Off-site Construction as the best solution for the housing crisis

Off-site construction is the best alternative method to build social and affordable homes faster and more cost effectively.

In this current situation where the State is facing a big challenge of building 10,000 social homes in addition to the number of homes each year, this approach is advisable.

The current on-site model of construction demands large labour force and is limited by weather and daylight factors. The cost associated with this approach too is escalating making it simply unsustainable.

This approach incorporates modern and innovative methods. Major part of construction takes place off-site in a factory setting.

Ireland has a proud tradition in the construction field and many of its leading players are recognized internationally for their fast and efficient approach.

Studies have shown that with this modern construction approach homes can be build 60pc faster and reduce the need for on-site labour by more than 70pc.

The off-site construction concept focusses on producing a higher quality home. An off-site system would help maximize our usage of the resources available to us without compromising on building quality.

As per the preliminary research the Ireland is ready to engage on public projects. This approach is also beneficial in creating new businesses and jobs regionally and also to improve the carbon footprint of the industry.

The proposed alternative approach could resolve the current housing crisis in Ireland including a 20pc plus reduction in Vat-exclusive construction costs to below €150,000, a 50pc-plus improvement in the speed of delivery, and a 50pc improvement in planning density from 35 to 52 homes per hectare.

Coupling the savings in the hard costs of building with improvements in the soft and indirect costs such as taxes and levies, in addition to streamlining the public bidding process as well as harmonizing designs and standards, would lead to the delivery of social and affordable, high-quality, energy efficient, three-bed homes for less than €250,000 each.

It is only with lower building costs that the State will be able to deliver the requisite number of social and affordable homes.

To drive this national agenda, home builders will need to be front and center.

This industry cohort is motivated to build efficiently and at scale to ensure their business pipeline remains profitable and sustainable.

Builders are the ideal partners for the State, as the owner of a substantial land-bank, so as to enable cost and time-efficient delivery of new social and affordable homes.

With the support of off-site construction and the builder-led system government will be able to get over this housing crisis and commence a large-scale public-sector house building programme.