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Cities 28 (2011) 206–219

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Cities
journal homepage: www.elsevier.com/locate/cities

City profile

The new Bucharest: Two decades of restructuring


Mariana Nae a, David Turnock b,*
a
Department of Human and Economic Geography, University of Bucharest, B-dul.Balcescu 1, 010041 Bucharest, Romania
b
Department of Geography, University of Leicester, University Road, Leicester LE1 7RH, UK

a r t i c l e i n f o a b s t r a c t

Article history: The Romanian capital became well-known under communism for major construction and redevelopment
Received 10 November 2009 projects. Bucharest’s post-communist reconstruction has seen a major sectoral change from industry to
Received in revised form 11 April 2010 commerce, backed by numerous building projects for housing, shops, offices and hotels. The urban land-
Accepted 24 April 2010
scape has changed in many parts of the downtown and outer suburban areas, especially with the intru-
Available online 3 August 2010
sion of tall buildings into areas of pre-communist development. The approach has been quite permissive
towards private enterprise, absent a clear vision of a 21st century city. Although development has not
Keywords:
been excessively chaotic, there is a clear case for more effective regulation as well as greater attention
Bucharest
Conservation
to infrastructure in privately-managed utilities and in the public transport system.
Functional change Ó 2010 Elsevier Ltd. All rights reserved.
Metropolitan region
Planning philosophy
Postcommunism
Restructuring

Introduction the fall in the total working population was only 7.3%: less than
half the national rate of 15.5% (Popescu, 1999, 2000).
Bucharest is the capital of Romania, one of the largest East Cen- The city is the leading recipient of foreign direct investment and
tral European states, where radical post-communist restructuring much of it is now going into property; this started with offices and
has created one of South East Europe’s leading business centres. extended to shops, hotels and housing. According to National Bank
A previous city profile (Turnock, 1990) examined the expansion statistics, 62.1% of a total foreign investment of €172.7 billion dur-
of the city under communism, which culminated in the later ing 2003–2008 went to Bucharest–Ilfov while the seven provincial
Ceausßescu years, when comprehensive redevelopment was carried regions with a roughly comparable population gained only 3.2–
out across a large swathe of the central area. With Romania an EU 7.8% each. It is very much a boom city, underpinned by 8 years of
member since 2007, it is appropriate to review the way in which continuous national economic growth prior to the current reces-
this has affected the urban landscape. sion: along with Ilfov (a rural/suburban county surrounding the
In some respects the situation remains basically unchanged; city) it accounted for 21.7% of national GDP in 2005 (compared
Bucharest, still the national capital, dominates the national urban with 20.1% in 2000 and 12.0% in 1989).
hierarchy, with a population in 2009 of 1.94 m (for an area, includ- This paper examines the salient characteristics of a dramatic
ing Ilfov County, which constitutes one of the country’s eight EU shift in economic emphasis from the secondary to the tertiary
development regions: see Fig. 1). While the general tendency in sector, as well as the problems arising: the gulf between rich
Romania is for urban populations to fall, due to natural decrease and poor; the ‘ad hoc’ nature of urban landscape change; and
and migration abroad, Bucharest is now fairly stable, with a small the infrastructural ‘catch-up’. Cohesion is also compromised by
net in-migration. This comes after the rapid increase of the com- the division of the city into six sectors or districts, each with its
munist years followed by heavy out-migration in the early 1990s, own mayor (‘primar’) and council. As indicated in Fig. 2, these
as workers returned home during the recession of the early transi- sectors are numbered clockwise beginning with Sector One in
tion years. Bucharest has done relatively well throughout the post- the northwest, Two in the northeast (though limited by the prox-
communist period, with growth in commerce that has broadly imity of Ilfov territory at Voluntari), Three in the east, Four in the
compensated for the decline in industry: while jobs in industry de- southeast, Five in the southwest and Six in the west. Although
clined by 46.7% in Bucharest during 1992–2002 (37.5% nationally) there is a general mayor and council looking after the city as a
whole, individual sectors have their own budgets (based in part
* Corresponding author. Tel.: +44 401162523826.
on local taxation) and spending priorities, as well as development
E-mail addresses: mirellanae@yahoo.com (M. Nae), dt8@le.ac.uk (D. Turnock). strategies.

0264-2751/$ - see front matter Ó 2010 Elsevier Ltd. All rights reserved.
doi:10.1016/j.cities.2010.04.004
M. Nae, D. Turnock / Cities 28 (2011) 206–219 207

