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This article was downloaded by: [Colorado College]On: 08 October 2014, At: 15:36Publisher: RoutledgeInforma Ltd Registered in England and Wales Registered Number: 1072954Registered office: Mortimer House, 37-41 Mortimer Street, London W1T 3JH,UK
The Journal of North AfricanStudiesPublication details, including instructions for authorsand subscription information:http://www.tandfonline.com/loi/fnas20
Spatial and social mobilities inAlgeria: the case of AlgiersMadani Safar Zitouna
a Department of Sociology, University of Algiers 2,Algiers, AlgeriaPublished online: 09 Dec 2013.
To cite this article: Madani Safar Zitoun (2013) Spatial and social mobilities inAlgeria: the case of Algiers, The Journal of North African Studies, 18:5, 678-689, DOI:10.1080/13629387.2013.849898
To link to this article: http://dx.doi.org/10.1080/13629387.2013.849898
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Spatial and social mobilities in Algeria:the case of Algiers†
Madani Safar Zitoun∗
Department of Sociology, University of Algiers 2, Algiers, Algeria
Urban sociology explores the relationship between individuals and social groups, and thematerial space in which they live, evolve, and socially organise. While the field is be dividedby diverging macro- and micro-level approaches and methodologies, it is unified by thewidely held assumption that social mobility creates opportunities for spatial mobility. Usingthe case of post-independence Algeria, and specifically the capital, Algiers, this chapter showsthat contrary to developments in Europe, the USA, or indeed other parts of the Maghreb,Algerian social mobility is instead the result of spatial mobility opportunities, themselves theoutcome of sudden shifts in the evolving relationship between state and society. Focusing onthe ‘National Real Estate Pact’ established shortly after independence, attempted stateconsolidation via administered access to the market in the 1980s, and the retreat of the state inthe 1990s, this chapter outlines processes by which Algerian spatial mobility opportunities,created by the state or wrested from it by society, have promoted social mobility.
Keywords: property; urbanism; social mobility; state; Algeria; rent
Introduction
Urban sociology is a particular field in the social sciences, distinguished by the particular atten-
tion theorists place on the relationship between individuals, communities, groups, and societies
and the material space in which they live, evolve, and socially organise. Influenced by the writ-
ings of Simmel ([1903] 1984a, [1908] 1984b), Weber ([1922] 1982), and Maurice Halbwachs
(see Amiot 1986), the field studies the manner by which different actors understand, produce,
and consume space as a practical and strategic resource, and the ways in which spatial order
shapes actions, practices, and representations.
The field divides along scalar lines. Often drawing from social and cultural anthropology, pro-
ponents of micro-level studies view villages, neighbourhoods, cities, suburbs, and peri-urban
zones as specialised places in which actors have ‘local logics’ of social power and mobility.
These ‘local logics’ can be contrasted to larger ‘societal logics’, which are not anchored to a par-
ticular place. Focusing on the regional or state-level, proponents of macro-level analysis focus
on how aggregate demographic trends and spatial changes reflect changing social behaviour.
†Translated by Robert P. Parks, Centre d’Etudes Maghrebines en Algerie, Oran, Algeria.∗Email: [email protected]
# 2013 Taylor & Francis
The Journal of North African Studies, 2013
Vol. 18, No. 5, 678–689, http://dx.doi.org/10.1080/13629387.2013.849898
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More recent studies on globalisation argue that both ‘local’ and ‘societal logics’ are increasingly
outmoded. Castells (1998) argues that in the contemporary ‘Network Society’, social power (and
mobility) is founded neither on local social structure nor on larger, society-wide norms, but on
access to electronically processed information networks. De-linked from local space, and their
original function, ‘local logics’ of social mobility cease to exist, whereas ‘social logics’ are
increasingly irrelevant. Despite the scalar debate, the local, state, and global camps epistemolo-
gically converge: social and spatial mobilities are linked by the market; spatial mobility is the
result of social mobility.
