Housing stimulus: Senate adopts bill to accelerate construction and renovation

The Senate adopted, on Wednesday, July 8, in its first reading, the bill aimed at revitalizing and decentralizing housing. This bill, sponsored by the Government, aims to address the housing crisis while accelerating energy-efficient renovations, new housing construction, and the adaptation of the existing housing stock to the effects of climate change. It will now be examined by the National Assembly in the fall.

What the bill entails

✔ Simplify construction procedures

✔ Accelerate energy renovation

✔ Facilitate the conversion of offices into housing

✔ Strengthen the role of mayors

✔ Better adaptation housing in extreme heat

A bill to revive housing and accelerate renovation

Presented as a response to the housing crisis, the bill was adopted by a show of hands despite opposition from the left. According to the government, it marks a new stage in sustainably reviving construction and strengthening the renovation of the existing housing stock.

The text was enriched during the debates in the Senate in order to respond to the urgent need to allow more French people to find housing in satisfactory conditions while accelerating the energy renovation of housing.

According to Vincent Jeanbrun, Minister of Urban Affairs and Housing: “The Senate has just sent a clear message to all French people: the housing recovery is underway. Faced with the worst housing crisis since the post-war period, we are making a deliberate choice: to build more, but also to renovate massively. Because there will be no sustainable housing recovery without a huge effort to renovate our housing stock. This legislation paves the way for hundreds of thousands of additional renovations, supports homeowners who want to renovate, accelerates the renovation of social housing, and finally adapts our homes to the challenges of climate change. I thank the senators for their work and their amendments. Together, we are advancing legislation that has been eagerly awaited by all stakeholders in the housing sector. Our approach remains the same: invest, simplify, renovate, and trust mayors. Our goal is unchanged: to produce two million homes by 2030 and enable every French person to live in decent, affordable housing adapted to the challenges of climate change. The Senate has led the way. I now call on the National Assembly to continue this momentum as soon as Parliament reconvenes.” The French no longer have time to wait.

Energy-inefficient housing: regulated exemptions to keep rental properties available

One of the main measures concerns properties rated F or G on the Energy Performance Certificate (EPC), commonly known as energy sieves. While their rental is to be prohibited from 2028, the legislation provides several exemptions allowing them to be rented in certain situations.

Owners will be able to continue renting their property if they commit to a work program through a contract signed with a company or when renovation is made impossible due to technical or legal constraints, such as a refusal by the condominium association.

According to the Minister of Housing, this measure could make it possible to maintain or bring back onto the rental market 700.000 homes that would otherwise be excluded.

The left, however, denounced the weakening of energy renovation requirements. Socialist Senator Viviane Artigalas argued that "the bill multiplies exemptions allowing a dwelling to remain decent," to the detriment of tenants living in these energy-inefficient homes.

The senators nevertheless adopted an amendment stipulating that work contracts entitling them to these exemptions must be concluded before 2030, in order to encourage owners to quickly undertake renovations.

Adapting housing to heatwaves: enhanced summer comfort

In the midst of a period of intense heat, the Senate also introduced several measures aimed at improving the resilience of buildings to heat waves.

The text notably provides for the integration of the concept of summer comfort among the criteria for a high-performance renovation as well as in the multi-year work plans of co-owned properties.

Furthermore, the opinion of the Architects of the Buildings of France (ABF) regarding the installation of exterior sunshades would become non-binding. This change would also apply in future housing development zones, where exemptions to urban planning regulations could be authorized. This provision has, however, sparked debate, with some senators fearing a weakening of heritage protection.

Tax measures and new powers for mayors

The bill also includes several tax measures designed to encourage the return of rental housing to the market.

The Senate also adopted a measure granting mayors a reasoned veto right in the allocation of social housing. This provision has been strongly criticized by left-wing groups, who fear discriminatory practices in certain municipalities.

A target of two million homes by 2030

Beyond immediate measures, the Government reaffirms its long-term strategy to address the housing crisis. Its objective is to produce two million homes by 2030, while accelerating the energy renovation of existing buildings and adapting them to the consequences of climate change.

The Government will continue the examination of the text in the National Assembly in the same spirit of openness in order to build a majority around a strategy based on four priorities: investing to produce, simplifying to build faster, renovating to prepare the housing of tomorrow and trusting mayors to act as close as possible to the territories.

Illustrative image of the article via Depositphotos.com.