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Real Estate News Costs, sustainability and speed in housing construction: what material could be key to reducing the housing shortage? - Infobae

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Costs, sustainability and speed in housing construction: what material could be key to reducing the housing shortage? - Infobae
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January 04, 2024


Today, it is used to build new houses and buildings and to reinforce existing structures. It provides fast, sustainable and accessible solutions. And industrial models also use it.



By Jose Luis Cieri





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The steel frame is one of the most widely used construction systems with steel as the main element (Illustrative Image Infobae)

In a context where the housing deficit in Argentina affects 3.5 million households , according to data from the Argentine Chamber of Construction (Camarco) , industrialized construction emerges as a key alternative to address this problem.



This method, which uses materials such as high-strength steel, promises to significantly reduce construction times and optimize costs, as presented at the recent Industrialized Construction, Resource and Energy Efficiency Conference organized by the Secretariat of Industry and Commerce .

According to Rodrigo Aybar , Secretary of Territorial Development, Habitat and Housing, the housing deficit is not only reflected in the lack of housing, but also in the precariousness of existing housing, since 65% of affected households lack adequate infrastructure or essential basic services.



Aybar stressed that modernisation, through the adoption of industrialised systems, is essential to closing this gap. This approach includes construction in controlled plants and the subsequent assembly of the homes on site, which allows construction times to be reduced by up to 50% compared to traditional methods.

To address the housing shortage, the Government is betting on the return of mortgage lending as a key tool to reduce it in the long term.





The Government stressed that access to mortgage credit is essential for any housing policy, accompanied by private investment and industrialized construction.


The official also stressed the need to modernize the sector through industrialized construction, which involves manufacturing homes in controlled plants and assembling them on site.

Aybar defended Decree 1017/2024 , which allows the purchase of properties in a short period of time, as a key tool to promote mortgage loans for new homes.

Role of steel in industrialized construction

This input is positioned as a fundamental material in this construction model. According to Carlos Vaccaro , Executive Director of the Argentine Chamber of Steel (CAA) , its use not only guarantees lighter and more resistant structures, but also contributes to environmental sustainability.

“Incorporating scrap into steel production reduces carbon dioxide emissions by 1.5 tonnes for every tonne of scrap used, as well as saving 1.4 tonnes of iron ore and 13 gigajoules (a gigajoule is a unit of measurement for electrical energy consumption ). This approach is an efficient and cost-effective response from an environmental point of view,” explained the CAA executive.

Most used systems

The Steel Frame system , one of the most widely used technologies in industrialized construction, stands out for its precision, durability and speed.





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Assembly of a Tiny House combining panels and steel (Photo Courtesy: Sicla)

According to architect Sergio Topor , director of STyAS studio, this method allows a house to be completed in half the time required for traditional construction. “In Argentina, the manufacturing process for a Steel Frame house can take between 30 and 60 days, while assembly and final adjustments do not exceed a week.”

Topor also noted that this system is ideal for social housing projects, as it allows for mass production at competitive costs.

On the other hand, steel and cement play a key role in industrialized construction due to their complementary properties. Steel stands out for its strength and durability, allowing for lighter and more solid structures. Its use in structural frames and reinforcement elements provides stability and load capacity, while its malleability makes it an ideal input for developing prefabricated components.





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Construction deadlines are streamlined with the steel frame (Photo Courtesy: IDERO)

Vaccaro explained that, although cement is important in the process, “steel provides unique advantages to guarantee the solidity and longevity of the constructions. Both materials, he pointed out, are essential to achieve efficiency, safety and sustainability in industrialized housing.”

Prices and financing, keys

The cost of industrialized housing, according to Topor, is comparable to that of traditional construction when similar features, finishes and services are considered.

The main financial advantage lies in the speed of the process, which reduces investment times and allows for more efficient planning. “In the case of simple Steel Frame homes , such as those destined for projects in Vaca Muerta , the production cost is between USD 750 and USD 850 per square meter, while the sale price can reach between USD 1,000 and USD 1,200 per m2,” explained Topor.





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Construction near Vaca Muerta, in the province of Neuquén, the entire structure is made of steel

The values were obtained from data provided by IDERO and SICLA , who build with this material.

Access to mortgage credit also plays a crucial role in promoting this construction model. According to data from the College of Notaries of the City of Buenos Aires , in November mortgage loans represented 15% of the deeds executed. Currently, 25 banks offer financing that covers up to 75% of the value of the property, provided that the initial payment does not exceed 25% of family income. This panorama, combined with the possibility of acquiring properties under construction, could significantly boost the sector, according to estimates by the Chamber of Urban Developers (CEDU).

Challenges and opportunities for construction

Despite its advantages, industrialized construction faces significant challenges in Argentina.





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It is likely that in the near future more buildings will be built with steel as the backbone of the structure.

According to Topor, one of the main obstacles is the lack of scale and standardisation in production, which limits cost reduction. He also mentioned the need to have prototype projects for social housing that are pre-approved in all municipalities, since bureaucratic procedures can take up to 12 months, while the assembly of a home requires only one week.

Another aspect highlighted by experts is the importance of promoting a culture of modernisation in the construction sector.

New industrialized construction models significantly improve execution times. Recent estimates indicate that steel structures can reduce construction times by up to 60%.

The lighter weight of masonry, which requires less structure to support the load, allows for larger interior spaces, improving their functionality and design. In addition, the incorporation of thermal and sound insulation in the panels optimises exterior insulation and reduces energy consumption.





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The Industrial, a building that was converted and modernized entirely in steel, is in the Boedo neighborhood

Vaccaro stressed that “this system offers key advantages, such as a lower requirement for columns and walls, which expands the possibilities of interior design and improves construction efficiency in works of various scales.”

Future of the sector

Sustainability is another pillar of industrialized construction. In addition to the use of scrap metal in steel production, the use of thermally and sound-insulating panels improves the energy efficiency of homes, reducing energy consumption and associated costs.

According to Vaccaro, these advances position steel as a key material for the development of more sustainable and environmentally friendly constructions.





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Part of the secret of the progress of the work is that the vast majority of the pieces are manufactured in a plant and then transported to install the house on the land or on a pre-existing construction.

In recent years, steel-based technology has gained ground in Argentina, driven by the proliferation of workshops that manufacture tiny houses and other modular projects.

Topor added that “in order to achieve a significant transformation in the sector, it is necessary to adopt a mass production model similar to that of the automotive industry, where scale and standardization allow for cost reduction and improved product quality.”





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A building currently under construction in Nordelta (Photo Courtesy: IDERO)

There are various types of industrialized construction, the application of which varies according to the geographic area. In Greater Buenos Aires, steel framing is widely used, especially in single-family homes. In other regions, such as the south of the country, mixed types predominate, adapted to the characteristics of the project and local conditions.

Industrialized construction, with steel as the protagonist, is presented as a viable and efficient solution to reduce the housing deficit in Argentina.

“However, its success will depend on the sector's ability to overcome current challenges, foster modernization and guarantee access to financing. This model not only promises to transform the housing landscape in the country, but also contribute to more sustainable and equitable development,” Vaccaro concluded.


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