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Business Improvement Districts (BIDs) as a Mechanism for Private Fundraising in Urban Development: Adaptivity for Russian Context

Student: Alina Shestakova

Supervisor: Ivan Medvedev

Faculty: Faculty of Urban and Regional Development

Educational Programme: Urban Development and Spatial Planning (Master)

Year of Graduation: 2020

This research is devoted to business improvement districts (BIDs). BID is a public-private partnership, within which an additional tax is established for business owners and commercial premises within certain boundaries of urban areas, which goes to maintain this territory and its development. At the same time, BID receives certain powers to manage this territory, including the management of public spaces (streets, squares, etc.). This mechanism is widely used in different forms in Canada, the USA, Great Britain, Germany, South Africa, etc., what indicates its effectiveness and flexibility. The paper examined the causes of BID in a number of countries, studied the principles of its functioning, the positive and negative sides of this mechanism. Using the example of four Russian cases that have certain BID features or plan to create organizations of this kind, it was revealed that the mechanism under study may be demanded by entrepreneurs and city authorities in Russian conditions. Recommendations were given on possible in practice implementation in order to create favorable conditions for the creation of local business associations with the aim to develop the areas of presence, including public spaces. In addition, recommendations were given on the possible stages of the implementation of this international practice.

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