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EU-backed project converts former Budapest school into social housing

Created at 8 Jul · 12:30 PM1 source↑ Market-relevant
IN SHORT

A pilot project in Budapest is converting a former school into the city's first new social housing in 25 years, supported by EU funding. The initiative aims to address Budapest's worsening housing crisis by creating affordable rental units.

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Key Numbers

€6.2 millionEU-backed project cost
80%EU funding share
25 yearstime since last new social housing in Budapest
35-40%increase in living space compared to former classrooms

Who's Involved

Gergely Karácsony
Mayor of Budapest, highlighting the city's housing crisis
Balázs Humayer
Professional lead of the AHA Budapest project
Tibor Kiszelyi
Project coordinator at the From Street to Home! Association
European Union
Funder of the social housing pilot project
AHA Budapest
Affordable Housing for All project initiative
EU-backed project converts former Budapest school into social housing

↳ Why This Matters

This project signifies a renewed effort to address Budapest's severe housing crisis by creating new social housing after a 25-year gap, demonstrating a model for urban regeneration and affordable housing solutions with EU support.

Key facts

  • A former school building on Baross Street in Budapest is being converted into social housing.
  • The project is the first new social housing development in Budapest in 25 years.
  • The European Union is funding 80% of the €6.2 million project.
  • The initiative is part of the Affordable Housing for All (AHA) Budapest program.
  • The project aims to address Budapest's housing crisis and test sustainable housing models.

A former school building in Budapest is being transformed into the city's first new social housing in a quarter of a century, with significant financial backing from the European Union. The €6.2 million pilot project, located at 39–43 Baross Street in Újpest, is 80% funded by the EU and aims to alleviate Budapest's escalating housing crisis.

Budapest Mayor Gergely Karácsony stated that property prices in the Hungarian capital have seen some of the sharpest increases within the EU in recent years, attributing this to decades of "misguided housing policy measures." The conversion of the school building has allowed for an expansion of living space, with walls pushed out by 35-40% compared to the original classrooms.

The Affordable Housing for All (AHA) Budapest program, co-funded by the European Urban Initiative (EUI), is developing a methodology to assess vacant buildings for conversion, redevelopment, or sale, considering technical, financial, and social factors. The initiative also includes a pilot project called Demo Hub, which showcases affordable housing solutions that integrate energy efficiency and innovative urban development approaches.

Tibor Kiszelyi, project coordinator at the From Street to Home! Association, explained that the allocation of flats will consider factors such as family size and mobility impairments, aiming to support various target groups including single-parent families and young people leaving state care. Mayor Karácsony acknowledged that while the 26 completed rental flats will not single-handedly solve the housing shortage, they demonstrate a collaborative approach between public authorities and professional organizations to address the issue.

Frequently asked questions

The project has a total cost of €6.2 million.

The European Union is funding 80% of the project's cost.

The last new social housing was built in Budapest 25 years ago.

AHA Budapest is an initiative focused on tackling the city's housing shortage by assessing and converting vacant buildings into housing.

What Happens Next

01First tenants are expected to move into the new social housing units early next year.

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Cadence

How It Developed

A former school building in Budapest is being converted into social housing.
The project is supported by the European Union and the city administration.
The €6.2 million project is 80% funded by the EU.
The first tenants are expected to move in early next year.
Budapest Mayor Gergely Karácsony highlighted the city's sharp property price increases.
The project aims to test sustainable and socially viable housing models.
The AHA programme assesses vacant buildings for conversion, redevelopment, or sale.
The Demo Hub showcases affordable housing solutions combining innovation, energy efficiency, and urban development.

Sources

T1
EU-backed project brings social housing back to BudapestEuronews

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