Climate: Ecosystems + Housing
Easy Housing
Easy Housing offers circular and biobased housing in the Global South that is carbon-neutral and climate-resilient and uses sustainably-sourced timber and local value chains.
What is the name of your solution?
Easy Housing
Provide a one-line summary of your solution.
Easy Housing is a circular and carbon sinking housing system based on timber that provides global access to sustainable affordable homes
Film your elevator pitch.
What specific problem are you solving?
Housing Deficit
The global affordable housing deficit is one of the biggest challenges of this century. Rapid urbanisation, population growth and economic development are pushing the demand for new buildings at an unprecedented speed, particularly in emerging economies. Worldwide, 1.6 billion people live in substandard housing and 80 million people are displaced. An estimated 3 billion people will require adequate and affordable housing by 2030. (— SDG Indicators (un.org)) In addition, the Covid pandemic and the physical health consequences of poor quality housing has once more stressed the importance of access to healthy homes, i.e. housing with proper ventilation systems.
Construction Industry
So, there is a huge demand for affordable housing. At the same time, construction of buildings globally causes 10% of CO2 emissions, 30% of solid waste and 50% of resource extraction. This is mainly caused by concrete construction (cement and steel). It has become evident that we have to transition to circular and biobased building methods to address the housing deficit in the coming decades in a sustainable way. This is where Easy Housing comes in. Our building concept is 100% circular and biobased. Through our partnerships with sustainable forestry partners, we ensure that carbon is sequestrated from the atmosphere, and stored in our homes. Each and every element of the home can be repaired, refurbished, repurposed and relocated.
Climate change & resilience
Due to climate change, extreme weather events and climate hazards such as hurricanes, droughts, heat waves and floods will increase in frequency and intensity. Developing and emerging countries, and especially low income households in those countries, are disproportionately affected by climate change. Integrating climate smart building principles in sustainable affordable housing is crucial to provide climate resilience for households. Easy Housing integrates passive house design principles for energy efficiency, and has engineered its building system to be flood and hurricane resilient. Rainwater harvesting and solar systems are integrated by design in Easy Homes.
Deforestation
Deforestation and consequent losses of biodiversity, ecosystem resilience and carbon sinks are a huge threat to our environment and climate. Fortunately, we can use sustainable forest management as a tool to increase forest cover and forest resilience. By using FSC certified timber as a regenerative building resource, we actually increase the demand for sustainably managed forests. This will help to reduce deforestation and biodiversity loss, and provide a carbon sink as timber can capture CO2 through carbon sequestration. This biogenic carbon is consequently stored for centuries in the construction of timber homes. This means building homes that are actually carbon negative! Easy Housing has long-term partnerships with sustainable forestry partners to work together on improving the carbon storage and biodiversity in production forests. The Climate Smart Forest Economy Program selected us as a breakthrough initiative, and we work together with them on maximising our positive climate and biodiversity impact.
What is your solution?
The housing deficit, deforestation, and climate change are strongly interlinked issues that can be tackled in synergy. To solve the housing deficit without negatively impacting the climate and environment, Easy Housing uses circular, biobased and carbon negative building methods. In addition, our homes are resilient to natural disasters to provide protection against climate change. Finally, our homes are affordable for low and middle-income households, which are most affected by climate change. Easy Housing offers a sustainable, affordable, and scalable housing solution. This way, we contribute to reaching a thriving and equitable world with comfortable, safe and healthy homes for everyone.
General
Easy Housing is a circular and climate-smart building technology based on sustainably sourced timber. We focus on emerging economies, providing the building blueprints and materials to our building partners. The concept is scalable and standardised, yet has a flexible design that can be tailored to local requirements. By working together with local stakeholders and using local materials, Easy Housing stimulates the local economy, creates green jobs and facilitates the transition of the building sector towards circular and carbon neutral building.
Affordability
The standardisation and optimization of our building technology keep the production costs low and make it easy to transport and build Easy Homes anywhere in the world. This contributes to making the homes affordable, especially for low and middle-income households. We are currently active in 3 markets: Mozambique, Uganda and Ghana. We have proven that we are able to compete with mainstream, concrete and cement construction. For example, in Uganda we offer studio homes starting from USD 6000 which is cost competitive with traditional alternatives like cement bricks.
Easy Homes create long-term value for the residents as they are completely circular and the materials have a long lifespan when properly maintained. We partner with organisations, specialised in innovating housing finance: In Mozambique, we work together with Empowa (Empowa | RealFi (DeFi) Enabled Affordable Housing in Africa) on developing NFTs, other blockchain solutions and lease-to-own schemes. We also work together with the Climate Smart Forest Economy Program (CSFEP | Climate Smart Forest Economy Program) on developing pathways to carbon monetization of our housing portfolio. In addition to that, we are currently scouting partners in Mozambique, Uganda and Ghana to set up a revolving fund to finance Easy Homes for low income groups.
Circular economy principles
Easy Housing uses circular economy principles, to ensure long-term value creation and minimal environmental impact. The building system consists of standardised segments that can be easily combined or taken apart, as it does not require the use of glue or nails. We only use screws so everything can be decomposed again. This allows for the homes to be easily relocated, repurposed, reused, incrementally expanded or repaired by replacing individual components. As the timber used for the building frames has a lifespan of centuries, it can be reused over and over again. In addition, we eliminate waste during the construction process by working with exact specified lengths of timber.
Sustainable timber & carbon storage
Easy Houses are built solely from certified (FSC/PEFC) timber. This avoids the use of chemicals and ensures that the forestry companies enhance sustainable forestry by contributing to reforestation and the preservation of biological diversity. All timber used is CCA treated. This protects the wooden constructions against termites, mould, and other vermin. In addition, our buildings store carbon in their timber construction, which makes them carbon negative. This way, we reduce 260% of CO2 compared to concrete homes. For an average house of 100 sqm, this means a reduction of 35 tonnes of CO2. We prevent 15 tonnes of CO2 emissions by avoiding the use of cement (concrete bricks) and we store 20 tonnes of CO2 in our timber construction.
Passive house design principles
Easy Housing uses passive design principles to create a cool indoor climate in tropical temperatures. ‘Passive house design’ means using smart design measures to keep out the heat without using energy. This is very important for climate resilience, especially with increasing frequency and intensity of heat waves and the urban heat island effect. Easy Housing uses the following passive house design principles:
A veranda on the sun side of the home to create shadow, reduce solar irradiance on the façade and windows, and to provide a comfortable place to sit outside the house to relax, cook, work, and so on.
Reflective glass in the windows prevents a lot of sunlight from entering the house, keeping it cool inside.
The white roofing has a high albedo, reflecting the sun.
The façade and roof are ventilated, using a hollow space under the walls and roof to passively discard the heat to the top through natural convection.
The sustainably sourced timber construction has a low thermal mass, which means that it cools down much faster than concrete. In the evening, comfortable night temperatures are reached easily before bedtime.
