Circular Transition of Social Housing

Circular transition of social housing: Generating environmental, economic, and social co-benefits by design

The construction and real estate industry is directly and indirectly responsible for approximately 40% of global greenhouse gas emissions. Therefore, it is relevant to consider the industry as a focal point for the necessary transition to a circular economy, as described by the EU Commission through the European Green Deal as a growth strategy and, subsequently in the EU’s Circular Economy Action Plan.

Understanding the circular processes related to buildings and their lifecycle is essential to ensure the successful implementation of the transformation of the Danish construction industry into a circular economy. However, the construction industry still largely adheres to a linear approach.

The research project, “Circular transition of affordable housing – Generating Social, Environmental, and Economic value by Design” examines the contextual prerequisites for necessary systemic change in the industry. Starting with affordable housing, a significant area within Denmark’s construction sector, this initiative charts a course for future endeavors. Affordable housing constitutes 20% of Denmark’s housing and accommodates 1 million residents within a population of 5.8 million. It is noteworthy that housing organizations within affordable housing own and operate properties, which should incentive a transition to the circular economy. The fundamental argument is that transforming operational paradigms within affordable housing can set an example that can be applied to the broader construction sector.

The research comprises four scholarly articles assessing contemporary tools and methods for facilitating the CE transition (Larsen et al., 2022b) and revealing fundamental insights for exploring obstacles and drivers (Larsen et al., 2022a). Systematic studies target architectural consultants, examining their competencies as well as their commitment to societal value-creation and the principles of circular transformation (Larsen et al., 2023a). Additionally, stakeholders in the public sector are engaged through interviews, shedding light on factors that influence and hinder CE adoption (Larsen et al., 2023b).

These multifaceted investigations culminate in a decision framework that integrates the principles of the circular economy into the development of THE affordable housing sector and outlines critical areas requiring structural and contractual adjustments, while leveraging these findings to influence the direction of Denmark’s broader construction sector.