WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 1

“MILD HOME” - SEE/D/0201/2.4/X

Work Package 3 – Investigation about needs and the tendency to purchase and/or build a MILD HOME

act 3.3 – output O.3.3.09

MILD HOME market analysis report at each municipality

1. CONTEXT OF THE MARKET ANALYSIS ...... 2 2. SUMMARY OF SUPPLY AND DEMAND ISSUES ...... 14 3.CONCLUSION on MILD HOME and EGV’s position in the local market...... 26

Date: July 2013 Location: - Partner: CARA Authors: Alessandro Bellentani, Davide Fava, Chiara Pederzini, Ornella Restani

1

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 2

1. CONTEXT OF THE MARKET ANALYSIS

1. The territory

a. Urban Development ••• DIMENSIONAL FRAMING DATA Municipality’s territorial extension 22.61 km 2 Territorial build up area 370.13 hectares Inhabitants 14747 Housing units 6675 The urban development of the Castelnuovo Rangone has been on a bipolar model (Castelnuovo– Montale) characterized by different development of his two settlements. The double urban tissue has many differences in terms of demographic, social and housing types. The main urban area (Castelnuovo) has developed a sufficiently balanced ratio between its production infrastructure, the residential component and services with a comprehensive settlement structure supported by a viability network not yet complete but functional focus on a East-West axis (SP 16) and on the North-South (SP 17) and a wide distribution of services. The urban green areas entering in the down town are served by a network of pedestrian and bike connections. Montale was born as an urban centre in the 1960s to tackle the needs of a high quality housing around city. The urban tissue was developed gravitating on the plug of the Estense road (a north- south basic axis in the Modena province), environmentally ailing and unable to be considered as a places of urban centrality. Regeneration policies refer basically to the assimilating historical recovery plan of the central areas of Montale. The main goal is the restoration of an idea of urban centrality that requires a redefinition of the surrounding areas. The presence of the Archaeological Park representing a strong touristic attraction could be consider an interesting added value. With regard to the issue of social housing was created a Peep in the capital, while in Montale there was the conversion of the Peep area into private residential area because of the need to realize services for the community. Issues not yet resolved by the plan area in the capital in some consolidated fabrics with a predominance of residential features but with isolated episodes of landlocked important industrial activity (salumificio Villani and Cavani area) in addition to smaller craft residual settlements, of which assess the compatibility with the permanence or the opportunity of their relocation, while overlook the needs and prospects of functional and ecological regeneration of the area of the village. In Montale there are residential fabrics of the ' 60 and ' 70 developed on large mesh and with low density buildable in shortage of urbanization and aggregation sites.

2

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 3

••• DEMOGRAPHIC DYNAMICS The municipality of Castelnuovo Rangone is marked by a high proportion of the population under 15 years that will make future replacement rather problematic (it would take very high fertility levels in the future to maintain similar levels of young population in the absence of the persistence of the current immigration generated by the decentralization of sub urban population of Modena), and a low proportion of elderly population, all factors contributing to a pension index. Such a young population (Emilian standards) is the result of a rather lively birth so much that natural balances of the municipality (the difference between births and deaths) are positive now and since the second half of the years ' 90, and at the same time there was a strong recovery of migratory movements which are always more than 200 annual inputs without any hint of abating even during the most intense moments of crisis. Population forecast to 2028 Castelnuovo Rangone will have 16718 inhabitants, with an increase of the 13.4 % during 15 years, and the families will be 6908 with an increase of the 3.4% Updates to march 2013 in a wider area (Unione Terre di Castelli) Castelnuovo Rangone belong to an union of municipality that in the last 5 years has been implemented by 5 municipality to 8. A reconsideration of the demographic forecasts in the Unione Terre di Castelli wider area has been done in light of new evidence from the 2011 census which recorded statistics that showed a resident population in the five municipalities of 70878, 353 less than those registered at registry offices of municipalities to 31 December 2010. The population increase compared to 2005, that data sources estimated at 5756 people (over five years) is then reduced to 5403 people (in less than 6 years). The registry offices have then recorded an overestimation (mainly due to the delay or omission of cancellation of foreign population) around the 20%. The Census adjustment is therefore in line with the precautionary hypotheses taken by demographic forecasts (decreasing net migration with a reduction of 20% compared to "historical" values) of the PSC. The wide-ranging debate that occurred in occasion of social listening on the issue of population growth and the widely expressed concerns about its sustainability has also made explicit the political direction not to exercise, nor to promote through the new PSC (Structural Municipality Plan), any residential attractiveness policies, establishing a critical threshold, a limit population growth that the country is willing to support, to the extent of 1% per annum. This value, compared to the census registered population would be at the 15-year horizon (2028) of a population estimated at 82269 residents against the 85304 in the 2025 analytically estimated, with a further modest reduction of 1.5% on the basis of which is re-aligned the dimensioning of the plan. Active enterprises increased in Castelnuovo Rangone. In agriculture did not occur to decrease of employees consistent with the decrease in the number of companies, but rather the level of employment has remained constant 3