Energy and water efficiency
The roofs of Easy Homes are designed for integration of both solar systems and rainwater collection systems. The window glazing type can be adjusted to the local climate. The insulation thickness of the floor and roof can be adjusted as well to increase insulation values in colder areas.
Together with the passive design principles, these energy efficient details provide a comfortable indoor climate and save costs on energy consumption during lifetime. For example, when you enter our homes in Mozambique, you directly feel the cool indoor temperature even when it's 35 degrees Celsius outside, without using air conditioning! In addition, these cost-effective measures help with both climate change adaptation and mitigation, and the reduced energy demand directly contributes to reduced carbon emissions as well.
Climate Resilient
Easy Homes have a climate resilient design that can withstand floods, hurricanes, heatwaves, and earthquakes. The features offered by this technical design make Easy Houses a very well suited solution for areas that are vulnerable to natural disasters. Easy Housing uses an elevated wooden floor, allowing water to flow beneath the house during floods. In addition, the elevated floors protect the wooden construction against termites, as termites only eat wood that is directly connected to the ground. The height of the elevation can be adjusted to the level of flood-proneness in a particular area, ranging from 35 cm elevation (standard) to up to 80 cm elevation. The foundation of the homes is preferably done by eco-blocks made from upcycled plastic waste. If not available locally, small concrete blocks, timber poles or screw foundations can also do the job. This results in low foundation costs and requires little site preparations. The foundation can be reinforced depending on the soil type, so that it will not erode or sink during flood events. The foundation details can also be recalibrated in height to level out the building in case severe floods cause the foundation points to sink or move slightly. The technical design of the building systems makes Easy Houses resilient against hurricanes up to and including category 4.
Who does your solution serve, and in what ways will the solution impact their lives?
Sustainable Housing Gap Easy Housing envisions a world where everyone has access to safe, sustainable and comfortable housing. The work of Easy Housing is focused on the populations of emerging economies. Housing gaps are a major problem in these economies and cause significant social, economic and environmental problems. Overcrowding, slums, homelessness and casualties as a result of natural hazards damaging poor quality housing are just some of these problems. A significant share of the existing housing stock is unsafe, overcrowded, lacks basic facilities like toilets and bathrooms, has poor or no ventilation, and cracked concrete walls.
“The absolute number of people living in slums or informal settlements grew to over 1 billion, with 80 per cent attributed to three regions: Eastern and South- Eastern Asia (370 million), sub-Saharan Africa (238 million) and Central and Southern Asia (227 million).” (— SDG Indicators (un.org)) These are the people we are targeting.
Why Easy Housing is the solution
The housing gap could be answered with traditional building. However, the problem is that the traditional building sector is not sustainable at all. The construction industry is responsible for 10% of all global CO2 emissions. In addition, these houses are not climate resilient to floods or hurricanes, and their construction causes globally 30% of solid waste and 50% of resource extraction. Hence, solving the housing gap by providing all people in need with adequate housing of concrete and bricks, would have a devastating impact on the environment. Given that emerging economies will be affected the most by climate change, a traditional building solution would thus underserve these populations in the long-run. Easy Houses have the potential to facilitate both the housing deficit and the mitigation of the climate crisis, as it is circular, climate resilient and applies passive house design principles. Therefore, Easy Housing can provide for both the short-term and long-term needs of these people. In addition, the Easy Housing concept helps to improve the overall social-economic well-being of people.
Social Impact
Affordable sustainable housing has a large positive impact on people’s quality of life and the environment, and positively impacts 16 out of the 17 SDGs. Providing access to affordable housing to people who now pay high rents to slum lords or excessive interest rates to lone sharks, directly relates to a household’s ability to provide for their basic needs like food, water, energy and in their ability to save for structural matters like the education of their children. Affordable housing creates more savings as well as new economic opportunities for low and middle-income households and in this way reduces inequality. The circular and affordable nature of Easy Housing allows for new financing models and has the capacity to unlock affordable housing in many markets. We work together with partners specialised in decentralised, blockchain-based financing schemes - such as Empowa (Empowa | RealFi (DeFi) Enabled Affordable Housing in Africa) - to further increase the affordability of our homes.
Living in a safe and comfortable home has a large positive impact on people’s health and wellbeing. The covid pandemic has clearly demonstrated the link between decent housing and health, stressing the importance of having access to a safe and adequate home to protect households from health hazards like pandemics. Besides that, having an affordable home to live in with security of ownership or rental rights, reduces stress and mental health issues. In addition, timber homes are proven to have a positive effect on people’s wellbeing and offer a higher living comfort. For example, wood has a good buffering capacity on the indoor humidity levels which has a positive effect on respiratory tracts. Wood is a natural product and does not contain chemicals that potentially end up in your indoor air. Furthermore, wood as a biobased material feels comfortable to live in and it makes your home easily adjustable to your wishes.
Local economic Impact
We work as much as possible with local labour and materials. This not only reduces costs - which contributes to affordability - but also drives local economic development. Through its partnership model, Easy Housing operates with local building partners and empowers stakeholders and communities in sustainable construction projects with local jobs. In addition, we source all materials locally to further stimulate the local economy. As mentioned, Easy Housing enhances the transition of the local building sector to a scalable and sustainable way of construction. We make sure that in this transition, local partners keep playing their role in the process, enhancing local job creation. Through Easy Housing, these industries can unlock international markets and increase their currently unused potential of sustainable forestry and engineered timber applications. This is an important advantage of Easy Housing over international concepts that import complete solutions or that require skilled labour from outside.
As mentioned before, we work together with our partners on the development of decentralised financing schemes for Easy Homes. This is important as many people in the growing middle classes of emerging countries are underserved in their access to mainstream mortgages. The housing deficit is not only a supply side problem, but also includes bottlenecks at the demand side, such as accessible housing finance. By looking into innovative housing financing instruments, such as carbon offsetting and non-fungible tokens (NFTs), Easy Housing examines the possibilities to provide for the underserved financial needs of people. We are also exploring options for lease-to-own schemes for our Easy Homes, to make them more accessible for lower income groups
Environmental Impact
Climate-smart and carbon-neutral buildings play an important role in reaching the emission targets from the Paris Agreement. The Easy Housing concept has been developed to be as environmentally friendly as possible. As a circular building concept, the materials maintain their value and it does not create any building waste during or after construction. By using certified (FSC/PEFC) timber, we avoid the use of chemicals and stimulate sustainable forestry. In addition, the timber stores CO2 in the construction frames of the houses. This reduces total emissions by 260% - making the houses carbon negative. Furthermore, Easy Houses use passive house design principles to make the homes energy-efficient without requiring much energy for heating and cooling. All these characteristics of Easy Homes minimise their negative impact on the environment.
How are you and your team well-positioned to deliver this solution?
Easy Housing is well-positioned to deliver this solution due to its combination of a diverse and internationally oriented team of experts and its active engagement with local stakeholders and communities right from the start. Together with our local partners we actively address concerns, tailor the concept to cultural values and create awareness on the merits and benefits of biobased construction. We believe in co-creation and standing on each other’s shoulders. Two examples to make this more concrete:
In April and May we’re going to organise Focus Group Discussions, Key Informant Interviews and a social design workshops in Beira (Mozambique) with (potential) residents to further refine and improve our Mozambican housing typologies. We do this in close collaboration with one of our newest team members: Marlene Sahlia, who is Mozambican and joined Easy Housing as a project architect.
