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A Social Innovative Initiative to Invade the
            Private Rental Market:
The Case of Social Rental Agencies in Belgium



                                Pascal De Decker
                          Sint-Lucas Architecture Ghent/Brussels


European Research Conference Access to Housing for Homeless People in Europe
                         York, 21st September 2012

                           European Research Conference
                   Access to Housing for Homeless People in Europe
                             York, 21st September 2012
Content
   SRA: what?
   Goals
   Regulation
   History, context, roots
   State of affairs
   Allocation of dwelling
   Recognition/basis

                    European Research Conference
            Access to Housing for Homeless People in Europe
                      York, 21st September 2012
What?
   SRA’s are
       non-profit organisations
       dealing with housing problems of poor & vulnerable people
       rooted in services dealing with the homeless persons

   Rent from private landlords and sublet to tenants
       securing the payment of the rent (event in periods of vacancy)
       securing housing quality
       affordable rent to the subtenant
       organising support if necessary

   ‘try to socialize’ the private rented sector – withdraw renting
    from free market mechanisms



                         European Research Conference
                 Access to Housing for Homeless People in Europe
                           York, 21st September 2012
Fig.2: Overview of the partnership between an SRA and Landlord:


                                                                      Landlord
                      Requests:                                            Accepts
                      Prompt payment of the rent                           Below market/”social”rent
                      Maintenance of the house                             Quality standards
                      Rational occupation                                  Rental contract for a period of 9 years
                      Judicial support                                     No say in the profile of the subtenant
                      Administrative support

                                                                        SRA
                      Offers:                                             Requests:
                      Guaranteed monthly payment of the rent              Affordable housing
                      Rental mediation                                    High-quality houses
                      Handyman‟s service                                  Housing certainty
                      Legal occupation standard                           To be open to all candidate-tenants
                      Professional counselling




Source: Adapted from OCMW Gent Presentation, 2012 HABITACT Peer Review




                                          European Research Conference
                                  Access to Housing for Homeless People in Europe
                                            York, 21st September 2012
Fig 3. Overview of the relationship an SRA and its tenants

                                                             SRA Tenant
                    Requests:                                      Agrees to provide
                    Appropriate accommodation                      Participation in rental counselling
                    Affordable rent                                Maintenance of the house/being a good tenant
                    Security of tenure                             Prompt payment
                    Support                                        Open communication

                                                                SRA
                    Offers:                                       Agrees to provide:
                    High-quality housing                          Professional rental counselor
                    „‟Social‟‟/affordable rent                    Support: “chore” team, link to welfare services
                    Rental subsidy                                Follow-up of the rent
                    9-year rental agreement                       Mediation in case of arrears
                    Rental counselling                            General assistance with enquiries etc




Source: Adapted from OCMW Gent Presentation, 2012 HABITACT Peer Review



                                        European Research Conference
                                Access to Housing for Homeless People in Europe
                                          York, 21st September 2012
Goals

   Enlarge the number of available dwellings
    for vulnerable people

   Improve the quality of the accommodation
    at the bottom end of the housing market

   Use a socially correct rent
                    European Research Conference
            Access to Housing for Homeless People in Europe
                      York, 21st September 2012
Regulation
   Belgium=federal state, with ‘split responsibilties’
   Changes underway (all housing responsibilities will be
    transfered)
   Private renting=federal matter
       new rents are free
       length of the lease is regulated
       some subsidies (tax exempations)

   SRA’s=matter of the regions (Flanders, Brussels,
    Wallonia)
       subsidies for staff & working
       rent allowance (under certain conditins)
       renovation subsidies

                        European Research Conference
                Access to Housing for Homeless People in Europe
                          York, 21st September 2012
History – context - roots
   Housing activism (1970s)
        General: legal advise shops  tenant’s association (UK model)
        Labour migrant discrimination  SRA avant la lettre Woonfonds Gent (idem in
         Antwerp & Brussels)

