Proposing a separately funded entity for managing student housing
Photo by Jacob Macauley.
In 2019, I experienced a potential answer to the housing crisis facing students in B.C. — all I had to do was cross an ocean.
In the Netherlands, student housing is managed by organizations that are separate from universities. One example of this is the Stichting Sociale Huisvesting or Social Housing Foundation, known as the SSH, and was established in 1956 in Utrecht.
SSH acts as a housing provider responsible for the construction, maintenance, and operation of student housing. This model has proven effective as it is designed specifically to cater to the needs of students, independent of the financial constraints and bureaucratic systems of individual universities.
Now, SSH operates over 19 000 units across several cities including Utrecht, Rotterdam, Zwolle, Tilburg, Groningen, and Maastricht. The housing they provide caters to the diverse needs of students, including a variety of building types and accommodations.
The SSH operates by developing properties that are tailored to the needs of students, including accommodations located on university campuses. Many universities in British Columbia possess substantial land reserves that could be utilized for student housing development. For example, UVic owns large tracts of land and parking lots that could be converted to housing. However, they face limitations on capital borrowing from the government for construction and development purposes, resulting in insufficient housing that fails to meet current demands and will likely fall short of future needs.
Instead of failing to provide adequate and affordable student housing through the current model, I propose we mimic the Netherlands by creating a student-focussed housing provider. B.C. could establish a similar organization to the SSH, the ‘BC Student Housing Corporation,’ as a Crown corporation. It would be linked to universities and relevant agencies, however it would remain separate.
Theoretically, this corporation would possess a more flexible capital structure, enabling it to raise funds and construct housing on university lands, creating affordable student-focussed housing outside of the limitations of traditional university-developed housing. In turn, the corporation would receive lease/rental payments and pay universities for their current unused lands, allowing for a sustainable financial model.
Additionally, this ‘BC Student Housing Corporation’ would accumulate valuable insights into successful housing projects within its network, enabling the redevelopment of existing buildings and informed decision making for future developments. While universities would benefit from improved housing options (which wouldn’t have otherwise existed), the student housing corporation would gain long-term economies of scale, increased housing stock, and continued rental revenues that could be reinvested into future housing projects.
The benefits of such a corporation extend beyond students themselves. I believe the community as a whole would experience reduced rental and housing pressures, as the increased availability of purpose-built student housing would alleviate strain on the local rental market. Furthermore, the corporation’s activities would aid in fostering the development of a skilled labour pool through the involvement of experienced students and tradespeople in construction projects. Lastly, the concentration of students in purpose-built housing would lead to improved environmental sustainability, with higher density and increased efficiencies per household compared to dispersed housing within communities.
The establishment of this hypothetical ‘BC Student Housing Corporation’ could significantly address the pressing issue of affordable and suitable student housing in British Columbia. It would enhance housing options, provide a sustainable financial model, and foster economic, social, and environmental benefits for the province and its communities.
