Large need of refurbishment of the public housing program

The refurbishment of the public housing program, built in Sweden in the sixties, is one of the greatest societal challenges that Sweden faces in the years ahead. In a new report that NCC are publishing today, we determine that more than half of all apartments from this program, approximately 330,000, are in need of refurbishment. This refurbishment debt is creating social challenges and providing a poor standard of living for the residents.

Today, we also join together with one of our customers, Sveriges Allm?nnytta (Public Housing Sweden) in an opinion editorial in Dagens Nyheter, where we outline the challenges we face and present 10 reforms that are needed to succeed.?

In Denmark, there has long been a system that guarantees long-term maintenance of the rental housing stock and that has ensured future maintenance costs. The Danish system consists of a refurbishment fund that property owners, through fees and payments from rents, pay into to manage and refurbish the existing housing stock. In addition to the renovation of the properties, part of the funds is used for various development projects to increase security in vulnerable areas.

In Sweden, we have not been able to build up a similar fund due to the tax disadvantage, which has reduced the scope for handling future maintenance. We need incentives for rental housing companies to fund funds. The opportunity to introduce rules on funding should be investigated.

Our hope is that our report ”Sustainable refurbishment of the million program” will demonstrate in a simple, clear and tangible way, what the nature of the needs are in various parts of the country, what the largest obstacles are to sustainable refurbishment and how these can be overcome.?