The communist dynamic Canal to be followed by canalisation of the Argesß for navigation
from the Danube to the planned new town of 30 Decembrie to
When the revolution occurred, Bucharest had already under- the southwest of the capital. It was proposed that suburban growth
gone particularly radical change in line with Ceausßescu’s personal should be combined with substantial tree planting in the south to
desires (Cavalcanti, 1992, 1997). He decided to combine the devel- moderate pollution (Săsărman, 1970); also that the wider region
opment of apartment blocks in the suburbs, partly on greenfield should be integrated through ‘localitatßi satelite’ axes of develop-
land and partly in areas with rural-type cottages (‘case de ßt ară’) ment extending over 20–30 km in all directions. However, neither
with redevelopment of the old central area, where change had oc- of these projects had really begun in 1989 although, the existing
curred piecemeal apart from the semicircular eastern highway settlement network certainly channelled its army of commuters
(Sßosea) of Mihai Bravu/S ß tefan cel Mare (marking the edge of the along the main roads and railways towards the city factories, e.g.
19th century city) which acquired a new façade of apartments. the Popesßti-Leordeni industrial estate on the southeastern edge
The 1977 earthquake displaced 40,000 people, and work was of the city (Vernescu, 1970). Four villages were promoted to urban
started on an eight hectare site in 1983. The plan involved a new status just before the revolution: Bolintin Vale, Budesßti, Fundulea
east–west boulevard, Victoria Socialismului (now Unirii), flanked and Mihăilesßti. However, beyond the intermediate belt of apart-
by apartments for the communist ‘nomenklatura’, heading towards ment blocks, the peripheral area remained heavily influenced by
to a massive, palatial structure at the foot of Dl.Arsenalului. This its rural origins (Iordan, 1964, 1973) apart from a number of indus-
330,000 sq m ‘Casa Poporului’ (now ‘Palatul Parlamentului’), is trial estates and lakeland recreation zones such as Comana and
reputedly the largest building in the world after the Pentagon. (above all) Snagov.
The palace also lies close to the Dâmbovitßa which was an integral
part of the plan since the need for protection (after floods in 1972, Changing step
1975 and 1979) and better sewage disposal, spawned an elaborate
plan to canalise the river with an underground sewerage/flood The revolution brought an end to grandiose projects, although
water conduit with a canal of relatively clean water on the surface expansion of the metro continued, albeit very slowly. New housing
(Plate 1). Two large lakes were also excavated in the floodplain, one was also disrupted by the financial crisis and the collapse of state
at Crângasßi on the northeastern side called Lacul Morii (which still building companies. Priority was given to maintaining the indus-
exists) to hold flood water and another at Dudesßti to the southeast trial establishment (along with public transport and other essential
which was intended as a storage for drinking water, transferred by services) albeit with reductions to the workforce and increasing
pipeline from the Argesß dam at Ogrezeni. Significantly, a parallel blight due to the lack of resources for modernisation. Rusted build-
metro route through the heart of the city was developed simulta- ing cranes (‘macarelele’) became a major safety hazard with one
neously, a long overdue innovation. actually collapsing into the Dâmbovitßa during demolition in March
Hailed as ‘the great constructor’, the old dictator was also fasci- 2007. Alternative public projects surfaced, notably to build a na-
nated by hydro projects of all kinds (Church, 1979). The transfor- tional cathedral, but the foundation stone has still not been laid.
mation of Bucharest was combined with a Danube-Black Sea Meanwhile, a private economy was reconstituted, initially based

Fig. 1. A general map showing the built-up area, transport systems and other aspects of post-communist development.
208 M. Nae, D. Turnock / Cities 28 (2011) 206–219

upon commerce, with street trading emerging partly as a survival ity, renewed economic growth, linked with political stability, the
strategy. The established traditional markets were also available, prospect of EU accession, and rising domestic expenditure on hous-
while kiosks appeared spontaneously on a range of ‘opportunity ing and consumption goods, created an economic boom involving
sites’ and were subsequently regularised as the planning process new shopping malls, hotels and substantial housing projects, in
adjusted to the new realities. addition to further office developments. The changes being felt
Although the pressure for large new commercial buildings was on the edge of the city also had impacts upon the industrial zones,
initially moderated by low spending power, the demand for more where privatisation – typically by employee-management buy-out
office space was more insistent from privatised businesses and also (EMBO) occurred. After 2000, the growing pressure on inner-city
from foreign companies that were in some cases capitalising on the land gave a strong stimulus to relocate and take advantage of high
city’s regional role (Unilever South Central Europe covered seven land values which now became the key asset for many enterprises.
states from Bosnia-Hercegovina to Moldova from its headquarters This was further encouraged on environmental grounds to reduce
in Bucharest). And after a decade of relative stagnation and inactiv- air pollution.

Fig. 2. Aspects of housing in 2002 by sectors and wards: (a) persons per dwelling and (b) living space per household as percentages relating to the median band of 41–
60 sq m.
M. Nae, D. Turnock / Cities 28 (2011) 206–219 209

Complementing the city’s recent changes has been a serious firm ‘groundrules’ of urban planning (at least prior to the 2008 leg-
poverty problem arising from unemployment and falling real in- islation outlined below) which generated ad hoc redevelopment
comes. Despite its relative affluence in many quarters the capital and urban sprawl giving Bucharest the reputation of being the ‘Bei-
swallows a fifth of all social protection funding. Reduced industrial jing of the Balkans’.
pollution is balanced by heavier traffic (many second-hand heavy-
polluting vehicles) and contributes another dimension to the city’s
stressful living conditions. Social tensions generated by transition Industrial change
have been exacerbated by housing shortage (and soaring real es-
tate values). Areas with a large Roma population (e.g. Ferentari In the early 1990s, industrial zones comprised 2400 ha: virtu-
and much of the southern industrial zone) have low incomes, poor ally a tenth of the city and an area only slightly exceeded by green
services and are perceived unfairly as prone to high criminality space (2500 ha) and transport routes (2900 ha) (Popescu, 1992;
(Dumitrache and Dumbrăveanu, 1998). However, a fundamental Popescu et al., 1997; Tălângă, 1989) (Plate 2). Many closures and
issue is the lack of an up-to-date development plan combined with relocations have taken place and further land will be made avail-

Fig. 2 (continued)
210 M. Nae, D. Turnock / Cities 28 (2011) 206–219

able by the abandonment of some 50 separate railway sidings that adaptation. The World Trade Centre – opened nearby on Bulevard
once served the factories. Industrial change constitutes a major Expozitßiei in 1995 – became the headquarters for many Romanian
transformation and while the communist era does not evoke par- and foreign companies (Area II in Fig. 1): as a public–private part-
ticularly happy memories there are aesthetic characteristics in a nership it encouraged the local business community to become ac-
fast-disappearing socialist landscape that merit documentation tive in foreign trade through international strategic alliances while
and selective preservation of the industrial patrimony (Nora, also seeking foreign investment. Further office accommodation,
1984). generally for sale or rent, followed, e.g. Bucharest Financial Plaza
before Samsung and Bouygues completed Victoria Business Plaza
Office development in 1998 (Plate 3). In 1999, the French building company Campenon
Bernard started a €50 mln 18-floor business centre in Ptßa.Victoriei,
The demand for offices has been maintained since the first days arising from the initiative of municipal authorities. At this time the
of transition although considerable capacity was generated by the Calea Victoriei area (Area I in Fig. 1) became the most desirable
early privatisation of the monumental ‘Casa Scânteia’: a massive location for the office sector combining a city centre location with
printing house erected in the 1950s. Now known as Free Press rapid links to Otopeni airport and the main railway station with its
House and privatised as a ‘condominion’ in a manner similar to for- bus and metro connections (Plate 4). But after 2000, the pace of
mer state-owned apartment blocks, this is a striking example of development quickened in the run-up to EU accession and the

