Development constraints, market processes and the supply of industrial land

Summary

Industrial land markets are characterized by substantial imperfections, to the extent that their very existence, in strict economic terms, must be called into question. Theories of industrial location need to take greater account of the ways in which market processes limit the locational choices presented to manufacturers. In particular, the comparative impact of development constraints in different types of area may well contribute to urban‐rural shifts in manufacturing employment. Development constraints are, however, rarely absolute. Some users, agencies and developers are clearly more successful than others in taking advantage of market processes. Within this context, the paper sets out an agenda for future research into the way in which development constraints and market processes restrict the supply of industrial land.

Keywords:

• development constraints
• land availability
• land markets
• manufacturing industry
• urban‐rural shift