Positing the market as the field in which social and spatial mobilities interact in that causal
direction assumes an exchangeability of a residential property in a rationally functioning real
estate market. In a rational real estate market, real estate has a price based on scarcity, size,
and location in urban space and real estate is a good that is freely exchangeable. Bluntly put,
upward social mobility creates more spatial mobility opportunities; downward social mobility
decreases spatial mobility opportunities. Though fascinated by market power, urban sociologists
too pioneered research on how laws and social barriers can preclude market access for certain
groups. Non-market factors, such as violence and power, frequently impinge on social mobility.
Indeed, work by the Chicago school of the 1920s and 1930s had a profound impact on our under-
standing of how racial laws and local political power can circumscribe the market to certain
groups, limiting both social and spatial mobilities (see Park, Burgess, and MacKenzie 1925).
Though addressing how limited market access and blocked social mobility are products of
state and society, urban sociology has paid less attention to what happens once those man-
made barriers are removed. Implicitly, we are led to imagine a return to market forces, and
spatial mobility opportunities remain a function of social mobility.
The Algerian case problematises that assumption. During the colonial era, extra-market norms
and laws set the limits of both Muslim social and spatial mobilities: participation in European
economic and social arenas and space was legally limited. Though those barriers were
removed at independence, however, social mobility did not have a major effect on residential
mobility in the 1960s and 1970s. Rather, we witnessed the converse: it was residential mobility
opportunities that increased or decreased the probability of social mobility. The processes of
rapid, chaotic decolonisation and the exigencies of late development were pressures too great
for the nascent market to withstand. Algerian social and urban promotions are the product of
the development of the Algerian political economy, itself an outgrowth of the evolving relation-
ship between state and society. The processes of decolonisation and state consolidation sup-
planted a model of rational market distribution, with a model of political distribution in its
stead. This process first delinked, while liberalising reforms in the 1980s and housing market
chaos in the 1990s reversed, the relationship between social and residential mobilities.
Independence: decolonisation and the biens vacants
The causal inversion in the relationship between social and spatial mobilities in Algeria can be
traced to the effects of a heavy colonial legacy and radical processes of decolonisation on the
property market at independence. The French settler regime operated on a two-tiered system
that enforced social and economic segregations between European settler and Muslim popu-
lations, with distinct effects on the relationship between social and spatial mobilities for the
two populations. For the European population, upwardly mobile citizens could participate in
the liberal housing market to move to more exclusive neighbourhoods (or vice versa). Market
prices clearly distinguished rich, middle class, and poor (and often mixed), and Muslim
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neighbourhoods. The same was not the case for most Algerian Muslims: the European housing
market remained closed to Muslims for economic and social reasons. The colonial system – pre-
dicated on economic, political, and social segregation – aimed to control Muslim social and
spatial mobilities. While a few assimilated and wealthy Muslims were able to move into the
finer neighbourhoods of Algiers or Oran, and in more ordinary districts apartment houses
were inhabited by families from different communities, the majority of Muslim Algerians –
rich and poor – were relegated to neighbourhoods on the Muslim periphery.1
Though it was the structures of a colonial society that blocked Muslim social and spatial mobi-
lities, the conventional causal relation between the two variables did not mechanically reassert
itself at independence. Just as the type, intensity, brutality, and duration of colonisation pre-
cluded Muslim social advancement, the rapid and violent manner in which decolonisation
occurred affected the way in which both the new state and post-independence society defined
the contours of post-colonial urban space, severely limiting the development of the free
market. Those broad contours were defined between 1962 and 1967, years characterised by a
topsy-turvy, double state-society movement: Muslims replaced French in the ‘vacated proper-
ties’ (biens vacants) of colonial urban space, and an Algerian state was formed in the wake of
a departed French administration. The five years immediately following independence witnessed
an Algerian ‘urban revolution’ and subsequent formation of a ‘National Real Estate Pact.’ Both
would have a profoundly lasting effect on the property market, defining the relationship between
Algerian social and spatial mobilities.
