Economic Development of Suburban Areas through Making Assets Productive (Case Study: Farahzad Neighborhood)

The main purpose of this study was examining the ways of making assets productive in suburban areas with the facilitation of municipalities that are responsible for city administration. So, the implications of empowerment, microcredit, tenure security and formalization of assets were studied in Farahzad neiborhood as a case study. The data were collected using a questionnaire and analyzed using SPSS and SWOT analysis to develop strategies, policies, and executive actions. The findings showed that informal settlements, low skills, and informal employment are the main obstacles of making residents’ assets productive in suburban areas. Therefore, the following solutions are suggested: 99-year endowment of land; The development of various businesses with the priority of restaurants and entertainment centers, considering that there are suitable conditions for tourism in the neighborhood; Creating sales support markets due to the existence of urban land for the development and support of professional businesses; Using the potential of charitable institutions, NGOs, and local institutions for training jobs, forming job cooperatives; Building trust and raising awareness about micro-lending processes; Renting on the condition of acquiring business equipment to remove the threat of misuse of microloans. The necessity of the role of the municipalities as facilitating institutions is that on the one hand this institution lacks enough financial ability for maximum intervention, and on the other hand, new approaches see top-down intervention of public institutions as incorrect solution and the socio-economic participation of the residents necessary for the regeneration and empowerment.