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 4

••• FACILITIES AND BUSINESS For the five municipalities "Unione Terre di Castelli” in the 2011 the range of accommodations for tourists was composed by a total of different 45 exercises offered a total of 950 beds distributed on all municipalities. The lodging establishments were 16 and by themselves offered the most, 705, of beds available and then the offer was completed with 29 facilities (holiday homes, bed and breakfast, etc.) offering the resting 245 beds. Concerning facilities and public green areas, Castelnuovo Rangone has 47 m 2 for each inhabitant, but it must be underlined that these numbers come from an old regional law (n°48/1978), based on municipalities with less then 10000 inhabitants, which demanded 25 m 2/inhabitant against the present 30 m 2/inhabitants. The real estate market: The crisis has resulted in a substantial price drop suffered from almost all types of buildings, more or less pronounced depending on the municipality. and lost the Palm for Municipalities with the most expensive houses, giving it to in Castelnuovo Rangone that showed greater estate residential prices, while still undergoing to a devaluation far from negligible. Significant decreases occurred in housing prices and luxury residences. More than the residential the price collapse affected the commercial building (offices, shops, stores….). Castelnuovo Rangone seems to face a lower reduction of the stores’ price. The policies planned and realized traffic reduction, implementation of the pedestrian areas and valorisation of some public spaces, both in Castelnuovo and Montale seems to overcome the generalized crisis effects.

Inside an analysis of the municipalities “Unione Terre di Castelli”, maps and documents of the present industrial settlements has been done. Industrial activities in these municipalities, especially agricultural and food, mechanical, ceramic and manufacturing, are now based on local business venture.

b. Transport network and viability Castelnuovo Rangone is served by a single public transport, the extra-urban bus line n. 731 from Modena to Vignola, about once an hour. By car, the municipality of Castelnuovo Rangone and the ECG is reachable through two main roads: - SP 16 connects Castelnuovo Rangone with near towns like Spilamberto, and Fiorano, where there are a lot of mechanical, ceramic and manufacturing industries. - SP 17 connects Castelnuovo Rangone with Modena, where viability is more complex and where highways leads both to the North and the South Italy (highways A1, A22). WP3 act 3.3 Investigation about needs and the tendency to purchase and/or build a MILD HOME 3 The railway line doesn’t cross Castelnuovo Rangone ; the nearest railway stations are in Vignola and in Modena, 15 kilometeres far.

4

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 5

c. Economic framework and future trend: Industry (SMEs, manufacturing, services …) , agriculture and tourism The main activities in Castelnuovo Rangone are in the fields of agricultural and food, especially pork meat, mechanical, ceramic and manufacturing. The presence of the Archaeological Park representing a strong touristic attraction could be consider an interesting added value. The service sector is also very active with two post offices, town hall, the banking service, a cinema, two libraries, wide green areas, gyms, two sports centers, an immigrant center, three pharmacies, a blood sample center, a public vegetable garden , a rest home, a parish, two recycling depots, and two graveyards. There are schools from kindergartens to secondary schools; in particular, there are two kindergartens, two nurseries, two primary schools, a secondary school and an international school. High schools and universities are in Modena. The hospital (Sant’Agostino – Estense in Baggiovara) is 8 kilometers far from the town: it is the biggest hospital of Modena with 454 beds

2. Weather conditions

Castelnuovo Rangone is a small town in Emilia Romagna, in the high part of Pianura Padana. Temperatures have big changes from the winter season, rainy and snowy, and the summer season, when temperatures reach often 30°C. The daily data for temperatures and precipitations of the last three years in the area of Castelnuovo Rangone is shown below.