In August we intend to organise a co-creation workshop in Arua (Uganda) in which we will work together with refugees living in the West Nile region of Uganda (see our Arua One-pager, also available on the website), UN agencies and Ugandan policy makers on developing a housing typology, which is tailor-made to refugee (re)settlement settings.
We choose this collaborative, co-creative approach to tailor our housing concept to local demands, expectations and possibilities.
The Easy Housing Team
Currently, Easy Housing consists of nine individuals with a wide range of backgrounds and expertise, from engineers and architects to more social science and international development experts. Both our CEO Wolf Bierens and director of emerging markets Niels van den Berge originate from the Netherlands. However, both have a lot of international experience, working and living in emerging economies in both African and Asian countries. Therefore, they are relatively well integrated in these cultures which enhances Easy Housings’ understanding of the problems and needs of people we are trying to serve. In addition, the rest of the team is very internationally based as well, with people coming from Europe, Africa and Asia. Together, the Easy Housing team forms a very diverse and international oriented team that has a broad and open perspective on the cultural context of emerging economies in which Easy Housing is operating. In its future recruitment, Easy Housing will give priority to young and female experts from African and Asian countries. With 5 male and 4 female team members, the team is pretty gender-balanced. We are committed to at least maintain, but preferably even improve this gender balance.
Country Teams
In addition, Easy Housing is busy with establishing country teams, for example in Mozambique. As Easy Housing expands to more markets, national subsidiaries will be established with their own country teams, which will function independently to a large extent. Strong local teams are essential for the success of Easy Housing in new markets. The country teams will consist of experts from those focus countries, which will help us to obtain valuable insights in the social and cultural environment. This is pivotal for the integration of our building concept in specific contexts. To fully understand the needs of the communities we are serving, Easy Housing tries to organise and facilitate as much as possible engagement and participation of local stakeholders, e.g. through organising demonstration visits to our homes, participating in national and regional events on housing and through active presence in the communities where we build homes.
Partnerships
Partnerships are at the very core of Easy Housing - our business model is built upon partnerships. Easy Housing believes that cultural integration is essential to ensure the social sustainability and successful completion of projects. In every new market we work with local partners and stakeholders, such as governments, project developers, contractors and NGOs, to ensure social and cultural integration, sustainability, and affordability of our projects. By working together, we involve the local community in the project, increasing their engagement and enabling us to learn from each other. Local partners can provide us with essential information on relevant stakeholders, norms and customs, which will help us to adapt the building system to the local context. In addition, involving relevant stakeholders increases the legitimacy of our projects, and is thus essential for achieving validation by target users.
In November and December 2021, Easy Housing completed its first international pilot project in Beira, Mozambique, together with its partners Casa Real and Empowa. This project provided valuable insights on the cultural integration, sustainable sourcing and cost-effectiveness of the Easy Housing concept.
Recently, in February 2022, we have finished our first Easy Home for a private client in Arua, Uganda, together with our partners Green Resources and Green Home. This too gave us important insights regarding the cultural integration and technical feasibility of Easy Housing in the context of Uganda. Furthermore, it resulted in private traction. We have been asked by three NGOs to submit quotations for staff and teacher housing in the West Nile Region of Uganda (see our Arua One-pager, also available on the website) , the Dutch Enterprise Agency invited us to submit a grant proposal and the Rotary Club of Arua invited us for their networking meeting. We expect this traction to result in at least one follow-up project of scale in the West Nile Region this year.
These projects show that the Easy Housing building system is technically feasible and suitable for different contexts around the world. In April 2022, we will conduct an in-depth evaluation of our demonstration project in Beira. This will include speaking with all parties involved, such as (potential) residents of the homes, local partners and people of the carpentry team. We will ask for their opinion on the building concept. The feedback will be used to further improve the building system, its adaptation to the local context. Project evaluations with local stakeholders will take place for all future projects in the form of interviews, focus group discussions, key informant interviews and participatory co-creation and prototyping. The in depth evaluation of the projects is most important for the validation of our building system. This to ensure continuous improvement of the social and cultural integration of our building concept.
Which dimension of the Challenge does your solution most closely address?
Enable mass production of inexpensive and low-carbon housing, including changes to design, materials, and construction methods.
Where our solution team is headquartered or located:
Wageningen, NederlandOur solution's stage of development:
GrowthHow many people does your solution currently serve?
40
Why are you applying to Solve?
It is Easy Housing’s mission to make sustainable housing affordable for everyone through our innovative building concept. In order to achieve that, it is imperative for Easy Housing to be part of a large global network. Easy Housing believes that, if we want to significantly reduce the negative environmental impact of the construction industry, we must work together. We want to share our knowledge and ideas with other actors in the building industry, being a thought leader in circular, biobased sustainable housing. Through Solve’s global network, we want to become engaged with other circular (housing) companies, to exchange ideas and knowledge, and help each other with the challenges we are facing in order to accelerate our and their work.
We are thus looking for potential partners with whom we can exchange learning and that can support us in the analysis of our approach towards potential markets, partnerships, and the cultural integration of our innovative building concept.
Market Barriers
1) We want to grow our institutional partners and showcase to them why circular, sustainable timber housing is a great solution for both the housing deficit and the fight against climate change. We’ve experienced that for many national and local institutions and communities in emerging economies it is a large step to get involved in timber building. This is for example due to slow policy movement towards biobased and circular building, or due to cultural concerns about the safety and endurance of timber homes. Solve’s cross-sector impact community can help us with the validation of our impact analysis in order to create more convincing evidence about the social, economic, and environmental impact of our projects.
2) Our housing solution has the potential to scale-up rapidly on a global scale. However, in most countries there are difficulties with the setup of a fully sustainable and local value chain, for example due to the lack of the right amount of sustainable local production capacity. Through Solve we can more easily explore new ways to scale-up and accelerate our work in both new and currently active markets.
3) Easy Housings’ vision on affordability goes beyond being price competitive. It also includes accessible housing finance. A major issue for people in emerging economies is the lack of access to financing systems. Therefore, we also look into innovative housing financing instruments, such as carbon offsetting. It would be great to explore more housing financing instruments through Solve.
We are ready to increase our impact. MIT Solve can help us to take the next steps in our business development and to scale-up the process of our projects.
Seed Funding for Acceleration
Currently, we have a viable business model and we have the leads and cash flow to scale up our regular operations. However, we would welcome additional funding from Solve and its partners to further develop and implement some of our future ambitions to make our concept accessible for additional target groups, such as:
Developing innovative housing financing schemes based on blockchain technologies and carbon monetisation.
Work closely together with communities of refugees and internally displaced people, to tailor our housing typologies to their particular needs.
In which of the following areas do you most need partners or support?
Public Relations (e.g. branding/marketing strategy, social and global media)
Who is the Team Lead for your solution?
