Abstract
Urban renewal projects are mainly motivated by the companies would utilize their own lands, which have been used for factories, warehouses, and so on. The companies form a partnership for the purpose of developing their own lands, through the interactive decision making process. This formation process is unstable because some conflicts possibly happen among the landowners. The government should play the role of arranging this process, since the project can cause the social and economic effects on the surrounding areas. In this paper, we make a mathematical model of the process of formation of partnership by means of cooperative game theory, so that we can understand the mechanism of the process. Thus we analyse the effects of the characteristics and the relation of the landowners to the partnership formation.
