Housing Access and Affordability

The rapid growth of city population has led to a phenomenal increase in housing demand in
the city. The housing market of the city consists of five tenure groups – owner occupied,
private rental, rent free, squatters and slums. Physically, housing has extended from makeshift
arrangement and permanent houses. Dhaka City has a very high proportion of poor population
(65%) and as such affordability of housing is significantly affected by the income distribution.
The access of poor to housing is constrained by high land and material prices. In one study
(DMDP, 1995), it has been observed that the first quintile of city household has zero
affordability to housing; the second quintile can afford Tk. 140 to Tk. 300 per month; the third
quintile can afford Tk. 300-400 per month; the fourth quintile of household can afford Tk. 480
to Tk. 600 per month and the fifth quintile of household can afford Tk. 1000-2500 per month.
Only 3.85% of household can afford above Tk. 2500. The affordability indices of Dhaka City
imply that the govt. has to play the role of both provider and facilitator/enabler for different
income groups.

Apartment/Real Estate Development in Dhaka City

Three decades back the city dwellers were reluctant to live in flats while ten years back some
one would have thought twice before buying an apartment/flat. But in the last couple of years
people have shown an increased interest in owning apartments. As mentioned earlier the main
reason is economic due to increased land cost as well as construction cost. There are also
other reasons such as reluctance of individuals to spend time and energy in house
construction, increased awareness of apartment living, and western influence. As a result
apartment-owning is becoming increasingly popular. Moreover the absentee i.e. the wage
earners in Middle East and other countries are also a major contributing factor towards the
increasing demand for apartments. As a result of increased demand, many apartment builders
have appeared in the market in recent years. Twenty years ago there were fewer than five
companies in Bangladesh engaged in developing apartments while today there are more than
200 developers. It may be mentioned here that in 1988 there were less than 20 such
developers in Dhaka. At present there are 80 such developers working in Dhaka City who are
members of REHB. But there are many other companies/individuals engaged in such
development in smaller scale and selling apartments to friends and relatives only.

Construction and Development Process

The contribution of construction industry in the Gross Domestic Product (GDP) is significant.
Over the last 15 year the Real Estate Development sector has made significant contributions to
many sectors of our economy. Since 1985 this sector has created homes for over 12000
families in the metropolitan city. Additionally, thousands of acres of land have been developed
into housing estates where lower middle and middle-income families can construct their own
dwellings.

The fact that many cement manufacturing industries have now been set up in Bangladesh is a
reflection of the impetus the Real Estate Development sector has given to our economy. In the
last decade many steel mills would have shut down had it not been due to the support of the
Real Estate Development sector. Several new mechanized construction material
manufacturing industries have recently come up due to the existence of this sector. Today
about 200 architects and consulting engineers are directly supported by this sector; over 500
graduate engineers are holding management positions in this sector and almost 2500 diploma
engineers are engaged by this sector.
The construction sector is directly linked with employment. There are both formal and informal
building firms, who undertake works. In the period 1985-90, this sector contributed more than
5.55% in GDP. It is estimated that about 1.77 million man/ year in 1994/95 (according to
Fourth Five year plan) were engaged in this sector. A large number of companies/firms in
Dhaka are engaged in construction activities.

Contribution of construction industry may be summarized as:

· Construction industry generates huge formal and informal sector employment. This fact
needs to be remembered more generally while policy making.
· Income redistribution through employment generation, skill upgrading, favorable financing for
low-income housing, capital spending for large-scale civil engineering works, all contribute to
redistribution of national products downwards (social justice component).
· On-the-job skill acquisition frequently leads to further specialization, both in the construction
sector and in serving other industrial sectors. Skill generation is thus possible by construction
industry.
· The low-income population, after the provision of shelter and civil infrastructure, feel morally
upgraded (direct contribution to labor productivity). It has also been observed that improved
dwellings are frequently transformed into some sort of informal economic production units.
Improved road systems make commodity outputs of small units more easily accessible.
Construction industry thus contributes to higher productivity.