Wolf Bierens (CEO)
What makes your solution innovative?
Easy Houses are climate friendly, circular, healthy, biobased, and resilient to natural disasters. Together, these unique selling points give Easy Housing many important advantages compared to traditional building methods. The demand for affordable and climate resilient housing is large and our standardised building concept allows us to provide fast supply to this demand. Fast because our prefab building technology reduced the construction time significantly as compared to mainstream building technologies.
As mentioned, the construction materials of Easy Homes consist almost solely of sustainable timber, making them biobased homes. All elements but screws, the roof cover and foundation are made of timber. This enables Easy Homes to function as carbon sinks that withdraw CO2 from the atmosphere. The building system consists of standardised segments that can be combined into almost any floorplan or typology. All construction elements are attached to each other with screws, which means that the homes can be taken apart and rebuilt at any moment - making the homes 100% circular. In addition, transport and construction of the homes is easy, as all the materials could fit within a shipping container and can be delivered as an ‘IKEA-building package’, including manuals and technical details. This easy and standardised technical design allows for fast scale-up and construction, keeping the construction costs low and the houses affordable. Next to these advantages, the features of the technical design make Easy Homes climate resilient. As explained in Q5, Easy Homes can withstand floods, earthquakes and hurricanes up to and including category 4.
The building concept is designed to have a healthy and comfortable indoor climate. It has been proven that timber buildings have a healthier indoor environment and high comfort level than concrete buildings. As mentioned, the passive house design principles make Easy Homes very well ventilated and resilient to the heat from the sun. The homes are also elevated above the main ground, which makes the homes resilient not only against floods, but also against vermin like termites. Furthermore, the design allows for the houses to be equipped with improved sanitation and to be connected with clean drinking water systems to ensure a good hygiene and health of the inhabitants. In this way, our building concept helps to avoid certain health risks, which is considered to be an advantage over traditional building.
The Easy Housing building system is very flexible, allowing it to tailor projects to the local building requirements, such as cultural aspects, available building materials, and climate conditions. Easy Houses are also flexible concerning typologies and floor plans, enabling us to make Easy Homes ranging from small studios to bigger family homes with multiple bedrooms and up to two floors. This flexibility helps to ensure cultural integration and adaptation to the local context, demands and needs of each project. Furthermore, Easy homes can easily be connected to existing infrastructure, such as sewage and water supply systems. The roofs are also suitable for both solar systems and rainwater collection systems, which can for example be used to flush the toilet.
In addition, this flexibility makes Easy Houses very suitable to combine with new incremental financing possibilities. The Centre for Affordable Housing Finance in Africa has called upon financial institutions and the private sector to make incremental mortgages more available. Easy Housing is an incremental building method, which means that end users are able to build the house in certain phases that correspond with their socio-economic situation. Incremental building fits well in the traditional local building sector and enables people to make use of incremental mortgages that grow along with incomes and family sizes. Thus, our innovative building system does not only allow the housing quality to be very high and climate friendly at the same time, but also enables people to have access to more financing possibilities.
What are your impact goals for the next year and the next five years, and how will you achieve them?
Project and expansion plans for five years
In the coming five years, we aim to become a well-known player in the global, affordable, sustainable housing sector. We will scale up our value chains both vertically (within current focus countries) as well as horizontally (expansion to new countries). This includes reliable sourcing from sustainable (certified) timber forestry partners in these markets. As shared before in this proposal, we partner with the Climate Smart Forest Economy Program to develop environmental, ecological and social safeguards for our value chain, which becomes increasingly important as we scale up.
Our demand-side strategy for the coming five years looks as follows:
We are developing partnerships with international and multilateral organisations, including UNHABITAT, UNHCR, UNOPS, Reall, IKEA Foundation, CAHF, NGOs and the Global Centre on Adaptation. These organisations are expected to become either clients or knowledge partners. Some concrete examples: i) We are currently competing for the World Habitat Awards, which is awarded in conjunction with UN-Habitat ii) three international NGOs in Uganda have requested quotes for staff housing and we are in contact with UNHCR about refugee housing, iii) we are an active member of the Global Center on Adaptations Flood Adaptive Housing Community.
We are developing long-term partnerships with housing developers in our focus markets. Examples include: i) Our existing partnership with Casa Real in Beira, Mozambique and ii) the partnership with African Century in Cabo Delgado, Mozambique, which is about to be kicked-off and which will focus specifically on resettlement homes for internally displaced people.
We work closely together with governments and other policy makers in our focus countries to: i) make them aware of the benefits (e.g. affordability, scalability, sustainability, employment potential) of timber-based housing and ii) incorporate their needs, demands and expectations in our strategy, projects and designs.
As shared earlier, our Easy Homes are already price competitive as compared to mainstream construction from concrete and cement. However, our ambitions reach further. We want to reach the bottom of the pyramid. Therefore, we aim at partnering up with organisations specialised in inclusive finance, to provide access to housing financing schemes. We are currently developing the following pathways: i) NFTs and other blockchain-based technologies with our DeFi housing finance partner Empowa, ii) Carbon monetisation to reduce construction costs for the end users, with our partner CSFEP and iii) a revolving fund for which we are currently scouting partners.
Quantitative five-year milestones:
In the next five years we aim to:
Provide the blueprints and materials for at least 10,000 homes;
Provide housing for 40,000 inhabitants (4 residents per home on average);
Create 25,000 FTE (2,5 FTE per home on average);
Train at least 2,500 workers in circular timber construction;
Have established partnerships with at least 25 building partners in at least 15 countries;
Create a value of at least $10,000,000 in Carbon Credits (based on the current voluntary carbon prices of $28 per tonne of CO2, which are expected to rise in the coming years).
Qualitative five-year milestones:
Able to reach the bottom-of-the pyramid with affordable, sustainable and disaster-resilient homes through a combination of tailor-made typologies and accessible housing finance;
Provide high quality, affordable and circular housing to refugee and IDP (internally displaced people) communities;
Projects in African, Asian and Latin-American countries.
Qualitative two-year milestones:
Scale-up operations in Mozambique and Uganda. Business and partnership development to make this happen are well under way;
Start operations in Ghana. We have a launching customer in Kumasi, the second city in Ghana. We are currently developing the supply chain, and expect to start construction in July or August of this year.
In 2023 we aim at market entry in 3 new countries. We have leads in South-Africa, Kenya, Nigeria, Tanzania, Zimbabwe, Zambia, Somalia, Nigeria, Ethiopia, Cameroon, Malawi, Sierra Leone, Bangladesh, India, Nepal, the Philippines, Indonesia, Colombia, and Jamaica. We are currently exploring which of these leads are most promising. As market entry in one or more Asian countries is a priority, we have expanded our team recently with a colleague from Indonesia (intern) and a colleague from Bangladesh (volunteer).
