Bausparkasse system in Germany – building societies as a secure source of finance

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Bausparkasse system in Germany – building societies as a secure source of finance

Mismatches
Policies and regulations
Financing
Promotion and production

Main objectives of the project

Building societies, or bausparkassen, play a vital role in housing finance in Germany and Austria, providing a significant share of residential mortgage loans. Bausparen involves fixed, below-market rates on savings and loans, creating a closed circuit to protect customers from market volatility. These institutions are regulated under the German Banking Act and Bausparkassen Act, ensuring trust and attracting long-term savings. Similar institutions are emerging in other countries. German Landesbausparkassen are public banks operating at the sub-national level, focusing on low-interest residential mortgage loans. They utilize closed-contract savings and loan circuits funded by long-term savings and amortization payments. Bauspar loans are complemented by government savings and tax incentives, offering predictable interest rates and supporting home purchase financing.

Date

  • 2013:

Stakeholders

Location

Continent: Europe
Country/Region: Germany

Description

In contrast to their decline in many countries, building societies (german: bausparkassen) have remained important to the housing finance needs of countries such as Germany and Austria, where they provide a very large share of residential mortgage loans. Bausparen (contractual savings) is characterized by fixed, below-market rates on savings and subsequent loans. The closed circuit of savings and loans attempts to insulate customers from financial market volatility and members get stable loans at a predetermined, fixed rate of interest. Special regulation and tight supervision are considered vital to their success. In Germany Bausparkassen are credit institutions and fall under the German Banking Act and the Bausparkassen Act, which defines them as specialized credit institutions. They are closely supervised to build savers’ trust and attract savings over long periods to ensure that they will eventually be able to obtain a loan.[1] Such institutions are also growing in other countries including Croatia, Czechia, Hungary, Slovakia and Kazakhstan.

In Germany, bausparkassen are either privately owned, or publicly owned by federal or provincial governments. German Landesbausparkassen (https://www.lbs.de/) are public savings and loans banks which operate at the sub-national level and focus on low-interest residential mortgage loans. Their system involves closed-contract savings and loan circuits, where loans are funded by long term savings and amortization payments. [2] Bauspar loans are funded by contractual savings schemes, typically of seven years, which can be complemented by government savings and tax incentives. Such loans are long term, have fixed predictable interest rates and typically complement other loans financing home purchase.

Authors:

Checkpoint Charlie Housing

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Checkpoint Charlie Housing

Urban Design

Main objectives of the project

Date

  • 1989: Construction

Stakeholders

  • Architect: OMA ( Office for Metropolitan Architecture )

Location

Continent: Europe
City: Berlin
Country/Region: Berlin, Germany

Description

Housing Rack / Pre-fab House in Berlin

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Housing Rack / Pre-fab House in Berlin

Urban Design

Main objectives of the project

"Wohnregal" is a 6-story structure in Berlin that houses affordable live/work ateliers. It utilizes pre-fab concrete elements commonly found in industrial construction, providing cost and time savings. The ateliers have varied layouts thanks to the absence of interior structural walls, and sliding glass doors on the east and west façades can be opened to create a loggia-like environment. The building promotes a diverse range of lifestyles and addresses the complexity of inhabitation often overlooked in serial construction. With its efficient construction and adaptable design, it offers long-term resilience and potential for repurposing. The absence of mechanical climate control is compensated by natural ventilation, contributing to a comfortable living environment.

Date

  • 2019: Construction

Stakeholders

  • Architect: FAR frohn&rojas

Location

Continent: Europe
City: Berlin
Country/Region: Berlin, Germany

Description

“Wohnregal” houses life/work ateliers. It´s based on pre-cast concrete elements common in industrial construction and bridges two challenges. It applies serial construction to save cost and time. At the same time it counters preconceptions that seriality always implies uniformity of the units thus addressing an ever broadening scope of lifestyles.

The term Wohnregal translates into “habitable rack”. It is a 6-story structure based on pre-fab concrete elements commonly used in industrial construction. The rack houses affordable ateliers which are renegotiating the relationship of live and work environments. There are two units per floor – oriented east and west. An open staircase along the north façade provides access. The ateliers vary greatly between 35 and 110 sqm. Thanks to the principle of the pre-fab rack spanning from façade to façade without interior structural walls they can each have a different plan layout. Sliding doors appropriated as a curtain wall constitute the east and west façades. They allow for the interior to be opened up during the summer, allowing natural ventilation turning the interior spaces into loggias. The building is situated in a corner lot in Berlin Moabit left unbuilt since the war.