The construction sector directly relates to employment, power and transport sectors. The
construction industry is a very labor intensive, providing many jobs for skilled, semi-skilled and
unskilled workers both in the formal and informal sectors. The informal sector also employs
many people in construction industry. For the migrants from the rural areas the construction
industry is a stepping stone to urban life.

It is a recognized fact that the health of the Real Estate Development sector is the barometer
of the national economy. Housing is indeed one of the most important priorities of any
government. It is very unfortunate that today the Real Estate Development sector of
Bangladesh is in the doldrums. Many construction projects are left incomplete; many people
who have invested their money face uncertain future; and many related industries will face the
consequence of this depression in the immediate future.

It is our view that a part of the reason behind this pathetic scenario is the misunderstanding of
this sector by the successive governments. Instead of receiving encouragement and nurturing,
this sector has been progressively quashed by regressive government policies. A few examples
are listed hereunder:

· In 1989 the Ministry of Industries declared construction of residential complexes on

commercial basis as an industry. However, to-date this notification from the Ministry of
Industries is not recognized by the National Board of Revenue. Therefor, this sector is not
entitled to any benefit of an industry.

· Transfer fees stamp duty and registration charges for property in Bangladesh are amongst
the highest in the world. In the metropolitan city, a purchaser has to pay approximately 25% of
the total value of the property to the government exchequer under different heads for
registering the apartment.

· House Building Finance Corporation is the only government institution dedicated to the
financing of homes. Over the last 15 years this institution has been constantly cash starved
and has made negligible contribution to the financing of this sector. In Bangladesh there is
virtually no financing facility for this sector and almost all procurements are made with 100%
equity. Recently some private institutions have entered the housing financing business but the
cost of borrowing from these institutions is prohibitive.

Development of High-rise Building

High-rise buildings probably were first constructed in response to the corporate need for
increased direct communication and expansion of business operation. Businessmen
understood the need for proximity and personal communications and quickly recognized the
value of “going vertically up” within a compact business core in the central city. This
philosophy has remained, all over the world, despite the extraordinary technical advances
made over the last 50 years in both transportation and telecommunications. The corporate
world is not the only beneficiary of high-rise development; often other enterprises that serve
corporate business or its employees also locate themselves in high-rise structures. Offices for
lawyers, accountants and other business related professionals are established in close
proximity to the corporations, often being located in the same building. Medical and dental
practices open where they can capture and serve office workers as well as the general urban
population from a central location. Even where the structure bears a corporate name and was
built specifically for a corporate tenant finally ends up catering to various professional and
business clients. Today’s high-rise building usually contains a variety of tenants.

The city itself benefits from the concentration of business space and business activity that
high-rise development generates. Land values are greater in the down town areas of cities and
at other prime locations that are highly attractive. In most cities, high-rises have evolved in
concentrations, and those concentrations generate the highest tax returns to local
government. For example in Chicago, approximately one-third of the city’s real estate tax
return comes from the greater downtown area covering less than 7% of the total area of the
city.

Depending on overall factors, during the last three decades, Dhaka City attempted to expand
vertically to meet the problems of urban population explosion, scarcity of land and spiraling
land price. High-rise structure also has a positive influence on city form and organization.

The tallest building in Dhaka (30 stories) has been constructed at Motijheel for office purpose.
High-rise buildings for residential purposes are being seriously considered to provide an
answer to urban housing problems. How far this is tenable in context of conditions prevailing in
developing countries must be studied in greater depth so that planned growth in high-rise
housing construction can be promoted.

Because of the great size and height the development of tall buildings usually involves active
interaction of public and private decision-makers. Successful public private collaboration
usually revitalizes the urban environment. Thus tall building development in the form of office
towers, hotels and residential apartment buildings can become a critical part of revitalization
in major cities of the world, including Dhaka.

