THE CONSTRUCTION OF TIMBER HOUSES IN CHILE A PILLAR OF SUSTAINABLE DEVELOPMENT AND THE AGENDA FOR ECONOMIC RECOVERY © 2020 The World Bank 1818 H Street NW, Washington DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org Rights and permissions The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of the World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. The findings, interpretations and conclusions expressed in this volume are wholly those of the authors and should not in any way be attributed to the World Bank, its affiliated organizations, its Board of Executive Directors or the Governments they represent. All queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, EE.UU.; fax: 202-522-2422; e-mail: pubrights@ worldbank.org. TABLE OF CONTENTS Acronyms and abbreviations ......................................................................................................................... vi Acknowledgements ...................................................................................................................................... vii Preface ......................................................................................................................................................... viii Executive summary ....................................................................................................................................... x 1. The global construction crisis and the Chilean opportunity ................................................................. 12 Chapter summary ......................................................................................................................................... 12 Introduction ................................................................................................................................................... 14 1.1. The revival of timber in the context of climate change ............................................................................. 14 The qualities of timber ............................................................................................................................. 16 Timber in the international context ........................................................................................................... 17 The role of industrialization and the advantages of timber ........................................................................ 17 1.2. Chilean construction sector context ....................................................................................................... 22 The advantages of timber in housing construction in Chile ...................................................................... 23 Tendencies in timber construction ........................................................................................................... 25 Timber-based construction systems available in the Chilean market ....................................................... 26 Timber construction in Chile ................................................................................................................... 30 1.3. Chilean commitments on climate change ............................................................................................... 32 1.4. Chilean forestry potential ........................................................................................................................ 34 Conclusions from chapter 1 .......................................................................................................................... 37 2. The effects of regulatory frameworks and standards on timber construction ..................................... 38 Chapter summary ......................................................................................................................................... 38 Introduction .................................................................................................................................................. 40 2.1. Public sector initiatives on timber construction ....................................................................................... 41 2.2. Regulatory experience in Europe ............................................................................................................ 41 Germany ................................................................................................................................................. 44 Austria .................................................................................................................................................... 44 United kingdom ...................................................................................................................................... 44 Scandinavia (Norway, Finland and Sweden) ............................................................................................. 45 2.3. Regulatory experience in North America ................................................................................................. 46 Canada ................................................................................................................................................... 46 United States of America ......................................................................................................................... 48 2.4 Regulatory experience in Oceania ............................................................................................................ 49 Australia .................................................................................................................................................. 49 New Zealand ........................................................................................................................................... 49 2.5. The Chilean regulatory framework .......................................................................................................... 50 Fire resistance ......................................................................................................................................... 50 Soundproofing performance of construction elements ............................................................................. 52 Thermal insulation of construction elements ............................................................................................ 54 Structural stability and seismic regulations .............................................................................................. 56 Specific regulations regarding the use of timber in buildings. ................................................................... 57 Update of Chilean standards ................................................................................................................... 58 Conclusions from chapter 2 ........................................................................................................................... 60 3. Economic analysis of timber construction in Chile ............................................................................... 62 Summmary ................................................................................................................................................... 62 Introduction .................................................................................................................................................. 64 3.1. Construction costs of timber buildings, based on reports by CIM UC 2019 ........................................... 65 Definitions of the study ........................................................................................................................... 67 Analysis of construction costs by height ................................................................................................. 68 Analysis of construction costs by climate zone ....................................................................................... 71 Operating costs for timber housing (heating) ........................................................................................... 75 3.2. Environmental externalities using timber versus other materials and the value chain model for timber construction .................................................................................................................................................. 78 Production stage .................................................................................................................................... 78 Construction stage ................................................................................................................................. 79 Usage stage ........................................................................................................................................... 80 End of lifetime ......................................................................................................................................... 82 Co2eq emissions by stages evaluated ...................................................................................................... 82 3.3. Cost simulation for a 6-story building in the central zone ........................................................................ 83 3.4. Financing for housing construction in chile ............................................................................................. 84 Bank instruments and insurance ............................................................................................................. 84 Housing subsidies or public incentives .................................................................................................... 86 Conclusions from chapter 3 .......................................................................................................................... 90 4. Analysis of the barriers and opportunities around a roadmap or work plan for the construction of timber housing ............................................................................................................................................ 92 Summary ...................................................................................................................................................... 92 Introduction .................................................................................................................................................. 94 4.0 Analysis of lessons learned in previous projects ...................................................................................... 95 4.1 Analysis of the survey of perceived gaps regarding timber construction in Chile ...................................... 96 4.2 Perceptions of key actors interviewed and their identification of gaps and opportunities .......................... 109 Conclusions from chapter 4 .......................................................................................................................... 112 Bibliography .................................................................................................................................................. 114 Index of figures ............................................................................................................................................. 122 Index of tables .............................................................................................................................................. 126 Annex ........................................................................................................................................................... 127 Annex A: NCH technical standards related to timber construction. ............................................................. 127 Annex B: Summary table of lifetime CO2 emissions, by scenario and type of housing. Shown in figure 58: incorporated carbon in the life cycle. .......................................................................................................... 131 Annex C: Theoretical and methodological framework for the perceptions survey on timber construction ... 132 Annex D: Significant timber construction case studies in Chile in the last decade ...................................... 133 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | vi ACRONYMS AND ABBREVIATIONS ACHISINA Asociación Chilena de Sismología e INN Instituto Nacional de Normalización Ingeniería Antisísmica National Standards Institute Chilean Association of Seismology and IPCC Intergovernmental Panel on Climate Anti-seismic Engineering Change AIA American Institute of Architects LGUC Ley General de Urbanismo y AOA Oficinas de Arquitectos de Chile Construcción Association of Chilean Architects General Law of Urban Planning and BCBC British Columbia Building Code Construction CCBFC Canadian Commission on Building and MBC Código de Construcción Modelo Fire Codes Model Building Code CChC Cámara Chilena de la Construcción MINVU Ministerio de Vivienda y Urbanismo Chilean Construction Chamber Ministry of Housing and Urban Planning CDT Corporación de Desarrollo Tecnológico MMA Ministerio del Medio Ambiente Technological Development Corporation Ministry of the Environment CEV Calificación Energética de Vivienda MOP Ministerio de Obras Públicas Housing Energy Rating Ministry of Public Works CIM UC Centro de Innovación en Madera NBC National Building Code of Canada Pontificia Universidad Católica de Chile NCC National Construction Code of Australia The Center for Timber Innovation at the Pontifical Catholic University of Chile NCh Norma Chilena Chilean Standard CLT Cross Laminated Timber NDC Nationally Determined Contribution CONAF Corporación Nacional Forestal National Forestry Commission NZBC New Zealand Building Code CORFO Corporación de Fomento de la OECD Organization for Economic Co-operation Producción and Development Economic Development Corporation OGUC Ordenanza General de Urbanismo y CORMA Corporación Chilena de la Madera Construcción Chilean Timber Corporation Bylaw of Urban Planning and Construction CVS Certificación Vivienda Sustentable Sustainable Housing Certification OSB Oriented Strand Board CWC Canadian Wood Council PDA Plan de Descontaminación Atmosférica DITEC División Técnica de MINVU Air Decontamination Plan Minvu Technical Division R&D Research and Development DOM Direcciones de Obras Municipales SDG Sustainable Development Goals Municipal Works Departments SERVIU Servicio de Vivienda y Urbanización FAO The United Nations Food and Agriculture Housing and Urbanization Service Organization SNTCS Sweden National Timber Construction GDP Gross Domestic Product Strategy GHG Greenhouse Gases TWDI Tall Wood Building Demonstration Glulam Glued Laminated Timber Initiative ICC International Code Council UBC University of British Columbia IEA International Energy Agency UN United Nations INE Instituto Nacional de Estadística National WIDC Wood Innovation and Design Center Institute of Statistics INFOR Instituto Forestal Forestry Institute THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | vii ACKNOWLEDGEMENTS This report was written by a team led by Horacio Terraza (World Bank Urban Development Specialist Leader) and made up of Rodrigo Donoso (Co-leader and World Bank Territorial Development Specialist and Disaster Risk Management Specialist), Felipe Victorero (World Bank Senior Consultant in Sustainable Construction) and Daniel Ibanez (World Bank Senior Consultant in timber construction and urban development). The team makes special acknowledgement of Manuel Alfaro (Director of the Ministry of Housing and Urban Planning’s SERVIU O’Higgins), Virginia Brandon (World Bank Representative in Chile), Francisco Winter (World Bank Operations Officer) and all the staff at the World Bank’s Chile country office for their guidance and support throughout the process. This report reflects the continuous and fundamental support -through conversations and interviews- of specialists from the Ministry of Housing and Urban Planning, the Ministry of the Environment, the UC Center of Timber Innovation (CIM UC), the Chilean Timber Corporation (CORMA), Madera 21, the Forestry Institute (INFOR) and the Chilean Construction Chamber (CChC). We give special thanks for the contributions from international specialists Alan Organschi (Principal and Partner at Gray Organschi Architecture, Principal at JIG Design Build, Senior Critic at the Yale University School of Architecture, and Lead Timber Researcher in the City Research initiative), Andreas Nikolaus Kleinschmit Von Lengefeld (International Operations Director at the French Institute of Technology for Forest-based and Furniture Sectors), Jose Joaquin Prieto, PhD in Social Policy and Lead Researcher at the London School of Economics (LSE) International Inequalities Institute, and finally Isabel Brain (PhD (c) in Development Planning at the Bartlett School of Architecture at UCL, University College of London). We also thank the executives Daniela Mendez, Danny Pavez, Jesus Ortega, Camilo Bravo, Javier Cabrera, Diego Maige and Jose Luis Caamano, without whose help the technical development of this report would not have been possible. The photographic material in this publication has all the corresponding rights and authorizations. We are grateful to the following entities for sharing images: UC Center of Timber Innovation and Madera 21. Copyright cover image, David Foessel and Odile+Guzy Architects THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | viii PREFACE The study assesses the state of timber construction infrastructure investments that enhance local in the country, and the potential for industrialized economies. One of the key options is the use of timber construction to help overcome the social environmentally friendly construction technologies housing deficit while revitalizing growth and lessening such as wood, in line with the commitments of the the construction sector’s impact on climate change. Chilean construction sector to reduce its carbon This study has been prepared as a technical policy emissions,3 in furtherance of the Government’s climate input aimed at supporting the Government’s efforts change agenda. to increase the construction of timber housing as a key pillar of its sustainable development and green The Ministry of Housing and Urban Planning is playing reactivation agenda. a key role in this effort, with an intensive agenda for the development of new high-standard homes that Chile faces unprecedented challenges in advancing satisfy the housing deficit while promoting greater its sustainable urban development agenda. It has a social integration among the different socioeconomic quantitative housing deficit of more than 400,000 units, strata. The Ministry has already allocated US$1,246 and 1.2 million of the country’s existing units are of million for housing subsidies and US$132 million for substandard quality. The social, health and economic related urban regeneration. The Directorate of the impacts of the COVID-19 pandemic, the high number Housing and Urban Planning Service is considering of migrants and informal peri-urban settlements, ways to incorporate the use of sustainable as well as the country’s high vulnerability to climate technologies into the financing of social housing change,1 all exacerbate Chile’s longstanding barriers to construction, as part of Government’s medium and improving the quality of life in urban areas. long-term recovery agenda. In response to the devasting impact of the pandemic The use of wood for housing construction has a on vulnerable people living in precarious conditions,2 number of economic and environmental advantages. the Government of Chile has launched a US$12 billion It can play a key part in the green reactivation Emergency Recovery Plan. One of the main pillars of of Chile’s economy based on a local renewable this program is an economic reactivation plan with a resource; with Chile’s exemplary forest management strong focus on public investment in housing, water system, the growth of forests for wood construction infrastructure and civil works, to be implemented allows for the capture of CO2, which is subsequently by the Ministry of Public Works and the Ministry of stored in wooden buildings. Further, prefabricated Housing and Urban Planning (MINVU). timber systems allow for more efficient and less costly construction, faster building times,4 and A central element of the reactivation plan is improved performance, durability and structural sustainability. The plan aims to achieve sustainable integrity of buildings compared to other traditional economic reactivation by focusing on green building materials. The use of timber also makes it 1 Chile is among the 11 countries most exposed to natural hazards worldwide (Risiko-Index of Germany). 2 In the COVID-19 Social Survey developed by the Ministry of Social Development and Family, 44 percent of households indicated that their income fell by at least half since the onset of the pandemic, and 48.8 percent said their income does not meet their expenses (compared to 16.5 percent before the pandemic). 3 The construction sector represents 36 percent of final energy use and 39 percent of CO2eq emissions worldwide. 4 The development of high-end wood production technology can reduce the delivery time for a 4-story building with 16 apartments of 50 m2 from 12 to 8 months, also generating less waste (since almost all construction is done at the factory). “Construcción de Viviendas en Madera en Chile, un pilar para el desarrollo sostenible y la agenda de reactivación”. World Bank, 2020 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | ix possible to overcome height limitations, add to or The study consists of four chapters. Chapter 1 renovate structures, and dispose of construction addresses the global construction crisis and the waste in an environmentally safe manner. Wooden opportunity for Chile to lead the way in green buildings also require less energy for heating, which construction using timber for social housing; Chapter further reduces pollution. 2 assesses the effects of regulatory frameworks on timber construction; Chapter 3 provides a financial A review of international experience5 has shown the analysis of timber construction in Chile; and Chapter feasibility of low and medium-rise wooden buildings, 4 analyzes barriers and opportunities for creating an and their cost advantages compared to other action plan for timber housing. Each chapter includes materials. Moreover, these types of projects generate an initial summary, a description of the methodology employment and promote the development of norms, used for that chapter’s analysis, and a concluding guidelines and standards that benefit the entire section which details the chapter’s main findings. construction industry. 5 “Construcción de Viviendas en Madera en Chile, un pilar para el desarrollo sostenible y la agenda de reactivación”. World Bank, 2020 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | x EXECUTIVE SUMMARY Chile faces three decisive challenges to advancing its level, and around 33 and 30 percent, respectively, in sustainable urban development agenda: (a) a housing Chile.10 However, unlike concrete and steel, timber can deficit of 400,000 units6 and a qualitative deficit of contribute to reducing the effects of climate change. In about 1.3 million units7; (b) the construction sector’s particular, (a) trees capture CO2 as they grow, which high dependence on fossil fuels, which contributes is then stored in timber construction materials; (b) the to pollution and the impacts of climate change, use of timber produced through sustainable forest particularly in cities; and (c) the consequences of management help to drive reforestation activities; the COVID-19 pandemic, which has generated an (c) timber is a better thermal insulator than concrete unprecedented social and economic crisis. and steel, which helps reduce the operational energy consumption of housing; (d) timber is easily reused in Considering Chile’s considerable success in the other building projects or recycled into other products; sustainable management8 of its forest resources, and (e) timber waste can be used to fuel production the capacity of timber construction to provide effective processes; and (f) timber waste can provide nutrients solutions to these three challenges, wooden social for growth of new planted forests. housing can be an important driver of sustainable urban development and a green economic recovery. It should be noted that the forestry industry associated with housing construction is only feasible under strict The construction sector is generally characterized by sustainable forestry management standards. Chile low productivity. At a global level, its productivity has has carried out important work in this regard, and grown by only 1 percent9 in the last 20 years, and has now has about 70 percent of its planted forest area been null or negative in Chile. Industrialized timber under certified sustainable management. Further, the construction can help to reverse this trend. The new country’s reforestation policy has helped to reverse capabilities of Chile’s high-tech industrialized timber deforestation and increase its forested area—Chile companies offer sophisticated solutions that greatly has had the third-highest increase in forested areas increase the productivity of the construction sector. globally between 2010 and 2015.11 This progress For example, the high structural resistance of timber demonstrates Chile’s commitment to meeting the relative to its weight allows for the construction of ambitious goals it set for itself under its Nationally multi-story buildings; its ability to be worked when Determined Contributions (NDCs), as well as its dry reduces emissions and wastewater during the commitment to environmental conservation, in line with construction process, so projects have a lower impact the Sustainable Development Goals (SDGs). on the environment. Additionally, Chile’s sustainably managed forests could provide enough raw material to Chile’s US$12 billion green economic recovery build up to eight homes per minute. This guarantees plan includes the promotion of green infrastructure a continuous supply of products based on locally and housing programs, aimed at addressing these sourced timber, thereby increasing local employment deficits while mitigating the country’s contribution and reducing the climate impacts associated with to climate change. The use of timber for large-scale, dependence on imported supplies and the high sustainable housing construction under the housing carbon footprint associated with transportation. program will: (a) it creates jobs in the construction and forestry sectors, with positive effects in multiple Construction is one of the sectors most responsible for regions of the country; (b) increase productivity in the climate change, representing 36 percent of final use of domestic construction sector, and enhance associated energy and 39 percent of CO2eq emissions at a global advanced human capital; (c) promote the secondary 6 Figures from the 2017 Census, undertaken by the National Statistics Institute (INE). 7 According to the CASEN 2017 survey, the qualitative housing deficit increased from 1,288,280 in 2003 to 1,303,484 in 2017. 8 Sustainable forest management is defined as promoting economically feasible, socially beneficial, and environmentally appropriate management of forests, whether existing or newly planted. 9 National Productivity Commission, 2019 10 National Productivity Commission, 2020 11 Chile’s Forests: A Pillar for Inclusive and Sustainable Development (World Bank, 2020). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | xi timber industry, through the creation of construction • The roadmap should focus on five key themes: products based on higher-value timber; (d) position (a) Promote the development of urban projects Chile as a leader in industrialized timber construction and emblematic buildings such as social housing, and a supplier of timber products for construction as well as R&D initiatives focused on sustainable within the Latin American market. In that regard, the timber construction; (b) Advance an agenda to proposed RAS could help to elevate Chile’s work update regulations and standards to facilitate on sustainable timber housing to the status of a structural designs in timber and make them more demonstration program and help to catalyze similar flexible; (c) Encourage and promote industrialized green construction projects throughout the region. construction in high-value products, broaden the use of labeling on construction timber, and Conclusions and recommendations emerging from this encourage the development of SMEs linked to study include: timber-based products; (d) Advance sustainability standards in construction, considering principles • The need to create a cross-sector working group, of bioeconomy such as the use of instruments with members from the public and private sectors that record CO2eq emissions, waste regulation and and academia, to develop a shared agenda life-cycle analysis; (e) Support economic recovery to encourage the development of quality and programs that promote the development of green sustainable timber construction. initiatives for timber housing. