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Title:AffordablehousinginPoland–thestudyofanon-existentsector

AgataTwardoch,PhDEng.Arch.1,JakubHeciak,PhDEng.Arch.2

1SilesianUniversityofTechnology,FacultyofArchitecture;ul.Akademicka7a,44-100Gliwice,Poland,agata.twardoch@polsl.pl

2KielceUniversityofTechnology,DepartmentofArchitectureandTownPlanning;al.TysiącleciaPaństwaPolskiego7,25-314Kielce,Poland,jheciak@tu.kielce.pl

ABSTRACT

InPoland, theconceptof ‘affordablehousing’,asothercountriesmightunderstand it,doesnotexist.WhilePolishhousingpolicyencompassesmunicipalhousing,socialhousingandcooperativehousing,itheavilyfavourstheprivateownershipmodel.AccordingtodatapublishedbytheCentralStatisticalOfficeofPoland(GUS)in2015,of the total completeddwellings,53per centwereprivateand42per centwerebuilt for sale,whilecooperative,socialandmunicipalprojectsaccountedforonly3.5percent.However,ifonedefinesaffordablehousingasasignificantnumberofdwellingsdevelopedasadirectresultofhousingpolicy,anddesignedforpeoplewhocannotaffordtopurchaseontheopenmarket,thereareindeedsomerecenttrendsthatwouldappeartosatisfythedefinition.Effectivehousingpolicydoesnotlimititselftofinancialmattersbutaddressesmultiplelandissues,especiallyonalocallevel:unlockinglandinappropriatelocations;controlling–vialocalplans–thehousingparameters,includingdensity,intensityandtype;andmanagingexistinghousingresources.

Recently, despite thehomeownership-dominatedmarket inPoland,new trends in affordablehousinghaveappeared.Indeed,therearemoretailoredandcreativesolutionstobeseenherethancanbefoundwithinthepropertydevelopmentsector.Forexample,thefledgingmarketofco-housingneighbourhoodsillustratestheideaof‘no-costhousing’,withitsnon-profitmotiveandthelabourinputofprospectivetenants.

Inthispaper,asabackgroundtotheevolvinghousingpolicy inPoland,threehousing initiativeswillpresentdifferentapproachestoinformalhousingdeliveryoutsidethemainstreamofflatprovision–especiallyinregardtocooperationandlegalframeworks–representinggrassrootsinitiatives,top-downandbottom-upmodels.

KEYWORDS(upto5):affordablehousing,Polishhousingpolicy,co-housing,housingcooperatives

AUTHORBIOGRAPHIES:(short,notmorethan5lines)

JakubHeciak,PhDEng.ofArchitectureIARP,SARP

JakubstudiedarchitectureinStrasbourg,CracowandParisandcompletedhisdoctoraldissertationonqualitativepoliciesincooperativehousing2015.HisprofessionalexperienceincludestimeinFranceandPolandworkingonlarge-scalemixed-use,officeandskyscraperprojects.Todayandheleadshisownpractice.Hehasaparticularinterestinaffordableandsocialhousing,andongoingprojectscontinuetoexploretheevolutionofsustainabledevelopment,andhousingaffordability.

AgataTwardoch,PhDEng.ofArchitecture,urbanplanner,TUP.

Agataisanarchitectandurbanplanner,andassistantprofessorattheFacultyofArchitecture,attheSilesianUniversityofTechnology.Herresearchisdevotedtoaffordablehousingandalternativeformsofhousing.Recently,withacolleague,shepublishedastudyonSilesiancontemporaryhousingestates.Besidesherworkfortheuniversityandherownarchitecturalpractice(www.44STO.pl)Agataregularlygivesopenlecturesonhousing,takespartinstudentworkshops,andwritesforavarietyofmagazinesonarchitectureandurbanplanning.