In terms of Dhaka it can be seen from the map (Figure 4) that the location of the majority of
the high-rise structures are clustered in the business districts and central city areas where land
value is highest. The reasons of this development are as follows:

· Easy access
· Proximately of supporting facilities of offices.
· Higher rate of return on investment.
· Besides the land value there are other reasons for the construction of high-rise structures to
accommodate office staff where land is limited.
We can safely say that high-rise structures in other locations is not suitable or attractive
because of
· Lack of access
· Absence of supporting services
· Lower rate of return

Current State of Tall Building in Bangladesh

The history of tall building in Bangladesh is only four decades old. Broadly speaking two types
of high-rise buildings are constructed in terms of use type:
· Institutional buildings including government & commercial office buildings, hotels etc.
· Residential buildings particularly for middle and high income groups.

The trend that started in 1963 with the construction of 11-storied WAPDA building at Motijheel,
the Central Business District (CBD) of the capital city Dhaka has currently gained a
tremendous momentum. Although tall buildings are being constructed in few numbers in other
cities of the country, almost all the existing and under-construction tall buildings of the country
are located in the capital city. In Dhaka, there are about 120 such notable buildings clustered
mainly at the Motijheel commercial area and in places like Eskaton, Mohakhali and Banani. If
one compares the number of tall buildings in the capital city with the size of the greater Dhaka
with a present population of about 10 million, the insignificant proportion of the tall buildings
with respect to the overall scenario becomes evident. The growth of tall building in Dhaka City
with time has been shown graphically in Figure 5.

It is evident from the figure that a steady increase in the number of tall structures has taken
place in the recent years. Whereas in the sixties and seventies, on n verge five high rise
buildings were constructed in Dhaka City, in the eighties about twenty tall buildings were
constructed. Construction of tall structures attained its peak in the nineties, and, in the last
five years about 50% of the total present number of all tall buildings of the capital city has
been constructed. The trend of going high is still there.

Figure 5: Growth of Tall Building in Dhaka City: 1963-2001

Source: SHELTECH

Prospects and Problems of Tall Buildings

It is almost inevitable that high rise construction will increase in future in Bangladesh. In fact,
in a fast growing metropolis like Dhaka where, land is scarce and land value is high, there is no
other obvious option but to go for tall structures. In a country where expatriate consultants
and contractors are being inducted in almost every field of technological activity, it is
interesting to note that all the tall buildings in Bangladesh have been planned, designed and
constructed by local architects and engineers. But high rise buildings, both commercial and
residential, of Bangladesh have already revealed their merits and demerits in the very short
time that they have been serving the community. Some of the advantages of tall buildings are
given below:

· It increases land-use density leading to proper utilization of inner city land.

· If properly designed and constructed it can increase the user efficiency for both commercial
and residential use.
· It can bring positive effect on city form.
· High-rise buildings and the users that occupy them usually return more revenue (benefits) to
local governments than they require in services (costs) from them. This positive cost-benefit
ratio is often used as a measure of the attractiveness of a development.
· High-rise buildings have established an efficient setting for corporate business enterprise, a
significant source of revenue for local government, and a business focus for the entire
metropolitan area.
· Residential uses in high-rise have resulted in both success and failure. Tall apartment
buildings have successfully fulfilled the needs of upper income and middle income families in
different developing countries.

However, in the absence of proper urban planning and design, high rise buildings of
Bangladesh are responsible, in many instances, for several problems leading to disadvantages
for Dhaka and other city dwellers of Bangladesh. Some of the disadvantages that the existing
tall buildings have demonstrated due to ill planning are listed below:

· Unplanned tall structure destroys the harmony in skyline.

· It put pressures on utility services like water supply, gas and electricity.
· It increases traffic congestion and parking problem.
· It creates problems of light and ventilation for adjacent small structure.
· Fire fighting problem in the building.
· Problem related to inadequate number of lifts.
· Problems due to inadequate parking space.
· Lack of community space.
· Lack of children’s playground.
· Socio-phychological problem.

