Creating inclusive cities through the successful implementation of land value capture in South Africa

Abstract

South Africa faces significant infrastructure backlogs, worsened by fiscal constraints and legacy inequalities in spatial planning. This study investigates how Land Value Capture (LVC) can serve as a viable funding mechanism to support infrastructure development and promote inclusive urban growth. Drawing on qualitative insights from municipal experts in Johannesburg and Tshwane, the research identifies key challenges limiting LVC implementation, including lack of awareness, policy gaps, legislative ambiguity, and weak interdepartmental coordination. Despite these barriers, there is institutional enthusiasm and recognition of LVC’s potential. The study proposes practical guidelines ‒ such as legislative refinement, policy development, awareness-building, PPP promotion, and financial ring-fencing ‒ to facilitate effective LVC adoption. Ultimately, the paper argues that integrating LVC into municipal planning frameworks can help redress spatial injustices, enhance infrastructure delivery, and build more sustainable, inclusive cities.