Non-profit Housing in Denmark
We safeguard the interests of the non-profit housing organizations and the one million people who live in non-profit homes in Denmark.
BL is the danish federation of non-profit housing providers
We seek to influence the development of the non-profit housing sector and its role in the welfare society – economically, technically, and socially.
Our political arenas:
¡ Local: In our 11 districts in collaboration with the 98 municipalities in Denmark.
¡ National: In collaboration with the politicians of the Parliament.
¡ International: Through our work in Housing Europe and NBO Housing Nordic.
Non-profits on the Danish housing market
Non-profit affordable housing represents 20 pct. of the Danish housing market and provides homes for approximately 1 million people. The housing organizations are present in all 98 municipalities.
3 main principles
Non-profit affordable housing in Denmark rests on three main principles:
It is not for profit but for people The purpose of the housing organizations is to provide housing for all in need hereof at a reasonable rent. Non-profit implies that the rent covers operation, maintenance and investment costs; that it is impossible to speculate in the real estate; and that no one makes money from renting out the properties.
It is governed by tenant democracy Non-profit housing providers are self-governing and self-organized organizations all governed by tenant democracy. The organization board is constituted by tenant representatives, and the tenants make all the important decisions in their housing department i.e. regarding the budget, house rules, refurbishments etc.
It rests on a stable financial model The stable financial model implies that non-profit housing is financed primarily by regular mortgage loans but with a share of municipal support and state aid through favorable loan options and state guarantee. This enables longer repayment periods. Furthermore, The National Building Fund enables self-financing of necessary refurbishments in the long run. Evt. This contributes to a diversified housing market with decent housing options for all groups with minimum strain on state budgets.
Key welfare player
The non-profit housing organizations ensures access to reasonable and healthy housing for people in Denmark who are not able to access the private housing market. As such they are an important piece of the Danish welfare society.
Furthermore, the housing organizations are municipal partners that play an active role in improving local welfare. Whether it is urban strategy and development, social initiatives and impact investment projects, community building, health care, and cultural initiatives, or energy efficiency and other green solutions. The housing organizations are engaged for the benefit of their tenants and the local community.
Historical highlights
To understand how the non-profit housing sector has become what it is today, a short glance at history is helpful.
The beginning:
The first move away from a housing market operating solely on market terms started in 1853. Copenhagen was densely populated with poor conditions for the working class. An outbreak of cholera inspired "The Medical Association against Coleras Spread" to build Brumleby on Øster Fælled, the first philanthropic housing initiative in Copenhagen. The idea was to construct permanent dwellings for the working class outside the city walls with better sanitary systems, clean air and space.
Later, self-organized workers, trade unions and the workers' co-op, initiated housing associations and companies.
The welfare state
The first law on public support for construction was adopted in 1887; However, several of the earliest associations were quickly dissolved, and speculation in housing and construction resulted in a huge crack in 1908. The political initiatives following this event created the foundation for the social housing model as we know today – with public funding, a strict legislative framework, and revolving funds. But it wasn’t until 1933 that the idea of non-profit affordable housing for the working-class, became statutory. Along with significant social reforms, these initiatives are often seen as the beginning of the Danish welfare state. Following this event, only approved housing associations and companies, whose funds were used solely for housing purposes, could benefit from public support.
The industrialization of Danish construction: The implementation of several state regulations, including the so-called Assembly circular that required housing to be built by prefabricated elements to obtain public support, started the industrialization of Danish construction in the 1960s. This paved the way for the largest building boom in Danish history. Over 800,000 homes were built in the period 1960-1979, out of which approx. 200,000 was non-profit housing. All over Denmark large Le Corbusier inspired housing areas arose. The intention was to give low- and middle-income citizens decent homes with space, access to green areas and life quality.
Living in Non-profit Housing
Non-profit housing is for everyone.
Regardless of your age, whether you are single or married, are studying, busy working 9-5, or you are retired, you are eligible for non-profit housing. Besides providing homes for regular individuals and families the housing organizations also have a special obligation to provide decent homes for groups with special needs. This happens in close collaboration with the municipality and applies, for example, to people with physical disabilities, mental illnesses, refugees and groups with a range of social challenges.
The basics of housing allocation:
The waiting list The majority of tenants obtain their non-profit rental home through the waiting list system. Everyone can sign up and there is no income criteria. At Danmarkbolig.dk you can see all 600.000 homes and find out which are vacant.
Socially conditioned housing allocation:
Every fourth vacant apartment is offered to the municipality who can distribute it to vulnerable families or individuals with unmet housing needs.
Housing types
There are three types of non-profit homes: (fx som dropdown)
Family housing:
In Denmark we have 570,000 non-profit family homes for rent. The variety is broad – apartments, terraced houses and detached houses – and everyone can sign up.
Youth housing:
If you are young and in education or apprenticeship, you are eligible for non-profit youth housing. The rent is considerably low, which is an advantage when you are studying.
In Denmark, we have more than 35,000 non-profit youth housing located all over the country.
The so called start units are reserved for vulnerable youngsters. Here a social caretaker is ascribed to help with practical things in everyday life and to provide the moral support to help stay in education or keep a job.
Housing for the elderly:
If you are challenged by age-related or other disabilities, you may be eligible for an elderly residence.
It is the municipality that assigns the housing based on an assessment of the applicants' abilities and needs. There is no age restriction for the non-profit residences for the elderly, as it depends on the individual assessment.
In Denmark, we have more than 42,000 non-profit housing units specially designed for the needs of the elderly and disabled.
If you want to be considered for a home for the elderly, you should contact your municipality. Read more about housing for the elderly here.
Many organizations also provide housing solutions for seniors who finds quality in moving to a smaller apartment with maybe less chores and obligations and more social life and community.
Social housing and architecture
The Non-profit housing sector in Denmark aim for a high architectural quality. Among our housing departments you will find some of the most valued buildings in Danish architectural history.
In the 3 short films Ann Sofie Augustsen from BL takes you around the country to visits some of the newer housing complexes, that the designing architects are most proud of. Together they go into details to see and talk about the stroke of genius in the building.
BL International
Our international engagement happens through the two umbrella organizations Housing Europe and NBO – Housing Nordic.
Housing Europe
The European network of national and regional associations, along with several partner organizations, advocates for the interests of not-for-profit, public, cooperative, and social housing providers in the EU. The political arena is EU politics and legislation.
The network, founded in 1988, represents approximately 25 million homes, which constitutes 11% of the European housing stock.
Bent Madsen, CEO of BL, is president of Housing Europe (2020 – present)
NBO – Housing Nordic
The Nordic association was established to exchange knowledge and coordinate common interests across the Nordic Region. Its primary political context is the Nordic cooperation under the Nordic Council of Ministers and the EU.
The association, founded in 1950, comprises eight housing and interest organizations from the five Nordic countries: Denmark, Finland, Iceland, Norway, and Sweden. Collectively, the members represent approximately 3 million homes.
Bent Madsen, CEO of BL, is chairman of NBO – Housing Nordic (2016 – present)