Past exams Q land adminstration Essay Example

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6Land Administration Systems

Title: Exam Questions on Land administration Systems

4 a) what are the emerging models of spatial data infrastructure (SDI?)

Registry based models, SDI conceptual model and web based systems, Process based models, and Management based models and Entity relationship models (Alshehri, 2012, p.16).

4 b) How can crowdsourcing and user generated spatial contents contribute to SDI development?

Crowd generated geospatial contains information that is more current and diverse ore that the conventional geographic information. Crowd generated SDI is helpful in supporting disaster management as it has the potential to speed up disaster mitigations and disaster management actions. For example, Google streets use crowd sourced data that helps to generate accurate data of a particular street there helps in disaster management actions (Zevenbergen et al, 2015, p.17).

5 a) Differentiate between fixed and general boundaries

Alshehri (2012, p. 20) explains that general boundaries are legal boundary points that are undefined. General boundaries can be man-made or natural visible features or characteristics that identify approximate location of legal borders. For example, large scale topographic maps used in England. Fixed boundaries are legal boundary points that are defined with marks. Parties associated with the land agree that these location points should be represented using coordinates linked to a local or national geodetic framework for example, boundaries drawn on cadastral maps.

5 b) Compare and contrast four characteristics between a survey accurate and a non-survey accurate digital cadastral database (DCDB).

Survey accurate digital cadastral database gives a consistent set of coordinates which are used for markers that provided fixed boundaries for land parcels in a particular area. Survey accurate digital cadastral databases are easy to store, reproduce, edit and process as compared to non-survey accurate digital databases. Non- survey accurate DCDB originates from isolated survey approach. More time is required to set up and maintain a non-survey DCDB but less cost is involved. Non survey accurate digital dataset may led to inappropriate use of data sets. Survey Accurate DCDB requires more money and time to maintain and set up a DCDB as compared to Non-Survey DCDB. There is more value added potential to use of accurate cadastral dataset in survey accurate DCDB (Alshehri, 2012, p.36).

6) List and explain the reasons why land may have value to a person willing to purchase land.

Onsrud (2007, p.4) describes land as a natural resource which is pivotal and unique in nature and it offers an important status in the economic, environmental political and social theory. The main advantages of buying land include:

  1. Land is an asset that appreciates over time leading to a profitable venture.

  2. Land is a long term investment and if well-developed it can be a life time income provider.

  3. Land is a hands off investment which is characterized by lack of competition as it is a scarce natural resource.

7) Describe the three basic approaches to the valuation of land and any improvements.

Cost approach method assumes that a well-informed buyer would pay no more that the cost which can be used to produce a substitute property worth the same utility as the property in subject. Using a capitalization base of 5%, the seller should be able to incorporate these as the goodwill of the property when calculating costs.

The sales comparison approach assumes that prices paid in the actual market of similar properties estimates the land value at site. The capitalization base of 5% should act as the goodwill value the property holds regardless of the market prices.

Income capitalization approach uses future and anticipated estimates of net operating income which are discounted to represent the value of land. This method relies on market data to calculate the expected net operating income (Alterman & Evangelia, 2010, p.24).

8) Land valuation

(i) A manufacturing and processing facility for photographic film in an industry that is obsolete or can’t be adapted.

The photographic film industries has unique features that cannot be adapted, therefore no new developments can be made to the building thereby reducing the value of the building.

(ii) A 20 year old brick veneer residential house requiring refurbishment.

The 20 year old veneer will require a lot of money to renovate which compared to the income it will bring in it will take a long time to recover that is the rate of return on investment will take years to recover.

(iii) A new 2 unit apartment block surrounded by high rise holiday accommodation in a very popular tourist destination.

Efficient use of the 2 unit apartment block is not well implemented. The two units can be converted to one unit apartment which can be used to accommodate more tourists hence increasing its revenue potential.

(iv) An older 3-storey commercial office building surrounded by modern buildings, that does not have an elevator or lift and can’t be adapted.