Plate 1. The canalised Dâmbovitßa in central Bucharest, where the housing is dominated by 1980s apartment blocks. Splaiul Unirii is the road running beside the river while
Bulevard Mircea Vodă can be seen on the left, with B-dul Mărăsßesßti in the foreground, crossing the river beside the 1990s-era glass-fronted building for the Romanian
Chamber of Commerce & Industry. Further to the right on the opposite side of the river another glass-fronted building can be seen: this is the tower block for the Muntenia
Investment Fund (‘Societatea de Investitßii Financiare Muntenia’) in which many Romanians have holdings as a result of the voucher privatisation of state-owned companies in
early 1990s. Most of the space is actually taken by other institutions, e.g. the bank Unicredit Romania.
M. Nae, D. Turnock / Cities 28 (2011) 206–219 211

main office developments moved northwards to Dorobantßi (Area have forced buildings upwards and it is questionable how far
IV) and then exploded into the lakeland zone particularly Pipera restrictions can be afforded. It is also interesting to see that major
(Area III) along with Băneasa (Area VIII), Floreasca (Area VII) and developers, who acquire former factory sites, are diversifying by
Tei (Area IX), with complementary growth around Ptßa.Unirii (Area combining office accommodation with commercial space (shops
V) and other inner city areas, though less noticeably in the west and a hotel) and residential use. Thus offices are now just one facet
and southwest with its stronger industrial character. Currently to- of a central area redevelopment for the Dâmbovitßa Center on the
tal office space is estimated at 0.8–1.2 bln sq m but vacancy rates ‘Casa Radio’ site by Plaza Centers (owned by Europe Israel) that will
are still low at around 3.0% while monthly rents stand at €20– include two 145 m (40-storey) office towers (the tallest buildings
22/sq m (higher than Berlin, Prague and Vienna) with saturation in Bucharest) as well as a 100 m giant wheel ‘Roata Bucuresßtiului’
anticipated (prior to the recession) in 2010–2012. But develop- on the Las Vegas/London Eye model.
ment has not always been well-coordinated with water supply/
sewerage provision and traffic management, though some Băneasa Shopping facilities
road intersections are now being improved.
Many domestic and foreign companies are involved as develop- While retail space has increased there is a fall in the number of
ers, builders or property managers, although some (like Volks- traditional food and hardware shops balanced by growth of the
bank’s Europolis) have found it difficult to acquire the quality clothing and footwear sectors; along with a tendency to diversify
portfolio they require and have adopted a development role with into photocopy or money-changing services. Small operators are
land purchase for new projects. It is also evident that new business pushed into the side streets and yards (Vlad-Popescu, 1993).
properties have caused some conflicts when set alongside tradi- Bucharest’s luxury stores tend to cluster in Calea Victoriei, a tradi-
tional townscapes. Bucharest Financial Plaza – a round-shaped tional high-class commercial axis now constrained by one-way
concrete and glass tower – was properly authorised but is widely traffic, limited parking and the creeping obsolescence of unre-
felt to be inappropriate in the city centre where it overpowers stored facades. Meanwhile Magheru Boulevard nearby has gained
the architectural jewels of the late 19th century (see below). Tall in status, helped by its coffee shops and cinemas; while Calea
buildings are arguably more appropriate for certain intermediate Dorobantßi has been adopted by many new up-market developers
areas with appropriate space and profile. Towers have certainly be- as an élite residential area with embassies, restaurants and well-
come commonplace in recent years, with ‘steel monsters’ now maintained traditional buildings. However, the better shops are
overshadowing important historical monuments like the Armenian increasingly to be found in the malls while five-star hotels embrace
church and the Catholic Cathedral of St. Iosif. Rising land values small luxury malls with close control over tenancies (e.g. Vuitton)

Plate 2. A view in Str.Buzesßti on the western side of the CBD: an area with much inter-war development for mixed industrial, commercial and residential purposes. It is now
experiencing a further cycle of change: the buildings on the left have now disappeared while the Italian Generali (insurance company) building on the right is typical of the
new generation: the Italian company returned to Romania in 1993 and set up the company now known as Generali Asigurari with mixed Italian and Romanian capital.
212 M. Nae, D. Turnock / Cities 28 (2011) 206–219

