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Government and corporations must collaborate to increase affordable housing

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14 November 2024
Lawyer Michael de Groot examined how the government cooperates with housing associations to provide adequate housing, as based on the Constitution, and how this cooperation can be improved.

He emphasizes that a clearer legal framework and coordinated policy are vital for enhancing this partnership, enabling housing corporations to better respond to the urgent demand for affordable housing.

Current housing shortage calls for enhanced cooperation and policy
Housing corporations, responsible for nearly one-third of all Dutch homes, play a key role in providing affordable housing. The government expects them to provide not only for social tenants, but also for middle renters. 'The stricter Housing Act of 2015 increased regulation and oversight, making it harder for corporations to make quick investment decisions,' De Groot explains. 'This hampers the expansion of social and affordable housing stock, despite long waiting lists and high demand for both social and middle-income rentals.'

Concrete recommendations for future-proof public housing
In his research, De Groot proposes seventeen actionable recommendations to improve the Dutch housing system. He advocates for a simplified structure that focuses on the core mission of housing corporations: housing low-income and vulnerable groups. 'A more streamlined system would empower the government to provide clear direction to housing corporations, allowing them to make quicker and more secure investment decisions,' says De Groot. 'This would not only accelerate housing projects but also strengthen cooperation between corporations and project developers. Through mutual agreements and by involving corporations earlier in policy decisions, investments can be deployed more effectively. This is particularly crucial under the Affordable Rent Act, as private investors withdraw from middle-income rentals, increasing the role of housing corporations in this segment.'

A future oriented perspective
De Groot underscores the need for a sustainable government-corporation partnership to continue meeting housing demands effectively in the Netherlands. “By ensuring a consistent legal foundation and clear policy guidelines, housing corporations can better fulfill their role, making affordable housing more readily available,” he notes.

Through a comparison with relevant EU legislation and environmental law, De Groot’s research contributes to the societal debate on the future of Dutch housing policy and the essential role of housing corporations in addressing the housing crisis.

De Groot will defend his doctoral research on November 29 at Vrije Universiteit Amsterdam.

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