intervention strategies for renovation of social housing estates

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Physical measures for renovation of social housing estates Chapter 8 ------------------------------------------------------------------------------------------------- Clearly, as already mentioned in Chapter 3, directions from the first group need further exploration and assessment to check if they are really feasible or not. Furthermore, it should be noted that a combination of directions of both groups is probably more effective or may be even necessary to achieve a sustainable future for ATER and successfulness of high-level or envelope directed strategy for renovation. These observations could be extended to other Italian housing associations as well. 8.2.1) INDICATORS: MODEL OF HOUSING ASSOCIATION AND IMPLEMENTATION OF RENOVATION With reference to the table above, it follows a description of the ten indicators. MODEL OF HOUSING ASSOCIATION How manage more effective renting selling prices? Less restrictive rent policy and more market conformity of selling prices The application of much less restrictive regulations towards rent setting and selling prices is a basic prerequisite. The Region of Lazio could distinguish a core social housing stock, for which rents need to be restricted, and a liberalized housing stock, for which ATER can follow a more market-oriented rental policy. Limits could be set to the increase of the total rent sum of ATER, while ATER could be given the opportunity to differentiate rent levels to achieve more market-oriented rent levels. Additionally, selling prices could be brought up much closer to market level. If the objective is to make home-ownership available to a larger group of households, higher discounts can be given, but these could be combined with the restriction that the landlord retains the right or duty to buy the dwelling back against a similar discount, when the household decides to move. Dutch housing associations must sell their dwellings against a minimum of 90% of the market value. However, if the buying household makes use of the Purchasing Grant - established as part of the Act on the Promotion of Home-Ownership (“Wet Bevordering Eigen-Woningbezit” - BEW) - associations may give reductions to 20% for new households and 30% for actual tenants. Additional reductions are possible if the development of value of the home after the sale is shared between the buyer and the housing association. How to develop more profitable strategies? Introduction of a professional (re)development department within ATER If ATER fails to employ the financial capacity of its stock, it will not be able to survive in a financial sense. A solution might be the introduction of a professional department to set up and carry out restructuring policies for its housing stock, with a particular emphasis on profitable opportunities. This organization should look at ATER’s real estate portfolio from a social housing perspective, and analyze its housing stock and land from a market perspective. How to implement more market-oriented strategies? Divide ATER into two bodies: a social housing organization and commercial enterprise The former direction could be taken further by dividing ATER into a social housing organization and commercial enterprise. While the social housing organization maintains the core social housing stock, a commercial enterprise could be set up that manages the more expensive stock and locations that are more popular on the housing market. It could also have the task to undertake (re)development activities within and outside of the ATER housing stock. The commercial organization could be set up as a daughter organization to the social mother as a single shareholder. Nevertheless, the commercial enterprise should have a separate board and should also be exempted from the restrictive rent policy and selling price regulations as well as the political context of the mother organizations. Consequently, it will be enabled to more effectively employ the market value of the housing stock and land to generate extra financial means. Such a separation would explicitly stimulate the implementation of more market oriented strategies, since the commercial 12. H MODEL OF HOUSING ASSOCIATION
Physical measures for renovation of social housing estates Chapter 8 ------------------------------------------------------------------------------------------------- organization will have the objective to generate a positive financial return for its mother shareholder. Furthermore, the transfer of the stock from the social mother organization to the commercial daughter could be partly financed from private loans, based on a part of the market value of the transferred stock, thereby making extra funding available to the mother organization within a relatively short period. The risks of those directions might be related to the introduction of more marketoriented housing policy in the social rented sector. This could lead to social problems. Thus, the political parties in Lazio should balance additional financial support of ATER against the potential danger of introducing market principles in its operations. IMPLEMENTATION OF RENOVATION How can high-level and envelope directed renovation be implemented in Italy? Ad-hoc regulations for transformation of existing housing blocks. Social housing in Italy is regulated by specific laws that are different from the ones regarding housing in the private sector. These regulations fix, for example, minimum size and number of rooms per dwellings. Therefore, transformations like the increase of building volume (cubature), housing differentiation and transformation of initial functions are in principle very difficult to be achieved (see Dutch examples of additions, combinations and transformations in Chapter 4, 5 and 6). High-level and envelope directed renovation could be carried out only if special regulations and processes for approval are defined (pers. com. Arch. Barucci – project leader of Laurentino 38 and architect of the Technical Department of ATER). For whom are dwellings to be renovated? Are they only for low-income people or also for other groups like middle income households, elderly, students, young couples and so on? Differentiate the housing supply to meet the requirements of specific target groups. Social housing in Italy needs to be updated to meet current requirements. The actual layout of dwellings defined by the standards of the ‘60s does not fit the demand anymore (for example in terms of type, size and number of rooms). By transforming the existing housing units, the current supply can be differentiated to be affordable to wider groups (different households and income level). Social and market analysis could help in finding the right target groups thus managing differentiation to meet actual requirements. Weaknesses and strengths of implementing measures directed to improving housing differentiation were discussed in the previous section (see Section 8.1.4). Among the major strengths are: extension of free choice, housing career in the neighbourhood, higher care of people when shifting from social rented to homeownership, higher returns for the housing association if dwellings sold at market prices, make use of unused shared spaces and reduce their expenses for maintenance, better liveability and social safety when improving the close surroundings (less abandonment or improper use), For what concerns care of goods it has not be scientifically proven that people do care more about owned private goods than rented goods. Rather, is this general belief used in a lot of places to create money for the interventions. The same goes for the shift to more expensive rental dwellings. Main weakness can be: difficulties in mixing very different groups (income levels), increase of criminality figures when adding dwellings at the ground floor and lack of privacy. Regarding the feasibility limitations might derive from the local regulations, the actual physical condition of the building, the need of additional technical facilities (like elevators in the case of op-toppen) and management of the works (like move of residents). How to reduce insecurity of open spaces nearby the blocks? Combine housing differentiation with reduction of uncontrolled public spaces. Renovation on building level can also improve the physical and social conditions of the open spaces nearby the block. The ‘F’ neighbourhood in the Bijlmermeer is a good example in which the conditions of the public green surrounding the building have been improved (see Chapter 6). This was achieved by attaching ‘maisonette with small garden’ (and non-residential facilities) at the ground floor of the existing high-rise and by increasing the actual housing density of the area by new 13. H IMPLEMENTATION OF RENOVATION
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INTERVENTION STRATEGIES FOR RENOVAT
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TABLE OF CONTENTS ACKNOWLEDGEMENTS
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The research set up Chapter 1 -----
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Theoretical background Chapter 2 --
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Social housing renovation Italy: wh
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Approaches to renovation interventi
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A Dutch case study. The Bijlmermeer
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Florijn Noord. An example of renova
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