to retain the desired cachet. For more popular tastes, commerce in 1996, encouraged by the Romanian banking and insurance ty-
has also been attracted to public transport nodes, e.g. the metro coon Ion Tiriac. A third German firm – Lidl & Schwarz Group –
intersections of Dristor and Ptßa.Unirii as well as suburban stations opened one of their Kaufland hypermarkets in the east, at Obor
like Armata Poporului with Cora’s ‘Lujerului’ store in close proxim- (Colentina Highway) in 2005, followed by a second in the centre
ity. Meanwhile the city’s traditional markets – numbering around in 2006. Tengelmann (Austria) launched their ‘Plus’ stores in
30 (see Fig. 1) – remain important for fresh produce and typically 2005 and the Profit chain has since been developed by the Delhaize
attract a range of commercial functions in surrounding streets. Group. The food market is not yet saturated even though the major
Some are now being modernised, e.g. the public–private partner- networks currently provide one store for 25,600 people on average
ship for the €117 mln rebuilding of Ptßa.Obor which started in which is more than double the national average of 55,000. Refer-
2007 (Dobraca, 1994). ence should also be made to three Romanian store chains (Altex,
The development of hypermarkets, supermarkets and food Domo and Flamingo) that have cornered the market for house-
stores owned by discount companies is widespread. Carrefour hold/electrical goods where spending does not yet appear to be
(France) arrived in 1999 and opened their first store at Militari in high enough to attract foreign companies, although a Dutch com-
the west in 2001, followed by Orhideea in the centre before moving pany Bomenveld has now acquired the Altex chain, while Domo
eastwards to Colentina and Vitan and northwards to Băneasa. is now owned by Lynx Property (Equest Investments Balkans).
Meanwhile Cora (owned by Belgium’s Louis Delhaize Group) And much the same applies for the furniture chains led by Mobex-
started in the east at Pantelimon during 2001–2002 and then pert and smaller chains like Alpitex and Elvila. IKEA opened in
moved west to Militari (‘Cora Lujerului’), since when the company 2007 (albeit a 26,000 sq m franchise project at Băneasa) and RTC
has expanded partly by acquisitions: taking over the Mega Image Holding has negotiated a Debenham franchise.
network started by Greek investors in 1995 and more recently With monthly commercial rents of €100–150/sq m there was
the ‘La Fourmi’ chain which was actually the first supermarket little sign of momentum flagging (until the recession that began
chain to start in the city (in 1992). Germany’s Köln-based Rewe in 2008) and on the basis of provision levels in other European cap-
Zentral started their chain of ‘Billa’ supermarkets in 1999 with itals experts think that Bucharest can support up to 24 hypermar-
stores in the centre, east and west and also acquired a small XXL kets which is double the present number. However, the current
Mega Discount network with a store in eastern Bucharest at Funde- recession has meant reduced sales for many stores and particular
ni. The same company is also developing Selgros ‘Cash and Carry’ problems for Romanian companies with debt: insolvency may pro-
stores while its ‘Penny Markets’ are suitable for the city suburbs. vide further opportunities for foreign-owned chains to expand.
Metro Cash and Carry, another German interest, started at Otopeni Meanwhile hotel space is continuing to grow with much recent

Plate 3. An aerial view looking north from the Dâmbovitßa showing Calea Victoriei climbing from the floodplain to the river terraces. The top of the ornate building
constructed before the First World War to accommodate the Savings Bank (CEC) can just be seen, but the view is dominated by Bucharest Business Plaza. Although properly
authorised this building was widely seen as inappropriate for the city core dominated by 19th century construction and subsequent office developments have been built
further away.
M. Nae, D. Turnock / Cities 28 (2011) 206–219 213

Plate 4. Pta.Victoriei with the new skyline created by the BRD (Romanian Development Bank) Building and another tower to the right – Bucharest Tower Center – under
construction (25 floors of which 22 are for letting: 600 sq m per floor). However, although the latter building was finished in 2008 and several companies are interested (e.g.
Philip Morris and the state electricity grid company Transelectrica) it has been empty throughout 2009 due to a contractual dispute between the shareholders of Tower
Center International and Alpha Bank which has so far caused losses of some €3.5 mln.

Plate 5. A large 1980s food market project in Rahova: one of several that remained unfinished in 1989. Known as ‘circles of fire’ (with a form reminiscent of metallurgical
furnaces) they were being dismissed ironically as ‘hunger circuses’ by the time of the revolution.
214 M. Nae, D. Turnock / Cities 28 (2011) 206–219

progress in the four/five star sector: weekday occupation rates are access. However, this followed an earlier Romanian project to pro-
around 50% while prices are high but somewhat below the levels of mote the ‘Prisma’ street market at Corbeanca (well to the north of
London, Moscow and Zurich. Many hotels have been privatised and the city on the Ploiesßti road) as a shopping city (Orasßul
refurbished since the communist era but new capacity is continu- Cumpărătorilor) which proved grossly premature: only recently
ally being added. has space been acquired by Hornbach of Germany for a large DIY
Commercial outlets are now to be found in a growing number of store and other developments may now follow (Dobraca, 1997).
shopping malls which have become very popular, with the big The periphery has certainly become more viable in recent years
chains frequently playing an ‘anchor’ role. Several malls (Bucuresßti with Plaza România Mall (i) in the east while Băneasa Shopping
Mall, City Mall, Liberty Center and Plaza România) have made use City (a) opened in the north after a relatively small project nearby
of the sites of planned cirque-like communist-era food markets by Jolie Ville Invest. The south has been experiencing a surge in
(‘complexe alimentare’) likened to a metallurgical cupola and re- capacity with Cotroceni Park (d), Liberty Center (e) and Sun City
ferred to ironically as circles of hunger (‘circuri ale foamei’) since (now Sun Plaza: j) all completed during 2008–2010 (Plate 6).
many were still unfinished in 1989 – given the priority for pay- The opening of Cotroceni Park in October 2009, followed by Sun
ing-off foreign debts (Plate 5). Malls effectively boost retail capac- Plaza in February 2010 (the largest malls in the country with shop-
ity more comfortably than kiosks and relatively spontaneous open- ping areas of 76,000 sq m and 81,000 sq m respectively) is likely to
air suburban markets in a situation where conventional High Street impact negatively on those already established in the southern
locations are limited. Moreover, Bucharesters seem to appreciate suburbs (though the recession has less severe impacts on shopping
the ‘one stop’ formula, especially given the scope for entertainment in Bucharest than in the provinces). However, the Sonae Sierra pro-
and car parking. The big central ‘Unirea’ store of the communist era ject for Park Lake Plaza Mall in Titan could represent a step too far
(k in Fig. 1) has been privatised and subdivided on the mall princi- in recession since Bucuresßti Mall in Vitan is only 2 km away.
ple while the first purpose-built mall was provided when Bayindir There is arguably a structure to the commercial development
Fiba (Turkey) launched the €35 mln Bucuresßti Mall (b in Fig. 1) in with the network of some 30 traditional markets and a pattern
CaleaVitan in 1999 as a joint venture with Banca Turco-Romană. of higher-level nodes endorsed by the malls and hypermarkets.
48,000 sq m of floorspace provide for over 70 shops along with res- But the major nodes are not all well-situated, e.g. the substantial
taurants and cinema halls: a 50% enlargement followed in 2006. capacity now available in Băneasa is arguably situated too far to
Another inner city development followed at Orhideea in the west the north; while the complexes tend to be too dispersed with indi-
in 2003 (g) and City Mall in the south in 2005. In contrast to vidual projects based heavily on land acquisition opportunities:
free-standing supermarkets there was some reluctance by malls thus Carrefour at Orhideea arose from the opportunity provided
to colonise the suburbs where the initially modest Militari Shop- by the former ‘Plevna’ bakery, although redevelopment has given
ping Centre (f) succeeded in the west in 2001 thanks to motorway rise to severe traffic congestion. Evidently the established develop-

