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Old Posted Dec 8, 2010, 4:11 AM
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jlousa jlousa is offline
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The issue with pre-zoning is it doesn't necessary increase the cases of things getting redeveloped. It certainly speeds up the process though for the projects that do advance. But what happens is as soon as you pre-zone that property is now worth significantly more and the potential profit for the developer has been greatly reduced. It also pisses off existing owners, as although their property is now worth more, they are now also paying taxes on that new valuation regardless of if they intend to redevelop or continue using the property as is. The city also loses out big time as there is no land lift to share. The cities portion of land lift is what pays for amenities like community centres and libraries, more so then DCLs which get eaten up by everything citywide.
There isn't really a case of one being better then the other, but it's fair to say the city prefers the rezoning process as they can negotiate more out of developers, while developers tend to favor pre-zoning but not always.
I'll have to admit as a citizen we are better served by the rezoning process even if it takes longer, the city improves more.
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