   Housing ‘crisis’
        Economic crisis  drop new house construction (private & social)
        Squeezed market
        Freeing of private renting in times of crisis
        New housing times (demographics)  more houses needed
        Filtering up  filtering down: renting becomes more & more unaffordable (queeing for
         advertisers)
        Cfr def social innovation: compensate for the market, which cannot address social
         needs

   De-institutionalisation
        Welfare Work: experience increasing housing problems of its clients
        De-institutionalisation (elimination of the ‘total institutions’/ideology of the small scale)
          need ‘housing’ for the services itself



                               European Research Conference
                       Access to Housing for Homeless People in Europe
                                 York, 21st September 2012
Homeless service sector in general
   Growth after 1975
       Due to the de-institutionalisation ideology

       Professionalisation
          passing through philosophy – client has to become
           independent as soon as possible  theory vs
           reality: lots of failures
          small scale ideology  need for ordinary houses

          Idea of emancipation




                       European Research Conference
               Access to Housing for Homeless People in Europe
                         York, 21st September 2012
Consequence
   Welfare work ‘invades’ the housing market
      SRA’s
      Tenant’s associations

    Cfr: social innovation is a bottom-up proces




                     European Research Conference
             Access to Housing for Homeless People in Europe
                       York, 21st September 2012
Devepment of the SRA model
   Social innovations create new structures &
    methods
       1985: the umbrella organisations of homeless
        organisations (VDVO) presents the SRA model
       1993: foundation of the umbrella organisation of ‘new
        housing initiatives’ (VOB)
       1993: 9 SRAs & VOB get subsidies as ‘experiments’
         VOB has to develop a workable model
       1997: integration of ‘rent services’ in the Flemish
        housing law = SRAs become a housing institution
       Since then: different regulations aiming at making
        SRA’s stronger/bigger
       2007: assessment through the eyes of the landlords

                        European Research Conference
                Access to Housing for Homeless People in Europe
                          York, 21st September 2012
State of affairs (Flanders)
Number of recognised SRAs


                            2003                      2006          2009

  subsidized                  24                        32           44

Not subsidized                10                        14           7

      total                   34                        46           51




                          European Research Conference
                  Access to Housing for Homeless People in Europe
                            York, 21st September 2012
State of affairs
Number of dwellings
Average number of dwellings per SRA rose from 54.8 in 1999, over 77 in 2006 to 96.3
in 2009 – largest: +500 dwellings

                                2004                        2006               2009

   subsidized                   2,385                      2,905               4,600

Not subsidized                   407                         638                313

       total                    2,792                      3,543               4,913




                               European Research Conference
                       Access to Housing for Homeless People in Europe
                                 York, 21st September 2012
State of affairs
Number of applications

                                    New                  Total number of    Candidates/
                                 applications              candidates        dwelling

 2006                                  6,739                     11,100         3.1
 2007                                  7,608                     12,795         3.3
 2008                                  7,164                     13,718         3.1
 2009                                  9,425                     13,332         2.7

        End 2011
        -23,635 households on waiting list
        -5,750 dwellings

        New applications in 2011: 10,910

                                  European Research Conference
                          Access to Housing for Homeless People in Europe
                                    York, 21st September 2012
State of affairs
   Work situation new tenants, 2009, %
     unemployed                                17.6
     subsistence income                        34.3
     part-time job                             0.7
     disability/illness                        10
     work                                      19.4
     pension                                   3.2
     other                                     5
     no info                                   9.3

                    European Research Conference
            Access to Housing for Homeless People in Europe
                      York, 21st September 2012
State of affairs
   33% were homeless at the moment of
    allocation
       Homeless= living in a caravan, uninhabitable
        dwelling, living on the street, living in a service
        for homeless persons




                       European Research Conference
               Access to Housing for Homeless People in Europe
                         York, 21st September 2012
Allocation
   Allocation
       Flemish regulation for all social rental dwellings, but
        differentiated, so SRAs can and do use a point system in
        order to fit with housing need (e.g. living on the
        street=higher score than someone living in an institution)

       local municipalities can develop a local allocation system
        that refines the Flemish one, but they hardly do (avoid the
        risk)

       there was the possibility to work besides this regulation in
        order to house very difficult ‘housable’ persons in a co-
        operation with welfare work



                         European Research Conference
                 Access to Housing for Homeless People in Europe
                           York, 21st September 2012
Recognition/basis
   Recognition
     political support in policy notes of political
      parties & policy notes of ministers and
      aldermen
     support from the representatives of landlords

     high satisfaction on landlords working with

      SRAs
     But: difficult to enter the ‘crowded’ housing

      field

                     European Research Conference
             Access to Housing for Homeless People in Europe
                       York, 21st September 2012
Further reading
   De Decker, P. (2002): On the rise of social rental
    agencies in Belgium, in: Urban Studies, vol. 39, nr. 2, p.
    297-326.

   De Decker, P. (2009): Social rental agencies : still a
    splendid idea?, in: European Journal of
    Homelessness, vol 3, December, p. 217-232.

   Feantsa Office (2012): Social rental agencies: an
    innovative housing-led response to homelessness,
    Feantsa, Brussels.

                       European Research Conference
               Access to Housing for Homeless People in Europe
                         York, 21st September 2012

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A Social Innovative Initiative to Invade the Private Rental Market: The Case of Social Rental Agencies in Belgium

  • 1. A Social Innovative Initiative to Invade the Private Rental Market: The Case of Social Rental Agencies in Belgium Pascal De Decker Sint-Lucas Architecture Ghent/Brussels European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012 European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 2. Content  SRA: what?  Goals  Regulation  History, context, roots  State of affairs  Allocation of dwelling  Recognition/basis European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 3. What?  SRA’s are  non-profit organisations  dealing with housing problems of poor & vulnerable people  rooted in services dealing with the homeless persons  Rent from private landlords and sublet to tenants  securing the payment of the rent (event in periods of vacancy)  securing housing quality  affordable rent to the subtenant  organising support if necessary  ‘try to socialize’ the private rented sector – withdraw renting from free market mechanisms European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 4. Fig.2: Overview of the partnership between an SRA and Landlord: Landlord Requests: Accepts Prompt payment of the rent Below market/”social”rent Maintenance of the house Quality standards Rational occupation Rental contract for a period of 9 years Judicial support No say in the profile of the subtenant Administrative support SRA Offers: Requests: Guaranteed monthly payment of the rent Affordable housing Rental mediation High-quality houses Handyman‟s service Housing certainty Legal occupation standard To be open to all candidate-tenants Professional counselling Source: Adapted from OCMW Gent Presentation, 2012 HABITACT Peer Review European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 5. Fig 3. Overview of the relationship an SRA and its tenants SRA Tenant Requests: Agrees to provide Appropriate accommodation Participation in rental counselling Affordable rent Maintenance of the house/being a good tenant Security of tenure Prompt payment Support Open communication SRA Offers: Agrees to provide: High-quality housing Professional rental counselor „‟Social‟‟/affordable rent Support: “chore” team, link to welfare services Rental subsidy Follow-up of the rent 9-year rental agreement Mediation in case of arrears Rental counselling General assistance with enquiries etc Source: Adapted from OCMW Gent Presentation, 2012 HABITACT Peer Review European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 6. Goals  Enlarge the number of available dwellings for vulnerable people  Improve the quality of the accommodation at the bottom end of the housing market  Use a socially correct rent European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 7. Regulation  Belgium=federal state, with ‘split responsibilties’  Changes underway (all housing responsibilities will be transfered)  Private renting=federal matter  new rents are free  length of the lease is regulated  some subsidies (tax exempations)  SRA’s=matter of the regions (Flanders, Brussels, Wallonia)  subsidies for staff & working  rent allowance (under certain conditins)  renovation subsidies European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 8. History – context - roots  Housing activism (1970s)  General: legal advise shops  tenant’s association (UK model)  Labour migrant discrimination  SRA avant