The urban revolution
Hundreds of thousands of European settlers fled Algeria in the months immediately leading to
and following independence, abandoning millions of hectares of agricultural and industrial land,
as well as urban properties – the colonial apartment buildings and villas that constitute the core
of most villages and cities in Northern Algeria today. While Algerians suddenly experienced
urban spatial mobility, the chaotic occupation of abandoned apartments and villas did not
follow the traditional spatial hierarchy seen in urban areas elsewhere. The population transfer
did not follow an orderly schema in which like socio-economic categories moved into space
that would normally correspond with an individual’s position in a conventional urban hierarchy.
Instead, the near-absence of state authority allowed families from lower socio-economic cat-
egories to occupy luxurious apartments. The rapid and chaotic population transfer in Algiers
at the moment of independence transformed many formerly well-to-do quarters into working
class neighbourhoods in a period of less than a month (Safar Zitoun 1996, 71).
While the new Algerian state was formally bound by the Evian Accords to protect European
properties, given the reality of under-administration, it was hard pressed to guarantee those
rights in face of a war-weary, impoverished population eager to symbolically and physically
reclaim their country and its possessions. While the regime officially nationalised abandoned
colonial properties in 1963, the state was neither willing nor able to enforce its claims on
these de jure possessions against their new occupants. Instead, the fledgling Algerian state
adopted its new real estate and housing laws around a de facto situation in which property effec-
tively had no real market value. The state recognised the illegal occupation of former colonial
property, as it nationalised it, through a series of landmark measures enacted in March 1963,
known as the ‘March Decrees’.2 The colonial era link between real estate and market value
(defining the causal direction between social and spatial mobilities) was broken when settlers
abandoned their property. Through nationalisation, the fledgling Algerian state substituted the
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market contractual exchange with political-administrative procedures that fixed the market
while affording citizens subsidised rent. This ‘National Real Estate Pact’ became an immutable
reference point for the political economy of property in post-colonial Algeria, defining the
relationship between a state-cum-landlord and a ‘civil society’ dependent on the social and econ-
omic rents of the agreement.
On 18 March 1963, the Algerian state nationalised abandoned French properties and set fixed
rental rates3 on those properties.4 Rent was calculated on construction date, quality, location, and
space: for example, the rent for a typical three room apartment ranged between 75 and 226 dinars
(DA) per month. The decrees ambitiously expanded the new Algerian state’s reach into post-
colonial society – according to the 1966 census, just under 70% of Algerians rented property
from the state (ONS 1968). The decrees especially impacted Algerians living in large cities,
where the former colonial properties were concentrated. Seventy-three percentage of post-
colonial housing units in Algiers belonged to the state (Sgroı-Dufresnes 1983, 1986). Figures
were likely greater in Annaba and Oran.
However, ambitious, it is not clear that this ‘National Real Estate Pact’ had the effect on
state-society relations that the regime sought – control over the housing market. According to
a 1966 study of household economy in the Algiers metropolitan area, the majority of families
could not afford to spend more than 100 DA per month on rent (AARDES 1966).5 While
some families did leave their bien vacant in response to a state-imposed rent that was beyond
their means, especially in the highly desired neighbourhoods of the former colonial rich, for
most the scheme remained theoretical. The embryonic state administration did not, in fact,
have the capacity to implement rent collection. Indeed, a 1979 Ministry of Housing report
revealed that fewer than 40% of Algerians made regular rent payments during this period
(MUCH 1979).
From 1963 to 81, rental rates remained static, while household income noticeably increased.
In the greater Algiers area, household income tripled: the percentage of household income allo-
cated to housing dropped from 35% in 1966 to 7.2% in 1981 (Safar-Zitoun 1996, 197–200). This
did not, however, lead to an increase in the percentage of theoretical rent paid on bien vacant
properties. The obverse seems to be true. A report drawn up in 1981 revealed that fewer than
28% of those households surveyed regularly paid rent to the state (MUCH 1981). Indeed two
years earlier, in 1979, a Ministry of Construction and Housing report complained: ‘Former
biens vacants have artificially low rent, which represents a veritable indirect state subsidy to
occupants of those apartments’ (MUCH 1979).
The reforms of the 1980s
On 10 February 1981, the Algerian state attempted to rewire the ‘National Real Estate Pact.’
