Since our project can only be financed jointly, it goes without saying that we provide our supporters with insight into the finances and make our financing plans as transparent as possible. In the following you will get an overview of costs and financing (according to the current planning) for the realization of the house project (new building and large old building) as well as the current status of direct loans raised.
If you have any questions regarding the funding, please do contact us! Our email address is firstname.lastname@example.org our phone number is +49 (0)6221-6734812.
The dormitory is planned as a self-managed entity. It is maintained by Collegium Academicum GmbH and comprises the New House and two older buildings (the Old House). The total cost of the new building is around €21 million, that of the old building around €8 million: This includes costs for the building plot, infrastructural development, building construction, technical facilities, outdoor areas, furnishing and ancillary building costs. Costs such as interest incurred during construction and funds available for research are also included in the calculations. Through adjustments and progress in planning, the exact numbers in our calculations are constantly being concretised. In the new building, the construction work is already close to the finish line and also in the old building, we have already placed orders for the majority of the construction work. This gives us a high degree of cost certainty. Here you can find further details regarding the architecture and planning status of our buildings.
There are different sources of funding for our project financing of the new and old buildings: government grants, direct private loans and donations, sponsoring and our own work. In addition to these elements, we receive funding by the German Reconstruction Loan Corporation (KfW).
Grants for the new building
Our project was recognised to be ‘outstanding’ under the “Variowohnen” future investment program by the Federal Ministry for Construction and we obtained a government grant of ca. €2.12 million. An additional grant over €500,000 was approved in the context of the program “Holz Innovativ” (innovation in wood) that is financed by the European Regional Development Fund EFRE and the German State of Baden-Württemberg. Grants over €240,000 by the City of Heidelberg honour the dormitory’s barrier-free design (€50,000 Euro) and the energy efficient passive house construction (€190,000).
Direct loans and donations
The project is realised according to the “Mietshäuser Syndikat” model (apartment house syndicate), which has supported over 170 projects in Germany. In this matter, we work together with project advisors in Freiburg. In this financing model, direct loans constitute an important source of funding. These are subordinated loans made by individuals who would like to support the project or want to be part of it. In the current planning, we need to raise approximately €3.2 million in direct loans and donations. The current status of our efforts is regularly published on our direct loans page.
If you would also like to support us, you can find out more on the following pages:
Approximately €14.57 million of our project is covered by bank financing. For the planned low-energy standard KfW 40 Plus, a KfW-subsidy is implemented together with the UmweltBank. This subsidy is provided in the form of an interest subsidy and an annuity-reducing repayment bonus amounting to 25% of the loan amount. KfW funding is supplemented by house bank loans.
Large old building
As with the new building, a large part of the costs of around €8 million for the old building will be implemented via a bank loan and a grant from KfW. A particularly large amount of money is being invested in the energy-efficient refurbishment of the building in order to achieve the targeted KfW 55 standard.
Our project is very present in the public eye, both as an IBA-project and because of the many special features such as timber construction, use concept and modular space. You can find a publication overview on our press page.
Our own work (“Eigenleistung”)
“Eigenleistung” means that we, as a project group, tackle the work ourselves and carry out craft work and construction work on our own. The entire project is based on taking initiative and working in a team and contributing in construction work is an integral part of the project. Since 2020, therefore, work camps and volunteer activities on the construction site have been regularly on our schedules. Many opportunities for personal contribution of project group members were planned from the outset, but some also arise in the course of construction progress.
Despite its potential, the planning foresees only a very modest amount of own work, in line with a conservative planning approach. In the new building, it currently amounts to about €400,000. This mainly comprises work in the outdoor areas, paintwork, assembling the furniture and constructing sliding walls and partitions. In the old building, we have so far mainly carried out demolition work ourselves. Soon other tasks will follow, such as straw dry construction, furniture manufacturing and paintwork.
In the future, there will continue to be opportunities to reduce construction costs or avoid additional costs through our own contributions.
Refunding of loans
Bank loans and direct loans will be paid off from the moment the first tenants move in, through the income generated by the rents minus running costs for operations and maintenance. The rent including heating costs in the new building will be around €310 per month and person. This rental income will be also used for our large common areas.
Since our project is not profit-oriented and the tenants will be co-owners at the same time, we can guarantee low-cost rents in the long-term. When the first residents move in, we will also start paying a so-called solidarity contribution within the framework of the Mietshäusersyndikat, which will support new house projects as they get started.
Figures at a glance
|Grants||≈ €2.9 million|
|Funding programme “Variowohnen”||€2.193 million|
|Funding programme “Holz Innovativ”||€0.5 million|
|Funding programme “Rationelle Energieverwendung”||≈ €0.19 million|
|Funding programme “Barrierefreie Lebenslaufwohnungen”||€0.05 million|
|Private support||≈ €3.2 million|
|Direct loans||≈ €3.1 million|
|Loans Förderverein||≈ €0.1 million|
|Bank financing||≈ €14.6 million|
|KfW (KfW 40+ subsidised loan) and loan from the Umweltbank||≈ €13.4 million|
|House bank loans||≈ €1.2 million|
|Other||≈ €0.5 million|
|Own work and sponsorship||≈ €0.50 million|
|Total investment sum||≈ €21.2 million|