Social housing is one of the most serious social, political, and economic issues we face, and it is directly linked to some of the major national and global challenges ahead, such as demographic changes and climate change.

The housing problem is intensifying despite a declining population. How can we reconcile the idea that additional construction is needed to meet demand and stabilize prices with the need to maintain environmental balance? What do natural disasters caused by climate change reveal about the resilience of cities and the optimal spatial planning of the urban built environment? These are just a few of the many questions we need to address.

Social housing must be a central element of urban planning and social policy, aiming to provide affordable housing to those who cannot afford the price levels set in the market.

The umbrella term used internationally to describe the initiatives of both the state and the private sector is “affordable housing.” “Affordable” housing is defined as housing that costs less than 30% of a household’s income, and the available data confirms the severity of the problem. According to Eurostat, in 2022, the cost of housing accounted for 34.2% of the disposable income of Greek households, exceeding the 30% threshold. Furthermore, when considering the income of households below 60% of the median Greek income, the proportion of income directed toward housing needs rises to a staggering 61.5%. In this income bracket, even the European average exceeds the threshold (38%), as in addition to Greece, there are 18 other EU countries where households have to pay more than 30% of their disposable income for housing needs.

At DIMAND, we are aware of the problem and are committed to finding a solution. Social housing is the answer to the worsening housing crisis and a critical step in creating cities that are both affordable and resilient to modern challenges. Our goal is to co-shape the framework for addressing the housing crisis and to contribute as the private sector to the state’s initiatives. Beyond a proper understanding of the problem, it is important to examine best practices and successful examples from abroad, as well as counterexamples from previous years that we must learn from, and engage in an honest dialogue with all stakeholders to ensure a positive start. If we manage to create a success story, an effective modus operandi, and a new successful example, the continuation will be similarly and exponentially positive. Moving from 0 to 1 is often much harder than moving from 1 to 10. Successful policies exist, and so do challenges, which is why the issue of housing concerns all modern societies.

In Austria and the Netherlands, 30% of the housing stock is dedicated to social housing. Vienna, in particular, is considered one of the most successful examples internationally, as approximately 60% of its population lives in state-supported housing. This approach prevents the creation of ghettos, ensures that people from all income levels live together, and gives the city architectural and aesthetic continuity, avoiding the creation of neighborhoods with a bad reputation or image. In Stockholm, they have taken a different approach. The Hammarby Sjöstad district was once an abandoned and decaying industrial area, which has now been transformed into a “green” district, with mixed-income residential uses that include “affordable” housing. This area houses 25,000 residents in bioclimatic homes, promoting energy efficiency and environmental protection alongside social cohesion, making it possible for people from different income backgrounds to live there. The regeneration of old, decaying spaces, when it includes residential uses, enhances supply and helps to stabilize the housing market. In Hamburg, the city’s old harbor has been transformed into the HafenCity district, which hosts companies, cultural spaces, and about 16,000 residents, doubling the housing supply in the city’s center.

The inclusion of residential uses in the design of a regeneration project ensures “life” throughout the day, with continuous social, commercial, and cultural interactions. On a smaller scale, but following the same principle, we have incorporated residential uses in two iconic regeneration projects in the center of Athens and Thessaloniki. The MINION and FIX will not only be lively during working hours. The former will revitalize the Omonia area, while FIX will enhance the western gateway to Thessaloniki.

Our vision for the future of cities is human-centered and based on sustainability. Social housing and the increase of housing stock through urban regeneration projects promote the “greening” of the building stock and the reduction of the carbon footprint of our cities. Of course, there are challenges and a need for planning and coordination. Infrastructure is a crucial factor in urban design. The existence of fixed-rail transportation is a condition that can integrate seemingly isolated areas into the urban fabric. Metropolitan Athens could “breathe” by connecting areas such as Agii Anargyri, Menidi, and Zephyri to the metro and suburban rail system. These are areas with both housing stock and space for additional construction. Another significant challenge is the lack of personnel for large technical projects, which complicates the execution of everything we are discussing and limits the potential for production. Additionally, there is a difficult equation to solve: With prices having returned to the levels of 2008, how do you persuade the private sector to shift from commercial properties to social housing? We have an opinion on this. We believe that this can be solved through cooperation between the state and the private sector, and the creation of a reliable and effective framework. The state can define that a percentage of every developer’s activity should be allocated to social housing. This policy, known as “inclusionary zoning,” has been implemented in California and New York and has increased the supply of “affordable” housing, benefiting lower-income groups. However, a detailed dialogue between all stakeholders is needed, with the state listening, filtering, and defining the rules.

Social housing is an issue that will concern us in the coming years as the housing crisis intensifies. It intersects with very important matters and requires analysis and collaboration. There are several positive examples and best practices we can adopt, but there are also counterexamples, such as the past utilization of the Olympic Village. What is certain is that social housing is a useful measure that ensures economic stability, social cohesion, environmental sustainability, and urban resilience. By creating the right framework, working effectively, and planning efficiently, we can turn a major problem into an opportunity for interventions with human-centered, social, economic, and environmental impact. For us, these interventions are part of our vision for the cities we want to live in. Therefore, social and affordable housing cannot leave us indifferent.

Dimitris Andriopoulos