Law 81–01 set into place the framework for the legal purchase of bien vacant real estate.6
Though ostensibly written to stimulate the economy and promote the quality of life, the law
also rewarded the regime’s political and social bases. While construction date, quality, location,
and space were calculated in the administrative price of sale, prices fixed to the bien vacant prop-
erties remained far lower than the prevailing (and structurally smaller) private sector real estate
market. Just as the state fixed and subsidised rents following the March 1963 Decrees, the new
prices on properties offered for sale were the continuation of the state’s subsidy to society.
Article 5 limited sales to those occupants up to date in rental payment, while Article 31 provided
further advantages for veterans of Algeria’s War of Independence. The law also aimed to
reinforce the state’s administration: selling a significant portion of its real estate portfolio
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generated additional income, and allowed the state’s housing administration to focus its activi-
ties on collecting unpaid rent from its remaining properties.
Law 81–01 had major effects on state, society, and the market. To beneficiaries, the sale
legally consolidated the social and spatial mobilities conferred upon Algerians who occupied
vacant colonial property at independence. Delinked from markets since nationalisation, state
properties hitherto endowed neither social mobility nor spatial mobility on their occupants.
With title in hand, new owners had formal access to urban property, which conferred status
and access to the private sector property market. The latter, in turn, created further opportunities
for social and spatial mobilities: though the laws stipulated a five-year moratorium on flipping
newly acquired properties7, the difference between the official sale price and prevalent real
estate market rates ensured a guaranteed future financial windfall for most beneficiaries. The
law also, of course, increased the overall size of the private property market. Finally, the law
helped streamline the national housing administration while increasing the state’s scope for
influence on real estate. Hitherto the often-ignored tutor of occupied bien vacants, state-
management of the privatisation process positioned the state as a key player in the political
economy of real estate.
Over the next five years, the regime passed a series of reforms further liberalising the housing
market. In as much as these reforms sought to rationalise the nascent private sector real estate
market, they were also a reaction to pressure from market, society, and political interests.
Decree 81–448 expanded opportunities for property speculation by state agents, granting
them the right to acquire multiple properties, while most citizens were limited to one. In addition
to the right to purchase their primary residence, Front de Liberation Nationale party members
and state cadres of the national and local administrations as well as public companies were
extended the right to acquire apartments reserved to them for official use. Restrictions on the
proximity of such properties to a primary residence, moreover, were loosened. In theory, a
state cadre based on Oran could purchase a primary residence and a service apartment – if trans-
ferred, s/he would also have access to property in the new locality. The provisions reinforced the
standing of state agents in the economic hierarchy, promoting state-led social and spatial mobi-
lities.
Law 86–02, passed on 4 February1986,9 further liberalised the housing market. To the extent
that it sought to rationalise real estate, this law was a reaction to pressures from market, society,
and political interests. The new law removed Article 27 of Law 81–02, which had set a five-year
moratorium on flipping privatised real estate, encouraging informality in the nascent private
sector housing market. Banned from legally selling or renting recently privatised property,
many owners engaged in illegal subleasing or in untitled sales, thus undoing the efforts to cen-
tralise real estate transactions and rent collection that the 1981 law had promoted. The 1986 law
also enlarged the pool of available properties and potential buyers: state-owned commercial and
industrial properties were now accessible, and private companies, which had been excluded from
the 1981 law, could now purchase these properties.10 Finally, provisions in the 1986 law laid the
foundation of a state-subsidised construction programme: the new law permitted the purchase of
public-sector housing administration apartments built the after 1 January 1981.11
While the 1981 real estate reforms offered the possibility of change to the relationship
between social and spatial mobilities, those opportunities were restricted to the occupants
who were up to date in rent payments. Neither the 72% of non-rent-paying bien vacant occu-
pants, nor their properties were eligible participants in the programme. By expanding the
reform to state housing built after 1981, the 1986 law augmented the state in the eyes of political
and economic entrepreneurs as a veritable source of wealth: with increased market leverage, the
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state expanded its patrimonial capacity vis-a-vis market and society. The 1981 and 1986 reforms
combined opened an irreversible process of real estate acquisition to privileged social categories,
which, by their position in formal and informal decision-making circuits, were able to privatise
the benefits and goods distributed through administrative channels. For the first time since 1962,
the state had taken veritable steps to control its real estate, and by association the market and
society.