Besides, Bangladesh is recognized as an earthquake prone country by Bangladesh National

Building Code (BNBC, 1993). Seven major earthquakes, magnitude equal to or more than 7.0
on the Richter Scale, had affected today’s Bangladesh during the last 150 years. But housings
in Bangladesh seem to be constructed to meet the social demand, not as an earthquake
resistant frame building. Mainly the following three unusual structural factors make the new
housings in the country very seriously vulnerable to earthquake:

· Ground and/or first story is appeared to be soft story (car parking story)
· Frames are unfilled by masonry works supported only by sand-cement mortar
· In some cases it is observed that beams are appeared to be stronger than columns

The ground floor of typical six-story buildings and the ground and/or first floor(s) of high rise
condominium are appeared to be soft story because these stories are not supplied with proper
element such as shear walls and bracing etc. A lesson has repeatedly been learned from many
earthquakes that the soft story is one of the most common causes of building failure.

However, it is understood that in future high-rise building will continue to be a strong urban
influence. It is obvious that Dhaka City is going to have a large number of buildings around 15-
20 story high, both for office as well as residential purpose. However, building regulations must
be maintained to reflect the special needs of these buildings particularly taking into account
the traffic problems, fire safety, vulnerability to earthquake and setback rules.

In addition, stricter enforcement of the rules and better quality control during construction
need to be introduced. Some of the opportunities of planned growth of Dhaka City, using the
experience of other cities, have already been missed during the last three decades. But the
high-rise expansion can still be planned to create a better urban habitat, but this will require
the concerted action of planners, architects and engineers.
Land Use, Land Use Economy and Land Value

The trend towards construction of tall buildings in Dhaka is very much connected with the very
high price of land in the main commercial and business districts. Since land value is very high
in inner city areas, population density should be increased by adoption of multi-storied
construction. In less developed areas, where commercial value is less, tall buildings are
virtually non-existent. The overall picture of the land-use type in Dhaka has been shown in
Figure 6. It is evident from the figure that only 39% of the total land of the capital are in urban
use, while 61% has rural or semi-rural use.

Figure 6: Land Use Types of Dhaka

Source: SHELTECH

High-rise buildings are constructed to ensure economical use of land in areas where land is
scarce and its cost is high. Individual plot holders can save a lot of land by going in for multi-
story buildings. However, the savings in a given sector of land depend on the gross densities in
number of dwellings per acre including the land required for common amenities like parks,
playground, schools, shops, road etc.

Dhaka has experienced an unprecedented increase in land value since the early seventies. In
the past decade Dhaka has mainly developed along the two main axes towards the north of
Dhaka. Due to huge increase in the population of Dhaka, the pressure on land for residential
use has been very high. Since the sixties until today RAJUK has provided less than ten
thousand plots at subsidized rate mainly for the middle and upper income groups. The value of
land in Dhaka City, mainly in the central area, has increased at a rate much higher than the
increase in cost of living in Dhaka. The price of high-class residential land has increased 100
times (approx.) during the period 1975-2000. In the absence of any proper land value records
it is very difficult to compare the land value over the past decades. But Table 1 will provide
some idea regarding the increase in land value between 1975 and 2000.

It has been stated that the big real estate companies are mainly responsible for the high price
of land in the central area because they pay a much higher price for a good piece of land. It is
argued that due to this reason middle and upper middle class families are being unable to buy
land in Dhaka.

Area
1975
2000
Tk. / Katha
Tk. / Sq. Meter
Tk. / Katha
Tk. / Sq. Meter
Baridhara
25,000
373
25,00,000
37,361
Gulshan
25,000
375
22,00,000
32,877
Banani
25,000
375
20,00,000
29,888
Mohakhali R/A
25,000
375
18,00,000
26,900
Dhanmondi
25,000
375
22,00,000
32,877
Azimpur
17,500
261
16,00,000
23,911
Mohammadpur
25,000
375
12,00,000
17,933
Shantinagar
20,000
300
15,00,000
22,417
D. O. H. S.
20,000
300
16,00,000
23,911
Shamoli
17,500
265
10,00,000
14,944
Uttara Model Town
20,000
300
10,00,000
14,944
Cantonment Thana
20,000
300
10,00,000
14,944
Kamlapur
17,500
265
8,00,000
11,956
Saidabad
17,500
265
8,00,000
11,956
Gandaria
10,000
150
7,00,000
10,461
Bashaboo
2,000
30
8,00,000
11,956
Kalyanpur
17,500
265
8,00,000
11,956
Mirpur
10,000
150
7,00,000
10,416
Kachukheth
10,000
150
8,00,000
11,956
Badda
4,000
60
6,00,000
8,967
Goran
4,000
60
6,00,000
8,967
Demra
4,000
60
6,00,000
8,967
Motijheel C/A
50,000
750
35,00,000
52,305
Kawran Bazar C/A
41,500
620
25,00,000
37,361
Mohakhali C/A
33,500
500
25,00,000
37,361
Table 1: Land Value Increase in Dhaka City (1975-2000)
Source : 1975 – C. U. S., Dhaka University
2000 – SHELTECH
We are of the opinion; however,

