2. Affordable Housing
Our definition “Housing for people who do not have access by usual
financial ways to decent housing”
Emerging countries: 4 billion people (“Base of the pyramid”)
Developed countries: 150 million people without decent house conditions
Our objective: build new markets for Lafarge and improve housing
conditions
Part of our Innovation & Transformation Programme
Part of our Sustainability ambitions: improving housing conditions for 2 million
people by 2020
A dedicated team in Paris and local projects embedded within the
marketing teams of Lafarge subsidiaries
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A business and social opportunity
A unique business initiative across the industry
which improved the housing conditions of 300,000 people since 2013
3. 4 types of business initiatives
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MICROFINANCE EARTH&CEMENT
SLUM REHABILITATION MASS AFFORDABLE HOUSING
• Customer issue: Indivual home builder’s access to finance
• Our solution, based on our cement bags retailers network:
Providing access to credits & technical assistance
(catalogues of house designs, bill of quantities, ... )
• Customer issue: looking for durable solution without concrete
• Our solution: Mix of cement and soil to produce non burnt
clay bricks, keeping asthetic and thermal inertia of earth
construction (
• Customer issue: looking for good waterproof solution
• Our solution: Bagged concrete supplied to small
customers in informal settlements
• Customer issue: quality & speed of large scale projects
• Our solution: Lafarge works with developers to improve
quality & speed of construction.
5. Housing Microfinance (1/2)
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A Complete Housing Solution for Individual Home Builders
Access to financing Technical assistance
Access to Retailers Construction solutions
Site visits , plans & budgetsCatalogs
Complete
Housing
Solution
IHBs HotlineTrained masons
Concrete
blocks offer
Modular
houses for
bit-by-bit
construction
Roofing
solutions
Trained & competitive Microfinance Institutions
For home extensions
& renovation
For new homes,
built bit-by-bit
Pick-up of materials
Availability of products
& prices checked
Trained to basic
construction technical
assistance
Tablet App
6. 6
Examples of projects: Indonesia
Housing Microfinance (2/2)
1 2 3
4 5 • n°1: 5k$, house for rent, owner
selling in traditional market
• n°2: 6k$, new house, wife owns a
small shop
• n°3: 2k$, renovation floor, walls and
ceiling, employee
• n°4: 2,5k$, house extension, owner
sells traditional food
• n°5: 4,5k$, New house, employee in a
garage
7. Needs for new solutions
2 billion people live in earth-based
homes
Individual houses are mainly built of mud
brick or burnt clay brick
Environmental issues :
Increasing deforestation due partially to
the use of woof for clay bricks burning
Low resistance to monsoons, requesting
owners to rebuild houses every year
Urgency of finding constructive
solutions in Africa, Asia and LATAM,
providing
durability
comfort
at a reasonable price
Our offer: Stabilized soil bricks
mixing earth, sand and cement
Advantages
Use of local materials ( earth – sand )
On-site and easy fabrication
Standardized form
Durability of the product against shock,
rain and insects.
Pilot started in Malawi in 2013, now being
replicated in 8 countries
Earth & Cement projects
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A construction opportunity in emerging countries
8. Slum rehabilitation projects
Needs in self-built neighborhoods
100 million urban Indians live in self-built
neighborhoods
Many small contractors are building individual,
low rise houses
Key aspects of the demand make ready-mix
concrete an attractice solution
Quality (perceived) and time are highly valued,
accessibility and transport are often challenging
Our pilot in Mumbai
Dedicated mini ready-mix plant located next
to the slum area
Delivery (on rickshaws) of 30 liters bag of
fresh concrete, using special mix design
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Example in India
9. Mass Affordable Housing (1/2)
Situation
Government & developers are looking for new
constructions solutions to
Build faster Social Housing projects
Improve the quality & perception of such
projects (aesthetic, durability)
Lafarge approach
Identification & test of construction systems
to optimize cost, speed, quality and durability
Research Center in France & Construction
Development Labs
Facilate implementation of such projects
Lafarge Construction Specialists in countries
Ready-mix business line
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Addressing the needs for Social Housing in emerging countries
Illustrations
Coffor Integrated structural formwork
10. Mass Affordable Housing (2/2)
Innovative construction system for
multiple storey housing allowing
construction modularity
Project currently developed with a
municipality near Bordeaux, a social
housing promoter and an architect.
Support from Lafarge to the
architect on technical specifications.
Development of such new
construction systems could take the
form an investment in architects
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New social housing in developed economies: e.g. in France