“Wohnregal” uses pre-cast concrete elements common in industrial construction. It bridges two contradictory challenges of the Berlin housing market. Pre-fabrication offers cost and time savings thus addressing the rising construction cost. Countering preconceptions that serial construction always implies a standardization of the units themselves, the project offers a wide range of different live/work ateliers for an ever-broadening scope of life styles. The ceilings spanning between the facades without any interior structural support enable this flexibility.

Prefabrication in housing has been a century-long story of optimization, and has had a continuous up and down of promises stated and promises broken. The “Wohnregal” takes into consideration this contradictory history of prefabricated construction. It re-appropriates the DNA of the prefabricated warehouse which has taken the approach of optimization to its absolute limits. While exploiting that very economy it also reinterprets its structural openness to introduce a discourse that has been strangely absent in the focus on prefabrication: the complexity and variety of inhabitation. The industrial construction of the “Wohnregal” consists of pillars, beams and TT-ceilings. The latter span from façade to façade economically. All interior walls are built using drywall construction. The lack of any structural members in the interior allows for different layouts an every floor. The construction is very economical (1500 EUR/sqm) and fast (6 weeks for the assembly of the complete prefab structure).

The curtain wall consisting of sliding glass doors allows for the interior to be opened up to its surroundings during the spring and summer months, turning the living space into a loggia-like environment. There are no means of mechanical climate control in the building, as the natural breeze creates a comfortable climate even during summer days.

The rack structure of the “Wohnregal” offers a great degree of long-term resilience. The interior can be repurposed for different uses in the decades to come. This openness implies a longevity and thus sustainability of the structure. Almost all components of the building have been mechanically connected. In the case of the future disassembly all materials can be separated out and become part of a circular economy.

Authors:

Friedrichstadt Housing Block

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Friedrichstadt Housing Block

Urban Design

Main objectives of the project

Date

  • 1987: Construction

Stakeholders

  • Architect: Aldo Rossi

Location

Continent: Europe
City: Berlin
Country/Region: Berlin, Germany

Description

Authors:

IQ innerstädtische Wohnquartiere

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Europan-Selb

IQ innerstädtische Wohnquartiere

Mismatches
Policies and regulations
Financing
Urban Design
Promotion and production

Main objectives of the project

Date

  • 2016: Construction

Stakeholders

  • Architect: TallerDE2
  • Architect: Gutiérrez-delaFuente

Location

Continent: Europe
City: Selb
Country/Region: Germany

Description

1st Prize Implementation: IQ Experimental Subsidized Housing in Selb (IQ innerstädtische Wohnquartiere) is a state-subsidized program included in an experimental regional initiative from the Bavarian Ministry of Construction to revitalize the central areas of a group of selected cities in Bavaria, Germany. The construction of the IQ Housing Project is the result of the 1st Prize won in the Invited International Competition «IQ Innerstädtische Wohnquartiere».

Urban regeneration: this new input from the regional government of Bavaria fits perfectly and is smoothly integrated in the Europan 9 open-process of urban regeneration for the iiner city of Selb. The IQ Project followa the main principles of the Preventive Urban Acupuncture Therapy started in 2008: it´s focused in the revitalization of the inner city, is an architecture intervention with a strong urban impact (connecting two different levels of the city), and is oriented to young families, completing the Europan 9 demographic-oriented projects for babies, children, teenagers and young people.
Revisiting the everyday life: the residential program is composed of 26 apartments for young families, with parking lots, cellars, and a district heating biomass power plant. The urban layout is an answer to the local climate in order to establish democratic sunlight conditions, giving also, the same cross-ventilation features to all. The sun is the dominant vector in the project. The blocks are artitulated with a type of half-open hallways, with permeable facades, working as thermal regulators and providing the first shared space for the community. The apartments are designed around an outdoor and covered loggia, a green-room which is always oriented to the sun. The housing units are organized with a strip of services and installations, which frees the rest of areas making possible many settings throughout the time.

Authors: