Urban Regeneration and Real Estate Dynamics: A Non-linear Model of the Break-Even Analysis for the Assessment of the Investments

With reference to the redevelopment of brownfields areas, in the present research a non-linear model aimed at assessing the conveniences of regeneration initiatives of the parties involved has been proposed. The model is part of the assessment methods aimed at verifying the financial feasibility of an urban redevelopment intervention carried out through the public-private partnership procedure. By borrowing the operative logic of break-even analysis, the model omits the hypothesis related to the non-linearity revenues: in the specific cases in which the mentioned assumption is not valid, i.e. when the market supply significantly overcomes the market demand, the proposed model represents a useful tool to orient the renovation initiatives decisions towards effective and profitable choices.