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 12 01. THE GLOBAL CONSTRUCTION CRISIS AND THE CHILEAN OPPORTUNITY CHAPTER SUMMARY With the planet in an environmental crisis, there to Chile’s goal of carbon neutrality by 2050. It is is an urgent need for the construction sector to estimated that at least 50 percent of the country’s migrate to the use of environmentally friendly natural CO2eq emissions will be captured by its forests. resources. Chile, with 70 percent of its planted forests If timber from these forests is used in high-value under sustainable management, has an abundance products with long life cycles, the CO2 can be stored of renewable forest resources that can be used to for decades or even centuries before its release develop a bioeconomic construction model that back into the atmosphere. Timber construction is drives the sustainable development of the country in therefore one of the best alternatives to combat the coming decades. GHG emissions. Chile has been an international example in To achieve these results, Chile would need to put reducing the quantitative housing deficit, but in place a policy model based on the sustainable has been unable to fully renovate or replace its use of forestry resources and the promotion of substandard housing stock. Timber is an option buildings with low carbon emissions, through to achieve this goal within the next decade. Timber highly efficient and environmentally friendly is locally accessible, has a low environmental construction processes. While Chile has strengths impact and is easy to transport, and timber waste in international forestry production, it needs to can be reused or recycled. Timber buildings are advance in the domestic timber market by developing also more energy efficient than buildings made of initiatives aimed at creating products with greater traditional materials. added value and an internal demand oriented to highly industrialized construction processes that Chile’s national forest resources, and especially translate into higher quality buildings of greater its sustainably managed planted forests, which economic feasibility. comprise 70 percent of its forest area, are key THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 13 TODAY 2030 GLOBAL SCENARIO OF CLIMATE, EXPONENTIAL ECONOMIC AND HEALTH CRISES URBAN POPULATION GROWTH 3.5 $ BILLION 5 BILLION REPRESENT USE OF 36% HOW TO OVERCOME THIS AND MOVE FORWARD NEW MATERIALS IN THE FUTURE? IN CONSTRUCTION OF FINAL ENERGY USE IF CHILE USED ITS FORESTRY PRODUCTS WEALTH IN TIMBER CONSTRUCTION, IT COULD BE CONTINUE TO BE AN EXAMPLE TO THE WORLD LOWERING THE QUANTITATIVE HOUSING DEFICIT FROM 772,000 TO 397,613 IN 25 YEARS INDUSTRIALIZED TIMBER MODULAR SUSTAINABLY MANAGED FRAMES COULD REDUCE FORESTS AIN HELP RET T CO2 -65.492 K 99% UP TO UP TO 50% 35% MADERA INFOGRAPHIC INDUSTRIAL CO2 INCORPORATED ENERGY COMES FROM FORESTS CERTIFIED IN SUSTAINABLE THE CONSTRUCTION SECTOR MANAGEMENT ACCOUNTS FOR 7.1% OF GDP AND 8.5% OF NATIONAL COVERING APPROXIMATELY EMPLOYMENT 2.3 MILLION HECTARES BRINGING US CLOSER TO THE GOAL OF CARBON NEUTRALITY BY 2050 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 14 Figure 1: View of the Smartcity Quayside neighborhood development project in Toronto, Sidewalklab. Source: https://www.sidewalktoronto.ca/ INTRODUCTION This chapter addresses the challenges of the coming and sustainable construction sectors. It considers decades in Chile as in the world that result from timber and its use in construction as an opportunity population growth, social demands for housing and the to develop a new model of sustainable development climate change crisis. Principal international initiatives for the large-scale construction of social housing, and such as the Sustainable Development Goals (SDGs) highlights the need to increase urban densification are presented, as well as the qualities with which with mid-rise timber buildings as a way of reducing the timber can address these challenges at global and social housing deficit. local levels. Finally, Chile’s forestry potential is presented with It details the Chilean construction sector, presenting the regard to the large-scale use of timber buildings challenges of the housing deficit, and showing how this and national climate change commitments. The has evolved relative to the use of timber. Construction local timber market and the technical challenges in timber is compared to other materials, highlighting for sustainable development in large-scale housing timber’s attributes as a solution to Chile’s quantitative construction are described. and qualitative housing deficits. Chile’s commitments to climate change are also addressed, as well as related initiatives in the forestry 1.1. CLIMATE CHANGE AND THE REVIVAL OF TIMBER Climate change and the exponential global and acceptable housing in particular (UN, 2019). population growth are two major challenges for Greater climate change effects in different parts of sustainable development. The global population the world, and especially more frequent extreme is expected to increase from 7.7 billion in 2020 to weather events, have highlighted the need for about 8.5 billion in 2030 and 9.7 billion by 205012. countries to act more effectively in mitigating these This will increase demand for new resources effects and adapting to them. 12 This number is even expected to increase due to a higher number of climate disasters and crises such as the COVID-19 pandemic of 2020. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 15 In this context, the priority of international with operations. Between 2017 and 2018, global organizations is that different countries can construction sector emissions increased by 2 percent ensure equitable development and greater dignity and energy demand by 1 percent. Construction for their citizens. Initiatives for more sustainable sector energy use increased 7 percent between 2010 development require more cross-sector support to and 2018 (IEA, 2019c). This is relevant in the context create a paradigm shift that allows future challenges of economic crisis resulting from the COVID-19 to be addressed. Initiatives such as the Sustainable pandemic and social protests in different countries. Development Goals (SDGs) have therefore established There is now an opportunity to move towards a model key goals that all countries must address to achieve of sustainable development, and to drop activities that more sustainable development by 2030. Challenges have led to the current crisis. associated with mitigating climate change13 and providing housing for a growing population stand out. Materials such as concrete and steel have a negative environmental impact. Used extensively CHANGE SINCE 2010 since the industrial revolution, they are a milestone in Period of levelling emissions Emissions increasing 25% large-scale human emissions of greenhouse gases. 20% Their production may have associated emissions of up to 0.37 kgCO2eq and 1.26 kgCO2eq, respectively, 15% higher than the emissions from the production of 10% sawn timber (Quartz, 2020)15. 5% The way in which new homes are built in the -0% future will directly affect the possibilities of -5% IEA (2019). All rights reserved. reducing global housing deficits and reducing the 2010 2011 2012 2013 2014 2015 2016 2017 2018 construction sector’s impact on climate change. Floor area Population Energy Emissions It is imperative to eliminate practices and systems Figure 2: Change in floor areas, population, domestic energy use and that negatively affect societies and the planet. New energy-related emissions. Source: derived from IEA (2019a), World Energy construction trends have made timber relevant again Statistics and Balances 2019, www.iea.org/statistics and IEA (2019b) Energy Technology Perspectives, buildings model, www.iea.org/buildings P.9. as a low-emissions, organic natural resource that can be easily reused and recycled, which is light, According to the World Bank (2016), 300 million structurally resistant and provides insulation, which new homes will be required by 2030, and 80 creates less waste and can be machined and used percent of these will be in urban centers. As in industrialized systems. These characteristics stated in SDG 11, approximately 3.5 billion people make it an efficient material for more sustainable and (half of the global population) live in cities, a figure environmentally friendly buildings. expected to reach 5 billion by 2030 (United Nations, 2016). Urban growth will be concentrated mainly in Timber is a fundamental part of a bioeconomy developing countries, which have fewer resources, model16 that enables a paradigm shift in and will increase present-day housing deficits14. accordance with the SDGs and international treaties such as the 2015 Paris Agreement. Responses to this challenge will be key in According to Leskine (2018), timber products reducing CO2eq emissions. Globally, the construction average 1.2 kg/C (kilogram of CO2) less than other sector accounted for 36 percent of energy demand traditional materials. A plan that considers the large- and 39 percent of CO2eq emissions in 2018. The scale development of timber buildings, substituting production of construction materials such as steel, more polluting materials, could therefore be a model cement and glass account for 11 percent of these that contributes to the reduction of climate change emissions, and the remainder is mainly associated through CO2 storage (Organchi, 2020). 13 Chile is highly vulnerable to climate change due to its low-lying coastal areas and arid, semi-arid and forest zones that are susceptible to natural disasters; areas prone to drought and desertification; urban areas with air pollution problems; mountainous ecosystems such as the Andes and the coastal mountain range; in addition to the exposure of its main socio-economic activities to hydrometeorological events. 14 These deficits are quantitative and qualitative. CChC data shows a deficit of around 739,603 units in 2019, of which 58 percent is new housing and 42 percent is the replacement of dilapidated and/or obsolete units. 15 The illegal extraction of aggregates in Chile is estimated at 1,002 hectares (Ministry of National Assets, 2019). Such extraction damages the environment, altering the courses of rivers, causing floods, impacting biodiversity and possibly damaging infrastructure through undercutting bridges and other constructions. 16 The bioeconomy is the knowledge-based production and use of biological resources to provide products, processes and services in all economic sectors within the framework of a sustainable economic system. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 16 MINERAL-BASED CONSTRUCTION MATERIALS BIO-BASED CONSTRUCTION MATERIALS Masonry Concrete Steel Composite Glulam Bamboo CLT ATMOSPHERIC CARBON TERRESTRIAL CARBON 350 Ma 1750 2020 2050 CARBON POOL FORMATION CARBON POOL DEPLETION CARBON POOL REPLENISHMENT Figure 3: Three scenarios related to terrestrial carbon sequestration. On the left, the natural process of millions of years of terrestrial carbon sequestration; in the center, the massive release of carbon into the atmosphere by industry in a scenario of highly polluting construction materials such as steel and concrete; on the right, a scenario in which bio-products allow carbon storage in the atmosphere and reduce its levels in the long term. Source: Churkina et al, 2020. THE ATTRIBUTES OF TIMBER (Oliver et al., 2016). Timber used in a building can potentially be carbon neutral since the CO2 captured Timber is functional and has a positive can offset the CO2eq emitted during its processing in a environmental impact throughout its life cycle. building or other application. This cycle can last for up Construction timber from sustainably managed forests to 500 years in an urban ecosystem (Ramage, 2017). captures CO2 and helps curb climate change. During its life a tree uses CO2 from the atmosphere in its Timber’s great economic and social potential growth process, locking it in to both the tree and its should also be highlighted. Forestry products substrate. This process reduces as the tree matures, provide a wide range of economic and social at which point through a natural degradation process benefits through their sale, taxation, and job creation. it can begin to release more CO2 than it absorbs The development of an industry around forestry (Ramage, 2017). Using timber in construction therefore products, such as those used in construction, also retains CO2 for the useful life of the building. Even after gives incentives to forest owners to invest in more decades and once the building is demolished, the sustainable management of their forestry resources in wood could potentially be reused in other buildings, areas such as planting, management, maintenance, products and processes before eventually releasing and fire protection (Leskine, 2018). the captured CO2 back into the atmosphere. During its life cycle, wood can capture CO2 and then store it in Furthermore, research by the University of buildings, allowing new planted forests to continue to Cambridge suggests that a wooden building can capture CO2. have 34 to 84 percent less climate change impact than a reinforced concrete building (Skullestad et Producing timber-based products rather than al., 2016). Other construction systems studies in the concrete and steel can impact CO2eq reduction United Kingdom, based on panelized timber modular and fossil fuel use by more than just growing trees frames outside the construction site, have shown THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 17 that CO2 and incorporated energy can be reduced by and North American countries have promoted timber up to 50 and 35 percent respectively, compared to as a more sustainable material than alternatives such traditional housing construction methods and materials as concrete and steel, and especially in tall buildings (AIA et al., 2015). Additionally, timber’s thermal (Bowyer, 2016; Wigand, 2019). insulation qualities have been shown to reduce energy requirements and its associated emissions for heating. The global crisis and economic recession resulting from the COVID-19 pandemic may 10,000 further promote the use of timber. New initiatives Ceramics have positioned the crisis as an opportunity to Composites implement a clean and sustainable economic Strong 1,000 recovery that creates jobs in the construction and Polymers Woods and wood products forestry industries, in addition to promoting the use Oak Pine (with the Glasses of natural resources (World Bank, 2020) and their (with the grain) application in construction. STRENGTH (MPa) Balsa grain) 100 (with the grain) 10 MDF THE ROLE OF INDUSTRIALIZATION AND Pine (across the Porous THE ADVANTAGES OF TIMBER grain) ceramics Metals Rubbers and alloys Oak Paper 1 (across the Many countries have shown increasing interest in Weak grain) Balsa Foams Ceramics: chart shows compressive strength, tensile strenght typically 10% of compressive industrialization as a cleaner production strategy (across 0.1 the grain) Other materials: strength un tension/compression to meet their huge demand for building housing 100 300 1,000 3,000 10,000 30,000 and infrastructure (Lu et al., 2018). Huge challenges Light DENSITY (Kg/m3) Heavy caused by growing construction demand, strong cost pressures, and increasingly acute environmental Figure 4: Comparison of resistance and density of different construction issues have created great worldwide interest in materials, showing the advantage of timber through having high resistance and low density. Source: Department of Engineering, Cambridge University, prefabrication in the construction industry (Lu et al., 2020, http://www-materials.eng.cam.ac.uk/mpsite/interactive_charts/ 2018). Prefabricated or industrialized construction is strength-density/basic.html defined as producing construction components in a factory, and then transporting the complete or semi- complete components to the construction site and TIMBER IN THE INTERNATIONAL CONTEXT assembling them to create finished buildings (Tam, Tam, Zeng, & Ng, 2007). This system has attracted Construction timber is a widely used forestry worldwide attention for its important role in creating product throughout the world and is used in all more sustainable urban settlements (Hong et al., 2018). principal markets. It is therefore unsurprising that about 70 percent of houses in developed countries Industrialization has been successful in places use timber (Hu Q., D. B. 2015). This varies depending such as Japan, the USA and Europe, where on the context: 20 percent of new houses in the savings of up to 30 percent in costs and United Kingdom and up to 70 percent in Scotland use execution times have been made by introducing timber structures (NHBC, 2012), while in the United industrialized techniques in buildings using States this can be over 85 percent for houses and standardized factory-made components (Howes, residential buildings (US Census Bureau, 2018). 2002). Industrialization generally significantly reduces the number of items, for example the need for In the last decade there has been a race to build scaffolding can be reduced by up to 100 percent, increasingly tall wooden buildings, as a means of since depending on the level of completion it may making timber widely available as an alternative not be required at all. Studies have shown that costs for urban densification. This is due not only to the associated with materials can be reduced by more benefits described above but also to the need to face than 50 percent, on-site labor costs by 30 percent, and the challenges of creating a large and accessible costs of additional works associated with traditional housing stock through higher-rise buildings (Green & construction by up to 100 percent (Tam et al., 2015). Karsh, 2012). More than 35 timber buildings between 7 and 18 stories high have been built since 2008 Timber’s inherent benefit is its low weight, (Wigand, 2019). In this context different European strength, and ability to be dry machined; THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 18 conditions that make it an ideal material for use different construction processes (Lu et al., 2018). in industrialized structures and on-site assembly. Studies show that waste can be reduced by up to 84.7 Compared to other traditional construction materials percent (Tam et al., 2007)17, reducing the depletion such as concrete, these qualities create benefits of resources by 35.82 percent, and environmental such as smaller foundations and reduced transport damage by 3.47 percent. (Cao et al., 2015). They can requirements, further contributing to shorter also contribute to a 16-24 percent reduction in the construction times (Chapple, 2011). Some studies have energy required for recycling processes and generate quantified this reduction in traditional construction energy savings in the total process cycle of 4-14 times at up to 25 percent (AIA et al., 2015). percent (Hong et al., 2016). Findings suggest that the use of industrialized Traditional construction methods generate a large construction systems for low-rise residential amount of waste, mainly in the form of rubble. buildings offers shorter construction times than At present waste is generally eliminated within the traditional projects, cutting direct and financial construction process, but could have a financial costs by around 10 percent (Bari et al., 2012). value if it became part of a production chain. Timber Shorter execution times of on-site projects means that could likely command a value, allowing the creation of the period between initial investment and economic circular bioeconomy models18. return is substantially reduced, lowering the real estate risk. This in turn reduces the leverage time, achieving a If the construction sector adopted large- faster return and avoiding exposure to social, political, scale production methods with higher levels of economic, environmental and other changes. Although standardization and factory work, it could increase industrialized construction systems may require more productivity five to ten times (McKinsey, 2017). time in their design and planning, they allow shorter In any building project there are problems related to production programs resulting from workflow changes; traditional on-site construction methods, such as low for example by assembling components off-site while productivity, large volumes of waste, a heavy burden foundations are poured on-site, or while permitting on the environment, and poor site safety, (Huo & Yu, processes are resolved (Lu et al., 2018). 2017; Teng et al., 2017). Industrialized construction methodology has thus been presented as an Lower energy requirements and fewer emissions effective response to different needs over time; such make industrialized construction processes a as the need for immediate housing in colonization cleaner alternative (Wu et al., 2019), while providing processes; the high demands of the reconversion better working and safety conditions in the process associated with the industrial revolution; 17 In Chile and according to a study by INGEMAB on behalf of the Ministry of Housing and Urban Planning, 9 regions of the country do not have authorized operating infrastructure for Construction and Demolition Waste (CDW). 18 This is conditional on the Chilean agenda on the creation of capabilities for a circular economy in the country, with goals for 70 percent of CDW volumes having a financial value by 2035, as proposed by the CDW Circular Economy 2035 Roadmap that is backed by MINVU, MMA, MOP, Construye 2025 and CORFO (Construye2025, 2020). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 19 responses to rapid economic development in some with 92 housing units ranging from studios to nations, as in the postwar period; rapid responses to apartments with more than five bedrooms, and natural disasters such as earthquakes or floods; and rests on a reinforced concrete platform while in recent decades, a significant increase in labor costs timber anchors floors 2 to 13 with a structure associated with an optimization of the use of labor and made entirely of solid wood. The load bearing and its productivity, together with a greater concern for the shear walls, the staircases, the elevator shaft, the health and safety of workers, etc. (Gibb, 1999). floors and the roof structure are built with cross- laminated timber (CLT), and posts and glued Industrialized systems improve quality compared laminated timber beams complete the structural to projects carried out on-site. This is due to system (Think Wood, 2019). improved work processes, greater use of engineering tools, the use of computerized programs and The 3,111 m2 of wood in the Origine structure automated machinery, specialized labor in repetitive sequestered approximately 2,295 tons of CO2 processes, the possibility of using high quality and avoided the emission of 1,000 tons of CO2eq. materials, and better working conditions than those Building its wooden structure took four months, presently seen in on-site operations (McKinsey, and total on-site project duration was 16 months 2017; Rostami et al., 2015; Tam et al., 2007) (Kamali from excavation to final terminations. According & Hewage, 2016). Studies also show that the to the architect Yvan Blouin, a project of the same manufacture of industrialized components in controlled size in concrete would probably have taken 4 to 6 environments helps improve supervision and quality months longer (Think Wood, 2019). control (Bari et al., 2012). Greater industrialization is essential for higher productivity, precision and quality of construction. Timber is key to obtaining these benefits and preparing for future construction. The use of parametric tools will allow the ever more automatic incorporation of industrialized products in construction projects. International experience has shown the success of industrialized building systems in many developed countries. Levels of industrialization in Germany, the Netherlands, Denmark and Sweden have reached levels around 31 percent, 40 percent, 43 percent and 80 percent of construction, respectively (Cheng et al., 2017). To increase the number of industrialized projects, pioneer projects must first address the multiple technological and regulatory gaps. Although these initial projects sometimes miss deadlines and cost targets, they clear the way for later initiatives to capture the potential benefits. Some projects that have captured some of the potential associated with industrialized timber construction are: • Origine Building: This building in Quebec paved the way for a new generation of timber buildings in Figure 5: Origine Building Source: Franco, J. T., 2020 Canada. It is a 13-story timber residential building THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 20 • Bridport House: This building in the United • UBC Earth Systems Science Building: This project Kingdom replaced an original block from the in Vancouver, Canada was conceived as a pilot to 1950s, with 41 new homes in two blocks that are 8 enable the capabilities of industrialized solid timber and 5 stories high, respectively. All elements from in tall buildings to be tested. Different materials the ground floor up use CLT, while the foundations such as timber, steel and concrete were tested are reinforced concrete. The project achieved a 7 in order to assess their potential in this type of percent cost reduction and was completed in 25 building, and this showed that industrialized timber percent less time than traditional construction cost 11 percent less and took 42 percent less time methods (AIA et al., 2015). than traditional methods (AIA et al., 2015). Figure 6: Bridport House Source: ArquiExpo. (n.d.). • Strandparken: This building near Stockholm, Sweden, has an 8-floor, 25-meter-high timber structure. Analysis by the Swedish Royal Institute of Technology and by the Swedish Environmental Institute indicate that Strandparken generated around half of the emissions of a conventional steel and concrete project during its construction. Moreover, the use of prefabricated modular elements made off-site allowed completion in only 7 months; half the time of a traditional concrete building (Nordic Council of Ministers, 2019). Figure 7: Strandparken Building Source: Wingårdh Architects - Scan Figure 8: UBC Earth Systems Science Building Source: ArchDaily (2013) Magazine. (2015). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 21 • Carlisle Lane: This low-rise building in London, For countries with large forestry resources such England, consists of four one-bed apartments as Chile, the potential of this type of industrialized built on a residual urban site, next to the Waterloo timber buildings is an opportunity to create railway viaduct. The somewhat narrow dimensions a sustainable development model based on (7 meters wide by 20 meters long) of the site made construction and the bioeconomy. Countries development challenging. The two-story building that have significant forestry resources, such as was therefore built against three existing boundary Canada or Scandinavian nations, have developed walls. The final weight of the building was key, as projects that favor the construction of environmentally the light timber structure avoided the need to carry friendly buildings, with high productivity rates and low out major foundation works, and the industrialized construction costs. system facilitated construction within the confined space. Compared to traditional methods, the In Chile timber construction has progressed in building was finished in 31 percent less time and productive facilities such as mining camps, work cost 43.1 percent less (AIA et al., 2015). sites, and industrial building construction (Construye 2025, 2017). However, it is only recently that the industrialized construction industry has addressed the urban residential and services sector. This uptick has come from a new generation of industrial companies associated with an industry 4.0 model, such as Tecno Fast, E2E and Patagual Home. Figure 10: E2E Factory Source: (Madera21.cl, 2019) Figure 9: Carlisle Lane Source: Carlisle Lane Flats | PRS Architects. (n.d.) THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 22 1.2. THE CONSTRUCTION SECTOR IN CHILE Construction is one of Chile’s seven most site construction. At the same time, according to important economic activities, representing the Chilean National Productivity Commission, the 7.1 percent of GDP and 8.5 percent of national country is highly inefficient in its construction sector employment (CChC, 2020). While construction emissions and investment, with rates up to 4 times sector productivity has grown by only 1 percent higher than the OECD average and close to those of globally in the last 20 years, in Chile the average highly polluting countries such as India or China. productivity growth rate has been zero or even negative in the last 20 years (National The most relevant public sector actors in the Productivity Commission, 2019). The growth rate construction sector are the Ministry of Public of local productivity is lower than the average of Works (MOP) and the Ministry of Housing and the Organization for Economic Cooperation and Urban Planning (MINVU), through the Housing and Development (OECD), of which Chile has been a Urbanization Service (SERVIU). The latter, through member since 2010 (CLAPES, 2018). This creates an its regional networks, is responsible for housing opportunity for industrialized timber construction to and urban policy at the national level. On the side achieve higher productivity. of industry, the principal association is the Chilean Construction Chamber (CChC), whose main objective The construction sector is also responsible for is to promote the development of construction about 33 percent of Chile’s energy consumption activity (CChC, 2020). Other trade associations are and 30 percent of greenhouse gas emissions relevant construction sector actors too, such as the (National Productivity Commission, 2019). Of total Chilean Association of Seismology and Anti-seismic construction sector energy demand, 67 percent is for Engineering (ACHISINA) and the Association of the operation of buildings, 30 percent is to produce Chilean Architects (AOA), together with professional construction materials, and only 3 percent is for on- associations connected to the sector. FROM MAR-2019 TO MAR-2020 | 1A 5.0 2.5 0.0 -2.5 -5.0 -7.5 -10.0 Mar ‘19 Apr ‘19 May ‘19 Jun ‘19 Jul ‘19 Aug ‘19 Sep ‘19 Oct ‘19 Nov ‘19 Dec ‘19 Jan ‘19 Feb ‘19 Mar ‘19 Figure 11: The Monthly Economic Activity Index, IMACEC, March 2019 to March 2020, where significant decreases can be seen in October 2019 (social crisis) and May 2020 (COVID-19 crisis). Source: Central Bank of Chile, 2020. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 23 In the residential sector the Chilean state has made significant efforts to reduce the national housing deficit, cutting it from 771,935 homes in 1992 to 521,957 in 2002 and to 397,613 in 2017 (INE, 2002; INE, 2017). A deficit however remains, and when using methodologies such as those proposed by the CChC, this deficit is higher; as much as 739,603 in 201719,20. Moreover, it is estimated that about 1.3 million homes in Chile need to be renovated21 because of their poor quality, showing the importance of raising the standards of new and existing housing22. There are important challenges in reducing Chile’s housing deficit, as well as social demands for better quality social housing23 and higher urban standards. These demands came to the fore during social protests that started in Chile in October 2019 in the context of accumulated economic slowdown in recent years and the start of a global recession resulting from the COVID-19 pandemic. The THE ADVANTAGES OF TIMBER IN HOUSING situation is evident when considering the negative CONSTRUCTION IN CHILE figures in the Monthly Economic Activity Index, which posted a record 15.3 percent decrease in May 2020 (Central Bank of Chile, 2020). The housing construction sector needs major change to reduce the housing deficit, and timber The government of Chile has presented an can be a key part of meeting the challenge. ambitious economic recovery agenda, with a The large-scale use of timber in housing, through declared focus on green recovery24. The “MINVU industrialized processes with higher productivity Plan to promote economic and social recovery” and more competitive costs, is an opportunity practically doubles the number of housing units to reactivate the construction sector. Although projected for the years 2020 and 2021, considering reinforced concrete is currently the most used US$7.35 billion investment, and an additional US$122 material in homes in Chile, timber is the second most million investment in urban works. (MINVU, 2020c). used and has shown sustained growth over time. 19 The size of the deficit varies significantly depending on the methodology of housing deficit studies. This refers to the inclusion or not of numbers of cohabitants, renovation needs of homes and restoration needs of buildings, among others. Nonetheless, the official figure used in Chile to define the national housing deficit is the 397,613 units identified in the 2017 Census. 20 In recent years there has been a greater densification of Chilean cities, which translates into a greater demand for taller buildings. At present, about 87.8 percent of the population lives in urban areas (2017 Census), in contrast to 86.6 percent in 2002 and 83 percent in 1992. This is associated with a sustained 2.2 percent increase in the national human settlement growth indicator since 2002 and 28 percent growth in the urban population from 1992 to 2017 (2017 Census). 21 According to the 2017 CASEN survey, the qualitative housing deficit increased from 1,288,280 in 2003 to 1,303,484 in 2017. 22 Timber has multiple additional benefits in the reconditioning of buildings, as it is a light and resistant material that is straightforward to use in existing buildings, that can be worked in fast industrial processes, and which improves the thermal quality of existing envelopes, among numerous other benefits. 23 The qualitative housing deficit is an indicator that measures the number of homes that must be improved in aspects of materials, services and spaces. 24 Various agreements and initiatives have already emerged to generate a sustainable and fairer recovery. C40 Cities is an example of this and is an initiative in which the mayors of 40 cities around the world have committed to creating a “new normal” for their economies. This commitment is specified in a declaration of principles that aims to build a better, more sustainable, more resistant, and just society based on the recovery from the COVID-19 crisis (C40, 2020). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 24 Planted forests could provide all the raw material Studies by the UC Center for Timber necessary to build 570,000 homes (the average Innovation25 have shown that it is technically housing deficit according to MINVU and CChC) possible to competitively construct timber- in a growth period of only 50 days. This estimate, framed buildings of up to 6 stories in the made by CIM UC to demonstrate the potential of Chilean regulatory context. The studies Chilean forestry resources in national construction, furthermore show that there is an unexplored is based on the 6m3 average timber usage density potential market in the mid-rise building segment, of typical social housing. Moreover, if the benefit as validated by the Penuelas Experimental Tower of CO2eq emissions associated with the production (CIM UC, 2019c). Experience from the experimental of the timber were considered, the CO2eq emissions tower, built by the UC Center for Timber generated in addressing the deficit would be Innovation, shows the importance of incorporating approximately 6,500 ktCO2eq lower with timber than industrialized processes in obtaining the maximum with concrete. benefit in the construction of this type of tall buildings. The tower was erected in just five days When applications for building permits in Chile using a modular construction system, in contrast are segmented by the number of floors, timber to the weeks or months involved when using has been the most used material in Chile in 1 and other materials. This creates an opportunity to use 2-floor homes since 2016 (CIM UC, 2019a). This industrialized timber construction systems in the has also been corroborated by organizations such as construction of mid-rise social residential buildings. INFOR, which highlight the gap between timber and Timber could therefore be used more widely in new concrete, the dominant construction sector material market segments, enabling the delivery of higher (INFOR, 2019). This shows that while timber plays quality social housing in less time. an important role in the Chilean residential sector, it has been limited to low-rise homes, and its potential The construction sector is responsible for in taller buildings in more densely populated urban about 17 percent of Chile’s national CO2eq areas has not been exploited. TIMBER CONCRETE MASONRY 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2002 2004 2006 2008 2010 2012 2014 2016 2002 2004 2006 2008 2010 2012 2014 2016 2002 2004 2006 2008 2010 2012 2014 2016 1 AND 2 FLOORS 3 AND 4 FLOORS 5 AND 6 FLOORS Figure 12: Predominant materials by quantity of floors built, which shows the advance timber has made in the 1-2 story buildings sector and its near total absence in the 3-6 story sector. Source: CIM UC, based on the INE Building Statistics Form, 2002 - 2017. 25 CIM UC, a center of the Pontifical Catholic University of Chile that is connected to the CORMA trade association, construction sector companies and public entities such as the Housing Ministry. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 25 emissions (MMA, 2018), and in 2017 accounted A timber residential building can require up to 35 for 22 percent of national energy demand for the percent less energy for heating than a reinforced operational use of buildings26. This is according concrete equivalent. This is supported by analysis to the Ministry of Energy’s 2018 national energy by CIM UC (2019b) based on the minimum legal accounts, which show that 16 percent of energy insulation regulation in Santiago and the minimum demand in 2017 came from residential sector thermal insulation of different construction solutions. operational use - an amount comparable to the The lower thermal conductivity of timber than other whole mining sector, Chile’s main economic activity materials such as concrete, masonry and steel (National Energy Commission, 2018). reduces the probability of construction problems such as condensation and the formation of humidity. The materials used in buildings can have a very high impact on reducing their energy Modifications implemented by MINVU to the consumption, and timber is more efficient OGUC aiming at higher standards of thermal than concrete and other traditional materials. performance in homes have favored the use of According to studies by the Technological timber. MINVU efforts since 2000 to generate public Development Corporation (CDT) of the Chilean policies aimed at improving energy efficiency in Chamber of Construction (CChC), an average home homes have meant that materials such as concrete in Chile uses around 44 percent of its energy on and masonry must incorporate increasingly significant lighting, equipment and appliances, and 56 percent thermal insulation. Timber construction solutions have for heating; figures that vary depending on the thus become more attractive and competitive due to climatic context of homes. More thermally insulating their high thermal performance. materials such as timber can therefore greatly reduce properties’ heating requirements. TENDENCIES IN TIMBER CONSTRUCTION 2014: New thermal 2015: Tax reform 18,000,000 m2 permitted requirements in that taxes housing some cities (PDA) 16,000,000 2007: RT Stage 2 comes into force 14,000,000 12,000,000 10,000,000 8,000,000 2010: Earthquake 27F. New government 6,000,000 2000: RT Stage 1 comes into force 4,000,000 2,000,000 0 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Timber Galvanized steel Concrete Galvanized steel Brick masonry Total Cement block masonry Figure 13:Events affecting housing construction. Effects such as higher thermal performance requirements and structural regulations associated with earthquakes favor the use of timber in construction. Source: CIM, 2019a 26 The construction sector, including building processes, is responsible for only 1 percent of the energy used in Chile. This figure does not however consider the energy associated with the manufacture and transport of construction products (Ministry of Energy, 2018). In this sense, materials that require less energy for their production and weigh less for transport, such as wood, can also contribute enormously to the reduction of energy requirements in construction. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 26 Timber has increased its presence in the country widely used in Chile- is therefore covered by national by 5 percent in the last five years and has regulations and is detailed in OGUC regulations. It become the second most used material in Chilean has furthermore been the subject of many technical construction. Timber has steadily increased its publications regarding its use and potential wider use share of building permit applications in Chile, from as a construction material in Chile, and has been part 13.3 percent in 2002 to 16.8 percent in 2017 for all of initiatives by different governments, associations, sectors, and from 15.5 percent to 20.8 percent in the and private institutions. same period for housing. This increase meant timber became the second most used construction material Class E Buildings with a supporting timber in Chile from 2017, displacing masonry and surpassed frame. Timber, ber cement and plasterboard panels are used, only by reinforced concrete. In the housing sector and even adobe. 7.00m max timber has been the second most used material since without calculation 2016 and the most used in 1 and 2 story buildings, a subsector in which timber has increased 18 percent (CIM UC, 2019a). The use of timber in 1 and 2 story buildings increased from 20.6 percent of the construction sector in 2002 to 38.9 percent in 2017, despite not being widely used in taller buildings. The use of Clause 5.3.2 Clause 5.6.7 timber in 3 and 4 story buildings has remained below Class E constructions are accepted as upper oors to Class C or D Timber framed buildings that are not subject to structural calculations may constructions as long as they be up to 2 oors high, including the roof 5 percent, a segment in which reinforced concrete do not exceed the permitted height. or attic room if there is one, and be up to 7 meters high has displaced masonry to become the predominant material. Meanwhile, with few exceptions, timber Figure 14: Example of timber frames and OGUC clauses. is non-existent in buildings with 5 floors or more. Source: (Catalogoarquitectura.cl, 2018) Considering the technical capacities of timber construction in the national regulatory context, there The approval of construction systems in Chile is considerable room for more use of timber in the 3+ is regulated by MINVU and exempted resolution stories sector, if scenarios are created that promote No. 1369, especially in projects financed its development. with subsidies. This resolution establishes that construction systems that have special design The technologies applied to timber construction characteristics, non-traditional structural conditions up to 2 floors high tend to be less complex than and special assemblies must be registered as requirements of taller buildings, and it is difficult “Non-Traditional” construction systems, must be to fulfil the latter. Timber construction technology in approved by a committee of experts, may only be buildings of 1 to 2 stories high is generally artisan in part of ministry construction systems for buildings Chile, with local carpenters and small-scale companies of up to 2 stories high, and their registration is that panel basic structures. This means that more valid for a maximum of 5 years (MINVU, 2016). complex structures associated with higher-rise For new construction systems to be registered buildings require greater technological capabilities in and subsequently approved, they must meet the construction industry and better standards in the minimum requirements such as the description provision of industrialized products. As in developed of the system, main characteristics, and technical countries, for taller timber buildings to become more specifications (MINVU, 2016). Furthermore, widespread they must be highly competitive in an technical tests must be carried out on the industry that is very resistant to change. construction elements that make up the entire new system, and systems must be characterized by mechanical tests and other standards. TIMBER-BASED CONSTRUCTION SYSTEMS Mechanical tests AVAILABLE IN CHILE Other tests - Vertical compression - Soundproofing - Horizontal load - Thermal insulation The construction of a light timber frame, such - Bending on one plane - Fire resistance as platform frames, balloon frames or others, is - Impact on one plane the most widely used timber system in Chile and Note: Humidity protection must be indicated in those cases in which is defined by MINVU regulations as a traditional the system has a specific covering that does not have tests that system. This type of system -one of the most guarantee its impermeability. Figure 15: Technical tests Source: (DITEC, 2009) THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 27 Timber frame construction has become highly its low environmental impact and CO2 storage relevant in Chile, due to the implementation of characteristics have made it one of the most new industrialized technology processes. These attractive alternatives for the next generation of processes are expected to make low-rise housing buildings in developed countries. The structural more widespread and to expand towards medium capacity of the system is based on several layers and high-rise sectors in the near future. However, the of sawn wood glued together in panels, or joined light frame timber construction system is not the only with nails or wooden pegs, so that the grain of timber construction system available in Chile, and there adjacent layers is perpendicular (Moya, 2010). are other alternatives on the market such as systems Joining layers of wood perpendicularly gives based on engineered wood, mass timber and others. panels structural rigidity in both directions, similar to plywood panels but with thicker and firmer • CLT, Cross laminated timber: The CLT sections. Panels resist traction and compression construction system has won significant well, making them suitable for use in walls, floors, international market share in recent years, furniture, paneling and ceilings. Their depth mainly due to its use in industrialized and/ and length can be adjusted according to the or higher-rise buildings, which together with requirements of respective projects. Figure 16: Direction of grain and in CLT. Source: (Maderas-uv, n.d.) CLT projects that stand out in Chile include were led by the University of Santiago (USACH). CORFO’s “Engineering studies to introduce to CLT has also been used in the construction Chile a rapid execution construction system for of 4 Junji kindergartens by JMS Ingenieros mid-rise buildings, using cross laminated timber”, Consultores Ltda. and the Department of Civil and project code CORFO 12BPC2-13553, year 2012- Environmental Engineering of the University of Bio- 2015, and Innova Project CORFO 15BPE – 47270 Bio, in initiatives within project CORFO 15BPE- “Anti-seismic Engineering for Structural Design 47223: “Design of Timber Construction Systems of Mid-rise Buildings in Cross-laminated Timber for Junji pilot projects”. The University of Bio Bio from Radiata Pine grown in Chile,” both of which (UBB) has furthermore worked in recent years on THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 28 the development of the PymeLab Madera - Corfo • Glulam: Glued laminated timber (Glulam) is a project, which is a 5-story non-residential building type of structural engineered timber product based on radiata pine CLT on the Concepcion made up of layers of dimensional timber glued campus of the University, which is expected to be together with structural and moisture resistant completed at end-2020 and will meet academic adhesives. As it is an industrial product, it allows objectives and will be used for experimental the manufacture of glued laminated elements to studies regarding CLT construction system order, and so can provide solutions for different characteristics. The University of Concepcion has designs and project requirements. It is a structural worked on an 8-story CLT experimental building product manufactured under technically controlled that the Polo Madera team is currently designing, conditions, with pieces of timber in different and which is expected to be completed during lengths and with equal cross sections; joined 2020 on the main campus together with structural and weather-resistant adhesives. The thin pieces with which it is made can be pre-shaped, allowing the manufacture of different shaped elements with different architectural designs that have excellent structural and aesthetic qualities. Arches and complex beams stand out among the possibilities of construction elements that can be made. There are several companies that provide glulam products in Chile, and those that have been involved in prominent projects include Ingelam, Hilam, Timber, Corte Lima, Tecnolam, Lamitec, and Voipir. Figure 17: PymeLab Experimental Tower (left) and the Polo Madera building (right). Source: (UBiobio.cl, 2020) Corte Lima in Los Angeles and Crulamm in Coronel are the only companies supplying CLT in Chile today. As the CLT provided by these companies does not yet meet regulations for structural use in buildings, it has been used only in non-structural contexts. Projects such as the Polo Madera building ship Chilean wood to plants in Europe for specialized processing and then bring Figure 18: Glulam bridge, Zapallar (left) and Villarica gymnasium (right). it back in the form of mechanized panels ready for Source: (plataformaarquitectura.cl, 2008) on-site assembly. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 29 • Engineered Wood - I-Joist Beams and SIP Panels: Engineered wood products are used in various applications, mainly panels such as plywood or OSB that are widely used in light-framed timber structures. Other engineered wood products have also emerged, most notably in Chile I-Joist beams and SIPs (Structural Insulated Panels). The I-Joist beam is a long and strong beam that, unlike timber, does not twist, buckle, warp, or crack, making the use of wood for beams more Figure 20: OSB SIP panel Source: Dib Car Labs. (2017) efficient. They are manufactured to standard sizes, densities, and moisture content, and have high structural strength and performance. By Several companies in Chile offer this type of having a greater load capacity than traditional product. Quality however varies considerably, timber beams, they allow the construction of floor and not all products have MINVU approval. structures with greater spans, a key requirement Manufacturing companies that stand out in the in architectural designs, in addition to providing market are TecnoPanel, which is part of the Tecno simple solutions to installations. They are Fast modular construction company Ingepanel, and composed of top and bottom finger-jointed timber the panels produced by LP Chile. flanges, joined by an OSB web. Louisiana Pacific (LP) is the only company making these products in • Construction systems based on timber blocks: Chile at present, at a plant in La Araucania Region. There are many national and imported timber construction solutions in Chile that have not secured higher market shares due to various reasons such as technical validation or cost. Some products have been successful in the Chilean market, such as timber block systems produced in Chile by Swiss company Steko, and the construction system of Argentinian company Dovetail Patagonia Bricks, which uses forestry industry by-products to make timber building blocks. Figure 19: LP-I- Joists technical brochure. LP Chile. SIPs are made up of an insulating foam core sandwiched between two structural facings and glued with a high-strength adhesive that gives a high level of mechanical resistance to the assembly. Although this type of panel can have different types of facings and foams, in Chile the most common are those made with OSB and high-density expanded polystyrene cores, bonded under pressure with polyurethane-based adhesives at high temperatures. These systems have been Figure 21: STEKO construction system tested and validated as “Non-Traditional” systems Source: www. steko-latinoamerica.com by MINVU standards, allowing their use in smaller buildings of up to 2 floors with a habitable loft. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 30 TIMBER CONSTRUCTION IN CHILE Chile has a history of timber construction, despite not having been large-scale as in developed countries. Icons of Chilean architecture such as the churches of Chiloe built in the 18th century and the buildings of the Sewell mining camp from the early 20th century are worth noting (Madera21, 2018). Figure 22: A Chiloe church (left) and the Sewell mining camp (right). Source: Duna (2018); Revista Enfoque (2017) Modern technological capabilities can be seen in the Chilean construction market today (Construye 2025, 2016), despite timber construction experience in Chile being mainly artisan throughout its history. The construction of the Villa Verde project, developed by the Arauco company, or the Oasis de Chanaral and El Salado neighborhoods developed by CIM UC are examples. Figure 23: Villa Verde (left) and Oasis de Chanaral (right). Source: Plataforma & Arquitectura; CIM, 2019. On a different scale, the use of timber in engineering should be noted. Projects such as the BIP Computers offices in Santiago (2007), the new building of the UC School of Architecture (2017), the Chilean pavilion for the 2015 Milan Expo that is currently installed in Temuco, and the CMPC Corporate Campus in the city of Los Angeles (2019) are all examples. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 31 Figure 24: BIP Computers offices, Santiago (left) and the UC School of Architecture (right). Source: Plataforma & Arquitectura, 2008.; Claro, 2017. Figure 25: Chile Pavilion, Expo Milan (left) and the CMPC Corporate Campus, Los Angeles (right). Source: Plataforma & Arquitectura, 2018; Madera21, 2019. In recent years the pace of industrialized timber construction has quickened, supported by more advanced companies in the area in Chile such as Tecno Fast, E2E and the Patagual group. Built with modular timber units, the 6-story Los Bronces mining camp project is noteworthy along with the Horizonte del Pacifico housing development of five 4-story buildings made of closed wooden panels. Figure 26: Los Bronces mining camp (left) and the Horizonte del Pacifico housing development (right) Source: Lo Barnechea & Anglo American; e2echile.com, 2020. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 32 1.3. CHILEAN CLIMATE CHANGE COMMITMENTS In 2015 Chile committed to reduce its In 2050, it is expected that the same amount greenhouse gas (GHG) emissions by 30 percent of CO2eq produced will be captured and that in 2030 compared to 2007 levels (ECLAC & emissions will be further reduced through OECD, 2016). The agenda was delegated to the different measures, such as sustainable Ministry of the Environment (MMA), which guides construction. The sustainable construction sector related public policy efforts. In 2016, Chile’s balance should represent 17 percent of 2050 emissions with of GHG emissions and mitigation was 46,184.4 an estimated 11.05 MMtCO2eq. The 2020 NDC update ktCO2eq, while the country’s total GHG emissions included the sustainable management and recovery were 111,676.7 ktCO2eq, an increase of 114.7 percent of 200,000ha of mainly native forest by 2030, with on 1990 (MMA, 2018) and a 20 percent increase on a GHG capture potential of between 0.9 and 1.2 2007 (MMA, 2020). MtCO2eq (MMA, 2020). Many efforts are made to strengthen mitigation Reforestation and the management of planted commitments in the face of Intergovernmental forests under high sustainability standards are Panel on Climate Change (IPCC) reports and the main Chilean tool regards carbon neutrality. the objective of limiting the global temperature According to a World Bank study (2020), native forest increase to 1.5° C. This is why Chile seeks GHG degradation in Chile during 2016 was equivalent to neutrality by 2050, as established in the Climate 9,149,392 ktCO2eq (MMA, 2018)28. This highlights the Change Framework Bill that is currently being importance of sustainable forestry management in debated in Congress (MMA, 2020). Furthermore, contributing to the reduction of climate change and in April 2020 Chile updated its 2015 Nationally the importance of planted forests in the effort to Determined Contribution (NDC), in which it proposed capture CO2 emissions. to reduce its projected annual emissions in 2030 from 123,000 ktCO2eq (a 30 percent reduction from 2007 It is vital to ensure that higher value-added emissions) to only 95,000 ktCO2eq (MMA, 2020). forest products are used in the Chilean construction sector, so that new timber Forests in Chile have enabled a significant buildings and cities become large carbon sinks. reduction of C02eq emissions. During 2016 (the Currently the lack of public policies promoting the latest available figures), Chile’s C02eq emissions development of timber buildings and cities that balance was 46,185.2 ktC02eq, due in large part serve as CO2 sinks and promoting the development to forests enabling the capture of approximately of new planted forests in Chile means that there -65,492.3 ktC02eq (MMA, 2018). This represents a 59 is not a clear agenda on the use of forestry sector percent reduction in total Chilean C02eq emissions products in the construction market. in 2016 and demonstrates the capacity of forests to support the Chilean goal of carbon-neutrality by 2050, anticipating a 50 percent offset of the country’s emissions27. 