Urban recycling is a process of a physical, social and cultural transformation of a city.
“The present day urban recycling are mainly activities that consist in retrieving the full potential of land or a facility. In case when an existing facility does not meet applicable requirements, such as the ESG policies, the process of urban recycling may mean its demolishing. At present, the ESGs – environmental, social and corporate governance factors – are particularly vital indicators that help companies report the activities that are impossible to be directly translated into typical economic indicators. Such facilities may be outdated industrial installations, dormient commercial and industrial facilities or residential and office facilities built decades ago. At INWI, we can identify the right way that an investor should follow – whether a given facility can be modernized and its function restored, or rather some more radical steps should be taken. Thus we deliver to our customers the solutions that are tailored to their needs”, says Michał Niczewski, an INWI architect.
Besides regular urban recycling, processes related to land revitalization are emerging:
Land recycling includes both land densification and recycling as such. And thus land recycling is understood in a broad sense and encompasses three elements: building a compact city as well as grey and green land recycling. The level of land recycling in relation to the total land use is shown by the so-called land recycling indicator. The total land use is understood as all land use processes.
There are a few ways of applying urban recycling processes. One of them is the adaptation of vacant buildings, whose presence in the urban fabric has increased (for example in Katowice and Łódź, respectively 17% and 20% of vacant office buildings were recorded in 2021) and continues to stay on a high level. Obviously, some vacant buildings are to be demolished, although the process is not economically optimal. More and more frequently the adaptation of facilities to completely new purposes is being considered, which contributes to their value increase.
A great example of urban recycling activities is the French developer Novaxia. In 2022, Novaxia purchased real property assets that may potentially undergo recycling into residential units within a short-, mid- or long-term perspective. The total amount allocated for that purpose by the company amounted to nearly 550 million EUR. France is one of three European countries, following Finland and Malta, with the highest rate of land recycling.
“At INWI, we have been paying attention to sustainability and sustainable construction since the very establishment of the company. Our mission is to initiate ambitious projects in order to facilitate the development of the city and improve the living standards of its residents. We combine business with social, cultural and historical values. We appreciate the needs of urban residents and communities that we take into consideration in all of our business activities. At INWI, we identify risks – but most of all opportunities, for which we find place in the investment process. Urban recycling and land recycling are notions that we have been managing for years. We find new, more beneficial functions (in business terms) for localizations that have lost their original significance. We give new applications to such facilities, setting the previously inaccessible capital free. Our experience in land and facilities transactions enables us to identify the opportunities I mentioned and thus we can maximize profit and offer satisfactory benefits to our customers,” says Daniel Radkiewicz, the CEO of INWI.