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IntroductionDespitetheunleashingofconstructionpotentialafter1989,andthesignificantdevelopmentsinstatehousingpolicythenumberofcompletedapartmentsinPolandhasremainedunchanged.Althoughthelegalframeworkof housing policy allows for a vast range of housing solutions, ownership-oriented private projects havecontinuedtodominatethemarket.ThisrealityispartlyexplainedbythefactthatPolesfirmlycommittedtotheidea of owning their own homes,which has often been leveraged by politicians during economic shifts, toassuagethepublicmood.Cooperative housing in Poland, formerly a state enterprise, was excluded from thewidespread reforms tomitigateareductionoflivingstandardsandemployment.Mainlybecauserentingadwellinginco-ophousingwas regardedby the tenantsashomeownership. [Lux2010:189]This led to theprivatisationof cooperativehousingstocktoexistingtenantsforafractionofitsvalue.Nowadays,thereisnorealalternativeforthoseenteringthehousingmarket,leavingachoicebetweenprivateconstructionofsingle-familydetachedhousing,andthepropertydevelopermarket,bothrequiringlong-termmortgageloans.(Fig.1)Although a housing shortage in the inter-war period resulted in the emergence of alternative housingcooperativesandassemblies,theexamplesofco-housingpresentedhereareanexceptioninacommerciallydrivenmarket.Therefore,inpost-1989conditions,anyhousinginitiativeundertakenwithinasocio-economiccontext,whichdepartsfromthemainstream,deserveslegitimateinterest.

NoweŻernikico-housingInWrocław,theideaofco-housingwasintroducedforthefirsttimeasatop-downinitiativedesignedtohelpfostersocialcohesioninnew,liveable,vibrantandmultifunctionaldistrictcalledNoweŻerniki.Thedevelopmentharks back to theWuWA (Wohnung undWerkraum) estatewhichwas historically an exhibition of housingdemonstratingdifferentmoderndwellings,launchedbytheGermanWerkbundandWrocławmunicipalitiesin1929.ApartnershipbetweenlocalauthoritiesandtheWrocławdivisionoftheNationalChamberofPolishArchitects,withinputfrommorethan40architects,hasresultedinthedevelopmentofadistrictmasterplanfollowingalong interdisciplinary workshop. The district is located on land belonging to the city. All infrastructurewasprovidedbymunicipalities.Theestatemasterplancontainsmixedformsofhousingtenure,seniorhousingwithlivingassistance,schools,kindergartensandnurseries,amarketforlocalproducers,ashoppingprecinctandachurch.(Fig.2)Threeplotsinamiddleofthedevelopmentareintendedforco-housingneighbourhoods.(Fig.3)Communitiesgrantperpetual‘usufruct’topropertiesheldbylocalmunicipalities-thePolishversionofapubliclong-termground lease,usually for99years -and thiswas thecasehere.Theplotswere thenallocatedbytender. Indecidingon themost favourableoffer,notonlypricebutalsoconceptdesignand thequalityofcommon spaceswere taken into account. A prerequisite of the tender processwas an agreement on jointimplementation,signedbytheassemblyandfinancingplan.Owingtothefactthattheco-housingconceptwasnotyetwellrecognizedinPoland,theMayorofWrocławlooked to examples of co-housing assemblies in Berlin. Based on German experience and frameworks forcooperation,twotypesof lawcontractwereprepared.Thefirstwasbasedonacivil lawpartnership,asperGermanexperience.Thesecondwasbasedonacommercialpartnershipagreement.Theformerwaschosenbytwoofthethreeassemblies.Despitethesecontractproposals,co-housingassemblieswerenotobligedtosignthem, but could, if they wished, formulate their own agreements. The idea was for the draft contracts tofacilitatecooperation.During themasterplanworkshops forNoweŻerniki, the firstarchitecturalproposalsweremade.Co-housingassemblies could cooperate with the designers or participate in the tender process, presenting their owndesigns. All threewinning assemblies decided toworkwith the CREO project architecture studio,who hadhelpedpreparethemasterplan,andconsequently,allthreebuildingdesignsfittogetherwell.Participationin

