The rent-gap theory was developed in 1979 by the geographer Neil Smith as an economic explanation for the process of gentrification. It describes the disparity between the current rental income of a property and the potentially achievable rental income. Only from this difference arises the interest of investors, to renovate a particular object (to entire neighborhoods), resulting in an increase in rents and also the value of the property.[1]
Investment in the property market will therefore only be made if a rent gap exists. Thus, it is contrary to other explanations for gentrification related to cultural and consumption preferences and housing preferences. The rent-gap theory is a purely economic approach.
While the processes described with the rent-gap theory can be observed especially in North America [citation needed], the theory is being adapted for other regions of the world, including Chile, Lebanon, and Korea.[2]
^"Neil Smith obituary". the Guardian. 2012-10-23. Retrieved 2022-11-18.
^Krijnen, Marieke (2018-08-09). "Beirut and the creation of the rent gap". Urban Geography. 39 (7): 1041–1059. doi:10.1080/02723638.2018.1433925. ISSN 0272-3638.
^Picascia, Stefano; Yorke-Smith, Neil (2017). Namazi-Rad, Mohammad-Reza; Padgham, Lin; Perez, Pascal; Nagel, Kai; Bazzan, Ana (eds.). Towards an Agent-Based Simulation of Housing in Urban Beirut. Lecture Notes in Computer Science. Vol. 10051. Springer International Publishing. pp. 3–20. doi:10.1007/978-3-319-51957-9_1. ISBN9783319519579. {{cite book}}: |journal= ignored (help)
External linksedit
Jürgen Friedrichs, Robert Kecskes, Michael Wagner, Christof Wolf: Applied Sociology . Publisher of Social Science, Wiesbaden 2004, ISBN3-8100-4117-3, page 26 ff
rent, theory, rent, theory, developed, 1979, geographer, neil, smith, economic, explanation, process, gentrification, describes, disparity, between, current, rental, income, property, potentially, achievable, rental, income, only, from, this, difference, arise. The rent gap theory was developed in 1979 by the geographer Neil Smith as an economic explanation for the process of gentrification It describes the disparity between the current rental income of a property and the potentially achievable rental income Only from this difference arises the interest of investors to renovate a particular object to entire neighborhoods resulting in an increase in rents and also the value of the property 1 Investment in the property market will therefore only be made if a rent gap exists Thus it is contrary to other explanations for gentrification related to cultural and consumption preferences and housing preferences The rent gap theory is a purely economic approach While the processes described with the rent gap theory can be observed especially in North America citation needed the theory is being adapted for other regions of the world including Chile Lebanon and Korea 2 Contents 1 Application 2 See also 3 References 4 External linksApplication editThe theory has been used in agent based modelling of the effects of gentrification on real estate markets 3 See also editBid rent theory Thunen s model of agricultural land useReferences edit Neil Smith obituary the Guardian 2012 10 23 Retrieved 2022 11 18 Krijnen Marieke 2018 08 09 Beirut and the creation of the rent gap Urban Geography 39 7 1041 1059 doi 10 1080 02723638 2018 1433925 ISSN 0272 3638 Picascia Stefano Yorke Smith Neil 2017 Namazi Rad Mohammad Reza Padgham Lin Perez Pascal Nagel Kai Bazzan Ana eds Towards an Agent Based Simulation of Housing in Urban Beirut Lecture Notes in Computer Science Vol 10051 Springer International Publishing pp 3 20 doi 10 1007 978 3 319 51957 9 1 ISBN 9783319519579 a href Template Cite book html title Template Cite book cite book a journal ignored help External links editJurgen Friedrichs Robert Kecskes Michael Wagner Christof Wolf Applied Sociology Publisher of Social Science Wiesbaden 2004 ISBN 3 8100 4117 3 page 26 ff Gentrification and the rent gap N Smith Annals of the Association of American Geographers 1987 Retrieved from https en wikipedia org w index php title Rent gap theory amp oldid 1216850457, wikipedia, wiki, book, books, library,
