicalinformal’typology:Architecturalrepresentation.Homeforanelderlycoupleatgroundfloorand theirfamily,withonesonperfloor,plusopenroofforfutureexpansion.(©‘Abdullah’sbuilding,inHousing Cairo: The Informal Response, edited by Marc Angélil and Charlotte Malterre-Barthes. Berlin: Ruby Press, 2016.) 8 04)‘Tower’typology:Plasteredandornamentedfaçadewithbalconies,12storeysstructure,Ard-el-Liwa,Cairo (©MASUrbanDesign) 9 41.00 m 1.00 m 20.90 m 05)‘Tower’typology:Architecturalrepresentationofa12storeystower,locatedinadense urbanfabric.(Hanaa’sBuilding©MASUrbanDesign) 10 References Alexandropoulou,Zoi,andMarilenaFotopoulou."WaronInformality:GovernmentalPoliciesagainst ‘Ashwa’iyyat"InHousingCairo:TheInformalResponse,editedbyMarcAngélilandCharlotte Malterre-Barthes.Berlin:RubyPress,2016. ElKadi,Galila."L'articulationDesDeuxCircuitsDeLaGestionFonciéreEnEgypte:LeCasDuCaire."InHousing Africa'sUrbanPoor,editedbyPhilipAmis,PeterCuttLloydandInstituteInternationalAfrican,103117.Manchester;NewYork:ManchesterUniversityPressfortheInternationalAfricanInstitute,1990. Kouvari,Maria,andHeechulJung."ANewVernacular.Typology,Construction,andAesthetics"InHousing Cairo:TheInformalResponse,editedbyMarcAngélilandCharlotteMalterre-Barthes.Berlin:Ruby Press,2016. Malterre-Barthes,Charlotte."AStoryofConstruction."InHousingCairo:TheInformalResponse,editedby MarcAngélilandCharlotteMalterre-Barthes.Berlin:RubyPress,2016. Mansour,Salma"NewLaw,OldProblems:TheEgyptianRentControlDilemma."TheChronicles-TheAmerican UniversityinCairo,(2009):40-43. Sabry,Sarah."AnIntroductiontoInformalHousinginCairo."InHousingCairo:TheInformalResponse,edited byMarcAngélilandCharlotteMalterre-Barthes.Berlin:RubyPress,2016. Sims,David.UnderstandingCairo:TheLogicofaCityoutofControl.Cairo:TheAmericanUniversityinCairo Press,2010. Vignal,Leila,andEricDenis."CairoasRegional/GlobalEconomicCapital?"InCairoCosmopolitan:Politics, Culture,andUrbanSpaceintheNewGlobalizedMiddleEast,editedbyDianeSingermanandPaul Amar.Cairo,NewYork:AmericanUniversityinCairoPress,2006. 11
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