The report consists of five parts, including background and analysis of the functioning of the Austrian model of limited-profit housing and detalization of the structural aspects of housing subsidy system and other its key components; the draft of the proposed Common Good Housing Law; key characteristics of the housing sphere in Ukraine including challenges and war-related needs, as well as detailed assessment of the legal, institutional and economic aspects of the possible  implementation of an Austrian model of common good housing in Ukraine.

  • The Austrian model of common good housing based on the system of limited-profit housing associations (LPHA), which are mostly private entities, is a convincing example of how non-state actors can maintain financially resilient and affordable housing infrastructure through a long-term period.
  • Over the past couple of decades, LPHAs have provided around 1 million housing units, representing 25% of the total housing stock in Austria. The volume of new construction is stable at 15,000 to 20,000 units per year. LPHAs are active in all regions and also in places where there is no market housing supply.
  • The key features of the Austrian model are the cost rent principles, strict regulation of rent, revolving of the surpluses, tied assets, limited business activities, obligation to build housing and strict audit and supervision.
  • Current Ukrainian housing and land management legislation and regulations on the contrary, lack rent regulation, tenant protection, incentives for communal development of affordable rental housing, cooperatives development and alternative forms of tenure and housing provision models.
  • The Austrian model could thus be beneficial for Ukraine in terms of municipal housing development. Chapters 4 and 5 contain an adapted draft of the Common Good Housing Law and analysis of the possibilities of its adoption in Ukraine. Crucial components proposed there are the tax benefits and privileged access to housing subsidies for newly established CGH entities, including privileged access to public land without auction.

Матеріали/
Materials/
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Project report

Housing for the Common Good

Analytical report on the Austrian experience of limited-profit housing companies (LPHA) and the possibility of their implementation in Ukraine, including a draft of the Common Good Housing Law.
Customer
Замовник
IIBW
Team
Команда
Ihor Tyshchenko
Partners
Партнери
IIBW
Дата
Date
February 2024