Social Impact Goals
By reaching scale and thus providing many homes, we want to create a large impact on people’s quality of life (healthy, affordable and resilient homes), the communities they live in (green jobs and economic development), and on their natural environment (increased forest coverage and biodiversity conservation). We want to continue and extend our impact on all SDGs that are mentioned in our theory of change. In addition, with the support of international and local institutions and networks, we aim for timber building to be culturally integrated in local communities and markets. Through our country teams and participatory co-creation approach, using focus group discussions, key informant interviews and participatory prototyping, we work on tailoring our typologies to specific needs, expectations and abilities of our target customers.
Local Economic Impact Goals
We create a significant positive impact in the local economy. In the coming five years we want to have created at least fifteen well functioning local supply chains for sustainable circular timber construction. Through our partnership and thought leadership model, we enhance local economic impact by creating jobs in sustainable construction and by facilitating production and building partners in their local capacity.
In addition, we want to have substantially facilitated the transition of the local building value chain towards sustainable, circular, healthy construction. Construction workers will have healthier working conditions when building with timber, since it is lighter and generates less dust. We provide capacity building for these workers to learn about circular economy and construction.
We will professionalise our capacity building program and building manuals in 2022/2023 so that they can easily be replicated to new partners and markets. Easy Housing will inspire and support construction industries to unlock new markets, transition to circular building technologies, and increase their currently unused potential of sustainable forestry and engineered timber applications.
Furthermore, we envision to develop decentralised financing schemes for our target population, together with our partners. We will catalyse access to housing finance through engagement with policy makers, EDGE Carbon Zero certification and IFC Green Bonds, Empowa and their blockchain finance access, revolving funds, lease-to-own constructions, carbon monetisation and so on. This will have a bifold impact, as we will create more housing finance opportunities for low-and middle income families, and create a huge financial incentive towards biobased building in our operating markets.
Environmental Impact Goals
In the coming five years, we want to accelerate the paradigm shift towards circular and biobased construction in the markets that we operate in. Concrete construction shall become the exception instead of the norm. We want to work with external carbon accreditation companies, like Gold Standard or Verra, in order to monetise our carbon (and ultimately other SDGs too) impact for each home realised. If we manage to secure carbon credits for the emission reductions and carbon storage we generate compared to the concrete baseline, this would boost the affordability of our homes.
The carbon credits and the increasing carbon price on the markets will push down the cost of our concept well below the price of concrete homes, which will catalyse the market adoption of our homes. Through our building partners, we will generate sustainable jobs for thousands of construction workers and foresters. And, above all, in the coming five years we will give at least ten thousand families access to a healthy, comfortable and sustainable home.
How are you measuring your progress toward your impact goals?
Social & Economic Impact Measurement
Easy Housing measures its impact by looking at several factors. Concerning the direct impact on people’s lives, we create and measure local social and economic impact. We keep track of the local jobs we have created by working together with local partners and using local materials. In addition, we keep track of the living environment improvements of the inhabitants of our residents and the consequences of housing on other living factors like work availability or personal development. This includes the measurement of how much more income can be used for food, water, energy and as savings for structural matters like education.
Environmental Impact Measurements
Furthermore, we measure our impact by calculating how much CO2 emissions are economised by using our carbon-sinking housing concept versus traditional building methods with concrete. Also, we facilitate circular impact by making sure that all components of our homes can be incremented, reused, relocated, and rebuilt. We keep track of the tons of material that we have produced that is circular, hence which substantially reduces waste. The less waste we measure, the more impact we have. In addition, we keep track of all companies and organisations that have adopted sustainable and circular practices via our housing concept and encourage them to publish sustainability reports. Furthermore, we keep track of renewable energy (in watts per capita) we have created via the integration of solar systems in the Easy Homes built.
SDGs Impact Measurement
Finally, our innovative building concept impacts 16 out of 17 SDGs (see Theory of Change). We measure our SDG progress over time and report on all SDGs that are integrated or directly benefit from our concept.
Project Evaluations
As mentioned, in march and april 2022 three of our team members will be visiting our finished project in Beira, Mozambique to evaluate the impact of our project. Interviews will be held with all stakeholders that are involved in the project and the feedback will be used to further improve both the technical details as well as the social and cultural integration of our building concept. Furthermore, people’s development on the SDGs as described in our Theory of Change will be measured to see if we truly make the impact we aspire, or how we can improve our concept so that we achieve the long-term impact envisioned.
Impact Reports: University Collaborations
In earlier stages we have worked together with Universities to conduct academic research on our impact. In 2020, a group of master students from the Utrecht University conducted academic research on the potential impact of Easy Housing as an international solution for affordable housing. Using literature and interviews, they looked into the obstacles the sustainable and affordable housing sector faces in emerging economies. They found that currently most suppliers of affordable housing are not concerned about sustainability, and that sustainability is severely limited by various issues, high prices, and lack of funding options. Easy Housing has a high potential to fill these gaps.
In 2021, another group of students from Utrecht University did a research project about Easy Housing, looking into the positive impact that Easy Housing has on the environment, the carbon footprint and the SDGs, compared to traditional buildings. They concluded that Easy Housing positively impacts the climate and housing crises by reducing CO2 emissions, being circular and being climate resilient to floods and earthquakes. However, they also pointed out the importance of understanding the local context. This is something we take very seriously at Easy Housing, and will be at the core of each project that we do.
Currently, we are exploring possibilities to work together with local universities in our focus countries to conduct the same kind of research as described above. This would not only help to increase the validation of our social, local-economic, and environmental impact, but also increase the social involvement of the local community and enhance the cultural integration of timber building for future generations.
What is your theory of change?
Impact
The mission of Easy Housing is to make affordable, circular, climate-smart and healthy homes available for everyone in the world. Therefore, all our activities in the end aim to provide as many timber-based homes as possible. By building timber houses with our innovative, circular and sustainable building concept, our work directly contributes to our mission in several ways. The way in which our activities & outputs produce outcomes and have impact on people's lives can be explained the best by explaining our positive impact based on the SDG goals. We aim to achieve long-term impact on 16 out of the 17 SDGs. This can be divided into primary and secondary long-term impact.
Primary Long-term Impact:
SDG 1 - No poverty
Access to affordable housing is one of the most important drivers in ending poverty. Costs of housing directly affects a family’s ability to provide for their other (basic) needs like food, water, energy and education. The circular and affordable nature of Easy Housing allows for new financing models and has the capacity to unlock affordable housing in many markets.
SDG 2 - Zero hunger
As mentioned under SDG1, creating affordable housing directly relates to a household’s ability to provide for their basic needs like food. Affordable housing creates more savings as well as new economic opportunities for households and reduced inequality. All these factors will contribute directly and indirectly to the eradication of hunger.
SDG 3 - Good health and wellbeing
Living in a safe and comfortable home has a large positive impact on people’s health and wellbeing. The covid pandemic has clearly demonstrated the link between decent housing and health. The security of a home strongly reduces stress and mental risks. Timber homes are proven to have a positive effect on people’s wellbeing and offer a higher living comfort.
SDG 6 - Clean water and sanitation
Waterborne diseases still cause a lot of unnecessary suffering and can be easily overcome with proper sanitation and sewerage. In our building system, it is easy to connect and maintain infrastructure like plumbing and sewerage. In addition, the roof’s rainwater run-off can be collected and stored in rainwater tanks.