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theworkshopswasunpaid,sotheonlywaytoobtainremunerationforworkdonewasbysubmittingasuccessfuldesign.Allthreeplotsintendedfortheco-housingdevelopmentshavealreadybeenleased.Twoassemblieswillconsistoffourapartmentseach,whilethethirdisa10-familycomplex.Alongwithcommonfacilityrooms(babycarriageroom,communityroom),additionalcommercialpremiseshavealsobeendesigned,withtheintentionthatthesearerunbyassemblies’members(caféanddentistoffice)orrentedouttoprovideanincomestreamtocoverthecostofsharedmaintenance.(Fig.4and5)Thelackofestablishedservicesandfundingsupportfromthebanksisasignificantconstraint.Newproductisunlikely to appear until co-housing becomesmore popular. However, architects have already succeeded infacilitatingamoreeffectiverelationshipwiththebanks,andinthisinstance,arepresentativeofthecitymayorwasalsoinvolved.Until now,no costestimateshavebeenavailable.However,without the costof landacquisition,developeroperationalcostsanddeveloperprofitmargins,thefinalpricewouldcertainlybesignificantlylower.AnaverageflatpriceinWrocławinthefourthquarterof2015is5500PLNpersqm,whilethemedianincomeis4500PLNpermonthAlthoughtherearenofurtherplotsavailableforco-housinginNoweŻerniki,theMayorhasbeenaskedtohelpfacilitatefurtherdevelopmentofhousingassemblies.Amongthepossibilitiesbeingdiscussedisthetransfertoassembliesofoldtownhousesforrestoration.

Pomorzeco-housingOneofthemainreasonsforundertakingthe‘Pomorze’co-housingprojectwastheveryhighaveragepriceofflats in theTricity region (Gdańsk,Sopot,Gdynia).Today, it’s themostresilientof theassemblies running inPoland,althoughitisnotsupportedbyanymunicipalityorhousingorganisation.ResponsiblefortheprojectisRomanPaczkowski,anexperiencedmanager,whobecameinspiredbyyouthhousingcooperative,whichhavebeenrunninginPolandsincethe1950s.Sofar,theassemblyhasbuiltthreemulti-familybuildingsofeightflatseach.Thefourthone,currentlybeingbuilt,ismadefor12households.Twoothersarebeingplanned,duetosuccessofthepreviousdevelopments.ThefirstbuildingwasbuiltforMrPaczkowskiandhisfriends’childrenandrelatives.Allinvestorcontractsfortheassembliesarebasedonacivillawpartnership.‘Pomorze’wasestablishedin2011,andthefirstbuildingwascompletedin2012.Itconsistsoffourflatsof62sqmandfourof82sqm,locatedona1500sqmplotandontheoutskirtsofGdynia.Thebuildingprocesstookonly10months.(Fig.6)Housingdesignwassimpleandmodest,basedready-madeprojectspopular inPoland,whichcanbequicklyadaptedtotheneedsandexpectationofinvestors.Theseprojectsarerelativelycheap,anditiseasytopredictthefinalcostsofinvestment.Architecturally,thebuildingsdonotfeaturesophisticatedmaterialsordetail,thedesignsbeingbeingacompromisebetweenaffordabilityandneeds.Onethebiggestobstaclesinrealisingtheprojectwasthesecuringofabankloan.Atthetimetherewerenoproceduresforco-housingandittookalongtimeforfinancialsupporttobefound.Thebankthatfinallyagreedis now developing appropriate procedures. Nowadays, local cooperative banks are far more interested insupportingsuchinitiatives.CompletionofthefirstbuildinginspiredPaczkowski’sfriendstolaunchfurtherprojects.Thesecondandthirdbuildings,whicharelocatedonnearbyplots,arebasedonthefirstdevelopment..TheywerecompletedinJune2014andAugust2015.Theconstructionprocesswassystematicallyhoned,andthethirdbuildingtookjustsixmonthstocomplete.Forthethethreeprojects,constructioncostsincludingparkinglot,landscapingandmediaconnectionworkedoutataround3000PLNpersqm,whichisapproximately78%ofaverageofoutlaysincurredonconstructionof

