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LPH in Austria – the broader European context

LPH in Austria – the broader European context. Annual Conference of the HSA 2014, University of York Dr. Harald Stoeger University of Linz, Austria harald.stoeger@jku.at. LPH in Austria .

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LPH in Austria – the broader European context

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  1. LPH in Austria – the broader European context Annual Conference of the HSA 2014, University of York Dr. Harald Stoeger University of Linz, Austria harald.stoeger@jku.at

  2. LPH in Austria • Particular tenure, based on the cost-rent provision of “decent” housing by private housing associations/co-operatives. • supplied by almost 190 providers (average of 4000 dwellings) • Position in the wider housing system: accessible to a broad range of income strata. • Historically determined (“path-dependent”), particularly strong role during the reconstruction period

  3. LPH in Austria 2 • LPH providers perceived as critically important for implementing state housing policy. • “implicit bargain”: • exemption from company tax/property tax • privileged access to public finance (mainly low-interest loans) • cost-based rents, obligation to reinvest (limited) profits in new housing/refurbishment, tenure security.

  4. The transformation of LPH • Mergers, slight move towards the privatisation of publicly owned LPH companies • Gradual restructuration of housing finance (more emphasis on equity, private mortgage finance, decline of public funding) • Slight shift towards providing a broad range of complementary (housing related) services • Experimentalism with new types of housing (e.g. service integrated housing, “passive houses”)

  5. The transformation of LPH 2 • introduction of a “right to buy” for LPH as a result of (central) government housing policies; choice-oriented approach • after 10 years for tenants taking equity in their housing; primarily targeted at families in urban areas • Criticised for its limitations, equity viewed as a financial burden • Low significance of resident involvement in issues affecting them.

  6. The transformation of LPH 3 • Principle of cost-based rent regulations • Increasing affordability problems; attempts to increase housing affordability through • Alternatives to historic cost-rent setting (income-related rents?) • Mitigation of construction costs and mobilisation of inexpensive land • Strict limitation of fixed-term tenancy contracts • Reform of eligibility rules: Debate on stricter income criteria determining access to (low-cost segments) of LPH

  7. Critical appraisal • Transformation of LPH is (incremental) “work in progress” over a longer period of time • Based on a series of policy initiatives (since the early 1990s) • Partly shaped by fresh policy ideas (“beliefs” and “policyparadigms”). • Direction of change is not straightforward, no evidence of a clear paradigm shift in the LPH sector

  8. Comparative perspectives • Long-term commitment to public investments (in terms of public loans) in LPH • Maintenance of a high degree of tenure security • Continuance of social and income mixing • Strong financial viability of LPH associations • Rather tight, centrally determined regulatory framework (set up by the federal state level)

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