Rise in price of the land value

Real Estate companies are just one among several reasons for the rise in price as the value of
urban land is actually determined and fixed through competition in a complex economic
process. Besides, there are other factors, which influence urban land value. These are social
values, customs and others. On carefully analyzing the land value trend of Dhaka City and the
suburbs for the last thirty years, a number of causes of high land value have been identified as
follows:

a) Lack of investment opportunity in other sectors of economy.

b) Rapid urbanization and consequent scarcity of urban land.
c) Uncontrolled land market.
d) Lack of comprehensive land policy.
e) Inappropriate taxation policy.
f) Political instability.
g) High rate of inflation.
h) Land speculation and the role-played by brokers.
i) Land ownership being regarded as a symbol of social prestige.
j) Inflow of foreign remittances earned by Bangladeshis abroad, especially from the Middle
East.
k) Land purchase by real estate developers.

Since land value is very high in inner city areas, increasing multi-storied construction will
increase the density. Many parcels of inner city land are under utilized or vacant, which should
be put to proper use for balanced growth. To achieve these objectives and to minimize the
negative effects of high-rise constructions the following recommendations are suggested:

a) Proper rules and regulations for high-rise construction should be formulated and
implemented.
b) In case of apartment, exclusive apartment law (condominium law) should be enacted and
implemented by RAJUK and other concerned agencies.
c) Zoning law for Dhaka City in terms of use class and height class should be formulated and
strictly enforced as per DMDP structure plan and related plans.
d) Particularly in the high cost areas of inner city vacant land tax and punitive tax for very low-
rise construction should be enacted.
e) Building rules related to lift, parking and fire fighting should be strictly monitored and
enforced by concerned agencies, as per Bangladesh National Building Code 1993.
f) In commercial areas low-rise structures should be totally discouraged by appropriate
measures.
g) In high-rise/high density zones, co-ordination between utility agencies should be increased
to plan in advance for high capacity utility mains.

However, in the context of Dhaka it is envisaged that in the future years high-rise construction
will increase both for commercial buildings and residential development.
Construction Industry and Environment

Once undesirable environmental consequences of the use of a natural resource have been
identified, there are two types of control, which can be exercised: control of the supply and
control of the demand. Control of supply could be exercised by means of introducing land-use
regulations, pricing of the resource and other measures, eliminating indiscriminate exploitation
or reducing it to acceptable levels. Demand side controls aimed to restrict or change the
nature of the activity. The goal is to reduce or eliminate the demand.

In the case of construction activity, which is acknowledged to be essential for virtually every
type of development, an increase rather than a decrease is desirable in all developing
countries. There are many ways in which the nature of current construction activity can be
changed to make it less environmentally damaging, without reducing the total amount of
construction in terms of the built space created or other functions it performs.

These include:
- Improving land-use and pollution emission legislation and control
- Pre-construction environmental impact appraisals
- Greater use of demolition and mineral & agricultural wastes in construction.
- Extending the life of and reuse of existing buildings

Potentialities in Real Estate Sector

The real estate sector has great potentials. The traditionally used building materials are locally
produced. Cheap labor, appropriate technologies and easy transportation system have also
been a positive catalyst for the advancement of the construction industry.