Plate 6. The uncompleted food market shown in Plate 6 has been redeveloped as the Liberty Center, one of a growing number of shopping malls completed since 2000.
M. Nae, D. Turnock / Cities 28 (2011) 206–219 215

ment policy against large commercial complexes in the urban core between supply and demand, especially in the medium-income
has been too easily compromised and it is significant that ‘Pactul segment supported by increased purchasing power and mortgage
pentru Bucuresti’ (see below), calls for commercial developments availability. The northern lake belt retains its attractiveness but
within 2 years and in the meantime any new projects must respect prices have risen roughly 10 times in a decade (even more where
the local architecture. However, it should be noted that many of good supermarket access is available) and hence the urge to move
the new supermarkets are not accommodated in malls and the further into the rural areas where villas were costing as little as
competition has been intense enough for all parts of the city to at- €150,000 at Corbeanca in 2007. And with land much cheaper in
tract new facilities. the south (€50–80/sq m) apartments could be acquired for €40–
60.000. At this point it should be emphasised that housing pressure
is being exerted on all sides of the surrounding county of Ilfov
Housing which has become a residential buffer zone invaded by ‘gated com-
munities’ driven by real estate speculation and the necessity for
Although there was a major shift to private ownership, which enclosure linked with brand image and social status as the basis
conferred a degree of prestige on the former tenants, the depres- for a new urban identity (Plate 7). However, ‘amoeba’ type devel-
sion of the early transition years meant that both municipal and opment through urban sprawl is much more apparent in the north
personal resources were insufficient to stimulate new housing on than the south where is mainly restricted to Bragadiru and the sub-
any significant scale. With average monthly take-home pay of urban town of Popesßti-Leordeni.
€100, few newly-married couples could afford prices which ranged
from €6,000 to 17,000 (for one, two or three rooms) in the least
attractive areas to €10,000 to 20,000, €14,000 to 30,000 or Quality of life
€20,000 to 45,000 in higher status areas working up to the most
popular area (Dorobantßi) by 1997. Under these conditions it With so much emphasis on luxury housing for affluent families
needed 10 years of work at the average wage to secure one room is easy to forget that Bucharest has a significant poverty problem
in a relatively low-priced area like Titan. Prices continued to rise with many poor people living in obsolete apartments in highly
in view of the growing need while supply was depressed by low congested areas (Matei, 2003). In 2002, it needed 66 months at
spending power and a lack of mortgage capital. The expatriate the average wage of €188 to buy a two-room apartment in Vitan
community were catered for by the French Village (‘Satul Francez’) (€12,500); but in 2008 it needed 200 months at €460 to buy the
as early as 1993: this was the capital’s first new (post-1989) resi- apartment for €90,000. While census data shows just 1.6 persons
dential area which arose from a deal between the city hall and per dwelling in the comfortable north-central area extending from
the Bouygues company based on the idea of a World Trade Centre Ptßa.Victoriei (28 in Fig. 1) to Dorobantßi (11) and Aviatorilor/Primă-
‘annexe’ in the Chinese Embassy area near Herăstrău Park. But verii to the lake belt, a much higher figure rising to 3.8 is frequently
there was only symbolic provision for the indigenous population encountered beside the decaying industrial zones of Rahova/Feren-
until 1998 when city hall planned ‘affordable housing’ at a rate tari (29) and other communist-era neighbourhoods such as Berceni
of 600 flats annually in the eastern, southern and western areas. (4), Colentina (23), Drumul Taberei (13) and Titan (33): see Fig. 2.
However, as the economy returned to growth in 2000 there was Research (Nae, 2009) in two relatively deprived districts with large
increasing optimism from 2002 with a powerful boost provided Roma population shows that relatively high unemployment gives
when the incoming centre-right government of 2005 reformed rise to many low-income families and the high density exacerbates
the fiscal system with a flat tax rate of 16% which boosted the stim- tension and stress between the generations within each family, But
ulus of rising wages fuelling demand over the years to 2008 when it is also possible to see slightly contrasting strategies by the local
the economy dipped into recession. authorities, complementing the help given by the national govern-
It soon became clear (from 2002) that the most profitable area ment through social aid (‘ajutorul social’) and minimum income
for real estate was central-northern Bucharest and the adjacent guarantees.
rural fringe (especially Voluntari although this former commune Several residential housing parks (some of them public–private
is now a town in its own right) and hence this was the preferred partnerships) are also being developed, with units selling as
area for real estate development. Foreign property funds began ‘affordable housing’ at an average price of €32,000, but wider
to look seriously at Romania at this time of strengthening demand neighbourhood improvements are needed including market mod-
in respect of both suburban villas and downtown apartments. 100– ernisation and underpasses to relieve traffic congestion at key
250 sq m flats in old villas of architectural note commanded €300- intersections. In Sector Five, Ferentari now has a free ‘Centrul de
400/sq m in the centre and €600–800 in the north, while demand Asistentßă Medico-Socială’ while the Sector Two ‘primar’ Neculai
for flats in pre-1990 blocks steadily weakened. In 2003, property Ontßanu is seeking EU assistance for further modernisation in Baic-
in the north was costing €500/sq m compared with €400 in the ului to include infrastructure, traffic management and green spaces
centre, €250–350 further south (Ptßa.Unirii and Cotroceni) and in the hope of attracting private property developers whose activ-
€200 elsewhere. Land values rose sharply especially in north ities tend to the more attractive areas. But there must clearly be
Bucharest with €25–125/sq m payable in the preferred Băneasa-Pi- more emphasis on social housing and to this end ‘Pactul pentru
pera-Otopeni zone; followed by €20–40 in areas like Militari Bucuresti’ makes provision for the creation of ‘land reserves’ in
boosted by the first hypermarkets as well as main road access. Real each sector of the city. The state housing agency (ANL) is providing
estate transactions amounted to €6.5 billion in Romania in 2003 new social housing, albeit at a slow rate, while there is also help for
(with Bucharest in the lead) with house purchases rising by up to first-time buyers through the ‘Prima Casa’ scheme, offering state-
30% annually. guaranteed mortgages of up to €60,000.
Real estate projects, too numerous to enumerate, involved Meanwhile, green spaces have suffered considerable erosion
domestic and foreign companies. Some 20,000 new homes were and degradation since 1989 through illegal actions: tree cutting
provided in Bucharest and Ilfov during 2006–2008 of which 4000 (for fuel) and encroachment by kiosks and car parking, which exac-
were built by foreign companies. Many modest compound devel- erbates the problems of pollution. In 2000, park maintenance was
opments have been completed with groups of houses (sharing gar- privatised in a bid to ensure a basic standard and childrens’ play-
dens and other facilities) protected by substantial perimeter walls grounds have been improved. Meanwhile some local develop-
and security gates. Construction in 2006 hardly narrowed the gap ments have been attempted. Some development is being
216 M. Nae, D. Turnock / Cities 28 (2011) 206–219