Market liberalisation: market distortion and administrative clientelism
The real estate reforms of the 1980s fell short of official objectives: rationalisation of state
housing policy and the invigoration of a private sector market failed to disrupt the ‘National
Real Estate Pact’ founded during the chaotic decolonisation of the country. Instead of a slow
transfer of property from state to private hands, the 1980s’ reforms engendered a speculative
real estate market accessible to the middle class and persons with reach into the administration,
on the one hand, and an ossification of the rules of the game created shortly after independence,
on the other hand. The reforms affected the urban landscape in different ways, with different
implications for social and spatial mobilities. In a few neighbourhoods – especially those occu-
pied by former combatants, political apparatchiks, and high-ranking state cadres – the great
majority of residences were purchased by their occupants and a veritable housing market was
established around those properties. Social mobility afforded spatial mobility to these areas.
In neighbourhoods of mixed socio-economic status, which constitute the majority of Algeria’s
major urban areas, the property market remained static: housing prices were more moderate
and upwardly mobile people who could not afford to move to more chic residential areas
were restricted in spatial mobility. And in the poorest neighbourhoods, like Megharia, Bourouba,
and Bachdjarrah in Algiers, individuals who purchased their occupied ex-bien vacant found their
property value structurally fixed at dismally low rates.
State efforts, beginning in 1983, to homogenise mixed and poor neighbourhoods by increasing
state-owed rates of rent to more closely approximate those in the private sector, along with
promises to renovate that real estate, had little effect on market prices. Citizens unable to
match rent increases did not move to neighbourhoods with lower aggregate state rent, liberating
their occupied housing units to those who could afford the higher rents (and possibly purchase
that property at a later date). Instead, they simply avoided rent payment altogether. Rent evasion
continued to hover around the 1981 level of a little more than 70%. Indeed, figures generated by
the Ministry of Housing on the percentage of rent collection on state-owned properties in the
mid-2000s reveal how little things had changed over the past 25 years: rates of recovery on
rent owed to the state still stood at only 32.81% and 35.48% in 2006 and 2007, respectively
(MHU 2008).
The post-reform housing market was captive to the perverse effects of this dual public–
private pricing system and administrative caprice. After 1986, beneficiaries of the privatisation
process began reselling properties purchased at state-subsidised rates for their real (i.e. private
sector) market value. Many of these individuals used their connections in local and state insti-
tutions, and the housing administrations were able to purchase subsidised, state-built real estate
destined for lower middle class revenues. While the difference between state-administered and
market prices was initially justified as a form of social justice giving all Algerians the opportu-
nity to own their own homes, by the early 1990s, the perversity of the system became increas-
ingly clear, as the conditions of access became less and less democratic with the rise of
speculative misappropriation of housing, building land, and commercial properties.
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Throughout the 1980s, as private sector real estate prices skyrocketed (Table 1, below), specu-
lators increasingly looked toward the cheaper markets in order to profit from the ever-growing
gap between the dual pricing system. Administrative connivance facilitated this momentum,
which increasingly crowded the poor and lower middle classes out of housing programmes
that had been specifically tailored for them. A 1989 Ministry of Housing report noted that in
different municipalities, between 40% and 56% of state subsidised properties released into
private ownership had been misappropriated through manipulation of the lists of beneficiaries
drawn up by local administrations (MHU 1989).
