Developing the Rental Industry
Mass Builders: Housing Decisions Must Become Data-Driven
- Head of Tehran Mass Builders Association calls for data-driven decision-making in housing projects
- Development of the rental industry proposed in collaboration with the Ministry of Roads and Urban Development and municipalities
- Land allocation to mass builders alone is insufficient; mixed-use projects must be operationalized
According to SAMA, Ramin Guran, Head of the Tehran Mass Builders Association, emphasized the need for a paradigm shift in the execution of construction projects, stating that decision-making in this sector must not be based on personal taste but rather on data and field information.
Emphasis on Decision-Making Based on Statistical Data
Guran highlighted the importance of assessing applicants’ financial capacity, market analysis, and macroeconomic conditions, stressing that builders, industry professionals, and policymakers must plan based on accurate statistics and figures. He also pointed to demographic changes and the preferences of the new generation, noting that future generations seek different spaces and amenities in buildings, a factor that must be incorporated into project design.
The Need for Expert Consultation at the Start of Projects
The Head of the Tehran Mass Builders Association identified the presence of specialized consultants in the early stages of projects as one of the key solutions to prevent the waste of financial resources, emphasizing that feasibility studies and economic viability assessments must be conducted before construction begins. He also stressed the need for banks to support investment projects and for the establishment of housing savings funds to ensure sustainable financing.
Developing the Rental Industry; A Solution for Transforming the Housing Market
Guran, referring to Iran’s 20-year unsuccessful experience in the rental industry, proposed that this sector be revitalized through collaboration between the Ministry of Roads and Urban Development, municipalities, and the private sector. He stated that allocating land to mass builders alone is insufficient to meet market demands and that new models, such as mixed-use projects (similar to successful condo-hotels worldwide), must be implemented in Iran.
This industry figure called on the Ministry of Roads and Urban Development to pave the way for the implementation of the rental industry and mixed-use projects by approving new legislation and issuing necessary directives, adding that his colleagues in Tehran Province are currently working on examples of such projects.