SDG 7 - Affordable clean energy
The roofs of Easy Homes are structurally sound and strong enough to carry full surface PV (solar) panel installations. In addition, Easy Homes make use of passive house design principles to ensure that little energy is needed for heating and cooling of the home in the first place.
SDG 9 - Industry, innovation and infrastructure
The timber industry will play an important role in solving the housing crisis in the coming decades. Easy Housing and other timber solutions will push the timber industry towards innovation and scaling up their sustainable production forests. Through Easy Housing, these industries can unlock emerging markets and increase their currently unused potential of sustainable forestry and engineered timber applications.
SDG 11 - Sustainable cities and communities
For cities and neighbourhoods to be truly sustainable and thrive economically and socially, it is very important to have inclusive and mixed city planning. Our building system offers many options for housing typologies, clusters and neighbourhoods, all within its standardised system. This enables local architects and city planners to adopt our system in their designs in order to create sustainable and inclusive communities and vibrant neighbourhoods.
SDG 12 - Responsible consumption and production
Easy Homes are 100% circular and can be reused, repurposed, relocated, rebuilt, incrementally expanded, stored flat-pack and repaired by replacing individual components. Easy Housing aims to be an example for the construction industry to show the advantages of circular building methods.
SDG 13 - Climate action
Easy Homes are carbon negative and thus reduce the amount of emissions in the atmosphere. This will help to reduce global warming and thus climate change. In addition, the homes are resilient to natural hazards, providing climate adaptation benefits.
Secondary Long-term Impact
SDG 4 - Quality education
The link between a safe and affordable home and education is bifold. First, affordable housing enables parents to pay for the education of their children. Second, having a decent dwelling provides the right conditions for children to do homework and study at home. Simple things like a room to study without distraction and proper lighting can make a huge difference.
SDG 5 - Gender equality
Many girls still have lower access to education than boys. When a family has access to sustainable affordable housing, the girls in the household are more likely to get decent education and equal opportunities to develop themselves. Besides that, decent affordable housing also reduces the chance of getting exposed to gender based-violence (GBV) for girls and women, because it creates a safer living environment for them.
SDG 8 - Decent work and economic growth
Adequate access to housing is essential for economic opportunities. Basic things, like access to sanitation and a decent bed, can strongly improve one’s opportunities on the job market. In addition, Easy Housing also ensures local job creation by working with local partners and teams.
SDG 10 - Reduced inequalities
Better access to housing is paramount for elevating people from poverty. It will increase their economic opportunities, protect them against the negative impacts of climate change, and improve their overall health and well-being. The circular concept also allows for new financing models and incremental building options for the poorest people. This can create a lot of value for this demographic.
SDG 15 - Life on land
By using and promoting sustainable timber, the demand for sustainable timber will increase and this will help to reduce deforestation and biodiversity loss. The circular nature of Easy Homes creates long-term value, as the materials can be reused and repurposed. In addition, Easy Housing does not create any building waste during or after construction.
SDG 16 - Peace, justice and strong institutions
Sustainable affordable housing plays an important role in the prosperity of communities on all levels. Access to decent housing reinforces the stability of the social fabric and fosters strength of institutions and their ability to maintain peace and justice. Obviously, this goes two ways and we need strong institutions to realise sufficient sustainable affordable housing and inclusive urban planning.
SDG 17 - Partnerships for the goals
The building industry is a complex web of stakeholders that all have to work together to transition towards sustainable and circular methods. For this reason, the partnership model of Easy Housing is key to its success factor. For an innovative sustainable building system to get embraced, it needs to be embedded in the existing construction ecosystem so that cultural acceptance can be ensured.
Outcomes
Easy Housing achieves its long-term impact goals by setting up the right conditions in the right place, hence our outputs. Together, our outputs make it possible for us to achieve our desired outcomes which in the end result in our main long-term impact. Our main outcomes include:
Increased access to affordable, sustainable housing to a large number of people
Increased carbon sequestration and storage
Increased forest coverage and biodiversity conservation
Increased local economic and labour development
Increased awareness about the benefits of timber construction
Housing industry transitions to circular and biobased technologies
increased labour force skilled in circular construction
Long-term partnerships for circular housing development
Outputs
The tangible products that we create in the coming years and result in our desired outcomes include the following:
10.000 sustainable & affordable homes constructed
40.000 inhabitants provided with homes
25.000 FTE
15 market entries in new countries
15 well-functioning value chains
50 international partnerships with organisations and housing developers
$10.000.000 value created in Carbon Credits
2500 workers trained in circular timber construction
Activities
Our work activities include:
Deliver blueprints for sustainable, circular and affordable Easy Homes
Facilitate training of building capacity
Exploring and establishing new international partnerships with sustainable partners
Create local jobs
Create certification of carbon credits
Facilitate focus group discussions, key informant interviews and social design workshops
Setting-up country teams
Use only sustainable materials
Describe the core technology that powers your solution.
The core technology that powers our solution is the timber-based building technique. This innovative and circular building technique helps to effectively overcome simultaneously the housing deficit, climate change, and deforestation, while facilitating circular and sustainable growth of emerging economies. The building technique is innovative in the following ways:
Proprietary circular building details that allow for prefab construction in emerging economies, incremental building, circular financing and relocation of homes. The latter is particularly relevant for slum upgrading and refugee settings.
Strategic focus on carbon impact quantification of biobased construction with running projects and partnerships (CSFEP) towards carbon monetisation of our carbon storage and substitution impact
Localised supply and value chains with FSC timber and localised labour (through training partners)
Climate resilience through passive house designs, carbon negative footprint, flood and hurricane resilience, solar energy and rain water collection services
Digitalisation of our building concept that facilitates quick designs, automated building drawings, BOQs and technical details.
The building system is a standardised, yet scalable concept. It is developed in a way that homes can be scaled in width (horizontally) and depth (vertically) and it allows for designs up to three storeys high. The technology consists of standardised segments of 16 m2, and the homes can be adjusted in width in steps of 1.22m. The standard depth is 6m (including overhang), which can be increased to up to 12m. We are working with our technical partner Engineers without Borders to explore typologies that can even go higher than that. For urban and semi-urban areas in particular, it is important to be able to build multi-storey homes.
Partition walls can be positioned in any way and windows and doors can be positioned anywhere within the grid of the façade. This way, we offer many potential typologies and building sizes, from studios to large family homes and multi-storey apartments, as long as they are within the grid of the building system. Installations, infrastructure and finishing options can be selected to fit the project needs and can be integrated in our homes just like in any other building method. Our Easy Homes are designed to be equipped with improved sanitation, solar and rainwater harvesting systems. Hence, our homes tackle a combination of key sustainability challenges in one-go.
Easy Homes are standardised and engineered to be safe and comfortable in different climate zones and cultural contexts. Our concept is structurally sound, and the technical details are developed in line with good building physics and have fire safe and acoustically decent technical details.