la lettre Woonfonds Gent (idem in Antwerp & Brussels)  Housing ‘crisis’  Economic crisis  drop new house construction (private & social)  Squeezed market  Freeing of private renting in times of crisis  New housing times (demographics)  more houses needed  Filtering up  filtering down: renting becomes more & more unaffordable (queeing for advertisers)  Cfr def social innovation: compensate for the market, which cannot address social needs  De-institutionalisation  Welfare Work: experience increasing housing problems of its clients  De-institutionalisation (elimination of the ‘total institutions’/ideology of the small scale)  need ‘housing’ for the services itself European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 9. Homeless service sector in general  Growth after 1975  Due to the de-institutionalisation ideology  Professionalisation  passing through philosophy – client has to become independent as soon as possible  theory vs reality: lots of failures  small scale ideology  need for ordinary houses  Idea of emancipation European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 10. Consequence  Welfare work ‘invades’ the housing market  SRA’s  Tenant’s associations Cfr: social innovation is a bottom-up proces European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 11. Devepment of the SRA model  Social innovations create new structures & methods  1985: the umbrella organisations of homeless organisations (VDVO) presents the SRA model  1993: foundation of the umbrella organisation of ‘new housing initiatives’ (VOB)  1993: 9 SRAs & VOB get subsidies as ‘experiments’  VOB has to develop a workable model  1997: integration of ‘rent services’ in the Flemish housing law = SRAs become a housing institution  Since then: different regulations aiming at making SRA’s stronger/bigger  2007: assessment through the eyes of the landlords European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 12. State of affairs (Flanders) Number of recognised SRAs 2003 2006 2009 subsidized 24 32 44 Not subsidized 10 14 7 total 34 46 51 European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 13. State of affairs Number of dwellings Average number of dwellings per SRA rose from 54.8 in 1999, over 77 in 2006 to 96.3 in 2009 – largest: +500 dwellings 2004 2006 2009 subsidized 2,385 2,905 4,600 Not subsidized 407 638 313 total 2,792 3,543 4,913 European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 14. State of affairs Number of applications New Total number of Candidates/ applications candidates dwelling 2006 6,739 11,100 3.1 2007 7,608 12,795 3.3 2008 7,164 13,718 3.1 2009 9,425 13,332 2.7 End 2011 -23,635 households on waiting list -5,750 dwellings New applications in 2011: 10,910 European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 15. State of affairs  Work situation new tenants, 2009, %  unemployed 17.6  subsistence income 34.3  part-time job 0.7  disability/illness 10  work 19.4  pension 3.2  other 5  no info 9.3 European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 16. State of affairs  33% were homeless at the moment of allocation  Homeless= living in a caravan, uninhabitable dwelling, living on the street, living in a service for homeless persons European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 17. Allocation  Allocation  Flemish regulation for all social rental dwellings, but differentiated, so SRAs can and do use a point system in order to fit with housing need (e.g. living on the street=higher score than someone living in an institution)  local municipalities can develop a local allocation system that refines the Flemish one, but they hardly do (avoid the risk)  there was the possibility to work besides this regulation in order to house very difficult ‘housable’ persons in a co- operation with welfare work European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 18. Recognition/basis  Recognition  political support in policy notes of political parties & policy notes of ministers and aldermen  support from the representatives of landlords  high satisfaction on landlords working with SRAs  But: difficult to enter the ‘crowded’ housing field European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012
  • 19. Further reading  De Decker, P. (2002): On the rise of social rental agencies in Belgium, in: Urban Studies, vol. 39, nr. 2, p. 297-326.  De Decker, P. (2009): Social rental agencies : still a splendid idea?, in: European Journal of Homelessness, vol 3, December, p. 217-232.  Feantsa Office (2012): Social rental agencies: an innovative housing-led response to homelessness, Feantsa, Brussels. European Research Conference Access to Housing for Homeless People in Europe York, 21st September 2012