Loss of land value is caused by lack of installation of modern infrastructure such as the lift which decreases the value of the property.

9) Determination of land value of residential vacant plot

(i) Describe the method you would use to determine the land value of a typical vacant residential plot in the area.

Income capitalization approach suits best because it will look at the future potential development features of an area and the property in subject. Income capitalization method looks at the future and anticipated estimates of net operating income which are discounted to represent the value of the vacant parcel of land (Alshehri, 2012, p.40).

(ii) Describe the hypothetical development model used to determine the feasibility and value of the vacant block for the proposed development, based upon the client’s wish of a 30% profit margin.

The client can use the equilibrium based model to determine the value of the vacant block. The equilibrium model assumes that development activities are structured by economic signals that contain demand as reflected in the yield for urban properties (Sadahiro, 2008, p.14). The value for the property is compared to other developments in the site. The client will discount the future value of the cash flows using the 30% margin and the initial value of the parcel to determine which developments best suits the vacant parcel of land.

10) Calculate the amount to be disbursed to the owner

Assuming a 10% interest per year,

Total land value ($ 15,000*4)

Add Severance

Add Interest (10% of $ 60,000*1)

Total compensation due

$ 106,000

1 a) what is land administration?

Land administration is the manner in which rules of land tenure are made operational and applied. Wyatt (2013, p.61) explains that land administration rules are applied through use of systems operations which can be either formal or informal.

1 b) Differentiate between a land registration system and a cadastre?

Land registration involves the recording of land ownership, possessions or other rights into a system which provides ownership of land in terms of title and allocation letters. Land registration facilitates land transactions and prevents illegal land disposal. Land registration records vary from one jurisdiction to the other.

A cadastre is a term used to describe a set of land records showing the extent, ownership and value of land. A cadastre is a record of values and areas of land as well as landholders that were originally compiled and kept for the purpose of tax collection (Dessers, 2013, p. 54).

2) Characteristics or norms of good governance

Governance identifies the manner in which power is exercised by a ruling government in managing the country’s spatial, economic and social resources. The Food and Agriculture organization in 2007 adapted the following norms or characteristics of good governance that successful land administration system (Hall, 2008, p.23):

  1. Legitimate and equitable: should ensure a democratic process that deals fairly with all citizens and is impartial to individuals and groups providing land services.

  2. Sustainable and locally responsive: should be able to balance the environmental, social and economic needs of the future and present generations. The land administration system should also be able easily accessible to the local citizens.

  3. Efficient, effective and competent: should be able to formulate policies and implement them efficiently while delivering high quality services.

  4. Transparent, accountable and competent: demonstrates stewardship and openness while responding to questions and providing decisions in respect to rules and regulations governing a country.

  5. Participatory and providing security and stability: the system should enable its citizens to participate in government and provide security to the citizens and their properties.

3 a) what is spatial data infrastructure (SDI)?

Spatial data infrastructure is a digital infrastructure that promotes data consumption and sharing by implementing an interactive framework for tools, users, metadata and geographical data. The framework enables users to use spatial data in a flexible and efficient manner through standardization of related land activities essential to maintaining and preserving spatial data (Chang, 2013, p.12).

3 b) Discuss the emerging models of SDI?

  1. Spatial data funding model: this is an emerging model that seeks to address the economic issue behind the SDI. The model seeks to answer questions relating to costs and benefits derived from using SDI. The model analyses the cost-benefit issues and tries to establish where resources for developing and maintaining an efficient SDI.

  2. Hierarchical governance models: This model seeks to incorporate the use of good governance in land administration systems. Good governance enables effective implementation of SDI. This ensures that users are effectively provided with relevant sets of data for their use. The hierarchical models assumes that all relevant authorities from the policy level to operational level implement policies that ultimately enable the end user to benefit from data relied on the digital platform (Masser & Crompvoets.2015, p. 8).

4a) Digital cadastral database (DCDB)

Digital cadastral database (DCDB) is a computerized spatial location or map showing boundaries in relation to close or adjoining parcels of land or properties. Digital cadastral database (DCDB) provides an outline of property legal boundaries (Masser & Crompvoets.2015, p. 8).