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newresidentialbuildingscompleted(average3’837PLN/m3inQ32012).Thecostofacquiringplotscangreatlyinfluencethefinalprice,andcanraiseaboutthetotalbyasmuchasonethird.Inthisinstance,theplotpricewas500PLNpersqmforthefirstbuildingbut1000PLNpersqmforthesecondone.Constructioncostswerecalculatedforagoodstandardbuildingquality.AccordingtothelatestdatareleasedbytheNationalPolishBank,theaveragepriceofaflatintheGdyniaagglomerationinthefirstquarterof2016was6209PLNpersqm,whiletheaveragesalaryaccordingtoGUSreportswasabout4350PLNpermonth.Potentialsavingsusingtheco-housing model can reach 30%; these including developer operational costs, developer profit margins andadvertisingcosts.Thefourthbuilding,forwhichconstructionbeganinMarch2016,isdesignedtoaccommodate12households.It isalsobasedonareadymadeproject;however,thetypologyisdifferent.Estimatedproject’scost isabout3’500PLNpersqm,whichincludesboothdirectsandindirectcosts.Itisapproximately85%ofaverageofoutlaysincurredonconstructionofnewresidentialbuildingscompleted(average4’117PLNpersqminQ12016),and65%(includinglandacquisition)ofaveragepriceofaflatinprimarymarket.(average6’209PLNpersqminQ12016)Enrolmentsforthislatestprojecttoojust24hours.However,thosewhomissedoutonthisoccasionareplanningtwofurtherco-housingprojectsunderthesupervisionofMrPaczkowski.

Otherinitiatives.Theinterestinco-housinginitiativescontinuestogrowinPoland.Otherbottom-upinitiativesareappearingalloverthecountry,suchastheBiałystokco-housing(BiałostockaKooperatywaMieszkaniowa),whichiscurrentlytryingtopersuadelocalauthoritiestoincorporateco-housingintolocalhousingpolicy.HabitatforHumanity,aninternationally-basedNGO,hasalsoshowninterestinthatformofhousing.HfHisinvolvedintheWarsawco-housingprojectKooperatywaUrsynowska,designedforeightyoungfamilies,threeofwhichdonotneedacreditrating.Inthisscenario,theco-housinggroupintendstobuyaplot,asitsrequisitecontribution.Hfh,accordingtoitsstatutoryobjectives,whichincludehelpingpeopleinneedtoachievetheirownplacetolive,couldserveasasubstituteinvestor,helpinginlegalandtechnicalissuesandguaranteeingabankloan.Thepotentialforsmallco-housinginitiativesinPolishcitieswasrevealedbyonemaster’sthesisstudyconductedattheFacultyofArchitecture,SilesianUniversityofTechnology.Katowicedowntown,withanareaof1’150’200sqm,wasexaminedtoidentifygapsintheurbanfabric,andthepotentialforintroducingnewurbaninfills,withavarietyoffunctions.Studieshaveshownthatmaintainingtheurbanfabricwithitsstructureofblocksandunbuiltgreenareas,thereisthepossibilityofdevelopinganadditionalbuilt-upareaof22’260sqm,withatotalfloorareaof91’400sqm.(Fig.7)Thatwouldpresentanopportunitytoprovide388apartments(25’026sqm)accordingtheproportionsspecifiedbythestudyoflanduseconditionsanddirectionsofdevelopment(SUiKZP).Furthermore,anadditional48’356sqmoflocalamenitiesand750parkingspaces(18000sqm)couldalsobeprovided.Suchsmallandchallenginggapsintheurbanfabricarenotattractivetocommercialrealestatedevelopers,hencethefavourablepotentialforco-housingassemblies.