Resilience to natural disasters like earthquakes, floods and hurricanes, is essential to ensure the safety of buildings. Timber has several qualities that make it resilient to such disasters. For example, timber is much more flexible than other building materials like concrete and steel, enabling it to withstand high loads for short periods of time and retain its elasticity and strength. This is especially important during earthquakes and extremely strong winds. In addition, timber construction frames weigh less than concrete and steel frames, reducing inertial seismic forces. The repetitive framing structures also improve the buildings’ ability to withstand high winds, and it provides multiple load paths for extreme forces. This reduces the chance that the structure will collapse if some connections fail.
Which of the following categories best describes your solution?
A new technology
How do you know that this technology works?
In August 2020, Easy Housing delivered its proof of concept by building its very first Easy Home in Hilversum, the Netherlands. This demonstration project was realized to show the feasibility of affordable, sustainable housing, and also allowed us to successfully develop and test the technical details of our building concept.
In November and December 2021, Easy Housing completed its first international pilot project in Beira, Mozambique, together with its partners Casa Real and Empowa.
Recently, in February 2022, we have finished our first Easy Home for a private client in Arua, Uganda, together with our partners Green Resources and Green Home.
These projects demonstrate that the Easy Housing building system is technically feasible and suitable for different contexts around the world.
Please select the technologies currently used in your solution:
Which of the UN Sustainable Development Goals does your solution address?
What type of organization is your solution team?
For-profit, including B-Corp or similar models
How many people work on your solution team?
4 full-time, 2 part-time, 3 Interns, 1 ambassador
How long have you been working on your solution?
2
What is your approach to incorporating diversity, equity, and inclusivity into your work?
Diversity and inclusion are at the core of Easy Housing’s vision, mission and strategy. We strongly believe that having a diversity of cultural backgrounds, identities and disciplines in our teams is the best guarantee for maximal social, environmental and business impact. After all, the specific needs, beliefs and possibilities in terms of supply chains, vary from context to context. Through our tailor-made and participatory co-creation approach, we adapt our housing typologies to each and every specific niche market. This might even vary per region within a country. A good example is Mozambique. The typologies that we developed with stakeholders in cyclone-prone Beira are different in design than the homes we are currently developing for and with internally displaced people in Cabo Delgado. The same is true for Uganda, where we have tailor-made typologies for private clients in semi-urban areas and for refugees and host communities in the West Nile region of the country (see our Arua One-Pager, also available on the website).
Easy Housing was established to make the global housing market more inclusive, focusing on emerging markets in the southern hemisphere. Founder Wolf Bierens had already successfully set up and grown scale-up Sustainer Homes in the Netherlands. He founded Easy Housing to contribute to providing people in the Global South with access to affordable and sustainable housing.
The Easy Housing core team currently consists of 9 individuals, all with different international backgrounds and expertise. When recruiting individuals, Easy Housing pays particular attention to cultural diversity and gender balance. Regarding cultural backgrounds, our team consists of experts from Europe, Africa and Asia. Europe is currently overrepresented in the team, as Easy Housing is based in Europe, but this is rapidly changing. Our 3 newest members from the team come from Mozambique, Indonesia and Bangladesh. We are currently in the process of recruiting new team members from Mozambique and Uganda. The team consists of 5 men and 4 women, thus having a rather equal gender balance. As our team expands in the future, we will make efforts to at least keep and preferably improve this balance. When contracting people for our projects, we proactively search for female labourers.
Our project teams consist almost solely of labourers and other experts from the communities and markets we work in. Through our inclusive partnership model we put particular emphasis on involving disadvantaged groups. Concrete examples include our close collaboration with: i) Young Africa in Mozambique, who provides vocation skills training to unemployed young people and ii) the St. Joseph College Carpentry in Arua (Uganda) that provides vocational skills training and labour to young people in the region.
We strive to actively involve and empower each team member equally in our projects. We do this to create an inclusive and diverse workplace where everybody feels safe and welcome. We have an agile working environment with little hierarchy in which all team members are stimulated to work proactively, taking ownership over their own tasks and responsibilities, while involving other colleagues where needed. Our work is largely remote, as we all live and work in different countries. We meet every morning virtually to kick-off the working day together as a team. In these ‘dailies’ we discuss the plans for the day, but also check in on how everybody is doing. Furthermore, every week on Tuesday, we have an extended meeting where we share our progress in the past week, plans for that week and any challenges we might encounter. This way, each of the team members is not only involved in their own work, but also in that of their colleagues. . Whenever we happen to be in the same country, we make sure to spend as much time as possible together. .
In addition to the core and project teams, we have a third team: the Easy Housing Ambassadors. This is a group of Easy Housing enthusiasts with either a professional background or strong affinity with sustainable, affordable housing. They provide us with solicited and unsolicited feedback on our strategy, and with expertise on specific markets. Every first Tuesday of the month, we have a monthly meeting in which the core team and ambassadors discuss key developments, trends and opportunities that are relevant for Easy Housing.
By creating an inclusive and diverse workspace with respect for different perspectives, potentials and unique needs of every individual team member, Easy Housing aims at offering people a safe work environment where everybody feels equally involved, appreciated and supported. We believe that this results in a variety of benefits for both our team members and the company. For example, an inclusive and diverse workplace creates deeper trust and more commitment from our employees. This creates a workspace where everyone feels safe and free to share and discuss ideas or other possible contributions which enhances both the innovative product and the business development of our company.
Next to that we believe that an inclusive work environment will help us to attract and maintain a diverse team of talented people. We are currently also developing a partnership with the Young Expert Programme - funded by the Dutch Ministry of Foreign Affairs - to offer our young experts in Mozambique, Uganda (to be recruited) and the Netherlands training, coaching and networking opportunities.
We believe that we can reach further if we stand on each other’s shoulders.
What is your business model?
Revenue model
Our primary business model has several core activities that generate revenue. We sell building blueprints, building materials and capacity building support for circular timber construction to our building partners. These building partners (such as our private partner African Century and social housing partner Casa Real) are our prime customers. The exceptions to this rule are launching customers in new markets. These business-to-consumer (B2C) clients enable us to develop a supply chain, typologies and a proof of concept in new markets. Hence, entry into new markets goes in 2 steps: 1) establish operations through demo projects for launching customers and 2) scale up through partnerships with building partners.
In addition to this, we aim at monetizing our carbon impact (and eventually also our impact on other SDGs) through carbon offsets and NFTs.
So our business model consists of the following components:
The building blueprints are sold in a licence fee model and are the most scalable aspect of our business model.
To support the local supply chain for building partners, we also offer the sourcing and procurement of the sustainable timber building packages for projects. We do this to ensure the quality and sustainability of the used timber and to accommodate building partners with convenient delivery of the required construction materials.
Design fees for making new concept designs and technical drawings
The capacity building or training of building partners is provided to ensure that new building partners learn how to build in our system.
Carbon credits for carbon stored in the homes and through substitution of concrete.