The continued existence of controlled prices up to the present, despite legal revisions that,
since 1994, have stipulated setting sale prices at market levels, has facilitated the emergence of
an extremely speculative market in real estate and land. Flush with liquidity from the sale of
state property, acquired cheap at the subsidised rate and sold dear at the market price, many
property-owners turned to the market in land to buy up lots on which to build new individual
homes. The supply of building land being restricted, however, this part of the market in turn
experienced both an explosion in the price of land, whether designated as construction lots or
not, and a flurry of speculation on legally attributed building plots. Unwilling to respect the
five-year moratorium on reselling land, which was not changed by the 1986 real estate
reforms, entrepreneurs participated in the creation of a parallel land market outside of local
real estate registries. Individually acquired municipal land was sometimes sold on up to four
times in this informal market, with no legal transfer of the title. In this way, individual
profits from real estate sales were also reinvested in state-owned urban or suburban land
held in Municipal Land Reserves. The reserves were municipal land funds, created in 1974,
on which city commissions could draw for specific public or private construction projects
deemed necessary to urban growth. According to a 1979 Ministry of Housing report
(MUCH 1979), 56% of lots acquired from Municipal Land Reserves between 1975 and
1988 were subsequently sold on without ever having been used for their initial purpose. The
same report revealed that, while this practice of reselling had initially been limited (20% of
lots resold in 1975), it ballooned in the 1980s, with close to 70% of land acquired in
certain zones from the Municipal Land Registry of Greater Algiers being exchanged in
illegal second-hand sales by 1988.
The process of speculation accelerated following the collapse of the single party regime in
1988–89, and Algeria’s first multiparty municipal elections in 1990. Seeking to reward political
clienteles with access to land and property, and to expand voter support in anticipation of the
December 1991 legislative elections, the majority victor of the 1990 local elections, the
Islamic Salvation Front (FIS, Front Islamique du Salut), accelerated the distribution of property
held in the Municipal Land Reserves. In 1991, the FIS won the first round of legislative elec-
tions, triggering a military takeover, dissolution of parliament, and a ban on the FIS. FIS-run
municipalities were dissolved and replaced by state-nominated Executive Municipal
Table 1. State and private sector real estate prices per m2 in the Algiers region, 1979–87 (in 2011 dinars).
Price per m2 1979 1981 1987 D1979–81 D1981–87
Market price 131 200 900 52.7% 350%State price 30 80 126 166.7% 57.5%Difference 1:4.4 1:2.5 1:7.1 – –
Source: Safar Zitoun 1996.
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Delegations (Delegations executives communales, DEC). Despite direct control from Algiers,
the pattern of clientelism did not abate: the DEC too distributed public real estate to various con-
stituents, mostly those connected to local power bases. In 2004, Ministry of Housing officials
counted more than 59,000 lots across all the districts of Algiers that had been improperly attrib-
uted to individuals and illegally parcelled out and sold.12
The mechanisms of rapid social mobility engendered by political or bureaucratic access to
property and real estate following the reforms of the 1980s therefore stimulated a very large-
scale spatial mobility. Quitting their formerly state-owned apartments, beneficiaries of
public–private real estate transactions bought and built on suburban land, which according to
the 1989 Ministry of Housing report, itself may have been initially illegally parcelled out and
re-sold from the Municipal Land Reserves. These processes probably sparked the boom in resi-
dential construction on the periphery of Algiers (Safar Zitoun, 2010, 48–50). The majority of
these new neighbourhoods are mixed residential–commercial. The typical housing-unit con-
struction pattern is a villa with commercial storefronts built into the ground floor, the revenue
from which can continue the upward social climb. Residential mobility thus drives social pro-
motion: access to property and real estate, and the conversion of the beneficiaries of real
estate redistribution into small or middling independent economic entrepreneurs, has been a
principal mechanism of contemporary social mobility in Algeria. A micro-spatial study in the
modes of population distribution in Greater Algiers, as the following section reveals, clearly
demonstrates this.
Weakening of the state and the resurgence of society: social promotion in the urban
periphery
Data trends from 1987 and 2008 reveal a prolific distribution of land lots in suburban Algiers,
underscoring the effects institutional shifts in the rules governing the interaction between
state, society, and market in the late 1980s and early 1990s had on the urban development of
Algiers during the past 20 years.
The flow of rural migrant populations towards Algiers sparked by independence tapered in the
mid-1980s, and net migration to the Wilaya of Algiers13 halted altogether in 1987. Whereas past
migration flows had been marked by a centripetal flow towards the centre of Algiers, 1987
marked the first year in a continued trend of outward flow from downtown Algiers to the first
and later second suburban rings. Between 1987 and 2008, the five administrative units compos-
ing central Algiers lost close to 240,000 inhabitants to suburban migration – nearly a quarter of
the population of the city, according to the 1987 census.