ConclusionCo-housingrepresentsaninterestingalternativeforindividualorcommercialrealestatedevelopmentinPoland.There are several possible organizational and legal frameworks for co-housing activities. Along withcooperatives,civillawpartnershipsandcommercialpartnershipsarealsoallowed.However,co-operativeshavemoredifficultyinsecuringcommercialcreditandmusthaveatleast10members,whicharethemainobstacles.Cooperativesarebasedonsharedownership,witheachowner’ssharebeingeitherdefined(sharedownership),ornotdefined(jointownership);thisformofownershipbeinglesspopularinPoland.Themostdesirableformof propriety is a privately owned apartment that can bemortgaged or sold on themarket. Every tenanteddwellingoftheco-housingprojectsstudiedwasexpectedtobeprivatelyowned.Resistancetosharedownershipstemsfromthepreviouseconomicregimeandmisrepresentationsaboutcooperativehousing.Therefore,Polishco-housingistypicallysetupascivilorcommercialpartnerships,whilehousesbuiltinthiswayarecommonlyconsideredasindividualhousinginitiatives.

Whiletheassembliesdescribedabove,beingownership-oriented,donothelptodiversifythelocalhousingmarket,theaffordabilityofco-housingisneverthelessaverypositivedevelopment.Theadvantagesofco-housinghavebeenexperiencedfirst-handbylocalmunicipalities,inWrocławLublinandKatowice.

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Formembers,co-housingoffersgreateraccesstoaffordablehousing,andtheopportunityforgreaterinteractionwithothertenants.However,formunicipalitiesthegreaterattractionwouldseemtobethepotentialfordevelopingurbaninfillofirregular-shapedplots,urbanfabricdensificationandstrengtheningsocialinclusiveness.Co-housingcanalsoprovideinterestingalternativesfornon-residentialbuildingrestorations,alongthelinesofDutchorGermanexamplessuchasUrbankrankenhausinBerlin-Kreuzberg.Assembliesthatareskilfullyandappropriatelyincorporatedintotheurbanfabricalsohavethepotentialtorevitalizeneglectedneighbourhoods,e.g.Willisblok,Rotterdam.UrbaninfillshouldforPolishcitiesbeparticularlyappealing,notonlybecauseofitsfocusoncompactnessandsustainability,butalsobecauseofthedepopulationtrendthatisaffectingthewholecountry,butespeciallythecities.Urbansprawlandthesituationdescribedintheintroductiontothispaperhascontributedtothistrend,infavourofthesuburbanareas.Theprincipalreasonisthatthepriceofacountrysidehouseisstillmoreaffordablethanhome-ownershiporientedhousing.Despitethefactthatitisbecomingmorepopular,withoutappropriatehousingpolicysupport,co-housingcannotbeaviablealternativetocommercialrealestatedevelopment.Today,themainbarrierstothedevelopmentofco-housingare:landacquisitiondifficulties(smallassembliesthatrelysolelyoncreditsarenotabletocompeteintenderswithlargecommercialdevelopers),problemsinsecuringloans(banksdonothavededicatedproducts),littleknowledgeofornegativeassociationswiththeterms‘housingcooperative’and‘co-housing’whichforPolessuggestsomethingakintoahippycommune.Therefore,emerginginitiativesneedstronginstitutionalsupport,similartothatwhichtheGermanBaugruppereceivedrecently.Germanyhasdevelopedspecializedorganizationsinvolvedinprofessionalconsulting,connectingpotentialmembersofassemblies,assistinginorganizationalandparticipatoryprocesses,mediatingwithexperts(cf.InstitutfürkreativeNachhaltigkeit-http://id22.net/orcohousing-berlin.de),andprovidingbestpractices.Moreover,acertainnumberofinvestmentplotsmustbereservedforco-housing.

