Financial relocation guarantee for flex homes | News item

News item | 06-12-2022 | 3:00 PM

Trade association Aedes, the Association of Netherlands Municipalities (VNG) and Minister De Jonge for Housing and Spatial Planning have reached agreement on the contours of a financial relocation guarantee for the realization of flex homes. The minister informed the House of Representatives about this on 6 December. This guarantee scheme ensures the relocation of flex homes, and if that is ultimately not possible, financial compensation to cover the investments. 220 million euros has been made available from the national budget for the reassignment guarantee.

Relocation support

Municipalities, corporations and the national government are making every effort to give flex homes a second and possibly a third location. As a rule, flex homes are on average at one location for 10 to 15 years and are then reused at another location. However, this is often not yet recorded or in the picture. Because after those 10-15 years the investment has not been earned back, potential reassignment poses a financial risk for municipalities, corporations or other investors. The relocation guarantee ensures that corporations can continue to invest in flex homes. The guarantee provides for increasing the chance that the flex home will get a second and third location. It must first be explored whether the house can be relocated in the region of the housing corporation. If that is not possible, and if it is not possible in another region or in the province, the central government will arrange for a market manager who will bring together the locations, wishes of municipalities and available flex homes nationwide. Because all parties support this working method, the chance of a successful reassignment is increased.

Share risks

If the house cannot be placed after these steps, a financial compensation will follow. Agreements have been made within the financial reassignment guarantee about the division of this risk between the parties involved. The division is set at 60% State, 25% municipality and 15% deductible for the corporation. This guarantee will be worked out in more detail from a financial and legal point of view in the near future.

Acceleration temporary housing

The shortages in the current housing market are and will remain large for the time being. One of the ways to quickly realize homes is to build and install flex homes. In order to accelerate implementation, the minister has already taken measures in addition to the provision of a financial guarantee. For example, the Temporary Housing Acceleration Taskforce has been set up and € 100 million is available for the Flexible and Transformation Homes Incentive Scheme. 25% of this was allocated on 15 November, the remainder will follow this year. Aedes will soon start a procurement order for at least 8,000 flexible homes. They also plan to repeat this form of joint procurement if it proves effective.

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