Investigating the Factors Contributing to the Stakeholder Conflict in Urban Renewal Projects: A Case Study of China

Abstract

With urbanization slowing, the world has entered a new phase focused on stock-based development, where urban renewal plays a key role in advancing sustainable urbanization. These projects involve multiple stakeholders—governments, enterprises, and residents—whose conflicting interests often hinder progress and affect policy outcomes, equity, and long-term sustainability. This study is conducted to address existing gaps in understanding the dynamic mechanisms and multi-dimensional relationships underlying stakeholder conflicts in urban renewal projects (URPs). A total of 28 key influencing factors are identified and categorized. Exploratory Factor Analysis (EFA) is then applied to reduce data dimensionality, resulting in five core dimensions: economic, legal, implementation, managerial, and social factors. Building on these findings, a system dynamics (SD)-based model is developed to simulate the interactions and evolutionary pathways of these factors within urban renewal projects. Results show that all five factors contribute to conflict to varying degrees, with economic factors being the primary driver. Drawing on empirical data from Chinese URPs, this study provides both theoretical insights and practical implications for policy formulation and governance strategies aimed at promoting more harmonious and sustainable urban renewal processes.