This study investigates the socio-economic, spatial, environmental, and infrastructural impacts of the growth and development of specialized markets in Tehran’s District 17. As a significant hub of informal and semi-formal urban economic activity, District 17 hosts four major specialized markets: Yaftabad Furniture Market, Emamzadeh Hassan Apparel Market, Ghaleh Morghi Aluminum Market, and Zamzam Tile and Ceramic Market. Over recent years, these markets have catalyzed profound urban transformations. Employing a descriptive-analytical survey methodology, primary data were collected via a researcher-designed questionnaire administered to 420 residents and economic actors within the district. The instrument demonstrated robust validity (content, face, and construct) and reliability (Cronbach’s alpha ranging from 0.74 to 0.81). Data analysis was conducted using SPSS v.26, incorporating descriptive statistics and inferential techniques including Kolmogorov-Smirnov tests, multivariate linear regression, and MANOVA.

Findings reveal a dualistic, statistically significant impact: on the positive side, market expansion has stimulated employment, enhanced vendor incomes, fostered entrepreneurship and innovation, spurred urban renewal, and improved local infrastructure. Conversely, it has exacerbated traffic congestion, increased noise and air pollution, inflated real estate prices, and degraded the quality of public spaces. These contradictory outcomes underscore the necessity for integrated urban governance. The study recommends that municipal authorities adopt holistic planning strategies—prioritizing public transportation reorganization, expanding green and communal spaces, and institutionalizing stakeholder participation—to steer market development toward equitable, environmentally conscious, and sustainable urban growth trajectories.

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