From Principles to Practice DIGITAL

Introduction Regulatory tools Planning approaches Economic models Political instruments Conclusion Innovative practice Gentle urban renewal in Vienna Bogotá’s Care Blocks Ahualulco Land Ownership and Development Programme11 13 18 22 28 30 31 32 38 44Introduction The Davos Baukultur Alliance recognizes that for a place to achieve true quality, it must be intentional in uplifting its community – addressing not only physical design but the systemic challenges of delivering affordability, ensuring equity and supporting social well-being. Today, the urgency of addressing the global housing and cost of living crises is clearer than ever. In 2024, the International Monetary Fund (IMF) found that housing affordability had deteriorated across 40 countries at the fastest rate since the 2008 financial crisis. Furthermore, the World Bank has tracked steady increases in global consumer prices over the past four years, further com- pounding the impacts of rising housing costs globally.1 Compounding these pressures, income inequality has nearly doubled in the last decade, with wealth increas- ingly concentrated among the top 1% in nearly every nation.2 These trends underscore a critical truth: affordability and social equity are not isolated issues but interconnected systemic challenges demanding holistic, cross-sector solutions. The challenge of affordability and social value For a place to be of high quality, it must improve not only the physical environment but enable its commu - nity to thrive socially and economically. It is essential to address the global challenges of affordability, equity and increasing efforts by government and the private sector to create greater social value through land development projects. Social value is defined here as the cumulative benefit of all social impacts generated by the built and natural environment – measured through both financial and non-financial outcomes – for individuals, communi- ties and businesses.3The Alliance’s commitment, approach and vision Globally, many regions are struggling with complex challenges that make addressing affordability and social value difficult, such as rising costs, regulatory complex - ities, capacity shortages, stakeholder management and land availability. These issues not only significantly impact a project’s ability to provide affordability and social value, but its viability and long-term success. The Davos Baukultur Alliance recognizes that cross-sector partnerships are essential to addressing these challenges. To help address these issues, the Alliance has focused on identifying approaches and mechanisms that can support positive long-term social outcomes and enhance a project’s via - bility from the perspective of attracting investment across sectors. In this work, four interconnected impact areas have emerged: regulatory tools, planning approaches, economic models and political instruments. Affordable, high-quality buildings and places that generate meaningful social value for communities embrace principles across the eight criteria outlined in the Davos Baukultur Quality System. These principles ensure that development promotes inclusivity, function- ality, environmental sustainability, economic viability, diversity, context-specificity and a sense of place – cre- ating spaces that contribute to both individual well-being and collective prosperity. Overleaf: Image from Bogotá’s Care Blocks. Llano Fotografia 11