Plate 7. Lake View Residences Condominium: one of several secure ‘gated’ communities near to Herastrau Lake. Like the initial ‘French Village’ built in the early 1990s it
typifies the exclusivist ‘clubbing’ lifestyle shared by wealthy Romanians and the expatriate community.

attempted through tree-planting programmes which may help to Planul Urbanistic în Detaliu at the level of an individual street).
extend green space from no more than 3.0 sq m per capita towards This permitted ‘derogative urbanism’ through PUZ amendments,
the international norm of 12.0. A Sector One initiative encourages where parts of the PUG could be deemed to disadvantage a private
volunteers to ‘Adopt a Green Space’. Such an approach has resulted actor, entrepreneur or the municipality (Mehedintßi, 2000). The
in a transformation of the land in front of the Free Press House new system was enshrined in law 350/2001 which also placed
where trees and bushes are being planted (and supported by an the planning process under the Ministry of Regional Development.
irrigation system) with help from major companies. Planting in There was a natural pro-development consensus following the two
the 14 ha Parcul Circului and water recycling and green space phases of negative economic growth during the 1990s, boosting lo-
improvements at Strandul Giulesßti have been noted. A ‘Copaculde- cal authority income and generating resources for infrastructure.
hartßie’ or ‘trees from paper’ project (collecting waste paper to fi- There was only limited pressure in the early transition years, when
nance tree planting along the streets) has started on one street real estate did not attract foreign investment, there was no money
(Strada Clăbucet) in the northwestern Grivitßa suburb. in the domestic sector and state building projects were put on ice;
it was perhaps inevitable that problems would arise with the real
estate boom as rapidly rising land values made for tall buildings
Planning the post-communist city in areas with a traditional townscape: land prices reached
€3000–4000 during 2007 in the best areas like Kiseleff/Primaverii.
Planning has become a highly-controversial matter as initia- This was despite the attraction of sites on the edge of the city (and
tives have been discouraged by an acute shortage of public fund- in Ilfov County) as well as former inner-city industrial zones: in
ing. The local authorities gradually gained effective control after 2006 alone 110 ha of land were taken out of agricultural use on
a spate of illegal operations involving unauthorised and some the city boundary while a further 490 ha were similarly affected
demolition of protected buildings. Communist-era legislation in Ilfov County; this was accentuated by speculation in the vicinity
could not anticipate the emerging mixed economy allowing indi- of the future Bucharest-Ploiesßti highway and the southern orbital
vidual citizens not only to own their homes but participate in prop- road that will link the Constantßa and Pitesßti highways and form
erty speculation. Progress over planning was very gradual (Berza part of Eurocorridor Four.
et al., 1994) and the city’s PUG (plan urbanistic general), setting A consistent overall view is to some extent obscured by the
out the general directions of city growth, was elaborated during division of the city into six sectors, each with its own mayor and
1996–1998 when the pressures of the following decade could not council, although (as noted) there is a general mayor and a prefec-
be visualised. It was allowed that private initiative (and not the lo- ture; while planning decisions are centralised with the city’s archi-
cal authority) would determine the precise nature of change at the tect, a very influential position. There have been many local
level of the district plan (PUZ: plan urbanistic zonal) beyond those problems. The speed of new development during recent years
envisaged by the PUG (and also determine the micro-scale PUD: has made it difficult to ensure that infrastructure keeps pace with
M. Nae, D. Turnock / Cities 28 (2011) 206–219 217