(a) Building Materials: Locally available traditional raw materials can be used as effective
construction materials. The government should publicize information regarding locally
available building materials, its high productivity, the locations and accessibility. Local small-
scale industries should be encouraged to produce quality-building materials. The Housing and
Building Research Institute (HBRI) is encouraged to develop new building materials and
techniques with the objectives of reducing costs and imports. On one hand, there is research
into alternative and low-cost materials and techniques while on the other land; alternative
building materials of indigenous sources like clay tiles get little interest.

(b) Labor Force: Construction industries can create employment opportunities. Institutional
training should be facilitated for the unskilled laborers. Special vocational training should be
introduced and training made essential for creating highly skilled specialized labor force.

(c) Appropriate and Simple Technology; Building technologies will differ from place to place.
Use of appropriate and simple technology is essential to improve construction productivity. In
Bangladesh the Local Government Engineering Department (LGED) has developed Low Cost.
Reinforced Cement Concrete (RCC) piles, which have cost similar to timber plies. These low
cost piles address the deficiencies of the timber piles and also possess additional advantages
compared to cast-in-situ and pre-stressed piles. These piles can be used as compaction piles
as well as load bearing piles. For small structures, the possibility of application of this pile is
immense e.g., in buildings, bridges, culverts etc. The newly evolved RCC pile can be locally
produced with relatively simple technology. These piles would provide a much better
alternative to the timber piles, which are, at present, being widely used. The Low cost RCC
piles will contribute towards better conservation of forest resources and thereby minimize
degradation of the environment.

Apartment Development: Problems and Prospects

Apartment development in Dhaka City, as mentioned earlier, has become increasingly popular
in recent days and is likely to continue for sometime. It has a number of plus points regarding
solving housing problems of the city. But at the same time it has certain demerits. We propose
to review critically both the prospects and problems. It may be worthwhile to describe here the
types of apartments, which are now being built in Dhaka. Broadly speaking two types of
apartment development can be noticed. Firstly, up to G+ 5 story walk up apartments, which
are usually RCC frame structure with average fittings and fixtures (e.g. in-situ mosaic,
concealed wiring with local fittings, best quality BISF sanitary ware etc.). These flats within the
central areas are sold around Tk. 1000 per sq. ft. excluding the cost of parking space. An
apartment of this type with an area of 1400 sq. ft. (3 bed rooms, 2 + 1 toilets) and a secured
parking space will cost around Tk. 20-25 Lac. The cost may be slightly higher if the apartment
is located in a major road. The second types of development are those apartments in high-rise
buildings of more than six stories. But the present trend in Dhaka City is 12-20 stories. The
price of such apartments is presently more that Tk. 1300-2000 per sq. ft. plus the cost of
parking space ranging from Tk. 1.5 Lac to Tk. 2.0 Lac per parking space in a good location.

Here it has been attempted to identify the major criticisms of apartment development as cited
in the media. They are:
i. Economic: Mainly middle and upper income families are purchasing both walks up and high
rise apartments. Lower middle and lower income groups can not buy such expensive flats.
ii. Services: In many apartment complex certain services (mainly recreational and community
space, open area) are lacking. Problems associated with water supply, fire fighting and fire
escape (mainly in high rise apartments), and inadequacy of lift are notable.
iii. Social: It is sometimes argued that high rise building prevents social contact with other
neighbors, which can lead to socio-psychological problem.

The above mentioned criticisms can be contradicted on the following grounds:

i. Economic: The private apartment developers are catering for the middle or upper income
group and thereby solving the problem partially for that group. This has noting to do with the
housing problems of lower income groups. Only government and autonomous agencies can be
helpful by subsidizing and/ or extending loans to their employees in apartment construction
and/or purchasing. Private sector can only be effective when soft term credit area extended to
private developers for constructing apartments at lower cost catering for lower income
families.
ii. Services: Services provided are related to the cost of the apartment. In the private sector
higher facilities will lead to higher cost which can be prohibitive even for upper middle income
families. Lack of open space is entirely due to very high land cost in the good localities. Many
associated problems regarding service and design problem can be very effectively tackled with
proper institutional and design control. Sometimes these problems only arise in the cases of
developers lacking in professional and financial expertise.
iii. Social: This can be minimized by more careful planning and design of high rise apartments.
Rather than constructing matchbox type structure more intimate and personal design
elements can be incorporated in high rise blocks.

