Developing Affordable and Energy Efficient Housing in Russia based on Real Estate Total Cost of Ownership Management

  • Sergey Alexandrovich BARONIN Penza State University of Architecture and Construction, Penza
  • Kirill Yuryevich KULAKOV Moscow State University of Civil Engineering, Moscow

Abstract

Building and developing an affordable housing market is a huge challenge for Russia's national economy. Today, the housing construction industry finds itself in a situation torn by a conflict caused by the simultaneous needs to minimize the housing construction costs in order to make housing more affordable for Russians and to increase the energy efficiency of the housing projects, which is associated with additional costs for developers. To find solutions to this contradictory situation, one needs new theoretical and practical approaches and economic tools. The global economic trend of managing goods and services on the basis of the value of goods and services over the life cycle is also manifested in the construction industry in Russia. The problem of forming a new economic thinking in the housing sector predetermines the perception of the value of housing not only as the price of purchased real estate, but as the equivalent of the total cost of ownership of real estate throughout its life cycle. This approach allows compensating the initial rise in the cost of construction resulting from the introduction of energy-efficient technologies by savings in the operational phase of the life cycle of the property. In this regard, management of the total cost of real estate ownership based on energy modeling is of high research and practical relevance.

References

[1] Baronin, S.A., Yankov, A.G., Bizhanov, S.A. 2014. Assessing the cost of real estate lifecycle contracts in Russia`s present-day economy and the characteristics of the European experience. Life Science Journal; 11(8s): 249-253
[2] Baronin, S.A., Yankov, A.G., Lunyakov, M.A. 2015. Managing the total cost of ownership of real estate within life cycles of replacement. Case study: construction of economy-class housing [Electronic resource] // Electronic scientific journal ‘Modern problems of science and education’, 1; Access mode: URL: www.science-education.ru/113-11588 (date of access: 12.07.2015) (in Russian)
[3] Benuzh, A.A. 2014. Environmental and economic model for calculating the cost of construction based on the life cycle of the building and total costs. BST: Construction Machinery Newsletter. 2 (954): 58-59. (in Russian)
[4] Benuzh, A.A. 2013. Environmental and economic model of the life cycle of a building based on the green building concept: Abstract, Candidate of Engineering dissertation. 05.23.19: – Moscow: MGSU, 24 p. (in Russian)
[5] Benuzh, A.A., Podshivalenko, D.M. 2014. Industrial and Civil Construction Estimation of the total life cycle cost of a building, taking into account energy efficiency and environmental safety, 10: 43-46. (in Russian)
[6] Boussabaine, A. 2006. Cost Planning of PFI and PPP Building Projects – Routledge, 336 p.
[7] Brawn, R.J. Introduction to life cycle costing – Prentice-Hall– 1985 – 313 p.
[8] Bull, J.W. 2013. Life Cycle Costing: For the Analysis, Management and Maintenance of Civil Engineering Infrastructure. Whittles Publishing. 240 p.
[9] Dewulf, G., Blanken, A. 2012. Strategic Issues in Public-Private Partnerships. Wiley-Blackwell, 186 p.
[10] Dhillon, B.S. 2009. Life Cycle Costing for Engineers, CRC Press, 224 p.
[11] Fanning, D. 2014. Life Cycle Costing: How to calculate life cycle costs and total ownership Cost. Create Space Independent Publishing Platform, 68 p.
[12] Hendrickson, C.T. 2006. Environmental Life Cycle Assessment of Goods and Services: An Input-Output Approach. Routledge, 274 p.
[13] ISO 15686-5:2008(E) «Buildings and constructed assets. Service-life planning. Part 5: Life-cycle costing»
[14] Kazeikin, V.S. et al. 2012. Expert examination of the total cost of ownership of real estate in the life cycle contracts for energy efficiency management purposes. Construction and Real Estate: Expert Examination and Valuation. Proceedings of the 10th International Conference. OOO EC Akademstroynauka. Prague, Moscow. November 2012. p. 264 – 269 (in Russian)
[15] Kazeikin, V.S., Lunyakov, M.A., Manukhina, L.A. et al. 2014. Management of economy-class housing construction based on the total cost of life cycle contracts: monograph. Penza: PGUAS. 158 p. (in Russian)
[16] Patil, D. 2011. Life Cycle Cost Analysis of building components: L.C.C.A. LAP LAMBERT Academic Publishing. 160 p.
[17] Puil, J., Weele, A. 2013. International Contracting - Contract Management in Complex Construction Projects. World Scientific Publishing Company. 350 p.
[18] SRO Newsletter: Valery Kazeikin: In Russia, there are no professionals capable of preparing an estimate of a life cycle contract [electronic resource] // URL: http://sroportal.ru/news/federal/valerij-kazejkin-v-rossii-net-specialistov-umeyushhix-schitat-kontrakty-zhiznennogo-cikla/ (date of access: 19.01.2015)
[19] The methodology for calculating the life cycle of a residential building including total costs. Russian non-governmental non-profit organization ‘National association of self-regulatory membership-based organizations of contractors providing services related to preparation of project documentation’. Moscow. 2014.72 p. (in Russian)
[20] Whyte, A. 2011. Life-Cycle Cost Analysis of Built Assets: LCCA framework. VDM: Verlag Dr. Müller. 116 p.
Published
2016-12-05
How to Cite
BARONIN, Sergey Alexandrovich; KULAKOV, Kirill Yuryevich. Developing Affordable and Energy Efficient Housing in Russia based on Real Estate Total Cost of Ownership Management. Journal of Advanced Research in Law and Economics, [S.l.], v. 6, n. 2, p. 291-298, dec. 2016. ISSN 2068-696X. Available at: <https://journals.aserspublishing.eu/jarle/article/view/481>. Date accessed: 04 dec. 2024.
Section
Journal of Advanced Research in Law and Economics

Keywords

housing constructions, total cost of ownership, total costs, affordable housing (economy class), energy efficiency, energy modeling, real estate, management