The life cycle of an estate

Some estate life cycles go very fast, so that several years or even months separate the first construction from the last phase. In other cases, an estate can remain in a single phase of its life cycle for several centuries. It is impossible to indicate the average life-cycle period of an estate to complete the revolution, but in the case of ordinary buildings for traditional construction, a period of 60-100 years is common. However, there are signs that with the increasing pace of technological development, this period will generally shorten.

In the center of our older towns, there are many examples of estates that have gone through a series of life cycles, and successive buildings have been erected and later replaced, but more commonly, the estate is now in some stages of its first cycle. A building becomes completely out of date or dies when it is physically exhausted or when it is no longer economically worthwhile to keep it in use. In practice, the latter is usually the determining factor, as the rate of physical aging can be controlled by repairs and improvements, provided that there is an economic incentive to bear the costs. A special case is that of a building of exceptional historical interest that can be preserved as a living fossil long after it was expected to decay.

While it is not possible to describe in detail the pattern of an estate’s life cycle, it is simple enough to identify the main stages that most estates go through, from initial development to renewal, and to identify the main problems with estate management describe those relevant to each stage. as follows

1) The pre-development phase.

2) The newly developed phase.

3) The middle stage of life.

4) The old age stage.

5) The stage of total aging.

The pre-development phase

The site available for development may be a site that has never been built on or removed from the previous building. Land at this stage of expectation is often neglected as the owner limits spending on existing use, whatever it may be such as agriculture, market, gardening, parking, it should be noted that any investment in improvement should be written off as soon as development takes place. As a result, sites awaiting development are often a nuisance and even when properly fenced they can be subject to landfill, violation, fly posting and other similar conditions. If the pre-development phase is short, these difficulties are not serious, but if the duration of this period is uncertain, effective management and use of the land may become impossible.

The phase of new development

When an estate is newly developed, it should fit every aspect and not be affected by aging. In practice, however, very few buildings, even when new, meet this standard. For example, imperfect planning, external changes that take place between the planning and construction phases, and perhaps minor construction defects can all introduce elements of aging. Nevertheless, the usability of a new building is usually greater than at any other time. In the early years of life, aging is likely to occur at a higher and regular rate as the benefits of new and modern are lost. This will be largely determined by the speed of construction of comparable new and more modern buildings, which impose higher standards through competition. Occasionally, as in the case of speculative development where no resident is found, a new building may be obsolete upon completion.

The middle phase of life

This is normally the longest stage in the life cycle and can be extended to last almost permanently. It starts as soon as the benefits of being new and up-to-date in the initial development phase have disappeared and the building settles at the level of usability and long-term value. Where the value of new buildings is generally much greater than that of older buildings, the incentive to increase the pace of renewal may shorten the average length of middle life. During the middle life phase, physical decay is normally controlled by proper maintenance and annual depreciation due to adjustments, expansions, enhancements and perhaps conversions that may be large enough to constitute virtual replacement and a full life cycle resume.

The age stage

The end of the middle life will be marked when the property begins to sink rapidly into status. It shows outward signs of aging, such as physical deterioration, adaptation to a worse usage class than it was designed for, obsolete gear and equipment, and remaining life is predictable. The management problems at this stage are dominated by the short residual life, which is usually less than fifteen (15) years. New investments to improve the property or even to keep it in an efficient state for use are getting more difficult because the annual value increase that is likely to result is insufficient to provide a reasonable return on capital and a sinking fund to replace the capital by the end of the investment period. Consequently, improvements and modifications required to maintain the estate are first limited and then completely neglected. When this stage is reached, it is often the policy of an estate to minimize all expenditures and reduce existing assets pending development. Where properties are rented out, the allocation of new properties should also be limited so that the duration of their terms does not exceed the date on which development is envisaged. Tenants with short-term interests pending development will typically have little incentive to keep the property above the lowest repair and physical condition standards, and may give rise to other management problems with regard to its use and care.

Total aging

First, the stage of complete aging is reached when the old buildings and layout have little or no value in their current state. If all goes well, cleanup and redevelopment will follow soon, but there may be factors that prevent it. The first is that the site may have insufficient value to justify the demolition of the old structures and their replacement with something new. In other words, economic pressure may not be enough to stimulate innovation. Second, the redevelopment pattern may require changes in the size and shape of the site that cannot be secured in a location. This occurs when extensive renewal is needed to meet modern traffic conditions and the existing small development units need to be merged for reconstruction purposes. In these circumstances, it is often necessary that individual obsolete buildings remain until the entire areas are capable of total evacuation. Third, it happens that a building is completely worn out and judged by contemporary standards, is no longer suitable for habitation. But due to the shortage of accommodation, it continues to enforce usage and income. It therefore retains a sometimes high value and is not strictly outdated from an economic point of view, although it can be considered socially.



Source by Anderson Nwoko