the builders: hence the cases of new residential areas emerging ual zone (PUZ) approved in the interest of developers and promot-
without infrastructure. Urban ‘hysteria’ evident in the construction ers; although they have broadly accepted the liberal governance
of shopping malls, business centres and luxury apartments – con- principles that evolved slowly during the 1990s, in order to get
trasted with the relatively slow progress of social housing schemes development moving. Mounting criticism of ‘derogative urbanism’
(almost universally overlooked by commercial developers) – con- came from the champions of traditional architecture (including
tributed to pressure for legislative change. Perhaps the greatest NGOs such as Eco-Civica), anxious to restrict tall buildings in the
controversy arises over the height of buildings as indicated by coef- central area. A report by the NGO ‘Asociatßia Salvătßi Bucuresßtiul’
ficients that relate the physical area of a site to the total amount of talks of a planning disaster through haphazard growth undermin-
built space that it will provide: hence a high coefficient for a 20- ing the general plan. Other flagrant irregularities have occurred,
storey tower in comparison with the more moderate coefficient including the demolition of listed buildings (‘clădiri de patrimo-
for three- or four-storey building that is replaced (and similar niu’) sometimes by illicit overnight actions. The lack of long-term
buildings that remain in the immediate neighbourhood) makes planning, linked with the intense pressure exerted by new com-
for deep misgivings over the changing urban landscape. It was mercial development, means that the city is being stifled by its
widely acknowledged that a modern office building in Calea Victo- own growth.
riei was inappropriate for the city centre in the 1990s, but such ‘Pactul pentru Bucuresti’ (April 2008) was agreed by 34 NGOs
conflicts have subsequently multiplied as pressure has been placed and professional organisations. The Pact says the city’s coherence
on the inner ‘villa suburbs’ of the late 19th and early 20th centu- has been undermined by 1000 derogative PUZs approved in recent
ries. Before the recession 200–300 district plan (PUZ) amende- years through pressures from private interests: the scandalous
ments were being approved each year as derogations of the PUG phenomenon of ‘private urbanism’ was seen as being very costly
and around 100 of these approvals in 2007 involved high buildings to the public interest and unique in Europe. But there has clearly
in traditional areas. been insufficient regulation and the scale of change has seriously
It is clearly necessary to strike a balance in the planning pro- undermined the general plan (PUG) so that a revised version is
cess: the situation is hardly chaotic since all the plans are handled now a pressing necessity. The ‘pact’ was accepted by the General
centrally by a special ‘urbanism’ commission of the city’s general Mayor’s office (after evaluation by a technical commission) and
council and the architect plays a key role. And although Law 350/ the six sector councils, leading to the amendment of 350/2001
2001 enshrined the principal that each PUZ (and ultimately the which applies to all towns. Under the 2008 modification, the local
PUG) should be moulded by private interest, the city architect authority can reject the arguments of the applicant and develop-
may require modifications. An expert ‘Technical Commission for ment will require a ‘preview notice of opportunity’ from the chief
Urban Planning & Territorial Arrangement’ was appointed in architect (approved by the council) setting out the implications,
1997 to work with the General Planning Department in processing supported by a PUD if necessary. Thus in future a derogative PUZ
planning applications and review PUZ documentation (while the will have to be argued as being in the best interest of the city,
US has helped with a computer-based system). The general mayor and no derogations will be allowed for land use coefficients greater
inaugurated the Bucharest Urbanism Center in Str.Academiei near than four (meaning the built space must be no more than four
the university to act as a bridge between the municipality and times the land area of the site). Moreover, any PUZ will apply only
developers; demonstrating precisely where building was going to an individual land holding and not to the wider URD ‘unitati
on at any time. However, the scale of change – amply ‘overfulfill- teritoriale de referinta’ covered by the zone in question. There is
ing’ the provisions of the PUG – became excessive (driven in part of course a need for a new PUG after full consultation to ensure a
by bribery of potential objectors) and a better balance between ‘harmonious mediation’ of the present situation and future needs.
development and conservation is needed. Certain cases have Various specific measures are included in the ‘Pact’ (e.g. land re-
gained notoriety, e.g. Cathedral Plaza (75 m tall) which threatens serves and commercial network planning) and it is agreed that
to dominate the cathedral of St.Iosif (already mentioned). There the new arrangements will operate throughout the current elec-
has been much opposition to the PUZ proposals for Brezoianu near toral phase for local government (2008–2012). Illegal buildings
Cismigiu Park (42 m), Bulevard Lujerului (116 m), Bulevard Polig- will be demolished, fines will no longer apply, while the prohibi-
rafiei (120 m) and most controversially the Dâmbovitßa Center tion (according to HG 1454/2004) against new malls or hypermar-
(135 m) already mentioned. Questions also relate to green space kets within the city will be strictly enforced. Green spaces and
threatened by restitution despite formal protection, e.g. the 80 ha sports grounds will be respected and there will be a special pro-
Parcul Tineretului which was planned in the 1930s but imple- gramme formulated for historical monuments and protected areas,
mented only during 1965–1974 on expropriated land; boasting a funded by the allocation of at least five percent of each sector bud-
substantial stadium for cultural and sporting events (today’s Sala get for preservation and rehabilitation of the urban patrimony. The
Ioan Kunst Ghermanescu), a large play area for children (Orasßelul ‘Pact’ also seeks transparency in decision making, especially relat-
Copiilor) and a lake. Despite legal safeguards, 30 ha have been ing to planning matters and legislative changes; the land reserves
transferred back to private owners and in 2005 a PUZ created a for social housing and additional parkland have already been
zone on the edge of the park for residential development as com- mentioned.
pensation for small properties dispersed across the core of the More effective planning control has coincided with a fall in the
park: it is suspected that by this loophole a disproportionate area number of planning applications due to the economic recession
of the park was lost and that further encroachments could follow. starting in 2008. The purchase of homes is slowing down as loans
Party politics are obviously involved in development issues but become more difficult. Many new projects are being rescheduled,
without any great consistency since the parties controlling the var- e.g. Ablon (Hungary) owned by Israeli Uri Heller have put their
ious city sectors are always looking for ways to expand their bud- Sunset Residences project on hold in Drumul Taberei where there
gets, while close links with developers always attract scrutiny from are also delays for industrial estate projects by Gran Via (Spain)
opposition parties. Thus the centre-left PSD was very active after who intend to build 5000 apartments on the old Electrotehnica,
2000 when private investment began to increase and EU funding Frigocom and Tricodava industrial sites. The slowdown could be
also grew rapidly in the run-up to accession in 2007. PSD elements especially difficult for companies who have paid high prices for
– along with the centre-right National-Liberal Party politicians – land (especially in areas lacking good infrastructure) in anticipati-
expressed concern at the ease with which the general urban plan ion of quick sales. There are also problems for companies with un-
(PUG) was contradicted by revised plans at the level of the individ- sold assets, e.g. industrial firms with inner city premises to sell:
218 M. Nae, D. Turnock / Cities 28 (2011) 206–219