Besides these broad criticisms, many small problems have been identified from the responses
by apartment users in different apartment blocks in the city. These are cited below under the
following headings:

a) Planning Problems
i. Inadequate distance from one building to another.
ii. Some parts of the building are always shaded.
iii. Lock of green space.
iv. No relationship between surrounding built forms.
v. No fire escape or fire fighting provisions.
vi. Absence of community space or any playing area for the children.
vii. Exposed gas lines inconveniently situated at the main entry, which may be dangerously
hazardous.
viii. Height variation between different closely associated buildings creating privacy problem.
ix. Absence of lifts or inadequate number of lifts.
x. Absence of mail box.

b) Planning and Designing Problems

i. Parking area is paved and totally open and unsecured in many cases.
ii. Outer view is disturbed by unplanned telephone lines.
iii. Absence of garbage chute or garbage disposal arrangements.
iv. People drying wet clothes inconveniently from verandah or in ground space and spoiling the
beauty of the building.

c) Design Problems
i. Ladders are used to approach the roof, which are inconvenient. In some apartments roofs
can not be used at all.
ii. Secondary entry is more utilized than the main entry as it exposes the kitchen, or toilets of
master bed etc.
iii. Entry to the building is through a dark place, which is not easy to locate.
iv. Entry to the apartment with long corridor which is an improper utilization of space.
v. Lack of proper outlet makes the stagnant air hot and unhealthy.
vi. Dining space is the circulation space with inadequate opening and designed without
considering furniture layout.
vii. Privacy problem created between exposed living and dining space.
viii. Staggering stair cases with narrow stairs.
ix. Lack of proper ventilation or light in different rooms of an apartment due to improper
planning of rooms.
x. Built-in closet is not functional in terms of sizes, shape and height.
xi. Absence of lightning arrester.
xii. No provision for installation of air-condition units at later stage.

d) Construction Problems
i. Fitting and finish of toilet fixtures in certain cases are unsatisfactory.
ii. Constructional defect leading to cracks in the floors and walls.
iii. Dampness in external walls and in certain cases in internal walls.
iv. Excessive heats in the top floor due to lack of lime terracing.

For solving the housing problem in Dhaka city the following steps should be considered, some
of these stapes are directly related to housing, while others are concerned with different issues
having impact upon housing:

a) The growth of Dhaka City needs to be checked. This can be attained by developing small
and medium towns through adoption policy of balanced urbanization and decentralization. By
generation employment opportunities in these intermediate cities, the migration towards
Dhaka can be trapped in those towers.
b) A metropolitan housing policy should be devised in conjunction with overall metropolitan
transport and land policies.
c) Provisions of areas for high-rise, low-rise, permanent and semi-permanent structures should
be made in the Master plan of Dhaka City. Expensive central city areas should be reserved for
high rise developments. In this way the concerned authorities can provide higher capacity
infrastructure at an optimum cost.
d) Housing development both in public and private sectors should conform with the
development of physical and social infra-structures like roads, electricity, water-supply,
sewerage, gas, telephone and the like.
e) Sprawl development of Dhaka City in any direction should be discouraged. Underutilized
land within the city limit should be developed and properly utilized.
f) Special schemes for housing the urban poor and destitute by constructing low cost core
housing with provision for upgrading on self-help basis should be adopted.
g) The private sector should be encouraged to cater for the upper middle and upper income
groups.
h) Walk-up row housing and tenement blocks should be developed both in the private and
public sectors to house the lower income groups.
i) Credit facilities for housing development for individuals and institutions should be modified
to increase the housing stock.
j) National and municipal policies for high rise development should be formulated.
k) To check the mushroom growth of real estate companies there should be arrangements for
scrutinizing the technical, financial and institutional capabilities of prospective companies.

