New instruments for capital gains capture: Experiences in the northwest corridor of the Rosario Metropolitan Area

Abstract

Latin American cities have undergone rapid urbanization, characterized by private investments that advanced on rural land and permissive regulations, increasing the valuation of the land. In the northwest corridor of the metropolitan area Rosario, Argentina, excessive and dispersed growth has been recorded due to the economic boom, particularly in the agricultural sector and focused on the construction industry at the beginning of the 21st century. There, large plots with landscape value were offered for new residential typologies. However, the need arises for municipalities to finance the required public investments. The research aims to analyze the value capture mechanisms in the corridor. The methodology is based on content analysis of written documents (research papers, census data, news and regulations) and graphics (satellite images) for the preparation of urban expansion plan, added to semi-structured interviews. The results show that both population and built-up areas have tripled. Additionally, since 2019, mechanisms to capture value have been implemented, identifying the amount and destination of funds in Funes and Roldán, sparking a debate over whether they should be allocated to public works or general expenses. In summary, the implementation of the instrument strengthens municipal finances and promotes equitable urban development, but requires an integrated and transparent management to ensure access to infrastructure and facilities.