27 According to the Global Forest Resources Assessment, achieving this goal will require a national forestry strategy that integrates the protection, conservation and sustainable management of native and planted forests existing today, as well as continuing to increase their area - as has been the case highlighted in the latest FAO report, which shows that Chile has increased its forest area by 15 percent since 2000. 28 As trees mature, they reduce their growth rate and their capture of CO2. Together with the loss of biomass such as dead leaves and branches that when degrading releases CO2, this may mean that a forest is not adequately managed and can even produce more CO2 than it captures. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 33 150.000 100.000 50.000 Kit CO2eq 0 -50.000 -100.000 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1. Energy 2. IPPU 3. Agriculture 4. UTCUTS 5. Waste 6. Balance Figure 27: Chile’s GHG national inventory: GHG balance (ktCO2eq) by sector, 1990-2016, the forestry contribution shown by the Land Use, Land Use Change and Forestry (LULUCF) indicator. Source: MMA (2018). Chile’s third biennial update report on climate change. p.81. 20.000 10.000 0 -10.000 -20.000 -30.000 -40.000 -50.000 -60.000 -70.000 -80.000 -90.000 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 4.A. Forests 4.B. Crops 4.C. Pastures 4.D. Wetlands 4.E. Settlements 4.F. Other lands Balance Figure 28: Forest lands: GHG emissions and capture (ktCO2eq) by its main subcomponents, 1990-2016, presenting a higher contribution in CO2 capture from forest plantations, in relation to national parks and reserves. Source: MMA (2018). Chile’s third biennial update report on climate change. p.98 MM tCO2 e Reference scenario 130 Sustainable industry (25%) 120 Hydrogen (21%) 50% Electromobility (17%) (65 MMtCO2e) Sustainable construction (17%) 80 Closure of coal- red (13%) power plants 65 Energy Ef ciency (7%) 65 Maintain carbon capture - forests 50% (65 MMtCO2e) 40 Carbon capture - forests Carbon neutrality scenario 0 Carbon neutrality 2015 2020 2030 2040 2050 Figure 29: Carbon neutrality scenario for the 2020-2050 period, showing that by 2050 at least 50 percent of CO2eq emissions will be offset by forests. Source: Ministry of Energy, 2020. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 34 1.4. CHILEAN FORESTRY POTENTIAL Chile is one of the eight largest timber producers in the world, and its products are widely available in markets in North America, Asia, Europe and Oceania (FAO, 2019). Although other countries may have larger forest areas than Chile, the country has been able to create a successful industrial sector and has managed to make use of natural resources in a sustainable way. The sector represents around 2.1 percent of the national GDP, and represented 9.1 percent of exports in 2018, with an increase of 1.3 percent on the previous year (INFOR, 2019). Figure 30: Global surface area of forests and protected areas. Source: Weller et al., 2014. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 35 By 2020 approximately 70 percent of the some 14 percent of Chile’s total forested area. The industrial timber produced in Chile will total forested area is therefore 17.9 million hectares, come from planted forests with sustainable of which about 14.6 million hectares are native management certifications (World Bank, 2020)29. forests, and a significant percentage of the latter Forests cover approximately 2.3 million hectares (56 is protected by public organizations and private percent radiata pine and 38 percent eucalyptus), entities (INFOR, 2019). MILLION 5 4.5 4 3.5 3 2.5 2 1.5 1 0.5 0 ta a bío ota bo cá a ule nía íso s én es ins s go am Río tan as pa an uim ys ara Bio igg Ma ca ac La fag tac oli eA ara all os rau rin 'H alp oq op os el el ag nto eL eA nd eT Pa eO nd nd aA eC eV eL etr eM nd eA nd nd gió ay nd gió gió nM eL nd nd nd nd gió nd gió Re gió ric Re Re gió nd gió gió gió gió gió Re eA Re gió Re Re gió Re Re Re Re Re nd Re Re gió Re PLANTED FOREST NATIVE FOREST TOTAL MIXED FOREST Figure 31: Forestry area by total and sub-use. Source: Compiled by authors, based on data from INFOR, 2019. Meeting commitments on the National Determined model allows ownership of planted forests by private Contribution (NDC) for the secretariat of the parties, of which there are several. Close to 50 percent United Nations Framework Convention on Climate of planted forest areas belong to two large international Change (UNFCCC) will only be possible only with companies, Arauco and the CMPC Group’s Forestal sustainable forest management. In the Land Use, Mininco, while multiple small and medium forestry Land Use Change and Forestry (LULUCF) sector, Chile companies own slightly more than 50 percent. aims for the sustainable management and recovery of 100,000 hectares of native forest and planting In the public sector, the organizational structure of 100,000 hectares of forest by 2030. To achieve these the Chilean forestry sector has two main actors. goals of climate change mitigation and adaptation, the One is the Ministry of Agriculture, through organizations National Strategy for Climate Change and Vegetation such as the National Forestry Corporation (CONAF) Resources 2017-2025 (ENCCRV) was prepared, and the National Forestry Institute (INFOR). CONAF is which proposes four forestry policy pillars: (a) forestry responsible for developing a national forest policy and institutions; (b) productivity and economic growth; (c) developing the sector, while INFOR seeks to develop equality and social inclusion, and (d) protection and the sustainable use of forest ecosystems through restoration of heritage forestry (Ministry of Agriculture & product and service applications. The other main actor CONAF, 2017). is the Chilean Wood Corporation (CORMA), the oldest trade association in the country and which has over The Chilean forestry market is driven by various 180 members that together represent more than half of private and public sector key players. The Chilean Chile’s productive forest area. 29 The percentage of planted forests with sustainable management certification in other developed countries is quite similar to Chile. For example, Canada has 70 percent (Canadian Forest Industries, 2019), Finland 79.7 percent, Germany 68.78 percent, Poland 75.3 percent and Norway 56.8 percent (Maesano et al., 2018). Such certification is a fundamental element in the development of a sustainable timber housing construction industry. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 36 THOUSANDS Radiata pine Eucalyptus Native species 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 - Sawn timber Boards and veneers Sawn timber Boards and veneers Sawn timber Boards and veneers National market Export Sawn timber Boards and veneers Sawn timber Boards and veneers Sawn timber Boards and veneers Radiata pine Eucalyptus Native species Export 2,735,630 1,520,618 686 15,396 4,180 1,843 National market 5,310,342 1,647,336 6,940 138,563 100,327 18,637 Figure 32: Quantity (in m3) of timber produced and its destination. Source: Compiled by authors, based on data from INFOR, 2019. Chile’s main forestry sector product is cellulose use and only 0.25 percent (20,000m3 in 2018) is and the second largest is sawn timber. Cellulose sold with some kind of structural certification. represents 36.8 percent of forestry production, and These are the findings of an INFOR (2020) study of 87 percent of the annual 5.3-million-ton production 129 sawmills and 132 construction sector companies is exported, according to figures for 2018. Cellulose in the country. The study also found that only 53 exports have increased in recent years due to higher percent of timber is plant-dried, and 3.4 percent of international prices. Sawn timber (which is almost sawn softwood is impregnated, which are required by entirely radiata pine) accounts for 34.8 percent of Chilean construction regulations30. forestry production, and 34 percent of the 8.1 million cubic meter annual production is exported. Boards A low level of knowledge was also identified and veneers represent 10.2 percent of national regarding the regulatory requirements for production with 3.3 million cubic meters, of which structural timber in construction. Only 47 percent about 50 percent is exported (INFOR, 2019). of the sawmills interviewed stated knowing that there are minimum requirements for the use of While the national forestry sector is a key part structural timber in the construction sector, and only of Chile’s development, most primary forestry 54 percent of this group said they know what the products are exported. Although most construction requirements are31. Only 11 percent of the sawmills sector products such as sawn timber and boards surveyed said they had received any sales enquiries are sold on the domestic market, the best quality for structural timber. However, construction sector products are reserved for export markets that are companies surveyed said that their most important more attractive and have higher entry standards. purchase criteria is the quality of the product, and Timber for the domestic construction sector is that price is the second consideration. This is therefore not always the most suitable for use in high- inconsistent with the structural timber requirements quality construction. asked of sawmills. It is estimated that only 6 percent (500,000m3 in 2018) of sawn timber in Chile is for structural 30 Although soft woods such as pine in Chile have low durability according to Chilean regulations and are easily impregnable with additives that provide protection, internationally there are efforts to limit the use of chemical additives in the impregnation of timber. This is mainly because of their toxicity, as in the case of arsenic in CCA impregnation (chromium, copper, arsenic), among other impregnation agents that can also endanger the environment. 31 Visual or mechanical structural grade, preserved according to NCh819; humidity less than 19 percent, standard dimensioning according to NCh2824 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 37 CONCLUSIONS FROM CHAPTER 1 This chapter has shown that at an international level to promote the use of high-quality industrialized there is a resurgence in the use of timber, driven mainly construction processes for timber building. by the global crises of the housing deficit and climate change. This situation is more acute in developing • Although timber has become the predominant nations such as Chile, where—although there are material for the construction of low-rise houses, great challenges for the coming decades, especially it has not expanded to higher-rise buildings (up the increase demand for quality social housing—there to four stories), likely due to deficiencies in supply are globally significant levels of renewable forestry of materials, costs, and regulatory gaps. These resources that can help Chile become a global leader factors are addressed at greater length in the in the sustainable timber construction sector. following chapters. From the data and analysis presented, the chapter • Chile has an internationally important productive identified the following conditions and opportunities for forestry potential and an industry capable of development of the timber sector in Chile: delivering products including cellulose, sawn timber, chips and boards for national and • The post-COVID-19 economic recovery is an foreign consumption. This shows the success opportunity to change the current national of the sector, which has benefitted from forestry construction model, especially regarding the policies aimed at the sustainable management housing deficit, towards a more sustainable model of planted forest resources and the protection based on the use of local natural resources. It will of forest reserves. Challenges for the future be key to move towards a bioeconomy model include the formulation of forest recovery plans that delivers greater added value to timber-based to avoid the degradation of protected forests products and prioritizes national demand over (NDC commitments). exports of cellulose and timber. • Sawn timber and boards account for 35 and • Chilean forests are responsible for counteracting 10 percent, respectively, of national forestry Chile’s annual CO2eq emissions by approximately production, and 65 and 50 percent of their 59 percent. They are critical for Chile’s ability to respective production is sold on the national meet its international commitments to reduce GHG market. The standards for these products, emissions by 2030 and achieve carbon neutrality however, are lower than those for international by 2050. However, Chile has no national policies markets. Although the national market uses more to promote the use of timber products by the timber than is exported, much of that timber tends construction sector. to be production rejects or of less than first quality. • To maximize the advantages of CO2 capture by • There are significant gaps in standards for forests, it is imperative to seek uses for forestry sawn timber for domestic construction. Only 54 products that serve as emissions deposits for percent is plant dried, 0.25 percent is sold with long periods. Timber buildings are a key part of some kind of structural certification, and only 3.4 this, and represent a great chance to revert the percent of softwood is preserved. This makes it construction sector’s climate change effects. essential to train the productive and construction sectors in the necessary standards for the use of • The Chilean construction sector has experienced structural timber in buildings, as well as to develop zero or even negative productivity growth in instruments to trace the sources of the timber. recent years. To reverse this trend, it is essential THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 38 02. THE EFFECTS OF REGULATORY FRAMEWORKS AND STANDARDS ON TIMBER CONSTRUCTION CHAPTER SUMMARY The timber construction industry has been including 4-story residential buildings, are now successfully developed in many countries, often constructed of timber. In some Scandinavian countries, with detailed regulations that facilitate the use of timber construction is promoted as part of the national timber in suitable applications. However, in Chile, its agenda. In Canada, R&D projects for emblematic use has tended to be limited to single-family homes, timber buildings has contributed to the updating of and only in the last few decades has expanded to current building codes. multi-story, multi-family residential buildings. This lag has been due mainly to outdated and rigid regulatory Although standards in Chile do not place frameworks, restrictions stemming from fire safety specific restrictions on the use of timber in requirements, and technical challenges related to residential buildings, regulations often favor issues such as soundproofing. the use other materials. For example, stability standards do not account for the flexibility of timber. Most developed countries have made progress Other regulations require sophisticated multi- in closing regulatory gaps in timber construction, layer construction solutions for timber structures, especially those related to fire safety, structural as well as many more fire, soundproofing, and stability and valuation of its lower environmental thermal performance tests than are required for impact. In Europe, regulations have been updated steel or concrete structures. To promote timber to allow the construction of 5-story residential construction, regulations for timber constructure buildings out of timber in dense urban environments. need to be modernized in line with technological In the United Kingdom, 25 percent of new buildings, advances and new construction needs. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 39 SUCCESS IN SINGLE-FAMILY TIMBER HOUSING LIMITED IN MULTI-FAMILY HOUSING IN RECENT DECADES WORK HAS STARTED ON CHANGING THESE REGULATIONS AND PROMOTING TIMBER AS A SUSTAINABLE MATERIAL, MAINLY IN URBAN DENSIFICATION AND HIGH-RISE CONSTRUCTION BIOECONOMY OTROS MODELS PAÍSES +25% EDIFICACIONES EN MADERA R&D DEVELOPMENTS UNITED KINGDOM, INCLUSION IN A GOOD NATIONAL AGENDA CASE STUDY REQUIRES EQUAL OR BETTER PEFORMANCE THAN OTHER MATERIALS INFOGRAPHIC CHILE WITHOUT SPECIFIC NEED TO RESTRICTIONS DEVELOP SIMPLIFIED UPDATE REGULATIONS PRESCRIPTIVE METHODS WITH DEVELOPMENTS IN APPROVALS AND NEW TECHNOLOGIES THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 40 Figure 33: The 18-floor Mjøstårnet timber building, which has homes, offices and other uses. Source: https://www.avontuura.com/mjostarnet-by-voll-arkitekter/. INTRODUCTION This chapter presents a comparative study of between the public, private and academic sectors; international regulatory frameworks on timber the development of iconic projects and R&D; the construction, going into more depth in the more modernization of regulations; and the creation of public advanced scenarios in Europe, North America and policies. Common development factors in international Oceania. It describes the regulatory challenges that experiences are of key importance to Chile, in areas different developed countries had to overcome to such as the study of emblematic cases, regulatory enable the construction of timber buildings, especially requirements for fire resistance and soundproofing, single-family and multi-family homes. incentives for lower environmental impact, public sector requirements, and the modernization of standards. The European cases of Germany, Austria, the United Kingdom and Scandinavian countries are presented in With the international context as a reference, detail, then Canada and the United States as leaders this chapter presents in detail Chile’s regulatory of the North America region, and finally the most recent requirements for timber buildings, and especially advances in Australia and New Zealand as examples residential buildings. It reviews requirements that in from Oceania. All international cases refer to key developed countries have either created difficulties or projects, fire resistance regulations, soundproofing facilitated the development of high-rise timber buildings, regulations, environmental issues, and public such as those on fire prevention, soundproofing regulations and requirements. The same format is also and thermal insulation, structural stability, and finally used to consider Chilean regulations. requirements specific to timber construction; together with the progress led by the MINVU Technical Division All the international cases reviewed address common (DITEC) on a significant agenda for modernizing factors for the development of timber construction, regulations on timber construction. such as the creation of transversal work groups THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 41 2.1. PUBLIC SECTOR INITIATIVES ON TIMBER CONSTRUCTION There are many public initiatives and regulatory concentrated in developed countries. Developing updates that promote timber construction, countries, where most future housing demand will developed mainly in forestry-rich countries. be concentrated, therefore need their governments Different initiatives addressed by countries such as to support this type of initiative to sustainably reduce Australia, Canada, Finland, France, Germany, Japan, the housing deficit in the most vulnerable sectors of New Zealand, Sweden, Switzerland and the United their populations (FAO, 2020). Kingdom seek to promote the use of timber in more sustainable construction, as well as a tool to reduce The main obstacles to the global development of the global housing deficit (FAO, 2020; Milestone, 2019). timber construction are identified as construction sector resistance, ignorance regards the use of The United Nations highlights timber’s timber in construction, lack of public policies in contribution in developing more sustainable developing countries, restrictions in regulatory buildings and helping reduce the housing deficit. codes, and financial barriers (FAO, 2020). To Through the Advisory Committee on Sustainable address these obstacles, many countries have Forest-based Industries (ACSFI) of the Food and chosen to use more timber in public projects. This Agriculture Organization (FAO), in its report Status of supports developing demonstration projects, including public policies encouraging wood use in construction the required research and development, which the the UN recognizes the importance of developing private sector would not have approached due to public policies that promote the use of timber. The potential uncertainties. An example of such initiatives document highlights that these public policies and are suggestions by the French government that all the development of higher-rise timber buildings buildings with state funding use at least 50 percent that can meet urban housing needs are mainly organic materials such as timber (The Times, 2020). 2.2. REGULATORY EXPERIENCE IN EUROPE European regulations are an international characteristics and are not prescriptive. This is the benchmark for building codes and allow the use case in many European countries. of various materials provided that the required performance and/or prescriptive requirements According to Wigand (2019), even without direct are met. There are however some specific limitations regulatory barriers limiting the use of timber on the use of timber and timber-based products that for residential construction in the European should be updated and, in some cases, eliminated Union, there are still several gaps that hinder its if possible. One of the main regulatory challenges development and that must be addressed: for the use of timber-based construction solutions is associated with safety and comfort and is regards • The main regulatory limitations on multi-story fire resistance and soundproofing. Regarding the homes, compared to single-family low-rise construction of low-rise single-family homes, studies homes, are those regards fire and soundproofing, on timber construction in Europe (Östman & Källsner, necessitating the development of more 2011) have concluded that there are no substantial sophisticated construction solutions and studies to limitations for the use of timber and timber-based support them. products, and that there are prescriptive regulations and widely disseminated and validated design • In some European countries there are regional manuals. For multi-family residential structures such differences in construction regulations that can as apartment buildings with more floors, regulatory make it difficult to develop timber projects. requirements are often based on performance THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 42 • There is a lack of regulations for many timber impact. In much of the European housing sector products, and subsequently the certification the use of timber has been limited compared to procedures for these products’ technical performance other traditional materials. For example, timber becomes expensive and time consuming. construction is 5-15 percent in France, Spain, Italy and Germany, countries with greater available • Familiarity with European codes is increasing, but resources, such as England, have reached rates still very limited. of around 25 percent, and nations with a timber tradition, such as Scandinavian countries, show • There is uncertainty and a lack of in-depth timber construction rates of 75-85 percent knowledge on the relevant building regulations for (Hildebrandt. 2017). This is partly due to the fact the use of timber in construction. that alternative materials, based on fossil fuels, have tended to be better positioned in the European • The external use of timber and timber-based construction sector and have been able to better products is primarily limited by the height of buildings transmit their advantages to developers; except and the distance between adjacent buildings in perhaps in countries or regions with extensive timber relation to external fire spread requirements. resources and traditions, such as Nordic countries. • The maximum number of floors allowed varies Different regulatory, economic and information by country, so the development of higher-rise initiatives have been implemented in European multi-family buildings is not homogeneous countries, seeking to increase the development of across the continent. buildings taller than traditional single-family timber houses. Taking as precedents the commitments by Developed European countries with large these countries to reduce CO2e emissions by 88-91 forestry resources have timber construction percent by 2050, and the effects on the European percentages of over 70 percent taking advantage construction sector, which in its life cycle accounts for of timber’s multiple environmental and 42 percent of energy demand and 35 percent of CO2e constructive advantages. European countries emissions in the region (Hurmekoski, 2017), it can be with fewer resources have however managed seen that most European nations seek to implement only recently to increase their percentages of public policies that aim to level the playing field timber buildings, displacing materials such as between construction materials with higher and lower concrete that have a greater environmental environmental impacts. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 43 Multi-family timber residential construction has diverse as Spain, Norway, the United Kingdom increased considerably in Europe in the last 30 and France. Projections suggest that in the 2020s years, although it is still low compared to other all countries will have timber buildings with 5 materials such as concrete and steel. There are floors or more (Östman & Källsner, 2011). Studies timber buildings 5 or more stories high in most of associated with new public policies project Europe today, and which were developed rapidly significantly more such buildings in the future before the end of the last century in countries as (Hildebrandt. 2017). LOAD-BEARING STRUCTURE WITHOUT SPRINKLERS Maximum number of storeys in timber 1990 2000 2010 2020 (vision) ≥ 5 storeys 3-4 storeys ≤ 2 storeys (incl 0) No information Figure 34: Evolution of timber building heights in Europe. Source: (Östman & Källsner, 2011) Regarding fire safety and soundproofing in higher- resistance for specified periods of time, there are rise multi-family residential buildings, the two main differences regarding the spread of fire and smoke gaps identified in European regulations, , it is noted that Chilean regulations cover in less detail. that (Östman & Källsner, 2011): • Sound and vibration: the requirements and • Fire safety: fire safety requirements apply to all categories for soundproofing vary between buildings, regardless of the construction material, European countries and consider different and tend to state that structures must be designed indicators including frequency ranges and and built so that in the event of a fire they behave prescriptive performance levels. Most countries in a certain way. The design and construction have prescriptive requirements for airborne sound must ensure that it can be assumed that the reduction rates and maximum normalized impact structural load capacity will be maintained for a sound pressure levels, with similar methodology specific length of time, the generation and spread to Chile’s. European nations have requirements for of fire and smoke is limited, the spread of fire to airborne sound reduction rates, with a difference neighboring structures is restricted, occupants between countries of minimum and maximum can leave the building or be rescued by other of 5dB for multi-story buildings and 10dB for means, and finally the safety of rescue teams is houses, and requirements for sound insulation considered. These essential requirements are due to normalized impact with variation between implemented and detailed in European standards, countries around at 17dB for multi-story buildings which mainly regulate aspects of reaction and and 22dB for houses. Austria and Sweden have resistance to fire. Although there are similarities the most restrictive and comprehensive regulations to Chile and the requirements of structures’ fire of this kind. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 44 The spirit of European standards tends to unify rise multi-family buildings, without requiring additional regulatory criteria between countries and reduce studies to demonstrate performance. It is however barriers between them, and some countries have possible to diverge from standards if the required fire been able to develop timber construction faster. performance is demonstrated through a performance Examples of this are the modernization of timber methodology (Meacham, 2010). construction regulations in Germany, Austria, the United Kingdom and Scandinavian countries. Austria was a pioneer in the adoption of building codes based on performance systems, through the construction of three high-rise timber buildings, GERMANY which cleared the way for the development of urban densification projects. The first project was The regulations of the German building code are the 8-story LifeCycle Tower One in 2008; the second defined at the national level by the Model Building was the 7-story Wagramer Strasse, built in 2013; and Code (MBC), which establishes the requirements the third was the 24-story (64-meter) HoHo high rise. for construction in timber and other materials. The latter was completed in 2019 and is the tallest Although this code allows the development of timber hybrid timber building in the world today and cleared buildings up to 3 floors high under prescriptive the regulatory path for this type of building. requirements, mainly focused on single-family homes, in 2002 MBC regulations extended the authorization to structures 5 floors high, or 13 meters (Wiegand, UNITED KINGDOM 2019). By simplifying the validation processes for the design of timber buildings, especially for multi-family The United Kingdom has a significant tradition in residential projects, densification projects in urban low-rise timber construction, and also developed environments and the wider use of mid-rise timber one of the first European regulations that allow buildings were facilitated. the construction of multi-story buildings. The tragedies of large urban fires and the emergence of The national code even allows the development of new materials during the industrial revolution lead to timber buildings taller than five stories, but these restrictions on the use of timber in construction, but must also satisfy local authority requirements in nonetheless the building code was modified in 1991 to each community and demonstrate performance allow timber to be used in new projects. This allowed through performance methodologies. Seven such the development of multi-family timber residential buildings have been developed in Germany, and projects up to 8 stories high in England and Wales, they required various studies and tests to guarantee and made 4-story timber buildings more widespread their performance. These projects are the 7-story E3 throughout the country (Jonsson, 2009). Subsequent building, built in 2008; a prototype project 4 and 8 building code updates incorporated a model of stories high, developed by Schankula Architects and precedent-based performance approval, albeit with the B&O developers, in 2011; the 7-story C13 building, more complex requirements, which was key to further in 2014; the 7-story N7 building in 2014; the 10-story innovation in timber buildings (Wigand, 2019). SKAIO building in 2019; and two 7 and 8-story towers called SXB Towers, scheduled for completion in 2021 The 8-story concrete-wood Stadhaus social and (Wigand, 2019). private housing project built in 2008 in London is an international benchmark, through being the first modern timber building in the world. AUSTRIA As a pioneer in its class, the project was subject to numerous requirements and studies during its Mainly because of fire risk issues, the current design and construction, and had to comply with the Austrian building code limits timber buildings to European Technical Approval (ETA) system regards 22 meters high -6 or 7 stories- through designs fire resistance, structure and thermal performance, for based on prescriptive requirements. This allows the which the engineered wood supplier KLH had product development of low-rise single-family homes and mid- approval (Wigand, 2019). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 45 Since Stadhaus was built, a series of public building in 2015; the 9-story Moholt building in policies and local and national initiatives have 2016; and the 18-story Mjøstårnet building in 2019. created a favorable environment for timber Each project had to carry out fire studies and tests buildings in the country. Initiatives such as Timber for approval, in compliance with local regulations First and Wood for Good emerged, addressing (Moelven, 2018). the benefits of timber construction from different perspectives, among which its environmental and Strategies have emerged in Finland since the climate change credentials were key. More than 1990s that promote timber construction, mainly 500 CLT buildings and 5 high-rise buildings have associated with R&D projects and technological been built in the country: the 8-story CLT Bridport diffusion (Hurmekoski et al. 2015). This regulatory building in 2011 in London; the 10-story Cube hybrid change led to greater development of timber in 2015 in London; the 10-story Trafalgar Place hybrid projects, in parallel with a national plan for the building, completed in 2015 in London; the 7-story increased use of timber and a bioeconomy model. UEA Blackdale student residence in 2016 in Norwich; The country’s fire safety regulations were updated and the 10-story Dalston building in 2017 in London in 1997, allowing the use of timber in residential and (Wigand, 2019). office buildings up to 4 stories high and without the need for special permits. After a decade of successful experiences, in 2011 and 2018 regulations were SCANDINAVIA (NORWAY, FINLAND AND updated, first allowing timber in buildings up to 8 SWEDEN) stories and then permitting exposed timber. Finland has since built emblematic timber projects such as Puukuokka, which has three buildings 6 to 8 stories Norway, Finland and Sweden have used high and was built between 2014 and 2018; the timber for centuries as a primary material in 16-floor Lighthouse project in 2019; and the 8-floor the construction of low-rise buildings. The Wood City in 2020 (Wigand, 2019). connection of timber with their globally significant forestry industries further developed timber- Just as Sweden’s national policy encourages based construction products and systems. The the use of timber in construction, local policies connection with national construction and industrial independent of the central government have sectors is strongly supported by government also played a major role in the development of institutions and academia. In Norway there has been timber buildings (Wigand, 2019). An example is recent progress on developing multi-family residential the Sweden National Timber Construction Strategy projects more than 2 stories high, and the country’s (SNTCS), which since 2004 has promoted R&D first 5-story building was built in 2005; while in Finland initiatives and policies aimed at increasing timber the first higher-rise building was built in 2014, and in construction in the country. Municipal policies such Sweden the first was completed in 2008, standing 8 as those of Välle Broar in 2013 have proposed that stories high. in some areas 25 percent of new buildings should be timber by 2015 and 50 percent by 2020 (Johansson Norway’s government adopted a functional Schauerte, 2015). Seven emblematic projects have building code for alternative construction been completed in recent decades: the 8-story solutions in 1997 under which performance Limnologen building in 2008, the Alvsbacka Park requirements by functionality had to be project with three 7-story towers that was built demonstrated for high-rise timber buildings. This between 2008 and 2010, the two 8-story Portvakten allowed more development of this type of building, towers in 2010, the 8-story Strandparken building and since the code was implemented Norway has in 2015, and the 9-story Vallen building in 2014 completed 3 timber buildings: the 14-story Treet (Wigand, 2019). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 46 2.3. REGULATORY EXPERIENCE IN NORTH AMERICA North America has a centuries-long tradition of buildings. Despite lagging behind Europe a timber construction. This is due to the abundance little in this respect, there are projects in North of high-quality materials and generalized America that aim to make timber projects more regulatory frameworks that allow the development large scale. An example is the Sidewalk Labs of timber buildings through prescriptive codes, projects in Toronto (Sidewalk Labs, 2020), which and the large scale of low-rise solutions. Timber includes timber high-rises up to 35 stories high. This is an attractive building material from an economic makes use of the multiple benefits of timber in the point of view that is widely used in frame construction context of sustainable construction and could create and in post and beam construction. Timber is most a new industry capable of moving millions of dollars widely used in Canada and the United States, where through making industrialized timber buildings in the it accounts for more than 80% of buildings per year. region more widespread. In Mexico meanwhile, although there is some timber construction, work on a regulatory update has just started and use has not been widespread to date CANADA (Reynoso, 2017). In Canada 95 percent of residential buildings are North American countries have completely timber framed. At the beginning of the 1900s light- independent regulatory frameworks, unlike framed buildings using large dimension timber Europe where regulatory frameworks tend to be were built as high as 10 stories, some of which are aligned, in smaller geographical areas and with used to this day. Timber framing is a construction open borders. Each regulatory case therefore has method using 38mm x 89mm-286mm timbers with to be reviewed independently. In both Canada and equidistant trusses up to 600mm apart (Canadian the United States, fire safety regulations are the main Wood Council, 2020). New fire safety regulatory barrier (Veilleux, Gagnon, & Dagenais, 2015). requirements in the 20th century stopped the further development of high-rise buildings. After tragic urban fires in Canada and the United States in buildings with older designs (open Today there are significant developments in the staircases, corridors and vertical shafts, without updating of building codes regarding the use of sprinklers, and with no automatic fire detection timber in different provinces of Canada. In 2009 and alarm systems), awareness increased regards a modification of provincial regulations in British the risks of timber buildings. The lessons learned Columbia and the British Columbia Building Code from these fires directly impacted the configuration of (BCBC) authorized an increase in the maximum building codes in both Canada and the United States, height of timber buildings from 4 floors to 6, resulting and existing regulations were revised and new ones in the development of more than 300 residential created to prevent the recurrence of such tragedies. buildings. This also prompted the provinces of Over the years these reviews included factors Quebec, Ontario and Alberta to update their building such as stipulated non-combustible construction codes; moves that became effective in 2013 and for some buildings, limits to the flammability of 2015, respectively. These positive experiences, building materials, the introduction of the concept of and acceptance by the Canadian Commission on compartmentalization, requirements for fire alarms Building and Fire Codes (CCBFC) to modify the and fire detection systems, and building evacuation National Model Construction Codes, led to the 2015 improvements. update of the National Building Code of Canada (NBC), allowing the construction of timber buildings In North America as in Europe, moves are being up to 6 floors high, through prescriptive systems, made to update regulations to allow and make although with certain fire-related limits such as more widespread taller multi-family timber (Canadian Wood Council, 2020): THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 47 • Increasing the use of automatic sprinklers in • Higher density of structural walls and their residential areas. continuity throughout buildings. • Increasing the use of sprinklers on balconies. • Higher resistance requirements for fire compartmentalization elements in taller buildings • Greater dimensioning of water supply for with greater surface areas. firefighting. • Higher soundproofing performance standards, in • Requiring exterior coverings to be least 90 percent line with requirements for apartment buildings. non-flammable or of limited flammability on all floors. • Considerations for greater exposure of materials during construction, due to longer execution times. Canadian regulations, determined by the Canadian Wood Council (CWC), pose some significant • Mitigation strategies to reduce fire risk during challenges to the large-scale development of mid-rise construction. buildings, such as: • Changes in construction sequences, due to the • Greater potential for shrinkage by accumulative incorporation of prefabricated systems, new contraction and greater differential movements technologies and processes. between types of materials, resulting from increased height. Although the most common timber construction system in Canada is still lightweight timber • An increase in dead, live, wind and seismic loads frames, in recent years solid wood solutions such resulting from buildings being taller. as CLT been used more in the construction sector. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 48 According to research carried out in Canada, multi- in Canada, more restrictive regulatory updates in the story buildings with higher structural requirements last century regarding fire risk limited the use of timber require the use of materials such as glued laminated in larger buildings, hindered by doubts on structural timber, structural composite wood or CLT for stability properties and concern about the protection of and seismic performance (Veilleux, Gagnon, & residents in the event of fire (Schmidt, 2013). Dagenais, 2015). These solid solutions allow the development of more flexible designs, with greater In the United States, timber is widely used in free spans and heights, although they can result in the construction of single-family homes and in higher construction costs. multi-family buildings up to 6 stories high. The frame building system is the most common choice After the BCBC was updated and the first for residential and low-rise buildings. The adoption 6-story building was built in Vancouver in 2010, of performance codes in the 1980s allowed the public sector support was fundamental for the development of alternative solutions and, therefore, development of new projects that aimed to multi-family buildings with more floors (Wiegand, 2019). introduce a new generation of tall timber buildings in Canada. The University of British Columbia (UBC) US regulations make it difficult to develop began a work program to develop multiple innovation timber buildings beyond prescriptive standards. projects in tall timber, aiming to create knowledge for Tests of variables such as fire resistance, structural technological validation and to propose regulatory performance, soundproofing behavior, and the modifications to new standards of good practices. assembly of construction elements are required. UBC built the Wood Innovation and Design Center Without additional contributions from R&D funds, (WIDC) building on its campus in 2014, the first 8-story this makes the development of innovative projects CLT building higher than the 6 stories established in timber extremely difficult, and the required by the standards of the time. Then, after various performance tests can make projects unfeasible. Only intermediate projects, UBC inaugurated in 2017 the two tall timber buildings have therefore been designed 18-story Brock Commons building, with a hybrid in the high-risk seismic zone of the Pacific coast, structure of concrete cores and CLT floor panels. both with contributions from R&D funds aiming to Both the Brock Commons project and the 13-story make these pioneering projects feasible: the 12-story CLT Origine Project built in 2017 in Quebec were Framework building built in Portland in 2015; and the developed with state support through the Tall Wood 8-story Carbon12 building, also in Portland, built in Building Demonstration Initiative (TWDI), allowing 2018 (Wiegand, 2019). the development of a design guide for 12-story buildings, the Instructions and Explanatory Guide These R&D projects developed both in the United for Mass Timber Buildings of up to 12 Storeys (RBQ States and Canada influenced changes in the new guide). These experiences and the guides developed edition of the International Code Council (ICC). allowed the development of the Arbora multifamily Considerations such as new fire protection practices, residential building in Montreal in 2019, which was the structural performance of engineered wood, and first high-rise timber building in Canada developed seismic behavior were thus included, supported by in an economically profitable model and without the the incorporation of three new classifications of timber support of R&D funds (Wigand 2019), demonstrating buildings of 9, 12 and 18 stories high (Wigand, 2019). the importance of public sector support in developing emblematic projects. In the United States, building codes depend on each state, varying between maximum heights of 4, 6, 9, and up to 18 stories. The Oregon Building UNITED STATES OF AMERICA Code, for example, already accepted a proposal in 2018 and provides prescriptive considerations for More than 85 percent of the homes built in the the development of multi-family timber buildings up United States each year have timber frames. to 18 stories high (Woodworks, 2019). The 7-story Timber-framed structures have served the needs of T3 building, completed in Minneapolis in 2015, society since the 1700s, from single-family homes to was the first modern high-rise timber building in the large multi-story apartment buildings, townhouses, United States, and secured its approval through commercial and industrial properties. However, as performance-based requirements. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 49 2.4. REGULATORY EXPERIENCE IN OCEANIA Regulations on timber construction in Oceania building code, as in Chile’s, the required fire resistance are mainly related to experiences in New Zealand depends on the height of the building, the building use and Australia, and both tend to homologate and type, the presence of sprinklers, evacuation routes regulatory requirements. Although not exactly and other factors. A difference from Chile is that a the same, New Zealand Building Code (NZBC) and project can diverge from prescriptive requirements if a Australia’s National Construction Code regulations fire engineer provides an adequate fire safety design as are similar and address prescriptive and performance an alternative solution (WoodSolutions, 2016). considerations. The development of joint standards, known as AS/NZ, are similar to those in Europe and In May 2016, Australia updated its building its cross-border standards. codes according to its NCC, allowing timber buildings of up to 8 stories or 25 meters without In Australia and New Zealand the experience requiring a performance review through additional in updating timber construction regulations, engineering projects (Forestal Maderero, 2017). especially regarding the development of multi- Australian regulations also allow the development family buildings, is less than in Europe and North of taller buildings through the study of performance America (Australian Government, 2019). Although requirements and associated standards. This has led the forestry sector is a key part of the economy and to the construction the Forté Apartments multifamily derivative products for the construction sector are an residential building in Melbourne, made using CLT economic development engine of each country, the and completed in 2013, and the present-day flagship timber construction sector is mainly concentrated on building for timber construction in the country. single-family homes. Australia has a larger construction sector than New Zealand and accounts for a large part of the region’s associated resources. Australia builds NEW ZEALAND around 230,000 timber houses a year, the highest number in the region, and much more than the 35,000 New Zealand shares many similarities with houses built per year in New Zealand. Australia, with light-framed 2- to 3-story single- family houses the most commonplace. This is because through Standard NZS 3604: 2011, the AUSTRALIA NZBC provides prescriptive requirements for timber buildings up to 2 stories high with a habitable loft. For Australia’s timber construction is mainly low- the development of multi-family residential buildings rise, associated with prescriptive regulatory more than 2 stories high, a performance design must codes that once limited timber buildings to a be carried out using Standard NZS 3603: 1993, which 3-story maximum height. There are not many multi- is currently being revised to incorporate new design story apartment projects, and there are perceptions guidelines for a wider range of timber building types, of higher maintenance costs and fire risks, and a and which is based on Australian Standard AS 1720.1 lack of knowledge about new timber construction (Branz, 2019). technologies (Xia et al., 2014). Sawn softwood is commonly used for structural framing, floors and In New Zealand, the main challenges to roof trusses, and sawn and veneered hardwood is timber construction are again fire safety and commonly used for floor coverings and furnishings, as soundproofing requirements. As in Chile, New finishing products. Zealand is currently exploring alternatives to develop a roadmap to allow the larger-scale development of The fire safety requirement is one of the main 6-story buildings with light timber frames (Branz, 2019). factors limiting timber structures. In Australia’s THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 50 2.5. THE CHILEAN REGULATORY FRAMEWORK. In Chile the development of construction projects, environmental pollution saturation levels. These especially residential projects, is subject to instruments determine technical requirements that one of the most robust regulatory frameworks buildings such as homes must meet, and may be even in Latin America and the Caribbean. The sector more restrictive than those established in the OGUC, in is mainly governed by the General Law of Urban areas such as the minimum required thermal insulation, Planning and Construction (LGUC), which is the legal air-tightness, and condensation risks. document containing the principles, attributions, authority, faculties, responsibilities, rights, sanctions Chilean regulatory frameworks are detailed and other norms that in turn regulate the organisms, in specific manuals and/or Chilean technical officials, professionals and individuals involved in regulations (NCh)that are written by the National urban planning, urbanization and construction actions Standards Institute (INN). NCh technical standards in Chile (Articles 1 and 2, LGUC). Furthermore, the are referenced in legal and regulatory documents LGUC is regulated by the Bylaw of Urban Planning and such as the OGUC or PDAs, which as appropriate Construction (OGUC), which contains the regulatory and required means they can be required in the provisions of the law, and regulates administrative different legal procedures in the development of a procedures, the urban planning process, the building project. urbanization of land, construction and technical design and construction standards required in urbanization Although all buildings in Chile must comply with and construction (Article 2, LGUC) (MINVU, 2020a). the minimum regulatory requirements in their construction and subsequent approval, some Through their Municipal Works Departments requirements may have a greater effect on the (DOM), municipalities, are responsible for ensuring chosen building materials. The main regulatory that projects in their respective administrative requirements according to international literature areas comply with legal and regulatory (Östman & Källsner 2011) and national requirements frameworks (Article 142, LGUC). Each municipality (OGUC, 2019; Madera 21, 2020) are presented may or may not define territorial planning instruments below, and represent the greatest obstacles for the that include provisions on building conditions and development of residential projects using timber. urban spaces (Article 41 LGUC). These instruments are called Communal Regulatory Plans, and aim to define conditions (e.g., maximum heights, distances, FIRE RESISTANCE street profiles, sky exposure planes, others) for areas according to residential, work, equipment and density The OGUC considers fire resistance as a considerations (MINVU, 2020b). The DOM requires characteristic of a construction solution that that any project carried out in its jurisdiction, except in considers the multiple constructive layers cases governed by OGUC Article 5.1.2, must request independently of their respective materials, since construction and definitive reception permits in which the combination of layers contributes to and regulatory compliance is verified. constitutes the final fire resistance. Timber’s level of fire resistance depends on the type of timber and the Other legal instruments can establish additional size of the piece, and it creates a carbonized layer that regulatory requirements, depending on the insulates against fire and protects the central structural end-use of the property. These can be sanitary, integrity of a piece, prolonging its fire resistance. environmental or other, and depend mainly on the Timber elements of greater size and/or density tend to defined program according to its use. For example, have higher fire resistance and a slower carbonization in the area of housing, there are Atmospheric rate, while smaller and/or less dense elements, such as Decontamination Plans (PDAs) establishing legal those used in framing systems, may require additional requirements in some cities in Chile regarding layers of fire protection. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 51 Fire protection is based on the time necessary to • Passive protection: based on the capacity of evacuate inhabitants in the event of a fire before constructive solutions, which due to their physical the possible collapse of the building, avoiding and configuration conditions can protect a building loss of life and the spread of fire from one from the action of fire for a determined period. building to another, as detailed in OGUC Articles 4.3.3 and 4.3.4. It is important to note that this Although in Chilean regulations active protection requirement seeks to protect people’s lives, and so in is not directly related to construction materials, residential buildings the aim is not to protect property. they allow flexibility only in some of the Regulations do not discriminate between materials, prescriptive requirements. Passive protection and define a general prescriptive standard. will depend exclusively on the materials used in the construction of a building. Different resistance The OGUC also refers to active and passive fire safety times are required as appropriate, called “F-” followed systems: by the resistance time in minutes, depending on the function of the construction element; the number of • Active protection: the use of systems or devices floors in the structure of the property; as well as the that automatically detect and fight a fire, for use of indoor spaces; the amount of built space, the example, through smoke detection sensors, fire occupancy rate, or the fuel load density. extinguishers and sprinklers. Table 1: Required fire resistance for residential construction elements. Source: OGUC, 2009 Vertical Dividing walls Non security zone between Vertical supporting Horizontal Roof N° Fireproof walls and Elevator shaft units (up to supporting walls and supporting including floors walls stairwell walls the roof) elements partitions Stairs elements false ceilings >=6 F-180 F-120 F-120 F-120 F-120 F-30 F-60 F-120 F-60 5 F-150 F-120 F-90 F-90 F-90 F-15 F-30 F-90 F-60 3y4 F-120 F-90 F-60 F-60 F-60 - F-15 F-60 F-30 1y2 F-120 F-60 F-60 F-60 F-30 - - F-30 F-15 Fire resistance requirements for small homes, projects with defined subsidies, where for example such as social housing, are lower than those for a social apartment in a 6-story high timber-framed larger homes or high-rise buildings. This is stated in building requires F-120 walls with three fire-resistant OGUC Article 4.3.5, paragraph 14, which establishes plasterboards, while 2-story social housing only that homes with a constructed area of less than requires F-15 walls with standard plasterboard. 140m² and less than 2 stories high, with the exception of adjoining walls, only need F-15 fire resistance Multilayer solutions, such as the timber framing (15-minute resistance). Fire standards and associated system, will require more studies and/or tests costs are considerably higher in timber social housing for regulatory approval regards fire than simple apartment buildings over 3 stories high. monolithic solutions such as concrete or masonry. This is due to frame solutions being highly specialized; Construction costs differ between buildings and depending on where in a project they are located, of higher and lower height due to timber being the types of panels used, fixings, spacings and many required to have more complex fire protection other factors may vary, requiring the validation of each solutions. This can be especially sensitive in social variant with the project and regulations. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 52 To demonstrate the fire resistance of a construction • A solution registered in the official fire behavior solution to DOM, one of the following requirements list, based on construction solutions tested and must be met: presented to MINVU. This list is periodically updated, and the current version dates from • A test report carried out by a laboratory registered March 2014. by MINVU, based on Standard NCh935/1- Fire resistance test - Part 1: General construction • A certificate of assimilation based on a report elements. To date in Chile there is only one issued by a relevant specialist entity registered laboratory with MINVU registration, the University with MINVU. of Chile’s IDIEM (Research, Development and Innovation in Materials Structures). Figure 35: Test NCh935/1, with a floor solution on the left and a wall on the right. Source: IDIEM, 2018 Chilean regulations do not make special reference between residential units of semi-detached buildings, to the compartmentalization of buildings against or between residential units that are contiguous to fire and the spread of smoke, unlike regulations in non-habitable areas, defined in OGUC Articles 4.1.5 developed countries. There is therefore a regulatory and 4.1.6. Regulations do not discriminate between gap that could cause concern, especially regarding materials and are a prescriptive standard. taller timber buildings. The OGUC defines two forms of sound propagation through residential construction elements, which are SOUNDPROOFING STANDARDS OF defined by their emission: CONSTRUCTION ELEMENTS • Airborne sound: this refers to sound waves transmitted through the air, which cause In Chilean regulations, the requirement for movement of air molecules from an emitting specific soundproofing performance is limited to source to a receiving source. “The compressions specific construction elements and applies only to or depressions (expansions) of the air, when elements that separate or divide residential units. impacting on a wall or floor, cause it to begin These elements must be part of a collective building, to vibrate, transmitting its deformations to air in between residential units of continuous buildings, the adjacent space, becoming in turn a source THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 53 of sound production. The transmission routes independent tests must be carried out on the different can be direct or indirect.” In the latter, indirect configurations of construction solutions typical of airborne sound transmission also has a structural rooms such as bedrooms, bathrooms, kitchens, and component that excites and makes construction corridors. This can significantly impact project costs elements vibrate; thus, “this joint vibration of and deadlines, causing developers and/or designers to partitions and structure becomes airborne not use timber for certain projects. noise in the annexed areas,” according to the soundproofing regulation application manual To demonstrate fulfilment of the above, one of the (MINVU, 2006a). following must be submitted to DOM: • Impact sound: refers to the sound waves • A sound test report by a MINVU-registered transmitted in the form of vibration through solid laboratory, according to the test method specified bodies or structures due to impacts, footsteps, in Standard NCh2786 for the sound reduction hammer blows, moving furniture, and others. “This index, weighted according to ISO 717-1; and ISO vibration is transmitted very quickly through the 140-6 for definition of normalized impact sound entire structure with very little energy loss (thermal pressure, weighted according to ISO 717-2. In dissipation) and can affect the entire building by Chile there is only one laboratory with current indirect transmission.” This noise is subsequently MINVU registration, the University of Chile’s transmitted into the air, mainly at low frequencies IDIEM (Research, Development and Innovation in according to the soundproofing regulation Materials Structures). application manual (MINVU, 2006a). • An on-site inspection report, issued by IDIEM, as The regulatory requirements established in OGUC established for the apparent noise reduction index Article 4.1.6 aim to ensure minimum soundproofing in vertical and horizontal construction elements in homes, with regard to neighboring units. It according to Standard NCh2785, weighted establishes airborne sound reduction rates of 45dB(A) according to ISO 717-1. To obtain normalized for horizontal and vertical dividing elements, while for impact sound pressure levels in horizontal horizontal or diagonal elements that make divisions construction elements, the provisions of ISO 140-7 between residential units, it additionally establishes a are considered, weighted according to ISO 717-2. normalized impact sound pressure level of up to 75dB. • A solution registered in the official list of As in the case of fire behavior, the different construction solutions for soundproofing, based layers of timber framing systems will require on construction solutions tested and submitted to more tests for their soundproofing approval than MINVU. This list is periodically updated, and the simple monolithic solutions of some traditional current version dates from March 2014. systems. In dividing elements between housing units, Figure 36: Test NCh2786 of a dividing wall, with the receiving room on the left and the emitting room on the right. Source: CPIA, 2017 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 54 Prescriptive airborne sound reduction index insulation - Determination of thermal transmission requirements in Chile have been an important properties in steady state and related properties challenge to low-mass construction solutions. - Calibrated and retained thermal chamber or This applies to timber frame construction solutions, by calculation as indicated in Standard NCh853 which generally require more sophisticated Thermal conditioning - Thermal envelope of construction details to obtain minimum performance buildings - Calculation of thermal resistances levels. An example of the above is the incorporation and transmittances” (MINVU Thermal Regulation of soundproof membranes or detached wooden Application Manual, 2006). framework structures, which tends to make the construction of elements for residential apartments • Thermal resistance: this corresponds to the more expensive and complex in higher-rise buildings. resistance to the passage of the heat flow of a layer of material, considering in the case of the total thermal resistance Rt, the sum of the THERMAL INSULATION OF CONSTRUCTION resistance of all the layers of the construction element. Thus, it corresponds to the inverse ELEMENTS of the element’s thermal transmittance, and is expressed in m2K/W. There are prescriptive requirements for the performance of thermal insulation of opaque • R100: this is, according to Standard NCh2251, and transparent elements of housing envelopes. the thermal resistance of a building material or Chilean regulations on thermal performance are element, multiplied by 100. Within the regulatory governed as indicated in OGUC Article 4.1.10, and framework it is associated with the labeling of consider seven thermal zones in the country, based insulating materials used in construction. on degree day methodology for heating according to the Thermal Regulation Application Manual The higher regulatory thermal requirements are, (MINVU, 2006b). the greater the advantage of timber systems over other common materials. This is especially true In Chile, the requirements related to this Article in taller buildings, where larger sections of timber have increased in different stages over time and structural frames allow the installation of more are the first such initiative in Latin America and perimeter thermal insulation and therefore better the Caribbean. It was implemented in 2000 with performance than other materials. The calculation minimum requirements for the thermal insulation of thermal transmittance therefore considers the of roofs, and in 2007 incorporated walls, ventilated thermal conductivity properties of each material tested floors and percentages of windows according to according to Standard NCh850 Thermal insulation - insulation. Requirements are that the envelope Determination of thermal resistance in steady state and elements must comply with a maximum UW/m2K related properties - Guarded hot plate apparatus. It is thermal transmittance, or a minimum R m2K/W here that timber presents an opportunity versus other thermal resistance, or a minimum R100 labeling common construction materials, since the thermal (applied to a specific thermal insulation element), and conductivity of wood such as pine is in the range of definition of maximum percentages of glazing per 0.104 W/mK, while concrete has a conductivity 16 envelope, according to thermal transmittance of the times greater (1.63 W/mK) and steel is 558 times window assembly. greater (58 W/mK).Timber framing systems have the additional benefit of leaving interior air cavities that • Thermal transmittance: this property of a allow the installation of significant thicknesses of construction element composed of one or more thermal insulation which, added to the low conductivity materials, corresponds to the “heat flow that of the timber of the framing structure, provide passes per unit area of the element and per outstanding thermal performance. degree of temperature difference between the two environments separated by said element. It Although timber has a clear advantage in corresponds to the inverse of the total thermal thermal performance versus other materials, resistance Rt of an element and is expressed the complexity of using multiple layers in in W/m2K. It is determined experimentally framing systems will require the validation of according to Standard NCh851, Thermal each specified construction solution and make THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 55 regulatory compliance more complex. The based on construction solutions tested and construction complexity of timber framing systems submitted to MINVU. This list is periodically compared to monolithic solutions requires the updated, and the current version dates from evaluation of the thermal performance of each part March 2014. of the construction system, as well as its overall performance. Regulations require the evaluation not As part of public policies aimed at increasing only of thermally insulated chambers, but also timber’s residential energy efficiency and sustainability, thermal bridges, requiring more complex studies that MINVU has launched two tools to rate and certify may discourage its use. housing. Currently MINVU has two voluntary tools available that focus on the energy efficiency and To demonstrate compliance with the requirements sustainability of homes, and it is expected that they will established in Article 4.1.10, one of the following must become mandatory in future regulatory updates: be submitted to DOM: • Housing energy rating (Calificación energética • The incorporation of an insulating material labeled de viviendas; CEV): launched in 2014, CEV “is with the corresponding R100, in accordance with a voluntary instrument, which rates the energy Technical Standard NCh2251. efficiency of a home in its usage stage -a similar system to that used in the energy labelling of • A test certificate issued by a laboratory with current refrigerators and cars- that considers heating, MINVU registration, demonstrating compliance cooling, lighting, and domestic hot water with the transmittance or total thermal resistance requirements.” (Calificaciónenergética, 2020) of the construction element. • Sustainable Housing Certification (Certificación • A calculation carried out by a competent vivienda sustentable; CVS): “A voluntary residential professional and in accordance with the provisions environmental certification system that aims of Standard NCh853, demonstrating compliance to accelerate the transition towards a more with the required transmittance or thermal sustainable way of building. This certification is resistance of the construction element. based on the Sustainable Construction Standards for Homes, published in 2016 by MINVU.” • A solution registered in the official list of (Csustentable, 2020) construction solutions for thermal conditioning, THERMAL INSULATION (OGUC ART. 4.1.10) First Stage (March 2000), Requirements for roofing of new housing THERMAL INSULATION (OGUC ART. 4.1.10) Second Stage (In effect since 04-01-2007) Requirements for roofing, walls, ventilated floors and windows of new housing THERMAL INSULATION (OGUC ART. 4.1.10) SUSTAINABLE HOUSING CERTIFICATION (CVS): HOUSING ENERGY RATING (CEV) Third Stage: In studies Voluntary, published 2000 (In effect since 2013, voluntary for new housing) Anticipated to be extended to existing housing in the future Figure 37: Evolution of Chilean standards for the thermal conditioning of buildings (the colored elements are in force at present). Source: Compiled by authors with data from EMB Construcción, 2016. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 56 New such requirements have been incorporated some cities of the country stand out. For example, through Atmospheric Decontamination Plans in cold-climate cities with contamination problems (PDAs), which aim to reduce air pollution levels resulting from the use of firewood for heating, PDAs through implementing specific measures and establish higher thermal insulation requirements than actions, aimed at protecting public health. In those defined in the OGUC Article 4.1.10, along with relation to other legislative initiatives that aim to improve new complementary prescriptive requirements, such hygrothermal performance and reduce polluting as reducing the risk of condensation, as well as air- emissions from homes, the PDAs implemented in tightness and ventilation to ensure adequate air quality Huasco PM10 Andacollo PM10 Ventanas PM10 y SO2 Metropolitan Region PM2.5 Talca y Maule PM10 and PM2.5 ATMOSPHERIC Curicó PM10 and PM2.5 DECONTAMINATION Chillán and Chillán Viejo PM10 and PM2.5 Greater Concepcion PM10 and PM2.5 PLANS Los Ángeles PM10 and PM2.5 Temuco and Padre Las Casas PM2.5 Valdivia PM10 and PM2.5 Osorno PM10 and PM2.5 Coyhaique PM10 Coyhaique PM2.5 Figure 38: Atmospheric decontamination plan strategy 2014-2018. Cities with valid plans are shown. Source: MMA, 2014. Instruments such as PDAs, with higher standards of their construction materials. This outlines of energy efficiency and sustainability, are concepts of height and materials through a expected to promote the use of timber as a clean, performance requirement. Exceptionally, for efficient, and renewable resource, especially in timber buildings that do not have a state subsidy taller buildings. Initiatives such as the expansion of and are not more than two stories high, structural thermal requirements in the OGUC and the definition stability analysis is not required and only prescriptive of higher comfort standards in social housing subsidy performance requirements of the construction decrees indicate that the decrees will promote the use elements detailed should be met. of timber in higher-standard buildings. Requirements regarding high-rise buildings refer specifically to the variables of load and STRUCTURAL STABILITY AND SEISMIC construction materials. These variables are stipulated in Standard NCh433 Seismic Design of REGULATIONS Buildings, which covers the load variable, taking into account different considerations of Chilean In terms of the force considered in building geography as a seismic factor (three seismic zones), design for seismic requirements, the OGUC climatic conditions such as the actions of wind defines conditions for the analysis of structural and snow, and the analysis of dead and live loads. stability that buildings must meet regardless Timber structures and their construction systems THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 57 are stipulated in Standard NCh1198 Timber – Timber of an earthquake, a building with a flexible timber Construction – Calculation, which refers to the design structure must behave like a concrete building. This of elements and connections, considering structural translates into an oversizing of the timber structure characteristics of sawn timber, laminates and posts. systems and a significant increase in construction However, there are no specific references regarding costs (Santa Maria, 2016). the design of timber structural walls and there are no regulations regarding the type of frame design or industrial timber. SPECIFIC REGULATIONS REGARDING THE USE OF TIMBER IN BUILDINGS. According to OGUC, structural stability projects for timber buildings must consider minimum standards, as appropriate, such as: Different classes of timber structures are defined in OGUC Chapter 3, Article 5.3.1, according to • NCh433 Seismic design of buildings the predominant material and type of structure. The classes that include the significant use of • NCh1198 Timber – Timber Construction - structural timber are: Class E - constructions with Calculation a supporting timber structure; partitions of timber, fiber cement, plasterboard or similar, including adobe • NCh1990 Timber – Permissible stresses for partitions; timber floors; and Class H - prefabricated structural timber timber buildings; partitions of timber, fiber cement, plasterboard or similar. It should be noted that classes • NCh2151 Structural glued laminated timber - are not defined for timber construction systems based Vocabulary on SIP panels, industrialized timber or engineered timber, among other solutions of greater structural • NCh2165 Permissible stresses for radiata pine complexity. These require the use of foreign standards structural glued laminated timber. for the definition of the structural stability, as well project validation by a qualified Structural Calculation A qualified Structural Calculation Project Project Reviewer. Reviewer should review the project in the following cases: (a) buildings for public use; (b) OGUC Chapter 6 refers to minimum conditions and residential complexes whose construction has been standards of construction elements not subject to contracted by the Housing and Urbanization Service; structural stability calculation, to be able to build (c) social housing complexes with 3 or more floors; timber-structured buildings up to 2 stories high (d) residential complexes with 3 or more floors that and according to materiality. In Articles 5.6.6 “Floor are not social; (e) buildings with 3 or more floors framing” and 5.6.7 “Timber buildings”, the minimum for private office use only; (f) buildings that have to requirements for the design and construction of a continue to operate in emergency situations, such as timber building are specified, according to the following hospitals, fire stations, police stations, control centers specific standards: for energy, health and telecommunications services; and (g) buildings whose structural calculation is • NCh1989 Timber – Strength grouping by species – based on foreign standards, which must be declared Procedure when applying for the permit. • NCh1970/1 Timber - Part 1: Hardwood - In Chile there are no maximum height Visual classification for structural purposes - requirements for the construction of timber Specifications for grading. buildings, and they are limited exclusively by the capacity of the construction systems to meet • NCh1970/2 Timber - Part 1: Softwood - structural technical requirements. This is because Visual classification for structural purposes - the current standard in Chile for the seismic design Specifications for grading. of buildings was developed considering values of maximum admissible drift between floors derived • NCh1207 Radiata pine - Visual grading for from the construction of rigid concrete buildings. This structural use - Specifications of quality grades means that the regulations require that in the event THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 58 • NCh1079 Architecture and construction facilitate the specification of different systems or – Residential climate zoning for Chile and variants. A second part of Standard NCh1198 is recommendations for architectural design, for the proposed, called NCh1198/2 Timber – Timber definition of permitted moisture content according constructions - Calculation Part 2: Calculation of to climate zone. structures exposed to fire. • NCh789/1 Timber - Part 1: Grading of commercial • Update of soundproofing requirements: new wood according to its natural durability. for the requirements on residential soundproofing definition of durability by type of timber. “Non- performance, including performance of durable” timber will require treatment according to soundproofing of facades according to levels NCh819. of urban noise, are expected in the future. These requirements will include the study and • NCh819 Treated timber - Radiata pine - characterization of the performance of opaque Classification according to operational damage risk elements, as well as glazed openings and doors. and sampling. Radiata pine is the most commonly This could result in a greater challenge for lesser- used timber in Chile for construction (INFOR 2019) used systems, such as elements made of timber. and will always need treatment for use in buildings. • Update of the hygrothermal performance of INN standards related to the use of timber in elements and ventilation of rooms: OGUC Article construction that are not mentioned directly by 4.1.10 is expected to be updated by 2021 to a the OGUC can used be by other legal instruments standard similar to what has been implemented for specific cases and are detailed in Annex A of in cities with PDA requirements, additionally this document. incorporating a new more representative thermal zoning of the country’s climatic conditions. This new zoning will result in stricter requirements UPDATE OF CHILEAN STANDARDS regarding thermal insulation, aiming at a 30 percent reduction in heating demand compared OGUC regulations are constantly reviewed and to the current standard; requirements for updated, most recently in 2019 and 2018. The reducing the risk of condensation according to latest update process, led by the MINVU Technical NCh1973 Hygrothermal behavior of elements Division (DITEC), included articles associated and building components; maximum levels of with fire resistance requirements, soundproofing residential air-tightness according to NCh888 performance, and the hygrothermal performance Architecture and Construction - Windows - Basic of elements and ventilation. DITEC furthermore requirements; and air quality through ventilation works together with different actors in the construction according to Standard NCh3308 Ventilation - and timber products sector in different initiatives such Acceptable indoor air quality - Requirements as the development of a label for timber pieces and the and NCh3309 Ventilation - Acceptable indoor updating of 42 NCh technical standards associated air quality in low-rise residential buildings . While with timber construction, detailed in Annex A. timber construction systems generally have a better hygrothermal performance, in terms of • Update of fire requirements: the intention to move air tightness, the Chilean experience has been to a calculation methodology for estimating fire extremely unsatisfactory. Housing studies show resistance of construction elements is highlighted. that the national air-tightness average is around This will allow the easier implementation of 12.9 ACH@50Pa, while according to the desired construction solutions that do not have fire regulatory levels 6 ACH@50Pa would be high, resistance tests in accredited laboratories (IDIEM). and for timber in Chile it can reach average In the case of elements that have multiple layers, levels of 24.6 ACH@50Pa (CITECUBB & DECON such as the timber framing panel system, it will UC, 2014). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 59 • Regulatory update of structural stability analysis dimensions, preservatives, structural quality, and for timber buildings: proposals for updating moisture content. Standard NCh1198 Timber – Timber constructions - Calculation are mentioned in order to include Although not addressed by Chilean regulations, variants of wall framework and flooring panels internationally there are regulations on the for buildings up to six floors high and CLT-style transmissibility and toxicity of some compounds engineered timber systems. Additionally, through used in construction solutions to protect a study led by CIM UC, there is a proposal that occupants and reduce environmental impact. The aims to increase the current factor R=5.5 and main standardized criteria regarding transmissibility of displacement Dmax=0.002, according to timber materials focus on volatile organic compounds (VOCs), construction standards, that Standard NCh433 which in the case of timber construction materials allows. It is also emphasized in the development can be found in protective layers and additives. of new standards oriented to boards, NCh36XX, Carcinogenic products such as formaldehydes and based on the APA PS1 and PS2 model. arsenic, among others, present in some adhesive and preservative compounds, have been limited or A forthcoming decree promoted by MINVU and restricted by some regulations in developed countries. the Ministry of Economy aims to promote the An example of the latter is the case of preservatives availability of high-value timber for construction, such as Copper, Chromium and Arsenic (CCA) that encouraging higher quality timber construction in was banned in Europe and Japan and restricted in the Chile. This decree will require timber for construction USA due to its impact on health and the environment. and structural or non-structural use to come with In Chile, studies must be made on these compounds information on relevant usage characteristics, such to update the regulations on transmissibility and as supplier, country of origin, completion, species, toxicity of construction materials. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 60 CONCLUSIONS CHAPTER 2 International experience has shown that timber followed the validation of these emblematic construction is advanced by pursuing emblematic projects opened to the larger-scale development projects and improving construction standards. of new designs and technologies. Such projects help to generate new norms, guidelines and standards for timber projects, and thereby • In the Canadian case, with public/private support increase the attractiveness and lower the construction for R&D and the publication of a design guide costs of wood construction for multi-family residences. resulting from the construction of the Brock This is of utmost importance for the larger scale Common and Origine buildings, provincial development of timber residential buildings in urban regulations in British Columbia and Quebec were areas of Chile. able to be adapted. This enabled updates to the Canadian National Building Code, especially From the review of international and Chilean in relation to fire risk and structural stability standards for timber construction, the following key in buildings of up to 12 stories. This has not points emerge: yet happened in other countries, where new technologies and design methods are not always • In almost all the cases studied, the impulse for disseminated to other projects on a large scale. regulatory change came from the development of This highlights the importance of the transfer of emblematic projects, most of which considered acquired knowledge and the involvement of the additional contributions from the public and public sector for this transfer to happen. private sectors for R&D. Although these pioneering projects were in many cases not economically • From the comparison of Chilean and international feasible at the beginning, they paved the way for standards, it can be seen that public policy that later projects that were. This situation is yet to does not distinguish among different materials. occur in Chile, due to the lack of references on the While Chile does not impose explicit conditions construction of timber housing and especially in that limit the development of timber buildings, multi-family buildings. regulations on the use of timber in construction do not address issues such as the maximum • Until recent decades, most international number of floors or maximum percentages of regulatory frameworks had significant restrictions exposed timber. related to fire risks and the height of timber residences. Emblematic multi-family projects • Although Chile is considered the regional leader that sought to advance beyond established in timber construction, it needs to make progress requirements required regulatory updates that on reducing regulatory gaps that may discourage allowed them to demonstrate their performance project developers from choosing timber, and before approval. Subsequent updates that advance regulations that facilitate the development THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 61 of multi-family timber buildings. Regulatory gaps (light framework, post and beam, engineered include performance requirements that do not wood and others), hinder the development of account for the performance characteristics buildings. It is therefore necessary to move from of timber; requirements to carry out multiple a system of trials and performance methods, validations through costly studies or trials for layers which are expensive and complex, to simplified of frame systems; and failure to take account evaluation methods that would make timber of the positive externalities of materials with low projects more feasible than they are under environmental impact or that support a potential current outdated regulations. bioeconomy. Countries in Europe and Oceania have already made advances toward unifying • International fire safety standards for tall timber standards that facilitate access to and the wider buildings tend to be more sophisticated than use of timber construction systems. Chilean standards. To provide more certainty and security regarding the development of medium • Critical regulatory challenges for medium and high-rise timber buildings, fire regulations and high-rise timber buildings, related to fire in Chile need to address issues such as safety, soundproofing performance, structural compartmentalization, smoke propagation and the design and various construction alternatives use of active sprinkler systems. