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Tackling the housing shortage: Lessons from the Netherlands

REALPAC, Bouwinvest host Canadian industry leaders to explore new perspectives on housing development

Canada is not alone in its struggle to provide housing to its residents. Around the world countries are grappling with housing shortages.

And as Canada looks to solve its own housing shortage, it’s a valuable exercise to look at the different ways this challenge is being tackled by other countries.

Take, for example, The Netherlands where the price of an average home has doubled in the past decade and the government has pledged to build nearly 1 million homes by 2030. Sound familiar? This country that is half the size of southern Ontario has a population of 17.8 million people and is forecasted to grow by one million households by 2040.

Last month, led by REALPAC and hosted by Bouwinvest, a group of Canada’s industry leaders travelled to this European country to learn about the ways it is revolutionizing housing development.

Vertical forests to advance sustainability

The Netherlands has ambitious climate targets. It has pledged to reduce its GHG emissions by 95 per cent by 2050 compared with 1990 levels.

Supporting this objective, the Dutch Green Building Council has set out the Paris Proof sustainability commitment which targets a two-thirds reduction in energy consumption in the building environment upholding the principles of the 2015 Paris Agreement from the UN Climate Change Conference (COP21). To reach these goals, the country is pioneering sustainable initiatives.

During their visit, the group had the opportunity to visit a vertical forest. Stefano Boeri Architetti’s Wonderwoods in Utrecht will be ready for occupancy this summer. Wonderwoods is the first project to near completion in Utrecht's Beurskwartier, an energy-neutral, car-free development next to Utrecht Central Station that will eventually house 4,000 to 5,000 people.

Wonderwoods consists of two towers, 105 and 70 metres (345 and 230 feet) high and will accommodate 167 owner-occupied apartments, 252 rental apartments and 15,000 square metres (161,460 square feet) of office space.

The taller of the two buildings is being developed as a vertical forest. Once done, it will contain 300 trees and 10,000 plants - the same amount of vegetation as one hectare of forest - and will be capable of producing 41 tonnes of oxygen each year while absorbing CO2. In addition to purifying the air, the plants absorb noise pollution and reduce the heat island effect, lowering the temperature of both the exterior and interior of the building.

Wonderwoods has been named best mixed-use project in the Netherlands on behalf of the European Property Awards.

Utrecht isn’t the first Dutch city to develop a vertical forest. The Trudo Vertical Forest predates it, having been built in Eindhoven in 2021. A 19-storey residential tower with 135 trees and 10,000 shrubs and plants, the Trudo Vertical Forest contains 125 affordable apartments all with affordable rents designed to accommodate predominantly low-income users, especially young couples.

Each flat is less than 50 square metres (538 square feet), but living space is extended with a terrace of more than four square meters (43 SF) each containing a natural micro-environment with a tree and 20 bushes on each balcony.

Limited land requires out of the box thinking

In this small nation, a shortage of land requires a fresh look at the way space is being used.  

An example of creative thinking is the Markthal (Market Hall) in Rotterdam. Built in 2014, the Markthal is a residential and office building with a market hall. The large market hall houses 228 apartments, 4,600 square metres (49,514 square feet) of retail space, 1,600 square metres (17,222 square feet) of dining and hospitality, space and an underground four-storey parking garage with a capacity of more than 1,200 cars.

The Markthal was designed by architectural firm MVRDV which is currently working on the Temerty Building at the University of Toronto’s downtown campus. While the exterior of the building is grey natural stone, the inside of the building features an 11,000-square-metre (118,403 square foot) artwork by Arno & Iris Coenen, named Hoorn des Overvloeds (Horn of Plenty).

The Netherlands is located in the convergence of three rivers that flow out to the North Sea. More than a quarter of the country is below sea level. Although the country has dedicated significant resources to keep the water at bay, rising sea levels are something to always be aware of for this low-lying nation.

A solution to rising sea levels is the floating neighbourhood of Schoonschip in Amsterdam. The project is small in size - just over 100 residents live in 46 floating homes - but it’s also designed to be mainly self-sufficient, with minimal impact on nature.

Solar panels and heat pumps provide heating. Wastewater from toilets and showers will in the near future be converted back into energy, and all dwellings have a green roof.

Innovation in design complements what Canadians are concerned about.

Data from the 2023 Canadian Multi-Residential Satisfaction Survey (“CMRS”) shows that about 60% are concerned about the effect of climate change on their buildings and reducing the carbon footprint of their building is important to 80 per cent of residents. Furthermore, despite any incurred inconvenience, 60 per cent would support initiatives that reduce their building’s carbon footprint.

In Rotterdam to the south, Dutch architecture firm Powerhouse Company has used cross-laminated timber to construct a three-storey office building that floats on water. Solar panels on the roof provide the building with its own source of electricity, while the surrounding harbour water is harnessed for a passive heating and cooling system. Powerhouse Company sees the project as an example of how architecture can adapt to the rising sea levels caused by climate change.

On a site of almost 70 acres, Strijp-S (pronounced STRIPE S) is the former Philips factory site. Fenced off to all visitors, it was referred to as ‘the Forbidden City’ until 2000 when redevelopment of the site began. Now Strijp-S houses around 3,000 people in a mixture of social rental housing and higher priced owner-occupied homes. It has attracted hundreds of businesses and has evolved into a creative, design and innovation district of the city of Eindhoven.

The success of Strijp-S can be partly attributed to public-private collaboration of the municipality of Eindhoven, developer SDK and housing corporation.

P3s key to getting housing built

In fact, public-private partnerships have become a key ingredient in solving the country’s housing shortage.

With a market cap of C$586.44 billion, ASML designs and produces the machines that make computer chips. ASML has its headquarters within Eindhoven's tech hub.  The city figures that it will need 20,000 more homes than anticipated by 2040 to accommodate ASML growth.

Earlier this year ASML announced two initiatives that will add 379 affordable homes to the Brainport Eindhoven region. Working closely with the municipalities, the company has partnered with the private sector, agreeing to cover up to $7.25 million of possible losses. By de-risking these projects, they were able to move ahead more quickly.

Parties involved in these housing initiatives attribute creativity, open communication and perseverance to see these projects through.

With the recent flooding in Toronto this summer, watershed considerations are not limited to low-lying countries. Creative solutions to the housing crisis coupled with innovation in design to build housing of tomorrow is required.

A heartfelt thank you to Bouwinvest for opening their properties, communities, and cities to our delegation. It was truly enlightening to participate in this idea exchange and to learn about the innovative and collaborative ways in which you are approaching this common problem - not enough housing. 

 



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