5

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 6

Daily temperatures of the last three years 35

30

25

20

15

T [°C] 2011 2012 10 2013

5

0

-5

-10

160 Monthly precipitations of the last three years

140

120

100

P [mm] 80

60

40

20

0 11 12 12 12 13 13 13 11 11 11 12 12 12 12 13 11 ------ott ott dic-11 dic-12 giu-12 giu-11 lug-11 set lug set giu feb feb feb-11 apr apr apr-13 ago ago-11 gen-11 nov-11 gen-12 nov-12 gen mar mar mar mag mag-12 mag-13

6

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 7

3. Local regulatory requirements for the constructive sector

a. National and local normative framework

ENERGY EFFICIENCY LEGISLATION

National:

EU Directive 2002/91/CE has been transposed into national legislation through the following decrees:

Legislative Decree 19 th August 2005, no. 192 (modified by decree n. 311/06)

President of the Italian Republic Decree (DPR) 2nd April 2009, n. 59 “Methodology for calculation of Energy performances of buildings and installations”

Ministerial Decree (DM) 26 th June 2009 “National guidelines for buildings Energy certification”.

The actual provision is that new buildings should follow the requirements contained in the definition of “energy class A” of buildings (see art. 3 subsection 3 of Ministerial Decree 26/06/2009 “National guidelines for the energy certification of buildings”).

EU Directive 2009/28/CE on the promotion of the use of energy from renewable sources has been transposed into national legislation through Legislative Decree 3 rd March 2011, no. 28

EU Directive 2010/31/CE on the performance of buildings (recast): it amends EU Directive 2002/91/CE: definition of nearly zero energy building.

Law decree (D.L.) 63/2013 (4 th June 2013): transposition of EU Directive 2010/31/CE into national legislation. Waiting for implementation.

Local (regional): Legislative assembly deliberation (DAL) no 156/2008 – Emilia Romagna: local transposition of Legislative Decree 19 th August 2005, no. 192

Modification of DAL n°156/2008 through regional council deliberation (DGR) no 1362/2010 and no 1366/2011 in order to transpose Legislative Decree no 28/2011 into regional legislation

Local (Castelnuovo Rangone ): Rules for energetic and environmental sustainability of buildings (document attached to building local regulatory requirements) – 22 th June 2010

In local requirements (more limiting) the main energetic values to take into account for structures are the following: 7

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 8

- energetic index of performance (EP i) for new buildings:

Limit values for energetic index of performance for new residential buildings Surface/Volume [m -1] EPi [kWh/m 2y] < 0.2 37.1 >0.7 78.3

- thermal trasmittance [U] for new structures: Limit values for thermal trasmittance Kind of structure U [W/ m2K] Opaque vertical structure 0.34 Opaque horizontal structure 0.30 Horizontal floor 0.33 Transparent closures (frames included) 2.2 Glazing 1.7

- periodic thermal trasmittance [YIE] for new structures or opaque vertical structures surface mass (>230 kg/m 2): Limit values for periodic thermal trasmittance Kind of structure YIE [W/m 2K] Opaque vertical structure <0.12 Opaque horizontal or inclined structure <0.20

Other requirements are specific for heating, and cooling systems, air flow, hot water production and use of renewable energy systems.

ANTI - SEISMIC LEGISLATION National:

Ordinance of the President of the Council of Ministers of 20 March 2003, n° 3274 and s.m.i. First elements on general criteria for the seismic classification of the national territory and of technical regulations for construction in seismic areas.

Order of the President of Council of Ministers 3519/2006 General criteria for the identification of seismic zones and for the training and updating of the lists of the same areas.

Decree of the Ministry of Infrastructure and transport, 14 January 2008 (NTC - Cap 07) New technical standards for construction

Circular of the Ministry of Infrastructure and Transport No. 617 of 2 February 2009 Instructions for 'application of the "new technical standards for construction"

8

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 9

Circular of the Ministry of Infrastructure and Transport on August 5, 2009 New technical standards for construction approved by decree of the Ministry of Infrastructure January 14, 2008 - End of the transitional arrangements.

Circular of the Ministry of Infrastructure and Transport of December 11, 2009 Entry into force of the technical standards for construction referred to in the Ministerial Decree of 14 January 2008. Round 5 August 2009 - further explanatory remarks

Local (regional):

Regional law (Emilia Romagna) n°31/2002 about construction in seismic zones

Regional council deliberation (DGR) of 21/03/2003: transposition of Ordinance of the President of the Council of Ministers of 20 March 2003, n° 3274 The region of Emilia Romagna is entirely classified seismic and included in the zone 4, 3 and 2.