4 b) Role of Digital cadastral database to improve land administration system.

Accuracy and integrity is one attribute of Digital cadastral database that helps land management agencies to make critical decisions on land based on correct and current land information.

The Digital cadastral database accuracy helps to improve service and information delivery to end users e providing a responsive service delivery to the citizens.

The Digital cadastral database helps to model a nation’s cadastral network by reducing historical inaccuracies. This helps to generate effective legal and technical certainty when dealing with land administration problems.

It is easy to update and upgrade Digital cadastral database to provide current information on land without affecting land topology (Zevenbergen et al, 2015, p.63).

5) Describe an integrated land use framework for sustainable development through the provision of land information and implementation of land policies.

Steudler’s Land Administration Systems Framework considers evaluation of good practice in all management levels that lead to sustainable land use. Efficiency and effectiveness of an evaluation Steudler’s Land Administration Systems Evaluation Framework can be analyzed using the good practice criteria (World Bank Staff, 2014, p. 81).

Table 1.0 shows Steudler’s Land Administration Systems evaluation framework for each policy area.

Evaluation area

Possible Aspects

Possible Indicators

Good practice

Policy level

  • Tasks and objectives of the system

  • Historic, cultural and legal background

  • List of tasks and objectives.

  • Social, legal and historic indicators

  • System has been defined well by tasks and objectives

  • System responds to the needs of the society, equal to all and economically viable.

Management level

  • Definition of a system structure

  • Communication and cooperation between institutions

  • Definitions of system characteristics

  • Linking of all organization in the legal, technical private and public organizations.

  • Clearly defined system structure

  • Clearly defined communication channels and tasks for each organization in the system

Operational level

  • Technical specifications and implementation

  • Products for customers

  • Products respond to policy level objectives and are satisfactory to customers.

External factors

  • Availability of well trained personnel

  • Consideration of professional bodies into the system

  • Education and training of personnel in seminars or courses

  • Allowing professional bodies to take part in development of a system

  • Adequate number of personnel in relation to the tasks and responsibilities

  • Continuing training on regular basis for the personnel

Review process

  • Conducting a reliability test

  • Constant review of objectives and strategies as well as customer satisfaction.

  • Consideration of deviations, errors and omissions

  • Annual reviews of customer satisfaction

  • System is effective and efficient

  • System delivers fast with few errors and is always in time.

8) Factors that lead to reduction of land value and development

i) Land degradation through poor farming practices such as excessive burning of land vegetation cover.

ii) Environmental pollution such as noise pollution and air pollution such as traffic noises and air pollution by motor vehicle gas emissions.

iii) Natural causes such as drought prone areas and earth quick prone areas such as Semi-arid areas and arid areas where it is hard to practice agriculture.

iv) Access of the land parcel to infrastructure such as water, roads and electricity is limited. For example a land parcel located in a place with impassable roads when it rains (Byamugisha, 2014 P. 8).

9) Effects a statutory planning scheme or changes to a statutory planning scheme can have on the market value of land.

A planning scheme involves the development of a statutory document that sets out provisions, policies and objectives relating to conservation, protection and use of land in a particular area. A planning scheme regulates the development and use of land through goals and provisions set out to achieve those policies and objectives.

Statutory planning schemes can increase or decrease the market value of land. This can be analyzed using the cost and benefits of land that can be derived from introduction of or changes in statutory planning schemes. Statutory planning schemes may define a piece of land to be urban or rural land. Land in Urban areas has a higher market value than a parcel of land in rural areas. Statutory planning scheme may introduce development projects in various parcels of land making the value of land to increase in a certain area thereby increasing the market value of that piece of land (Mundy, 2010 p 56).

10) Calculate the amount to be disbursed to the owner

Assuming a 10% interest per year,

Total land value ($ 30,000*2)

Add Severance

Add Interest (10% of $ 60,000)

Total compensation due

$ 116,000


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