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Policy Impact: Affordable Housing Strategy Adopted by Berlin Coalition

Published

28 November 2016

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Projects

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In September 2016, urban coop berlin, together with TSPA, drafted policy recommendations for an affordable housing strategy in Berlin. The key recommendations are:

• to issue state equity capital guarantees for low-income households to allow them to join housing cooperatives

• to allocate state-owned land to housing associations using leasehold laws

See our full policy recommendations paper Cooperatives for long-term affordable housing (pdf, German).

Last week, the newly elected Berlin government released its coalition agreement — and fully incorporated our recommendations into the new governance programme.

An important step toward a more equitable housing market has been taken:

“Housing is a fundamental right. We recognize the inner-city displacement processes as a major challenge and understand people’s concerns about no longer being able to afford housing in a growing Berlin.
A key focus of the red-red-green coalition is therefore the protection and creation of affordable housing. This task will primarily be addressed by municipal housing associations, but also by cooperatives and innovative housing projects. Private developments will, in the future, need to offer a greater social return — such as new affordable housing, daycare and school facilities, and green spaces as compensation for land sealing.”

Public land for housing construction will be allocated to municipal housing associations, cooperatives, social developers, and building groups. The selection criteria will ensure that 30–50% of the housing is rent- and occupancy-controlled.

By subdividing plots, introducing transparent procedures, and awarding land through concept-based leaseholds, the government will ensure low-barrier access to land for cooperatives and other community-oriented groups.

The coalition will also support citywide pilot projects — such as those planned in Falkenhagener Feld and at Kottbusser Tor — for self-managed tenant cooperatives. It aims to encourage cooperative formation from within communities, and to support resident-led cooperatives in acquiring privately-owned social housing.

To expand the housing supply for low- and middle-income households, cooperatives will receive greater support through housing subsidies, land provision, and collaboration in municipal pre-emption rights.

Importantly, even those receiving welfare benefits will be able to join cooperatives, with the Jobcenter covering their membership shares. A loan or guarantee program is under consideration for low-income households. The coalition will actively support the formation of new cooperatives.

"The allocation of public land for housing — primarily to municipal housing associations and additionally to cooperatives, other public-good-oriented developers, and building groups — will be in the form of leasehold... The coalition will also support innovative and intergenerational forms of housing. It will strengthen advisory services for solidarity-based and cooperative enterprises, embedding them institutionally within the economic administration, enabling better access to state funding programs."

We’re proud that a major first step has been taken toward a fairer housing market in Berlin.

Full coalition agreement (pdf, German).