Transformation and upgrading of old industrial zones on collective land: Empirical study on revitalization in Nanshan

To advance industrial upgrading, the Government of Shenzhen Nanshan District constantly loosens restrictions and offers more funding for revitalization, creating incentives for village shareholding corporations (VSCs) to revitalize old industrial zones. Focusing on the transformation and upgrading of old industrial zones on collective land based on the case study of Longjing Industrial Zone, this paper investigates the implementation and effectiveness of the new revitalization policies. First of all, by comparing the industrial zone before and after the revitalization, the results of the revitalization are summed up: the renovation of physical environment and infrastructure, the professionalization of operational models, the diversification of enterprise composition, and the demographic change (the move-in of more high-income white-collar workers). Then, the performance of the revitalization is assessed in the aspects of industry cluster and social costs, and the limitation of the transformation and upgrading of industrial zones is identified. In comparison to government-led revitalization projects, based on the analysis of the motives and actions of the stakeholders (district government, VSCs, industrial park operators [IPOs] and tenant enterprises), three underlying factors that exert negative impact on the effectiveness of revitalization have been found: 1) formalistic industry planning; 2) recruiting enterprises with loose restrictions; and 3) imperfect regulation, supervision and final acceptance standards. Finally, based on the above-mentioned limitations and underlying reasons, the paper proposes suggestions on improving the revitalization of old industrial zones. (C) 2017 Elsevier Ltd. All rights reserved.