Social Housing sector in Amsterdam. Couterbalancing the market. Kees Dignum
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1 Social Housing sector in Amsterdam Couterbalancing the market Kees Dignum November 15, 2017
2 Trend, Situation and Future Long year trend in social housing Situation in 2017 Future: Building boom Affordability Mixed neighbourhoods Cooperation Municipality, Housing Associations and renters Metropolitan governance
3 Overcrowding, poor housing conditions
4 Eras of urban development : Industrialzation, crowding and poor housing conditions : Responsibility: new housing organizations, evictions / building : Ambitious new concepts, huge production : War and recovery : Executing the 1935 plan, creating space for overpopulated city : Income growth, car-ownership, suburbanization: declining city : Urban renewal: fighting the decline of postwar Amsterdam : Competing the suburban attraction : Finding new/old space for urbanization, Triumph of the city : Densification, building for gentifiers and normal people
5 Continuous role of the social sector
6 population size (x 1.000) Repairing the demographic gap 1959:
7 Repairing the income gap
8 Amsterdam Metropolitan Region 2,4 million now; 2,9 million in 2040
9 Characteristics of the 21st century Urbanisation: urban economy in the lead : changing production structure: growing importance of service sector, cultural sector, leisure & pleasure No longer a workers city but a city for knowledge and culture
10 procenten Creating a diverse housing supply corporatiehuur particuliere huur koopwoningen
11 Three sectors, three income groups Amsterdam owner occupied social rent private rent
12 Price trends NL / G euro Nederland Amsterdam Den Haag Rotterdam Utrecht
13 Rising rents, speeding up since 2009 CBS: average price increas 45% ( ) WiA: rent level in Amsterdam : + 153%
14 Characteristics of the 21st century Never waste a good crisis! *banking crisis: who has to pay the bill? Housing market & labour market *eroding the system of wage protection: flexibiliy on the labour market * dualising trend in income structure
15 Characteristics of the 21st century Dutch National Bank estimates that the average income in 2018 will reach the 2002 level again.
16 Liberal carte blanche on housing Shrinking the collective sector * social rent: just for temporary needs (not for the whole life path) * home ownership * Liberal party leading restructuring of the housing market * slightly diminishing the fiscal mortgage subsidy * huge social landlord levy for housing associations * income depending rent above the average income (> ) * Rent level depending on value of owner occupied sector * higher incomes staying in social rent is the biggest problem * Affordability is the problem of minister of employment, social affairs
17 Changing trends, changing interpretations Repairing the income gap -> diminishing accessibility Until now * mild gentrification: creating diversity in Amsterdam * fragmenting poverty zones * repairing the income gap: recovering from decades of suburbanization * Creating mixed neighbourhoods, low segregation From now on: * gentrification creates spatial segregation * higher need for social rental sector: crucial for low incomes and mix * middle market segment easilly becomes expensive * Affordability quick rising problem
18 Wonen in Amsterdam (WiA) Biannual Survey Living in Amsterdam responses Two important goals 1. Housing market segment <> income groups 2. Liveability; Quality of dwellings and neighbourhood
19 Key figures Population Houses Housing Associations Private rental Private owned Social rented (HA+ private rental)
20 Rental classes 63% 60% 57,3%
21 Increase low income group, dualisatition Gemiddeld inkomen: netto per maand Groep tot EUgrens: 51,4% Inclusief : 57,3% Groei hoge inkomens
22 Shrinking social sector and leveling low income group: vulnerable break even point 51,4% 61,3%
23 Mixed neighbourhoods > 60% corporatiewoningen > 60% particuliere huur > 60% koopsector alle sectoren < 60%
24 Neighbourhood based approach
25 Mixed Neighbourhoods Area s with 35% or less social rent 8 area s mostly within the city ring To preserve a mixed housing stock and access for all incomegroups.
26 Protecting 35% social rented corpo s Amsterdam Oud-Noord Slotermeer/Geuzenveld Bijlmer Centrum Bijlmer Oost Osdorp Noord-West Noord-Oost Oud-Oost Gaasperdam/Driemond Westerpark Indische Buurt/Oostelijk Havengebied Bos en Lommer Watergraafsmeer Slotervaart De Pijp/Rivierenbuurt Centrum Oost Oud-West/De Baarsjes IJburg/Eiland Zeeburg Centrum West Buitenveldert/Zuidas De Aker/Nieuw-Sloten Oud-Zuid sociale huur, corporatie %
27 Building now the tide is high! sociale huur sociale huur studenten middeldure huur dure huur koop
28 New locations for urban growth
29 Agreements between Tenants, Housing Associations and Municipality Amsterdam Affordability Minimal amount of social rented houses: 162,000 Limiting sale and conversion to market rental sector Target numbers of new built houses (1,200 yearly) Availabilty for certain income groups and vulnerable households Improving sustainability (solar panels, thermal insulation) Mixed Neighbourhoods Financial deals
30 Preserving the social rental Stock Bottom of social dwellings Sale maximum dwellings a year (prognose now is a year) Liberalizations maximum per jaar Newbuilt New rule in building. 40% social rented, 40% middle market segment (rental and owner occupied) 20% higher segment (owner occupied).
31 Availability / Temporary lease Temporary lease (five years) for starters < 28 jaar: One third of of regular rentals (is 17 % of total rentals) Only small dwellings 40 m² of 50 m² Safetynet : contract can be prolonged up to 7 years Sharing Dwellings/House sharing 33% of market sector and label for lower income
32 Eras of urban development Quality of dwellings and neigbourhood Availability / Accessibility Price
33 Quality, Volume, Price Quality of dwellings and neigbourhood Availability / Accessibility Price
34 Contemporary challenges Shrinking social housing stock: adaptation to changing market conditions Awareness the social housing stock for the future s housing market is vulnerable Using the special relation with housing associations The philosophy of mixed neighbourhoods Market sector leads to spatial differentiation: segregation? gentrification? Dutch housing market crisis coincides with new era of urbanization and a more liberal wave Globalization Privatisation Precarization (labour market) Dualisation (labour market, income strcuture, housing opportunities) Increase of building prices: affordability, (new investers interested to let for high prices, buy to let smaller houses (quality), accessibility for whom (and where?: location) new competiotion with the suburbs: Other use of dwellings (holiday rental, smaal businesses)
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