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The life cycle of a heritage

Some property life cycles develop very quickly, with a few years or even months separating the initial construction and the final phase. In other cases, a farm can remain for several centuries in a single stage of its life cycle. It is impossible to indicate the average period of the life cycle of a farm to complete its revolution, but in the case of ordinary domestic buildings of traditional construction, the usual period is 60-100 years. However, there are indications that, with the accelerated pace of technological development, this period will tend to shorten.

In the center of our oldest towns, there are many examples of farms that have gone through a series of life cycles, and successive buildings have been erected and later replaced, but more common is the farm that is now in some stages of its development. first cycle. . A building becomes completely obsolete or dies when it is physically exhausted or when it is no longer economically worth keeping in use. In practice, the latter is often the determining factor, as the rate of physical obsolescence can be controlled through repairs and upgrades, provided there is an economic incentive to bear the cost. A special case is that of a building of great historical interest that can be preserved as a living fossil long after it was expected to die.

While it is not possible to describe the life cycle pattern of a property in detail, it is fairly easy to indicate the main stages experienced by most properties that go from initial development to renovation, and describe the main problems of property management. relevant property for each stage. as follows

1) The pre-development stage.

2) The newly developed stage.

3) The half-life stage.

4) The stage of old age.

5) The stage of total obsolescence.

The pre-development stage

The site available for development may be one that has never been built before or has been cleaned from its previous building. Land at this stage of expectation tends to be neglected as the owner restricts spending on its existing use, whatever, such as agriculture, market, gardening, parking, it should be noted that any investment in improvement should be canceled as soon as possible as development takes place. Consequently, sites awaiting development are often prey to nuisance and even when well fenced, they can be subject to garbage dumps, housebreaking, fly laying, and other similar afflictions. When the pre-development stage is short, these difficulties are not serious, but when the length of this period is uncertain, effective land use and management may become impossible.

The stage of new development

When a property is recently developed, it must be adapted to its use in all respects and therefore it will not be affected by obsolescence. 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 stages, and perhaps minor construction defects can all introduce elements of obsolescence. However, the utility of a building when it is new is usually greater than at any later time. In the first few years of life, obsolescence is likely to occur at a higher and regular rate as the advantages of being new and modern are lost. This will be determined, to a large extent, by the speed at which comparable new and more modern buildings are erected, setting higher standards through competition. Occasionally, as in the case of a speculative development that does not find an occupant, a new building can become obsolete as soon as it is completed.

The half-life stage

This is normally the longest stage of the life cycle and can be extended to last almost permanently. It begins as soon as the advantages of being new and updated in the early stage of development have worn off and the building settles down to its level of long-term utility and value. However, when the value of new buildings tends to be much higher than that of older properties, the incentive to increase the rate of renovation can lead to a shortening of the average half-life period. During the half-life stage, physical deterioration is typically kept under control through proper maintenance and annual decline in value due to modifications, extensions, upgrades, and perhaps conversions that may be significant enough to constitute a virtual replacement and restart. of the entire life cycle. .

The stage of old age

The end of the half-life is marked when the property begins to rapidly sink into its condition. It shows the external signs of obsolescence such as physical deterioration, adaptation to a poorer class of use than it was designed for, obsolete accessories and equipment, and its remaining life becomes predictable. Management problems at this stage are dominated by the short remaining life, which is usually less than fifteen (15) years. New investments to improve facilities or even to keep them in an efficient state for their use become more difficult since the increase in an annual value that is likely to result is insufficient to provide a reasonable return on capital and a sinking fund to replace the sum of capital for the end of the investment’s life. As a result, the improvements and adaptations necessary to maintain the property are first limited and then completely neglected. When this stage is reached, it is often the policy of an estate to restrict all expenses to a minimum and deplete existing assets awaiting development. When leasing premises, there is also a need to limit the granting of new leases so that the duration of their terms does not extend beyond the date the development is contemplated. Tenants who have short pending development interests will generally have little incentive to maintain the property beyond the lowest standards of repair and physical condition, and may lead to other management issues related to its use and care.

Total obsolescence

First, the stage of complete obsolescence is reached when old buildings and their layout have little or no value as they are. If all goes well, cleaning and remodeling follow quickly, but there may be factors that prevent it. The first is that the site may be of 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 drive renewal. Second, the redevelopment pattern may require changes to the size and shape of the site that cannot be assured. This arises when a comprehensive renovation is needed to meet modern traffic conditions and existing small development units must be merged for redevelopment purposes. In these circumstances, it is often necessary for individual obsolete buildings to remain until all areas are able to be fully cleared. Third, it happens that a building is totally worn out and judged by contemporary standards, it is no longer fit for occupancy. But due to the shortage of accommodation, it continues to generate usage and income. Therefore, it retains a value, sometimes high, and is not strictly obsolete from the economic point of view, although it can be considered this way in social terms.

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