While data from the same period indicate an overall increase in urban population density,
from 28.92 to 38.26 inhabitants/hectare (ha) in 1987 and 2008, respectively, aggregate figures
obfuscate the significant drop in population density in the urban core and a doubling of popu-
lation density in the first suburban ring between 1987 and 1998, and a sharp increase in the
second suburban ring between 1998 and 2008. The neighbourhoods of Algiers’ city centre –
Bab el Oued, Sidi M’hamed (Belcourt), and the Casbah – witnessed a net population migration
towards the suburbs. Inhabitants from central Algiers, and more generally downtown Algiers,
either sold or converted their primary residence into commercial property in order to move to
the suburbs. Others kept their urban apartments as secondary residences. Between 1998 and
2008, 12,624 apartments in downtown Algiers were vacated but not subsequently re-occupied
– presumably they were kept as secondary residences.
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Property and real estate strategies available to Algerians varied during the 1980s and 1990s,
prescribing the effects of social mobility for different socio-economic groups at each stage, but
combining to effect the spatial development of suburban Algiers (see Map 1).
During the first wave of property and real estate liberalisation (1981–1990), access to wealth
and administrative reach limited the scope of market accessibility. As noted above, the 1981
reform limited market access to state cadres or Algerians with capital savings: the close to
72% of Algerians who were behind in rent payments, along with their occupied bien vacant,
were left out of the trend. While the 1986 reform expanded the liberalisation programme to
include public-sector housing units built after 1981, extremely tight demand caused by a
severe housing crisis and the lucrative gains to be generated by flipping those properties into
the private market placed a premium on bureaucratic and administrative intervention.
Wealthy early beneficiaries from the private sector used capital gains generated by the dual
pricing scheme to re-invest in the property and real estate market, participating in the first
wave of migration, creating the first suburban ring. High-ranking state cadres and the political
elite used their own neo-patrimonial power to access large stretches of land on the southern
suburbs of Algiers at subsidised state prices, resulting in the creation of socio-economically
homogenous, closed and elitist ‘cooperative’ residential neighbourhoods.
Veritable extensions of El Biar and Hydra, the elite districts of the colonial era reserved to
high-ranking officials following independence, the development of the southern suburbs of
Baba Hassen, Ben Aknoun, Dely Ibrahim, Draria, and El Achour were organically linked to
the former single-party regime. Though 20 years have passed since the shift to multiparty poli-
tics the extension of the housing market to the middle class, power and capital continue to be
concentrated in those districts. Map 2, plotting topographical view of 2008 vehicle ownership
concentration in the Greater Algiers region, reveals the lingering financial and political privi-
leges of the southern suburbs. Unequal access to state resources, not market-generated social
mobility, promoted spatial mobility to these neighbourhoods.
The shift to a multi-party system in 1990 created new political clienteles, opening the markets
to a broader spectrum of lower-middling and more popular classes of Algerians. Suburban
Map 1. Distribution of growth of individual housing units, 1998–2008 (each point in the distributionrepresents an increase of 10 housing units).
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development triggered by this second wave of beneficiaries concentrated in the eastern suburbs
of Algiers (e.g. Baraki, Bordj el Bahri, Bordj el Kiffan, Dar el Beida, and Les Eucalyptus, where
the Islamic Salvation Front held the most clout following the 1990 municipal elections, and
where the Executive Municipal Delegations (DEC) tried to create new political clienteles
when FIS councils were dissolved in 1992.
Neighbourhoods built during the second wave of market liberalisation are easily recognisable.
Unlike the well planned, high standing residential neighbourhoods of the southern suburbs, the
eastern suburban developments followed a mixed residential–commercial model, and were built
with minimal municipal urban planning oversight. Though constructed on concessions from the
Municipal Land Reserves, which contractually obliged the land recipient to follow urban plan-
ning specifications, few of the buildings in these neighbourhoods have registered titles or build-
ing permits. Initial Municipal Land Reserve recipients ignored city ordinances, illegally
parcelling the land and re-selling it to land-hungry middle classes.