AcknowledgementTheauthorswouldliketothankRomanPaczkowski,co-housing“Pomorze”founder,andKarolinaWoźniak

fromWrocławCityHall.

References1. GUSCentralStatisticalOfficeofPoland,AccessedJune2016,Retrievedfrom:http://stat.gov.pl,

2. MartinLux,”SocialhousingintheCzechRepublic,PolandandSlovakia”,InternationalJournalofHousingPolicy1:2(2001):189-209,doi:10.1080/14616710110083425

3. NationalPolishBank,“Bazacennieruchmości”,AccessedJune2016,Retrievedfrom:https://www.nbp.pl/publikacje/rynek_nieruchomosci/ceny_mieszkan.xls

4. SacałaSara,“ZwartemiastoKatowice.TypologiaubytkówwwtkancemiejskiejnaprzykładzieśródmieściaKatowicwrazzmodelowymirozwiązaniamizabudowyuzupełniającej”(MasterThesis,FacultyofArchitecture,SilesianUniversityofTechnology,2014)

5. TornowB.,Skok,H.&Fedrowitz,M.,Europeco-operativehousing(Berlin:Jovis,2015)

GraphicWork,ImagesFig.1.Proportionsbetweennumberofnewflatserectedin2015inPoland.OwnelaborationbasedondatapublishedbyCentralStatisticalOfficeofPoland(GUS)(access:March2016)

Fig.2.NoweŻernikilocalplan.Oficialdata:www.wrocław.pl(access:June2016)

Fig3.NoweŻernikiCohousing,buildingno1.Plotno62/11,Retrievedform:officialmunicipalitydata,www.wroclaw.pl,AccessJune2016

Fig4.NoweŻernikiCohousing,buildingno1.Plotno62/11.Conceptdesign,Author:Pracownia

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ArchitektonicznaCREOProject(PiotrMarek,BartoszSzczepański,BartoszŻmuda),Retrievedform:officialmunicipalitydata,www.wroclaw.pl,AccessJune2016

Fig5.NoweŻernikiCohousing,buildingno1.Plotnr62/11.Conceptdesign,author:PracowniaArchitektonicznaCREOProject(PiotrMarek,BartoszSzczepański,BartoszŻmuda),Retrievedform:officialmunicipalitydata,www.wroclaw.pl,AccessJune2016

Fig6.Katowicedowntownco-housingpotentialstudy,CourtesyofSaraSacała

Fig.7Co-housing“Pomorze”-rearview,1stassembly,CourtesyofRomanPaczkowski

Fig.1Proportionsbetweennumberofnewflatserectedin2015inPoland.OwnelaborationbasedondatapublishedbyCentralStatisticalOfficeofPoland(GUS),AccessedMarch2016

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Fig.2NoweŻernikilocalplan.Retrievedfromofficialdata:www.wrocław.pl,AccessedJune2016

Fig.3NoweŻernikiCohousing,buildingno1.Plotno62/11,Retrievedform:officialmunicipalitydata,www.wroclaw.pl,

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AccessedJune2016

Fig.4NoweŻernikiCohousing,buildingno1.Plotno62/11.Conceptdesign,Author:PracowniaArchitektonicznaCREOProject(PiotrMarek,BartoszSzczepański,BartoszŻmuda),Retrievedform:officialmunicipalitydata,www.wroclaw.pl,AccessedJune2016

Fig.5NoweŻernikiCohousing,buildingno1.Plotno62/11.Conceptdesign,author:PracowniaArchitektonicznaCREOProject(PiotrMarek,BartoszSzczepański,BartoszŻmuda),Retrievedform:officialmunicipalitydata,www.wroclaw.pl,AccesseJune2016

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Fig.6Co-housing“Pomorze”-rearview,1stassembly,CourtesyofRomanPaczkowski

Fig.7KatowicedowntownCo-housingpotentialstudy,CourtesyofSaraSacała