Study on the founding of a housing association

The city of Dreieich with over 40,000 inhabitants is located close to Frankfurt am Main. Since 2012, the number of new residents has increased considerably, which has made the housing situation of the city increasingly difficult. As a result, there was an acute need for additional housing particularly for medium and low income households. Therefore, the city of Dreieich decided to examine the creation of a housing association.



The city of Dreieich commissioned the BÜRO DR. VOGEL GMBH to develop a business plan for the creation of this housing association. Various scenarios and options were to be examined comprehensively. The objectives of the business plan of the housing association were the identification and the strategic assessment of different development scenarios and alternatives. These included the definition of its business fields, their business cases, its legal form and analyses of financing scenarios for social and refugee housing.



First, the BÜRO DR. VOGEL GMBH formulated the relevant issues and main actors within the business plan for the housing association. In this step, target definitions, business fields and target groups were analyzed, as well as housing space requirements, and the project timeline for new housing projects was determined. Other key topics were: the success factors, the sourcing strategy, the organizational structure as well as legal forms, the business model and the time schedule.

The business plan was developed in close collaboration with the officials of the city of Dreieich. Due to the political importance and the necessity of a majority within the city council, the BÜRO DR. VOGEL GMBH was involved at an early state in the political information circles and committees. This enabled a comprehensive and transparent communication on the objectives and tasks of the housing association as well as the opportunities and risks of the various options.

With the presentation of the interim results of the business plan, a new construction of social housing as the housing association’s main focus emerged. On this basis, the BÜRO DR. VOGEL GMBH developed a detailed financing model for the client, the residential building projects. The financial model comprised the investment, financing and long-term operation of the entire social housing project pipeline. It modeled different scenarios for all key participants including different sources for financing and state funding.


Result / Added Value

With the business plan, the BÜRO DR. VOGEL GMBH worked out the key foundations for the important strategic decision to set up a housing association with the objective of building and operating social housing. This enabled the client to make all political and strategic decisions: Which business fields to focus on, which legal form to choose, which implementation path would benefit the inhabitants of Dreieich the most, while simultaneously ensuring long-term financial stability.

The results of the business plan enabled the Mayor to make a well-founded resolution for the city council meeting. On the basis of the recommendations of the BÜRO DR. VOGEL GMBH, the city of Dreieich decided in September 2016 to set up the planned housing association.


Procject Volume

€60 – 80 million