The licence fees and carbon credits provide income for Easy Housing Global. The timber building packages and capacity development provide income for the local Easy Housing subsidiary. To explain our business model a bit more, here is an example:
Our building partner wants to build 10 starter homes of 33sqm.
- The licence fee is USD 550,00 per home. In total, the project licence fee will be USD 5,500. This will go to EH Global.
The local Easy Housing subsidiary sources and delivers FSC certified timber. For each home, this creates USD 5,500 of revenue, of which USD 900,00 is margin. In total, this will generate: USD 55,000 revenue for the subsidiary of which USD 9,000 margin (15%).
12 tonnes CO2 reduction credits for EH Global valuing 350 USD per home, hence 3,500 USD carbon monetization for 10 homes.
Licence fee
The amount for the licence fee is determined by the type and scale of the project. Typically, we aim for a licence fee of USD 550 to 1100 per home. This is around 5% of the total building cost. The licence fee covers the building blueprints, including the technical drawings, construction details, building instructions, bill of quantities and relevant engineering documents. This is a common percentage for the construction design and these drawings that are typically part of it. In addition, Easy Housing develops the building concept and engineering around it, and finances the concept development through these licence fees.
We establish partnerships with building partners like contractors and sign MOUs with them to guarantee that they will not copy our concept without paying us the licence fee.
Partnership model
As mentioned, partnerships are at the core of our business model. Easy Housing works together with local stakeholders like governments, project developers, contractors, community leaders and NGOs to realise sustainable and affordable housing projects. The building system of Easy Housing facilitates the local building sector to switch to a scalable and sustainable way of building, while enabling local partners to keep playing their role in the process and ensuring local jobs.
In MOUs (memorandums of understanding) with our partners, we ensure that the IP of Easy Housing is legally protected and the partners are bound to pay the licence fees. In addition, Easy Housing holds the legal claim to the carbon storage and offset credits, which is secured through these MOUs.
Carbon credits
We supply the timber building packages through our subsidiaries in the local markets. This way, we ensure the quality and sustainability of the used timber, and we know the exact amounts that are ordered and stored in our partners’ projects. We sign agreements with both the building partners and the forestry partners that Easy Housing is the company that holds the claim to the carbon credits for the construction stored carbon and for the carbon offset credits compared to the concrete brick baseline.
We are developing this carbon credit certification over the course of 2022 and have this strongly embedded in our company vision. For example, the current voluntary carbon markets range around USD 30 per tonne of CO2. For an average 100 sqm home of Easy Housing, that reduces 35 tonnes of CO2. This means a carbon monetisation potential of USD 1050, which already is around 5% of the total cost of this house (USD 17,500) in markets like Uganda and Mozambique! This can create a huge financial incentive towards biobased building in these markets.
In addition to the carbon credit certification, we are also exploring the potential of monetizing our impacts on other SDGs through e.g. NFTs, but it will take time to make this reality.
Do you primarily provide products or services directly to individuals, to other organizations, or to the government?
Organizations (B2B)What is your plan for becoming financially sustainable?
Easy Housing is growing rapidly. We started in 2019 with an idea and a few volunteers. Today, we completed 3 projects in 3 countries, and we have a team of 9 dedicated professionals. Up to now we have funded our operations by a combination of personal investments, seed funding from launching customers and grants. In Q4 2021, we received a subsidy from the Netherlands Enterprise Agency (RVO) of EUR 33.000. The RVO also invited us to submit proposals for 2 projects of EUR 50.000 each.
In the long run, our business model has four core activities. 1) We sell the building blueprints of our homes through a licence fee model. This is our main source of income, usually USD 550-1100 per home. 2) We offer the sourcing and procurement of the sustainable timber building packages for projects. 3) We provide capacity building support on circular construction to building partners. 4) We are working on the certification of carbon credits. This can provide major sources of income in the future.
Easy Housing believes in entrepreneurial sustainability: we use grants and private investments for R&D and to enter new markets, but it is our ultimate target to be an own-income driven company. However, we also want to state here that we are a for impact company. Profit is a means to an end (survival and growth of the organisation), not a goal in itself.
For 2022 we anticipate a revenue from projects of around USD 250.000 - 300.000 and additional funding of USD 350.000. We aim to realise around 25 homes in 2022 and expect to hit break even in 2023/2024.
Based on our completed projects and market research we know the following:
Entering a new market costs around 55,000 USD per market. We cover these costs with grants and revenues from launching customers;
Easy Housing has a margin of at least 1,800 USD per home (conservative estimates: 550 USD licence fee; 900 USD margin on building materials; 350 USD carbon monetization);
This means the break-even point is reached when we manage to sell 28 homes.
As mentioned earlier, the market potential for affordable, sustainable, scalable housing is huge. An estimated 3 billion people will require adequate and affordable housing by 2030. (— SDG Indicators (un.org)).
We conducted market studies for our current focus markets. Hereafter, 2 examples: 1) the market potential for staff and refugee (re)settlement housing in the West Nile region of Uganda and 2) the Ghanaian market.
Staff and refugee (re)settlement housing in Uganda
Based on current business traction, we expect to sell 100 homes in 2022, which will steadily grow towards 1,000 in 2026 for Uganda alone, which is a conservative estimate.
Assuming a revenue margin of USD 1,800 per home, the cash flows would look as follows:
2022: 100 homes X $1,800 = $180,000
2023: 200 homes X $1,800 = $360,000
2024: 300 homes X $1,800 = $540,000
2025: 600 homes X $1,800 = $1,080,000
2026: 1,000 homes X $1,800 = $1,800,000
beyond 2026: hard to put an exact number here, but with a total refugee population of 1.4 million people, the potential is immense.
Furthermore, we aim at tapping into the global market for resettlement housing with the value propositions which we are developing in the West Nile region of Uganda. UNHCR estimates the number of forcibly displaced people worldwide at 84 million people. This number will (unfortunately) only grow as a result of climate change and geopolitical tensions (e.g. Ukraine refugee crisis).
Ghana
In 2020, the housing deficit in Ghana was about 2 million homes (CAHF Yearbook, 2021).
According to the Ghanaian government, 170,000 to 200,000 homes have to be built annually to close the housing gap. If only 10% of those homes were to be built from timber - which given the international trends is a conservative estimate - that would mean a potential market for Easy Housing of 17,000 - 20,000 homes annually.
Assuming we could capitalise on 10% of that potential - which again is a conservative estimate given that to the best of our knowledge we currently do not have competitors in scalable timber housing at the Ghanaian market - this would equal 1,700 - 2,000 homes a year.
Assuming a margin of USD 1,800 per home, the potential cash flows look as follows:
Year 1: 100 homes X $1,800 = $ 180,000 (Market entry and prepare for scale up)
Year 2: 1,700 homes X $1,800 = $ 3,060,000
Year 3: 2,000 homes X $1,800 = $ 3,600,000
Year 4: 2,000 homes X $1,800 = $ 3,600,000
Year 5: 2,000 homes X $1,800 = $ 3,600,000
Solution Team
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Wolf Bierens Founder, Easy Housing
- MH
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Our Organization
Easy Housing Concepts B.V.