Developing housing sector comprises not only building of houses but also the development of
socio-economic infrastructure. In fact, a separate directorate of Real Estate could be
established, which will inter link all the concerned agencies, related to house construction such
as RAJUK, Dhaka Municipal Corporation, WASA, PDB, Titas and House Building Finance
Corporation (HBFC). This will minimize the procedures and formalities associated with house
construction.

All future activities of concerned agencies involving land, finance and utilities should be
forward-planned under a common framework to increase the efficiency and minimize
overlapping of responsibilities. The neglect of the private sector is a fundamental defect in our
housing policy. A comprehensive and pragmatic housing policy should be adopted by the
government, which will expedite housing developments. The economy of land use should be
given top priority in any future housing policy.

A private housing-bank could be set up for financing housing development as in the absence of
such a bank; land developers and promoters are very much handicapped. Such a specialized
bank to tide over the housing crises deserves serious consideration.

Broad Recommendations

The construction in Dhaka has multi-faceted roles for sustainable development. It provides the
direct means for physical development, expansion, improvement and preservation through
maintenance. It is the key sector in city’s development. It provides the direct means for
physical expansion, development and improvement. The planning and design component of
construction is very vital and it contributes to high productivity. Appropriate planning and
design for construction, use of modern equipment, efficient use of building materials,
participation of construction actors and effective management are considered important
factors for construction industry’s development.

It is understood from the experiences that the construction industry has multidimensional
aspects, which include actors’ participation, building materials and equipment, building code
and standards, regulations etc. It is also observed that the construction activities are
frequently disrupted by the inherent problems. Considering all issues, following broad general
recommendations both in the public and private sector should be taken into consideration:

a) Appropriate planning and programming for the construction project would be framed based
on the nature of works.
b) A major concern in the construction industry is the apparent backwardness in the adoption
of new construction technologies for the adoption of new construction technologies and
practices, which can reduce cost and increase quality.
c) The authority with help of professionals should formulate general guidelines of building
designs. Special attention would be given to prepare appropriate planning rules, building codes
etc. based on the character of the area. It will also cover building regulations and related
detailing of the building and also cover selection of materials.
d) It has been observed that the construction material and equipment differ from place to
place, considering this fact, specialized standards and code should be made.
e) Simple and innovative technologies should be introduced in the construction sector for high
productivity. The attention should be given on its acceptability to the construction actors.
Affordability to the government as well public enterprises should be taken into consideration.
f) Research and innovation for development should be encouraged. Proper research support
and financial support should be provided both in public and private sectors. Even groups of
entrepreneurs and individuals should be encouraged by the policies.
g) Research outputs, available materials, energy consumption cost, environmental impacts
and other information should be made available to the public through institutions and mass
media.
h) Selection of building materials, the consultants are required in conjunction with experienced
contractors.
i) Local based building materials as well as cheaper alternative/substitutes should be
encouraged.
j) Special financial policies for consultants/contractors financing should be introduced. It would
be included: i) reduction of bureaucracy, ii) generous advance payments, iii) risk guaranties
etc.
k) Overall management effectiveness is essential for the construction sector. It should be
managed on an institutional basis, and the construction actors have contractors, laborers,
managers and other related actors as active participants.
l) Adequate legislative support is needed to recognize the construction sector as an important
for national development. An extensive and multifold regulation is needed. It should includes
civil engineering works, durability of construction outputs, all safety measures including loads,
imposed deformations, environmental issues, fire and natural disasters etc.
m) The establishment of regulations and control procedures is the traditional function of the
government. It is needed to recognize the construction industry as an important sector for
national development. The regulations and control can contribute a strong positive impact to
reduce construction cost, environment hazards, promote greater energy efficiency in building
and limit energy consumption and pollution etc.
n) Special attention would be given to protect the physical environment of the project’s site.
Existing “Legal action” procedures would be updated in which legal action can be taken
against the faulty actors.