THE IMPACT OF LAND COSTS ON REAL ESTATE INVESTMENT BUSINESSES IN UGANDA: A LITERATURE GAP
This study analyzes the literature and knowledge gap on the impact of land costs on real estate investment businesses in Uganda through a comprehensive review of the existing literature. A scoping review methodology was used to gather relevant information from the accessible literature sources. The study found that several factors, including location, road infrastructure, environmental factors, land conditions, and land use type, significantly impact the cost of real estate investment land in Uganda. Market demand, population growth, urbanization, and land tenure insecurity were identified as the primary drivers of these costs. Previous research has suggested that high land costs can lead to distorted land usage, increased risk premiums on real estate investments, declining return rates, rapid changes in land use, increased capital-land ratios, suburbanization, and increased density of residential property values. To combat this issue, the study proposed implementing zoning and land use regulations, land banking and developing public lands, tax incentives and exemptions, land value capture, and establishing satellite cities, while also raising public awareness and sensitivity about land costs. By incorporating these interventions into a cost-effective, locally-accepted model, Uganda can reduce real estate investment land costs. The literature has not revealed any studies conducted to develop a comprehensive and applicable land cost-saving model to reduce real estate investment land costs for businesses in Uganda. Therefore, there is a need for a detailed investigation that aims to develop a cost-saving and efficient model acceptable in Uganda to reduce real estate investment land costs.
Businesses, Land Costs, Land Expense, Land Price, Real Estate Investment, and Uganda.