Legend

Zone 1: high seismic

Zone 2: middle seismic

Zone 3: low seismic

Zona 4: very low seismic

9

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 10

Local (Castelnuovo Rangone ):

Municipality building rules refer to regional law n°31/2002 for seismic requirements.

The analyzed territorial context is identified by the national and regional legislation as seismic zone 3

ACOUSTIC LEGISLATION

National:

Law n°447 of 26/10/95 is the legislation that establishes the fundamental principles relating to the protection of the external environment and the living environment from noise pollution;

DPCM 14/11/97 "Establishing limits of sound sources";

DPCM 5/12/97 "Determination of passive acoustic requirements of buildings”

Local (regional):

Regional building rules require building materials must verify limit values for acoustic absorption coefficients

Local (Castelnuovo Rangone ):

Rules for protection from indoor and outdoor noise esposition: they refer to Law n°447 of 26/10/95. There are sound emission limits for individual sources: - for events, limits depends on the place, the number of participants and day time; - in building sites, there are limits about day times and a universal limit of emission sound at 70 dB(A); - in other places and for other emissions types, there are specific indications of requirements.

For new construction authorisations and new production activities, designer must verify emission limits against noise pollution.

b. Taxation

For new constructions:

- urbanisation costs;

- cost of construction;

- cost of connection to public networks.

10

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 11

For sales:

- price of property;

- administrative costs for sell;

- registration tax;

- mortgage tax;

- cadastral tax;

- value added tax.

Every year, building owners must pay a tax for the property (IMU) which has different prices depending on building surface and number of owned buildings.

Furthermore, the waste tax (TARES) is calculated on building surface and number of inhabitants.

c. Rules and obligations for the designer – builder

NEW BUILDINGS

Construction authorisation

The owner or his delegate gives the application for construction authorisation to an accountable building office (Sportello Unico per l’edilizia) with authorisation and project documents as required by building rules (RUE).

In the application, the designer states the correct use of building rules, urban instrument requirements, security rules and also sanitary permissions or he attaches approvals where there are.

The authorisation responsible for the municipality can once require integrations within 15 days. In this case the authorisation practice is interrupted until all integration documents have been given up.

By sixty days, the authorisation responsible takes a decision about the practice and writes a document; if he has asked other municipalities opinions, he must receive their judgement throught an official meeting (Conferenza dei Servizi).

If the project need to be modified, the authorisation responsible can meet the owner or his delegate for explanations: at the end of the meeting, the practice will be interrupted until all modified documents have been given up.

11

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 12

By fifteen days from the official meeting (Conferenza dei servizi) or the authorisation responsible’s judgement, the responsible for the building office (Sportello Unico per l’edilizia) allows or denies the construction authorisation. The decision is published by a printed official signature (Albo pretorio).

The indication of construction authorisation is displayed in building sites.

For municipalities of over 100000 inhabitants or for complicated projects (indicated in building rules RUE), the duration of the application is doubled.

After sixty days, the practice is considered allowed.

Municipalities can modify the authorisation practice according to their own building rules.

Phase of construction

The owner or his delegate must state the starting work date and the building site is prepared. Works must finish until three years from the starting work date.

Building compliance and livable certification

The owner, at the end of works, must give up to the accountable building office (Sportello Unico per l’edilizia) the finishing work statement with:

- the application for building compliance certification and livable certification;

- design documents as built;

- static test certification;

By ten days, authorisation responsible can check the truthfullness of all documents or, by thirty days, he can ask for integrations and modifications. The building compliance certification and livable certification must be give up by ninety days from the application. The authorisation responsible must check catastral classification, construction authorisation and compliance about safety, energetic performances, hygiene, accessibility.

12

WP3 act 3.3 investigation about needs and the tendency to purchase and/or build a MILD HOME 13

4. The EGV: the interactio with the urban context

The pilot project site is situated close to the Castelnuovo Rangone city hall, in a residential district. The area is 2700 m2 large: 650 m 2 will be used to build 4 apartment (80 square meters each) The area is close to a public park in a peri urban area (the map is attached ).

As it can be seen in the figure above, EGV is close to the downtown (700 metres from the city hall), the supermarket (200 m), the gym, the pharmacy, day care (200 m), bike lane and public parking. Concerning viability, the area is fully served.

13