Lacking official land titles, new owners could not apply for building permits. With no formal
record of these developments on the municipal books, new phases of construction were not
formally linked to municipal service expansion, and the resulting neighbourhoods therefore
lack access to basic utilities and services like water, gas, sewerage, paved roads, and garbage
collection. Though lacking these basic infrastructures, owners maximised the opportunities
for future social mobility by leveraging the advantages of the absence of planning oversight
and the freedom of ‘self-build’ projects: housing units in these neighbourhoods are ‘vertical
family’ homes, with the ground floor used for commercial activities and several related
family groups occupying different storeys. The commercial activities these households
engage in has supplemented, if not exceeded, income generated by formal employment else-
where. In Algiers’ vast eastern suburbs, then, spatial mobility increased social mobility oppor-
tunities, not vice versa.
Map 2. Private vehicle ownership per household.
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Conclusion
The post-colonial nationalisation of land and real estate laid the foundations of the political
economy of Algerian property. The struggle between state and society over access to and
control over property has been a major preoccupation in Algerian economic, political, and
social arenas. State distribution of land and real estate to compliant citizens and supporters
has been an effective political strategy. Liberalisation allowed the regime to divest indirect sub-
sidies like state-defined rental and concession prices as well as management costs. In terms of the
figures, liberalisation seemed effective: in 1966, 70% of Algerians rented their housing unit
(ONS 1968), by 1987 that number had dropped to 22% (ONS 1988), falling to 13.8% in 1998
(ONS 1999). In a little over 30 years, Algeria had transformed from a society of renters to a
country of property owners (or co-owners).
Liberalisation did not, however, reinforce the market – the mechanism by which social mobi-
lity creates spatial mobility opportunities – but rather supplanted it. The highly administrative
process in which liberalisation occurred (and society’s creative responses) distorted the market
while reinforcing clientelism and corruption within the state administration. Those strategies
that subverted both state and market are at the origin of the reversal in the causal relationship
between social and spatial mobilities that make the Algerian case such an outlier. The disquali-
fication of abstract and general market rules (Lefebvre 1974) has, at the very least, reinforced
communitarian and localist logics that rely on the proximity of individuals to informal, local
political, and economic networks, to the detriment of formal, national political, and social
processes.
The Algerian situation is, in comparative terms, therefore a very particular one; one in
which, since before independence, urban social relations have experienced none of the
characteristics conventionally attributed to the modernity and rationality of generalised
market exchange. Such continued to be the case during the consolidation of the neo-patrimo-
nial system that dominated property relations up to the early 2000s. Since then, other logics,
conforming more closely to the ‘metropolitan’ model proposed by Bourdin (2005) have
emerged strongly; these newer patterns display much more clearly than before the determin-
ing effect of money alone in the behaviours and attitudes of the social actors who create the
urban fabric.
Notes
1. See Khadra (2008) for a literary example of the discriminatory market set in colonial Oran.
2. Notably, Decree 63–68 of 1 March 1963, lowering rent and Decree 63–88 of 18 March 1963 on biens vacants.
3. These decrees did not apply to the private sector housing market.
4. Properties declared biens vacants by Decree 63–88 of 18 March 1963, fell under the rent regime established by
Decree 63–64, issued less than three weeks earlier.
5. The equivalent of 15,000 DA in 2011, or close to $US 150.00 – just under the actual minimum wage in Algeria,
18,000 DA per month.
6. Law 81–01 of 10 February 1981.
7. Law 81–01 of 10 February 1981, Article 27.
8. Decree 81–44 of 21 March 1981, Article 3.
9. Law 86–02 of 4 February 1986.
10. Law 86–02 of 4 February 1986, Article 3 and Article 6.
11. Law 86–02 of 4 February 1986, Article 2.
12. For more details, see Safar Zitoun 2004, 326.
13. Algeria has 48 wilayas, or prefectures.
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