Cadbury have lots at their old Kandia-Excelent plant in Voluntari of renovation, infrastructure and pedestrianisation in 2004–2005,
while Overseas Bakeries have their old ‘Lujerul’ plant. Meanwhile involving the displacement of some 10,000 people (testifying to
prices for old apartments are falling sharply (34% on average in the high residential densities persisting in former socialist cities).
March 2009 year on year) which now fetch some €1370/sq m: even This was the basis for a revamping of the underground infrastruc-
the central areas are affected. The push into Ilfov has been moder- ture followed by installation of new paving and lighting. It was
ated by delays for the huge Tiriac Imobiliare investment (€500– hoped that by 2010 the area would be recolonised by small entre-
1000million) in mixed development for the 88 ha Metro site at preneurs, with one street earmarked for a ‘Bohemian Alley’ with
Otopeni; also the European Future Group’s residential develop- restaurants and terraced housing. In this way, the area should de-
ment at Buftea. But Opus Land Development (owned by the Turk- velop its own identity and rehabilitation should proceed through
ish Buyukhanli Group) proceeded with the €700million mixed the whole district. The Spanish Sudesa company has been working
commercial/residential project for Sßtefănesßti de Jos (envisaging se- on the infrastructure since 2006 with financial assistance from The
ven phases to 2014) in the expectation that the property market Netherlands.
was to pick in the second half of 2009. There is also a €70million
4.4 ha ‘Archipelagos’ Ansamblul Residentßial project at Cernica for
Conclusion
2009–2010 (835 apartments in 18 blocks, with a supermarket,
sports facilities and a nursery) by Panhol Developments (Greece).
The paper has reviewed spatial change in Bucharest since the
However, land prices on the eastern edge of Bucharest were 13%
revolution. There is no doubt that multiple transformations have
down in March 2009 year on year at €82.6/sq m.
occurred, with a sharp change of direction evident in the shift from
Any partial ‘breathing-space’ may allow for more thought about
industry to commerce and from large apartment complexes to
the future urban landscape. While Sibiu has a ‘Comisia de Special-
smaller projects involving considerable numbers of villas as well
itate’ with access to consultants in Germany helping with restora-
as apartments. The inherited housing stock has been partially up-
tion, little has happened regarding Bucharest’s proposed ‘Comisia
graded and infrastructure has been significantly improved in some
de Patrimoniu’. But as regards planning there is proposal for a ‘Con-
respects. Cumulatively, the pace of change is similar to the later
sultative Commission for Political and Strategic Development’
communist years but scattered between a large number of small
drawing on the expertise of planners and social scientists to pro-
projects when compared with the ‘gigantism’ of the Ceausßescu
vide a public forum for strategic urban development issues (includ-
era. Even so, the pace of change, with heavy dependence on private
ing revision of the PUG). There is also a clear need to catch up on
capital to finance new building projects, has brought widespread
infrastructure (Erdeli et al., 2000; Gâsßtescu, 1998). Improved elec-
criticism over the pace to change without a sufficiently robust gen-
tronic access to public services is desirable and will be helped by
eral plan to ensure conformity to an agreed growth model. In this
an ongoing programme of providing fibre optic cables. Traffic prob-
sense, we conclude that while the system of regulation must
lems mount, as Bucharest has a 3 million daily population by day
clearly be improved, growth has not been uniformly chaotic and
which could rise to 4 million in 5 years) while the 1.3 million lo-
we point to elements of rationality in the new layout, influenced
cally-registered cars increases by 400–500,000 vehicles bringing
as it is by the availability of opportunity sites and a degree of com-
commuters from the surrounding areas. An airport rail link is
petition between the six sectors of the city with their own local
now operating from the city centre (Gara de Nord) and metro
governments. We also demonstrate that while Bucharest shows
extensions are planned; while more futuristic schemes are coming
plenty of evidence of affluence arising from almost a decade of
from young architects and other visionaries: e.g. an extended rail
growth since 2000 (albeit currently stalled by recession) there
service combining a total of six radial routes with the centura to
are also many poor families that have lost out in the declining mar-
create a network known as ‘Tren Expres Regional’. Indeed urban
ket for unskilled labour. Finally there remains a curious lack of
transport focussed on the railway and metro networks is an impor-
cohesion between the city and its immediate hinterland, very
tant part of ‘Pact’.
apparent to urban specialists but apparently accepted as a ‘fact
The only official contribution to these visions involves an even
of life’: a traditional town-country dichotomy that is well under-
smaller central area where a ‘historic centre’ initiative first took
stood and appreciated.
shape in 1997 when a ‘Zone of National Interest’ was declared,
with the aim of restoring the traditional commercial character of
this area, with buildings restored to their original functions: shops Acknowledgements
on the ground floor and other business, including banking, up-
stairs. Shown as ‘B ‘on Fig. 1, the area extends northwards from The authors greatly appreciate the editorial input by Andrew
the Dâmbovitßa to Str.Doamnei between B-dul.Brătianu to the east Kirby and his predecessor John Leonard.
and Calea Victoriei to the west. It is fortunate that the former dic-
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