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 62 03. ECONOMIC ANALYSIS OF TIMBER CONSTRUCTION IN CHILE SUMMARY Construction costs are lower for buildings of Environmental impacts generated by housing 1 to 2 stories in which timber is the principal construction in Chile are not currently quantified, material. For 3 to 4-story buildings, construction and there is no incentive for more using costs are higher with traditional timber framing, but as environmentally friendly materials. This study finds industrialization levels increase, industrialized timber that the amount of CO2eq generated in the construction systems become very competitive as productivity stage represents 9 percent of total emissions increases and construction times decrease. Although from housing, and the operation stage represents the costs of reinforced concrete buildings tend 91 percent (60 percent from fixed consumption to fall as the building height increases to 5 or 6 and 31 percent from heating). The environmental stories, the costs of timber construction increase impact of homes is not presently valued, so timber’s due to regulatory gaps. For example, the structural environmental benefits are not accounted for, requirements for timber structures are based on generating a gap in the market. Emissions levies are design parameters applicable to more rigid materials an initiative to quantify this impact, which the Paris such a steel and concrete, which do not account for Agreement, for example, sets at around US$50/ the flexibility of timber. ton CO2eq. Other financial incentives should also be considered for environmentally friendly materials, as a Timber has a better thermal performance than way of meeting Chile’s carbon neutrality objectives for other materials, generating savings in heating- the 2050. related operating costs of up to 53 percent. As heating costs are directly proportional to the Financing arrangements could be an obstacle thermal performance of houses, timber construction to increasing the levels of industrialization in represents future savings for the inhabitants of the construction systems. Payments for construction home. At present, however, few housing projects work in both the public and private sectors are quantify these benefits at either the development directly related to the project’s physical progress or construction stage. Homes financed with public rather than their cash flow, generating a financial resources tend to show more quantification through barrier for projects that make greater use of industrial the energy rating of homes. manufacturing processes. THE CONSTRUCTION LA CONSTRUCCIÓN OF TIMBER DE VIVIENDAS MADERA EN EN HOUSING IN CHILE | 63 BETTER COMPETITIVE COSTS SHORTER CONSTRUCTION TIMES 53% SAVINGS IN HEATING PRODUCTIVITY OPERATIONAL COSTS THERMAL PERFORMANCE * VARIABLE COST DIFFERENT CONSTRUCTION COSTS, DEPENDING ON CLIMATE ZONE AND MATERIALS 3 - 4 FLOOR TIMBER BUILDINGS BETTER PERFORMANCE SAVINGS FOR RESIDENTS TIMBER V/S CONCRETE TIMBER CONCRETE 40 m3 83 m3 FOR WALLS FOR WALLS 1.19 kgCO2eq 16.22 kgCO2eq TRANSPORT OVER 1KM TRANSPORT OVER 1KM 6 FLOOR BUILDINGS IMPACT <13.5 INFOGRAPHIC POSSIBLE SOLUTIONS % GREEN TAXES AT PRESENT THE ENVIRONMENTAL IMPACT IS STILL NEITHER QUANTIFIED NOR VALUED, INCREASE IN THE PROJECTIONS GENERATING A GAP IN THE MARKET OF INSTITUTIONS OFFERING MORTGAGE LOANS THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 64 Figure 39: Construction of the Horizonte del Pacifico building by the company E2E Chile. Source: www.tribunadelbiobio.cl INTRODUCTION This section presents the main results and conclusions The chapter shows the importance of analyzing the of two CIM UC studies, and after cross-referencing profitability of projects throughout their useful life. the different documents analyzes where gaps and For this, three sections are presented: the first on opportunities lie for the development of timber construction costs, where costs per m2 are analyzed construction in Chile. Although public information on for different materials and levels of industrialization; the construction costs of timber buildings in Chile is the second shows operating costs of homes and scarce or simply non-existent, especially for high-rise compares the two scenarios of the regulatory minimum buildings, there are some studies that shed more light and an ideal scenario of higher construction standards; on them. For the last three years CIM UC and MINVU and third, an analysis of the environmental impact of have undertaken studies to identify the costs of timber CO2eq emissions and their potential economic cost. construction in buildings in Chile, along with their Finally, the chapter describes the available financial associated operating costs by region. These studies are and subsidy instruments for housing construction. This presented in two CIM UC reports; “Analysis of the state is presented both for the present-day situation as well of timber construction in Chile: Statistics of choice of as in possible future scenarios around the promotion materiality and construction costs”; and “Comparative of timber construction. study of buildings’ operating costs in Chile”. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 65 3.1. CONSTRUCTION COSTS OF TIMBER BUILDINGS, BASED ON REPORTS BY CIM UC 2019 The study by CIM UC uses quantitative analysis The housing types for the study were provided in to establish parameters and referential costs of the first instance by MINVU, through its Technical different representative houses in Chile. These Studies and Housing Development Division standard homes are budgeted in line with different (DITEC), which within the ministry is responsible representative materials available in each region of the for technical aspects and its different residential country and according to their geography and climate programs. From these projects and together with zone. The areas defined by the research team are the information collected from statistical information on north32, center, south and far south. the construction sector and from INE building permit data, data related to materiality and geographical The research team defined cases according areas was collected. to type, materiality, and area of the country. Table 2: Cases studied to establish referential costs. Source: (CIM UC, 2019a). 2 floors 2 floors 1 floor town house duplex 3 floors 4 floors 5 floors 6 floors Cement 1 1 Brick 1 1 1 1 1 North Cement block 1 1 1 Timber 1 1 1 1 1 2 1 Cem. block / galv. steel 1 Cement 1 1 1 1 Brick 1 1 1 1 1 Cement block 1 1 1 Center Timber 1 1 1 1 1 2 1 Galvanized steel 1 Brick/timber mix 1 Brick/ galv. steel mix 1 Cement 1 1 Brick 1 1 1 1 1 South Galvanized steel 1 1 1 Timber 1 1 1 1 1 2 1 Brick/timber mix 1 Cement Far south Brick 1 1 1 Galvanized steel 1 1 1 Timber 1 1 1 1 1 2 1 MINVU projects CIM adaptation of MINVU projects CIM preliminary projects In the cases defined, three types of sources can mainly medium-height and can be replicated at the be identified for the standard projects studied. public or private level, with timber structures. There were There were cases in which the kind of architecture and also adaptations of MINVU projects by CIM UC, which materiality was exactly as defined by MINVU. There are architectural designs taken from MINVU projects were also CIM UC preliminary projects for cases where and adapted to other materials or in which some minor MINVU does not have reference projects, which are changes were made. 32 North (arid climate) refers to the regions of Arica and Parinacota, Tarapaca, Antofagasta and Atacama; center (temperate/humid temperate climate) refers to the regions of Coquimbo, Valparaiso, Metropolitana, O’Higgins and Maule; south (cold temperate climate) refers to the regions of Biobio, Araucania, Los Rios and Los Lagos; far south (cold semi-arid climate) refers to the regions of Aysen and Magallanes, and the Chilean Antarctic. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 66 Design N° 1. Area: 41.62 m2 Design N° 2. Area: 49.11 m2 Design N° 3. Area: 42.27 m2 Design N° 4. Area Apt. A: 41.62 m2 Design N° 5. Area standard Apt. 58.39 m2 Design N° 6. Area standard Apt. 51.14 m2 Design N° 7. Area standard Apt. 89.35 m2 Figure 40: Plans of standard housing in the CIM UC study. Source: (DECON, 2019). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 67 The designs studied are projects that meet timber frame construction systems, in the north and all regulatory requirements required for their south zones masonry is used in buildings with up construction. Requirements regarding thermal to 4 floors, while the central and far south zones insulation, soundproofing and structural behaviors consider masonry for up to 2 floors. Regarding of these designs are those that comply with current buildings of greater height, the use of reinforced regulations as detailed in the CIM UC report, (2019a). concrete according to zone is contemplated, For the calculation of volumes of items and the for example, in the far south zone there are no generation of a unit price analysis for each case, the representative buildings over 2 floors high, because Construction Extension Directorate of the Pontificia they are not common in the area. On the other Universidad Catolica de Chile (DECON UC) collaborated hand, the use of galvanized steel in buildings with 1 in the project, and made a budget according to market story in the south zone and up to 2 stories in the far conditions for each case defined. south zone stands out, as this material is not used in the central and north zones. In the results from CIM UC, (2019a) the net costs for the construction of each design are calculated • The study defines three lines of net cost in UF/ according to representative materiality in each m2 for timber framing construction. The first geographically defined area. Net costs include direct line presents the frame construction system for construction costs, general expenses and profits, housing 1 to 6 stories high. The second line is and do not include associated taxes or indirect costs. for the semi-industrialized system based on open The detail of the cost study carried out by CIM UC is timber panels, with installations and finishing presented below. on-site. The third line contemplates a totally industrialized construction system for buildings of 3 to 6 floors, considering closed panels with DEFINITIONS OF THE STUDY few installations and finishings for the same floor segment. The study does not present cases with • Regarding the representative materiality assigned modular industrialized systems, limiting itself to each geographical zone for comparison with exclusively to the assembly of panels. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 68 ANALYSIS OF CONSTRUCTION COSTS BY HEIGHT COSTS BY HEIGHT, 1 AND 2 FLOORS 1 oor 2 oors 30 25 20 Net cost UF/m2 15 10 5 0 North Center South Far south North Center South Far south Concrete Brick masonry Galvanized steel Non-industrialized timber COSTS BY HEIGHT, 3 AND 4 FLOORS 3 oors 4 oors 30 25 20 Net cost UF/m2 15 10 5 0 North Center South Far south North Center South Far south Concrete Brick masonry Non-industrialized timber Semi-industrialized timber Industrialized timber COSTS BY HEIGHT, 5 AND 6 FLOORS 5 oors 6 oors 30 25 20 Net cost UF/m2 15 10 5 0 North Center South Far south North Center South Far south Concrete Brick masonry Non-industrialized timber Semi-industrialized timber Industrialized timber Figure 41: Net costs (UF/m2) in different materials and levels of industrialization by number of floors. Source: Compiled by authors, based on data from CIM UC, 2019a. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 69 5 19% 4 3 UF/m2 16% 2 1 49% 0 3 oors 4 oors 5 oors 6 oors Vertical paneling Horizontal paneling Vertical paneling anchors Horizontal paneling anchors Foundations Others Figure 42: Timber structure costs for 3 to 6 floors, technology change between 4 and 5 floors. Source: (CIM UC, 2019a). N° FLOORS OF THE BUILDING 7 2.5 6 2.0 5 4 1.5 months UF/m2 3 1.0 2 0.5 1 0 0.0 3 4 5 6 Construction time General expenses Figure 43: Construction time in months for 3-6 floor buildings and general expenses. Source: (CIM UC, 2019a). • The report identifies that the net construction competitiveness of materials such as concrete costs of a 1-2 story timber-framed house are and especially masonry. On the other hand, lower that equal-sized buildings in masonry and the use of semi-industrialized timber paneling galvanized steel, by an average of 6percent and processes reduces this gap, especially 0.3 percent, respectively. This is the case in all compared to the use of reinforced concrete in the geographical zones studied and would partly the central area of the country, cutting the cost explain why at a national level about 50 percent difference to only 1 percent. of 1- and 2-story homes have building permits declaring the use of timber. • The study shows that the on-site construction of timber and semi-industrialized frameworks in 5- • In 3- and 4-story high-rise homes, the and 6-story buildings has higher net construction construction of on-site timber framing increases costs than concrete buildings, by amounts average costs by 5 percent compared to varying between 15 and 22 percent, depending 2-story timber structures. This increase is due on geographical area. Systems with a high level to the need for equipment to work at greater of industrialized timber construction are more heights, more robust timber frameworks competitive in the central zone, reducing the gap and anchor connectors, and greater to only 6-8 percent. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 70 • The study shows that timber frame buildings are sophisticated ATS-type connectors. Therefore most cost-competitive in 4-story buildings with using timber, unlike other materials, does not highly industrialized construction systems. In present significant cost reductions as projects these buildings the greater height reduces costs, increase in height. In some cases timber buildings but there is no technological leap in the connector are less competitive because regulations require systems of the building. This could change in the over-structuring that is not needed for correct future with a regulatory update, making timber structural behavior. Regulations that require buildings with more stories more competitive. timber to be over-structured, without being necessary for optimum performance, could • The cost analysis of the study highlights that the contribute to timber buildings not being cost- increases in the use of timber in buildings and in competitive in some cases. connector technologies in different cases have a considerable impact on net costs. The increase • Researchers noted the difficultly of obtaining from 2 to 3 stories increases timber dimensions construction cost data on buildings over 3 from 2x4 to 2x5 and the incorporation of larger stories high. This is due to the industrializing and more expensive holdown anchors. Stepping companies that develop this type of structure up from 4 to 5 story buildings may require the being inexperienced in this type of building. Work use of larger or even double timbers, with bracing therefore had to be undertaken with them to plates on both sides of the framework, and more define representative values of these buildings. Figure 44: Holdown system on the right and ATS system on the left. Source: (Strongtie, n.d.). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 71 ANALYSIS OF CONSTRUCTION COSTS BY CLIMATE ZONE NORTH CENTER 30 30 25 25 20 20 Net cost UF/m² Net cost UF/m² 15 15 10 10 5 5 0 0 1 oor 2 oors 3 oors 4 oors 5 oors 6 oors 1 oor 2 oors 3 oors 4 oors 5 oors 6 oors Cement Brick masonry Cement Brick masonry Non-industrialized timber Semi-industrialized timber Non-industrialized timber Semi-industrialized timber Industrialized timber Industrialized timber SOUTH FAR SOUTH 30 30 25 25 20 20 Net cost UF/m² Net cost UF/m² 15 15 10 10 5 5 0 0 1 oor 2 oors 3 oors 4 oors 5 oors 6 oors 1 oor 2 oors 3 oors 4 oors 5 oors 6 oors Cement Brick masonry Cement Brick masonry Non-industrialized timber Semi-industrialized timber Non-industrialized timber Semi-industrialized timber Industrialized timber Galvanized steel Industrialized timber Galvanized steel Figure 45: Net costs (UF/m2) in different materials and industrialization levels by zone. Source: Compiled by authors, based on data from (CIM UC, 2019a). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 72 • Masonry is cheaper than timber for 3-4 story • Data analysis in the CIM UC study indicates that buildings in the north, and the difference the reason for the greater competitiveness of decreases as the industrialization of timber timber-framed buildings in the central zone is due frame construction processes increases. When to the Metropolitan Region currently concentrating comparing masonry to non-industrialized timber, all of the high-technology industrializing the economic difference is 24 percent, when companies. This could change in the future as compared to semi-industrialized timber the new high-tech companies set up in the south of difference is reduced to 17 percent, and finally, the country. when compared to industrialized timber, the gap is only 3 percent, making the construction system • The study assumes that greater industrialization more competitive. processes will significantly reduce construction times, considerably reducing general project • The southern and northern zones follow the expenses, and differentiating from on-site timber same trend. In both, 3- and 4-story buildings construction. This is based on previous research are cheapest in masonry, but as the level of (McKinsey, 2017), (Smith, 2010) that defines timber industrialization increases, the gap is construction times of around 6.5 months for reduced from a 27 percent difference against 6-story buildings, and 11 months for 6-story the traditional system to only 10 percent versus concrete buildings. Building in industrialized timber industrialized systems. is therefore at least 41 percent quicker. • In the central zone, the option of building Analysis by CIM UC shows a planning of works with industrialized timber systems is highly with high levels of industrialization. In a study competitive for buildings of 3 stories and higher. of construction costs of two types of buildings in They are 15 percent cheaper in 3-and 4-story central Chile, the first type is for the vulnerable buildings, and only 7 percent more expensive for sector of the population and the second to an 5- and 6-story buildings. emerging sector, and both showed total costs per apartment ranging between 1,172 UF and 1,920 UF. • In the far south timber is the only material that These are equivalent to designs 6 and 7 identified in complies with regulations for buildings of 3 or a previous study. For the analysis, 5-story buildings more stories when compared with proposed were used, with 4 apartments per floor, built with construction systems. Process industrialization timber frames, highly industrialized systems, and reduces construction costs, being more evident ATS-type anchor connectors. in 3- and 4-story buildings where there is a 24 percent cost reduction, and for 5- and 6-story buildings the difference is 16 percent. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 73 Figure 46: 5-floor building plan for vulnerable sectors (1,332 m2) above and for emerging sectors (2,183 m2) below. Source: (CIM UC, 2019a). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 74 Name of task 21 diciembre 11 enero 01 febrero 21 febrero 11 marzo 01 abril 21 abril 11 mayo 01 junio Typology A 0% Preliminary works 0% Construc�on site facili�es 0% Construc�on 0% Earth movement 0% Concrete for founda�ons 0% Concrete base 0% Ver�cal paneling 0% Horizontal paneling 0% Lightweight concrete between floors 0% Stairs 0% Roof structure 0% Finishings 0% Ceramics 0% Pain�ng 0% Roofing 0% Hardware 0% Installa�ons 0% Artefacts 0% Drinking water 0% Waste water 0% Electricity 0% Garbage 0% Rain water 0% Item UF UF/m2 Direct cost 16.396 12,3 General expenses 10,11% 1.658 1,2 Profits 10% 1.640 1,2 Net cost 19.694 14,8 VAT 19% 3.742 2,8 Total cost 23.436 17,6 Figure 47: Times and costs of a 5-floor building for vulnerable sectors, with construction time of 5.5 months. Source: (CIM UC, 2019a). Nombre de tarea 01 enero 01 febrero 01 marzo 01 abril 11 mayo 01 junio 01 julio Typology B 0% Preliminary works 0% Construc�on site facili�es 0% Construc�on Earth movement 0% Concrete for founda�ons 0% Concrete base 0% Ver�cal paneling 0% Horizontal paneling 0% Lightweight concrete between floors 0% Stairs 0% Roof structure 0% Finishings 0% Ceramics 0% Pain�ng 0% Roofing 0% Hardware 0% Installa�ons 0% Artefacts 0% Drinking water 0% Waste water 0% Electricity 0% Garbage 0% Rain water 0% Item UF UF/m2 Direct cost 27.516 12,6 General expenses 7,29% 2.006 0,9 Profits 10% 2.752 1,3 Net cost 32.274 14,8 VAT 19% 6.132 2,8 Total cost 38.406 17,6 Figure 48: Times and costs of a 5-floor building for emerging sectors, with construction time of 6.8 months. Source (CIM UC, 2019a). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 75 The most recent study allowed the comparison of chosen lower construction standards. Although some construction costs of buildings with the housing operation costs are not closely related to the materiality subsidies available through MINVU. This comparison of the building, such as lighting or power consumption shows that the subsidies that best fit housing values of appliances, other operation costs such as air over 1,100 UF correspond to Supreme Decrees Nos. 1, conditioning can be significantly affected by the choice 19, and 120, of which N°19 is the only one that would of materiality. eventually meet the conditions of the decree for the debt-free delivery of a home for vulnerable sectors of Depending on the climate, homes with greater society. Subsidies that allow the purchase of higher insulation and fewer thermal bridges, can have value homes require additional financing from the significantly lower operating costs. For timber- applicant and/or a mortgage. framed houses with high thermal insulation this means significant savings in heating costs. In Chile, most homes in cool climates have some means of heating OPERATING COSTS FOR TIMBER HOUSING to maintain a minimum level of interior comfort. This In (HEATING) warmer climate zones there is not a general culture of using cooling equipment. Incorporating operating costs can influence the Studies by CIM UC (2019b) on cost analysis show selection of the construction system, due to the that the operating costs of a timber home can be savings that materials provide. Buildings’ operating 23-53 percent lower, depending on the building costs can vary up to 157 percent, from 37 UF per materials, geographical area and amount of insulation. unit over 60 years in Antofagasta, and up to 1,180 UF The same designs and geographical zones were used in Punta Arenas. During buildings’ lifetimes this cost for the construction cost analysis, and insulation levels can therefore be even higher than construction costs. were added for each design, considering the normative Although higher construction standards may imply a base level used in a previous study, and another with greater investment, when considering operation costs higher standards. this investment can turn out cheaper than having Table 3: Construction solutions for each scenario. Source: (CIM UC, 2019b) Construction solution with minimum insulation Construction solution with ideal insulation Thermal Thermal Wall Glazing typeo transmittance Wall Glazing typeo transmittance “U” wall “U” wall NORTH Masonry BM SG 1,92 BMi DG1 1,26 Reinforced concrete RC SG 3,91 RCi DG1 1,88 Timber TF1 SG 0,65 TF2 DG1 0,47 CENTER Masonry BMi SG 1,26 BMi DG2 1,26 Reinforced concrete RCi SG 1,88 RCe DG2 0,58 Timber TF1 SG 0,65 TF2 DG2 0,47 SOUTH Masonry BMi SG 1,26 BMe DG2 0,5 Reinforced concrete RCi SG 1,88 RCe DG2 0,58 Timber TF1 SG 0,65 TF2 DG2 0,47 PUERTO MONTT Masonry BMi SG 1,26 BMe DG2 0,5 Reinforced concrete RCi SG 1,88 RCe DG2 0,58 Timber TF1 SG 0,65 TF2 DG2 0,47 FAR SOUTH Masonry BMe DG1 0,52 Reinforced concrete RCe DG1 0,57 Timber TF2 DG1 0,47 TF3 DG2 0,34 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 76 Figure 49: Patterns for construction solutions in masonry. Source: (CIM UC, 2019b) Figure 50: Patterns for construction solutions in reinforced concrete. Source: CIM UC, 2019. Figure 51: Patterns for construction solutions in timber. Source: (CIM UC, 2019b) Construction cost (UF) Other energy costs (UF/60*year) Heating cost (UF/60*year) 4000 UF/home 60 years 3500 3000 2500 2000 1500 1000 500 0 BM; SG TF1; SG RC; SG TF1; SG RC; SG TF1; SG BMi; SG TF1; SG RCi; SG TF1; SG RCi; SG TF1; SG BMi; SG TF1; SG RCi; SG TF1; SG RCi; SG TF1; SG BMi; SG TF1; SG RCi; SG TF1; SG RCi; SG TF1; SG BMe; DG1 TF2; DG1 RCe; DG1 TF2; DG1 RCe; DG1 TF2; DG1 1 4 6 1 4 6 1 4 6 1 4 6 1 4 6 oor oors oors oor oors oors oor oors oors oor oors oors oor oors oors ANTOFAGASTA SANTIAGO CONCEPCIÓN PUERTO MONTT PUNTA ARENAS Figure 52: Construction, energy and heating costs in buildings with minimum insulation. Source: (CIM UC, 2019b). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 77 UF/home 60 years 3500 3000 2500 2000 1500 1000 500 0 BMi; DG1 TF2; DG1 RCi; DG1 TF2; DG1 RCi; DG1 TF2; DG1 BMi; DG2 TF2; DG2 RCe; DG2 TF2; DG2 RCe; DG2 TF2; DG2 BMe; DG2 TF2; DG2 RCe; DG2 TF2; DG2 RCe; DG2 TF2; DG2 BMe; DG2 TF2; DG2 RCe; DG2 TF2; DG2 RCe; DG2 TF2; DG2 TF3; DG2 TF3; DG2 TF3; DG2 1 4 6 1 4 6 1 4 6 1 4 6 1 4 6 oor oors oors oor oors oors oor oors oors oor oors oors oor oors oors ANTOFAGASTA SANTIAGO CONCEPCIÓN PUERTO MONTT PUNTA ARENAS Construction cost (UF) Other energy costs (UF/60*year) Heating cost (UF/60*year) Figure 53: Construction, energy and heating costs in buildings with ideal insulation. Source: (CIM UC, 2019b). From the study by CIM UC (2019b): it generates significant costs. For example, with minimum insulation for buildings with 4 to 6 stories • In most cases the results are favorable for timber in Concepcion, there will be 65 percent difference construction if both the construction and operating between building with concrete or with timber, costs are considered over a 60-year useful life. equivalent to 206 UF over the lifetime of the home. The only cases in which timber is unfavorable are in ideal insulation scenarios, when the cost of • The development of public policies aimed at construction is very influential, representing over 50 sustainably reducing the housing deficit and which percent of the total cost. It therefore follows that at regulate energy demand and define maximum the same normative standard, timber construction values for the operating costs of domestic heating solutions tend to have better energy consumption could eventually make timber buildings a more performance than other materials. attractive alternative. • Taller buildings tend to have better energy • The construction cost of timber buildings is performance with lower operating costs for expected to be more competitive versus concrete heating. This results from a lower percentage of the and steel in the future. It would be more competitive envelope being exposed to the elements. if the construction market had higher technological and industrialized standards, greater regulatory • Although heating in the Antofagasta area is not an requirements on energy efficiency and emissions, influential variable, in central and southern Chile thus reducing the cost gaps between materials. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 78 3.2. ENVIRONMENTAL EXTERNALITIES USING TIMBER VERSUS OTHER MATERIALS AND THE VALUE CHAIN MODEL FOR TIMBER CONSTRUCTION This point seeks to approximate the CO2eq PRODUCTION STAGE emissions of timber buildings, in contrast to other construction materials during a limited life For this report, an approximation of CO2 cycle. The methodology used as a reference is that incorporated in the production stage will be made, of standards ISO 14040, EN 15978 and NCh3048/1: where the kgCO2eq values come from the cradle Sustainability in the Construction of Buildings. In this, to the door, i.e. the value includes emissions from a relationship is made in stages of the positive and extraction, transport to the factory and manufacturing. negative impacts of a product on the environment, It is calculated per kilogram of product according to obtain a cradle-to-grave CO2eq value through four to the estimated volumes in the project. To facilitate defined stages: production, construction, use and the calculations, without compromising accuracy, end of lifetime. the quantification is carried out only for structural work, as installations and finishings will be the same for all materials and so do not make a difference on PRODUCTION CONSTRUCTION USAGE END OF LIFETIME environmental impact. Raw materials Transport Maintenance Demolition The CO2eq data used in this analysis is taken from the Quartz project on the environmental impact of construction products. The Quartz project updates Repairs its emissions information periodically and compiles a Transport On-site processes Transport and replacemments database based on information provided by multiple manufacturers, literature and research (Quartz project, 2019). The database includes the CO2 capture during Fabrication Renovation Recycling reuse a tree’s growth process, providing negative CO2eq emission values for timber, a key characteristic for reducing construction sector impact on climate change. Energy Land ll consumption incinerator Carbon storage can only be applied to the timber that is used in a product, not to offcuts that are waste (Circular Ecology, 2019). For example, in this Water consumption analysis timber molds are not included in the CO2eq account. Timber is one of the most difficult materials in which to estimate incorporated carbon, which depends Figure 54: Life cycle stages. Source: (Oliebana.com, 2012). on different factors such as origin, sustainable forest management, the age of the tree, the moisture content The data obtained on CO2eq is based on the homes of the wood, the tree species and its density (Circular evaluated by the CIM UC described in the previous Ecology, 2019). point. The different stages cross-referenced with the designs in that report are detailed below: THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 79 1 FLOOR 2 FLOORS 3 FLOORS 4 FLOORS 5 FLOORS 6 FLOORS 1000 KgCO2eq/m2 900 800 700 600 500 400 300 200 100 0 Galvanized Steel Brick masonry Block masonry Timber Brick masonry Block masonry Timber 1st oor brick, 2nd oor galvanized steel Galvanized Steel Brick masonry (T4) Reinforced concrete (T5) Timber (T6) Ceramic brick masonry (T4) Reinforced concrete (T5) Timber (T6) Concrete Timber Concrete Timber Net total Capture Figure 55:Carbon incorporated in structural works by m2. Source: Compiled by authors, based on data from CIM UC 2019 and Quartz, 2019. Based on the study carried out and the CO2eq data: CONSTRUCTION STAGE • Systems based on a timber framework have Emissions from product manufacture, transport lower emissions than other materials. There and installation are included in the construction are between 1.2 and 3.4 times more emissions stage. Emissions from this stage depend on in the use of galvanized steel in 2-story homes, specific factors of particular projects. To define the and concrete in 6-story buildings. This explains impact of transport, information is needed on the how using concrete for the structural work of a distances traveled between the manufacturing plant, 6-story building emits 3.4 times the CO2 of the the distribution points and the locations in which same building in timber. materials will be deployed. For construction, definition is needed on matters such as the construction • In buildings with 3 or more floors, timber captures systems and support machinery will be used, how more CO2eq than in lower projects. There is much labor will be used, how long work will take, therefore an optimization of the structure per and the amount of waste generated. This information square meter built, and more timber-intensive is specific to each individual project, and as it is not buildings will tend to capture more carbon. covered in this analysis it is not part of the results. It should be noted that the CO2 capture in It is also important to define the boundaries of galvanized steel, masonry and concrete houses the study, since the incorporation of carbon can comes from the percentage of timber contained in come from many sources, and so depending on each project. For example, the carbon capture of a the thoroughness of the analysis, higher values will steel structure comes mainly from the OSB panels probably be obtained for the carbon incorporated used in roofs, walls, and other smaller structures. in the construction stage. As this study compares THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 80 different building materials, not evaluating this point process. Despite representing about 62 percent of will not generate significant differences, but it will for the fuel used in heating (Ministry of Energy, 2015), the amount of CO2 equivalent produced. firewood is not however an entirely recommendable energy source as it generates contamination by Using local products considerably reduces breathable particulate material, indoor pollution, the impact of transport. For example, previous smog formation and health problems in various cities. studies have shown that a 6-story building needs Environmental decontamination plans (PDA) have approximately 40m3 of timber for its walls, or 83m3 of been drawn up to counter these effects. The efficient concrete. At a distance of 1km, the transport impact use of biomass is nonetheless promoted in Chile, by truck is 1.19 kgCO2eq for transporting timber and through more efficient equipment and fuels such as 16.22 kgCO2eq when transporting concrete. The impact pellets or recovered material. (INFOR, 2015). of concrete is thus 13.5 times higher than of timber. Table 5: kgCO2eq per kWh produced by energy source. Table 4: Transport impact on CO2eq. Source: (Accoya, n.d.) Electricity 0,4187 kgCO2 /kWh (energia.gob, n.d.) LPG 0,227 kgCO2 /kWh (Gómez et al., 2006) Transport type Kg CO2eq/ton/km Natural Gas 0,231 kgCO2 /kWh (Gómez et al., 2006) Truck > 32 ton 0.085 Firewood 0,000 kgCO2 /kWh (INFOR, 2015) Ship (ocean freight) 0.012 Train (USA diesel) 0.059 Airplane (cargo) 1.130 To define the fixed consumption of a typical home, requirements such as hot water (liquefied petroleum gas; LPG), food refrigeration USAGE STAGE (electricity), cooking (LPG) and lighting (electricity) are considered. Results, in kgCO2eq, show that Factors such as usage, maintenance, repairs, LPG accounts for 57 percent of fixed consumption replacements, renovation, and the use of and electricity is used for the remaining 43 percent, operational energy and water must be considered according to an adaptation of data from the study of in the usage stage. As mentioned above, in this study end uses and the supply curve of energy conservation this point will be limited to the energy use of the home in the residential sector (CDT, 2010). during a 60-year useful life. This is based on the data Table 6: kgCO2eq per kWh produced by energy source. obtained from the “Comparative study of operating costs for buildings in Chile from the UC Center for Fixed consumption Timber Innovation.”. For this stage, the local climates Area (kgCO2eq/m2 x 60 years) of the projects evaluated is very important for their Antofagasta 1.639 energy consumption contexts. Five locations are Santiago 1.965 considered: Antofagasta, Santiago, Concepcion, Concepción 1.992 Puerto Montt and Punta Arenas. Puerto Montt 1.992 Punta Arenas 1.992 Data on CO2eq per kWh consumed is defined according to different national and international sources, as there are no official sources in Chile. For Residential heating is evaluated based on the example, emissions associated with gas consumption 3 sources of fuels indicated for the 5 proposed had to be obtained from sources in different zones, and firewood is excluded because its countries; an information barrier that made the results emissions are neutral. The highlighted building less precise. designs, the energy consumption of the homes necessary to satisfy the heating demand, and Firewood has zero CO2eq emissions, given the construction systems are considered, according to neutrality obtained after forests capture ambient regulatory scenarios and more favorable conditions carbon that is later released in the combustion established by the aforementioned CIM UC study. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 81 2500 KgCO2eq/m2 60 years 2000 1500 1000 500 0 Antofagasta Santiago Concepción Puerto Montt Punta Arenas 1 oor masonry 1 oor timber 4 oors reinforced concrete 4 oors timber 6 oors reinforced concrete 6 oors timber Figure 56: kgCO2 equivalent of electric heating. 1800 KgCO2eq/m2 60 years 1600 1400 1200 1000 800 600 400 200 0 Antofagasta Santiago Concepción Puerto Montt Punta Arenas Electricity LPG Natural Gas Figure 57: Average kgCO2eq emissions by energy source and area. The results of the CO2eq emissions analysis in the time required for 1-story homes than for medium-rise of use showed that: homes, mainly due to higher losses due to the exposed envelope. • The homes evaluated show that, in cold climates such as Punta Arenas, heating generates 7.3 times • We conclude that electricity is the energy source more kg of CO2eq per m2 than in hot climates such that releases the least CO2 into the environment, as Antofagasta, meaning that operations during despite generating more kgCO2eq per kWh. This is the usage stage of the home are more relevant in explained by the efficiency of electrical equipment, central and southern Chile. Also, more heating is for which an efficiency of 100 percent was THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 82 estimated. Efficiency of 80 percent was calculated since most construction materials depend on a for gas equipment. As firewood has a value of previous design to be able to have new uses in the 0 kgCO2eq/kWh, its low efficiency (68 percent) framework of a bioeconomy. Timber on the other hand is not reflected. This shows that the efficiency is a material that can be easily reused in new buildings, of equipment is a determining factor for the furniture, pallets, or other applications, as well as being environmental effects of heating. able to end its life as biomass without generating CO2eq emissions. Other non-renewable materials are much • A home’s heating needs will depend on its thermal more difficult to eliminate, for example, for every m3 behavior. For example, for a Chilean passive of laminated wood (not incinerated at the end of its housing project, energy consumption for heating useful life) 582 kgCO2 are absorbed, but for reinforced can be reduced by up to 85 percent (Hempel, concrete 458 kgCO2 are emitted and for steel 12,087 2017), but as this will have an impact on the kg CO2 are emitted (Zabala & Aranda, 2011). materials used, the incorporated energy associated with these materials may increase. Therefore, when comparing the energy required for operation with CO2EQ EMISSIONS BY STAGES EVALUATED the energy incorporated for cases of conventional construction and with energy efficiency, it follows The highest amount of CO2eq emissions that using less energy in occupation requires is released in housing’s operation stage. more energy incorporation at the beginning of On average, when considering the stages of construction (Ramesh et al., 2010). This can be construction and use of the designs studied, the extrapolated to the project’s CO2 emissions. carbon incorporated is 9.2 percent of the total emissions associated with construction. The usage stage, on the other hand, represents about 91 END OF LIFETIME percent of emissions, with 60.4 percent associated with fixed consumption and 30.4 percent with The last stage of the cycle is the end of lifetime: heating. The area to be evaluated is however very demolition, transportation, waste management for relevant for the impact of each stage of the life cycle; reuse, recovery and recycling, and final disposal. thus, in Antofagasta heating consumption is less than In this stage timber has a comparative advantage, 13 percent whereas for Punta Arenas it is 51 percent. 6000 KgCO2eq/m2 5000 4000 3000 2000 1000 BM; SG TF1; SG RC; SG TF1; SG RC; SG TF1; SG BMi; SG TF1; SG RCi; SG TF1; SG RCi; SG TF1; SG BMi; SG TF1; SG RCi; SG TF1; SG RCi; SG TF1; SG BMi; SG TF1; SG RCi; SG TF1; SG RCi; SG TF1; SG BMe; DG1 TF2; DG1 RCe; DG1 TF2; DG1 RCe; DG1 TF2; DG1 1 4 6 1 4 6 1 4 6 1 4 6 1 4 6 oor oors oors oor oors oors oor oors oors oor oors oors oor oors oors ANTOFAGASTA SANTIAGO CONCEPCIÓN PUERTO MONTT PUNTA ARENAS Fixed consumption Heating (electricity) Incorporated Capture Figure 58: Incorporated carbon in the life cycle. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 83 To quantify the environmental impact of CO2eq this green tax is currently established with a emissions, initiatives have assigned a monetary downstream method, making it also necessary to value to the carbon generated, partially valuing the review an upstream methodology that evaluates entire impact on climate change. These initiatives are still value chains (BCN, 2018a; Ministry of the Environment insufficient, since most of the prices established are & GIZ, 2019). Considering the US$50/tCO2eq price floor below the prices consistent with the Paris Agreement, of the Paris Agreement by 2030 it is calculated that for whose target values range between US$40-80/tCO2eq 66 m2 homes in 4-story buildings (considering public by 2020 and between US$50-100/tCO2eq by 2030. circulation) built in concrete rather than timber, there is The so-called green tax in Chile assigns a much a difference of 612 kgCO2eq/m2 considering the carbon lower value: US$5/tCO2eq for fixed CO2 emissions incorporated and the operational cost for heating (World Bank Group, 2019). Although the country during 60 years of operation. Therefore, there is an aims to establish a market cost of around US$32/ economic impact of around 56.8 UF more per housing tCO2eq, converging to a standard closer to international unit when building in concrete. commitments, this has yet to happen. Furthermore, 3.3. COST SIMULATION FOR A 6-STORY BUILDING IN THE CENTRAL ZONE The costs of two materials are compared; a minimum standard of thermal insulation according industrialized timber and traditional reinforced to current regulations. In addition, three scenarios are concrete, in the same 66m2 housing project for a considered for cost evaluation, with a trend towards the 6-story building, evaluated over a 60-year useful life, appreciation of timber and its benefits. located in the central zone of Chile and considering Construction cost Operation cost Environmental cost 50 UF / m2 45 40 4,52 9,05 3,73 35 7,45 30 25 20 15 25,12 21,41 25,12 21,41 10 5 0 13,66 14,43 13,66 14,43 13,66 12,99 Concrete Timber Concrete Timber Concrete Timber SCENARIO 1 SCENARIO 2 SCENARIO 3 Figure 59: Cost comparison in 3 scenarios for concrete and timber THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 84 Scenario 1 follows the current trend, in which real timber construction costs is added, assuming estate companies focus on the construction cost of a change in structural trends and the updating housing, in which timber is only 5.3 percent more of some regulatory requirements for buildings. expensive and is equivalent to an additional 51UF This means that approximately 8.5 percent of per housing unit. The difference is when the end- construction costs is subject to higher levels of customer is considered, who will live in the home standardization and elaboration in factories and and pay for its operation. To reflect this, scenario 2 therefore increases productivity, and that there is is presented. a further 2.5 percent cost reduction due to mass production methods. Construction costs in this Scenario 2 assumes the same technical scenario are 10 percent lower than in the previous conditions as scenario 1, and adds the operating scenarios, and could be more if better productivity cost of the housing, simulated based on heating were achieved and additional costs were reduced. with electricity. In this case, as mentioned in In this scenario, industrialized timber could be 14.3 scenario 1, the construction cost is slightly lower for percent cheaper, or 394 UF less per unit. concrete, but as the operating cost is 17 percent lower for timber, overall costs are 8.2 percent lower. Timber construction in 6-story buildings is competitive when considering the whole picture: An additional cost for green tax is added to construction, operating and environmental scenario 2 in line with the Paris Agreement costs. A fourth scenario can moreover be to 2030, for which the base amount is US$50/ envisaged, in which in addition to reviewing tonCO2eq, and is applied to the emissions associated the construction regulations, the environmental with both construction and operation. By adding this externalities of the products are incorporated, and variable, timber costs 9.5 percent less, or 247 UF large-scale technology is improved and productivity per unit. increased, obtaining better quality timber as a result of incentives for suppliers. This gives an even more In scenario 3, the green tax is taken as US$100/ encouraging outlook for timber construction, but one tonCO2eq according to the maximum amount that is difficult to quantify at present. of the Paris Agreement to 2030. A reduction in 3.4. FINANCING FOR HOUSING CONSTRUCTION IN CHILE BANK INSTRUMENTS AND INSURANCE cooperatives have increased their projections under the regulations established by the Financial Market The Chilean financial system has showed Commission (CMF). significant stability in recent years, benefitting from legislative, regulatory and institutional foundations This regulation defines players’ responsibilities that are carefully supervised and facilitate adequate and the requirements for financial products to risk management and containment, in addition to a be issued and for their provisions to be granted. solid macroeconomic situation (Central Bank, 2018). Thus, within the framework of these regulations A sophisticated financial industry has developed, with and to safeguard the assets of those involved, all highly competitive services and attractive instruments, mortgage products must have compulsory CMF- favoring the development of markets such as the regulated credit and fire insurance, charged through construction sector. Loans or endorsable mortgages policies and delivered by insurance companies, offered by institutions in Chile such as banks, reinsurance companies, insurance brokers, insurance endorsable mortgage loan management agencies and liquidators, insurance agents and endorsable THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 85 mutual mortgage servicing agents, which cover the such as insurance against earthquakes, falling mortgage debt in the event of a claim. The above objects, floods, unemployment, household, life or does not prevent the issue of other complementary other, which can cover the mortgage debt and/or part insurance associated with the mortgage product, of the commercial value of the property. MORTGAGE LOAN STOCK 1.400.000 1.200.000 1.000.000 800.000 600.000 400.000 200.000 0 dic-00 dic-01 dic-02 dic-03 dic-04 dic-05 dic-06 dic-07 dic-08 dic-09 dic-10 dic-11 dic-12 dic-13 dic-14 dic-15 dic-16 Non endorsable mutual mortgages Endorsable mortgages administered by the institution Endorsable mortgages issued by the institution Letters of credit Figure 60: Mortgage loan stock in Chile by type, 2000 - 2006. Source: (SERNAC, 2017) Mortgage instruments in Chile, governed by CMF policies that require the property to be in an urban regulations, do not make a specific distinction area so emergency services can respond quickly, regarding the materials used in properties. that it has less than a certain percentage of timber Instead, they evaluate other details of the applicant structure, or that it is usually inhabited to raise the and the property to grant the loan and define alarm sooner in the event of an incident. Therefore, conditions such as interest rates and the term. While although there are some requirements in this type not making a distinction regarding the use of timber of insurance for occasional-use properties in rural in properties, compulsory and complementary areas, such as isolated holiday homes far from a fire insurance policies against earthquakes do have station, these requirements do not generally apply restrictions regarding adobe and brick. For example, to properties in urban areas that meet regulatory policy N°120131490 for mortgage products in requirements. Similarly, both timber buildings and the event of fire, regulated by the CMF, allows those of any other materials that do not meet the certain discretion in matters of materials by the minimum regulatory requirements established in the issuing entity, although it does not make a specific OGUC will not be eligible for any insurance coverage distinction regarding the materials used for either its or apply for mortgage instruments. granting or coverage. International financial institutions and insurance In relation to voluntary insurance that is companies with a wide presence in developed complementary to mortgages, there are countries where the use of timber is large-scale some barriers for fire insurance products are active in the Chilean market. Banks such as that can place restrictions on the coverage of Scotiabank, from Canada; Banco Santander, with timber buildings, albeit under clearly defined a presence in much of Europe; American insurance conditions. There are for example fire insurance company Liberty or Swiss insurance company THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 86 Zurich deliver this type of products in different parts subject to the technical requirements established by of the world. The Chilean financial market has solid the OGUC and to each particular decree. instruments for the purchase of timber properties, provided they comply with all the minimum Subsidy program Supreme Decree N°49: this regulatory requirements and good design and program is aimed at socially vulnerable homeless construction. Furthermore, banking institutions, such families and are in the 40 percent of the population as Banco Estado, have green mortgage products with the fewest resources, according to the that provide more favorable conditions for properties socioeconomic qualification established in the Social with greater energy efficiency, a category in which Household Registry (RSH). State support allows timber buildings stand out over other materials. the mortgage-free purchase of a home, house or apartment costing up to 950 UF. This subsidy The private sector provides the financing of a program can also be used for available housing in project against visible results on site, which existing construction projects, in which case the can hinder the advance of an industrialized subsidy amounts are equal to the regular amounts of timber project. Banking institutions generally a new project. authorize the release of funds for the development of a building according to the expected progress in The scale of financial contributions delivered by construction and verifying product quality according this instrument range between 314 UF and 794 to previously agreed standards. For industrialized UF, depending on the complementary subsidies projects this can be a major obstacle because as that are awarded according to the characteristics most progress is made in prefabrication plants, the of the housing project and the circumstances of construction company will not receive any financing. respective applicants. For example, projects that Therefore, unless there is an agreement between consider characteristics such as densification or the parties, only companies that have sufficient building complexities, as well as large families or family economic capacity will be able to tackle this type members with reduced mobility, among other factors, of project. The financial industry should therefore could be eligible for complementary contributions. update its protocols to facilitate the development of industrialized construction. Table 7: D.S. N°49 subsidy values. Source: (BCN, 2018b) Subsidy Property Subsidy Minimum options maximum maximum savings HOUSING SUBSIDIES OR PUBLIC value * value * INCENTIVES Purchase 950 UF From 314 UF 10 UF to 794 UF Since the beginning of the last century, state Subsidy program Supreme Decree N°10: The policies have sought to meet the housing needs of Rural Habitability Program, corresponding to decree the most vulnerable sectors of the country, even Supreme Decree 10, aims to improve the living though housing is not a right guaranteed by the conditions of families anywhere in Chile except urban Chilean constitution. Different initiatives and subsidy locations with 5,000 or more inhabitants and in programs have been created to reduce the housing accordance with data provided by the National Institute deficit, and have been quite successful in doing of Statistics. As it applies to rural areas, this instrument so in recent decades. In this way, state subsidies must comply with the provisions of Article 55 of the are understood to be an economic contribution to General Law of Urban Planning and Construction, families that require support to finance the purchase in relation to subdivision, urban and construction of their first home. This state contribution, unlike a conditions, where appropriate. mortgage loan, does not charge interest or require repayment, and so interested parties must only meet The amounts covered by this subsidy range from the prescribed minimum requirements to apply, 150 UF to 570 UF, plus savings ranging from 10 UF to within the deadlines that MINVU establishes for each 50 UF. In addition, depending on subsidies awarded, housing program. up to an additional 500 UF may be considered, reaching a total of around 1,120 UF for the purchase The subsidies in force at the date of this report of homes costing up to 1,400 UF. The program gives consider the programs of Supreme Decrees Nos.49, preference to people affected by rural housing deficits, 10, 1, 19 and 120. None of these instruments restricts under a high-, medium-, and low-level categorization the use of any specific material, so construction is only established in the decree. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 87 Table 8: Supreme Decree N°10 subsidy values. Source: (BCN, 2018b) Construction on applicant’s land Segment of Social Household Property maximum value (1) Base subsidy amount Minimum savings Registry (RSH) 0% to 40% 500 UF 10 UF 41% to 60% 450 UF 30 UF 1400 UF 61% to 80% 300 UF 50 UF 81% to 100% 150 UF Construction in a housing development Segment of Social Household Property maximum value (1) Base subsidy amount Minimum savings Registry (RSH) 0% to 40% 570 UF 10 UF 41% to 60% 500 UF 30 UF 1400 UF 61% to 80% 300 UF 50 UF 81% to 100% 150 UF Subsidy program Supreme Decree N°1: this is Applicants must be in the 60-90 percent most intended for middle-income families who do not own a vulnerable segment of the population, according home, who can save and can supplement the value of to the RSH socioeconomic qualification. The homes the home with their own resources or mortgage loans. to which this subsidy is applicable may not exceed This support from the State allows the purchase of a 2,200 UF for normal homes and 2,400 UF for homes new or used home, or to build a new home of up to on Chiloe island, considering subsidy contributions that 140 m² on its own site or in property densification (the range between 125 UF and 600UF, with savings by construction of a home on land where one already applicants of between 30 UF and 80 UF. exists), both in urban and rural sectors. Table 9: D.S. N°1 subsidy values. Source: (BCN, 2018b) Coquimbo Region to Los Lagos Region Subsidy options Property maximum value Subsidy amount Minimum savings Title I section 1 1.000 UF 500 UF (fixed) 30 UF Title I section 2 1.400 UF between 516 and 200 UF 40 UF Title III 2.200 UF between 350 and 125 UF 80 UF Chiloé Province Subsidy options Property maximum value Subsidy amount Minimum savings Title I section 1 1.000 UF 600 UF (fixed) 30 UF Title I section 2 1.600 UF between 589 and 225 UF 40 UF Title III 2.400 UF between 450 and 140 UF 80 UF THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 88 Subsidy program Supreme Decree N°19: The housing projects are those that have a housing Social and Territorial Integration Program Supreme subsidy but have not been able to use it, or those that Decree N°19, which stems from the transitory decree are within the required socioeconomic vulnerability N°116, includes making calls to developers for the sections, as defined by RSH. The maximum values of construction of new projects that allow families to the homes range from 1,100 UF for families located in purchase homes in well-located neighborhoods and the 50 percent most vulnerable segment, and 2,200 close to services, with high-quality design, equipment UF for families in the 50 to 90 percent segment of and green areas. The families that can access these social vulnerability. Price of housing: increase in maximum prices of housing (North, Far South, Province of Chiloe and the National Plan for Deprived Areas) Price of Subsidy Family savings: Families Housing amount Minimum savings • By CSE socioeconomic rating • By price of housing 40% CSE 50% CSE To 50% CSE To 1,200UF 900 UF Habitational subsidy 20 UF 30 UF • Families to 50% of CSE: 800UF 288 UF (*) 40 UF • Families 50%-90% of CSE: DS1 basic subsidy 1.300 UF 50%-90% 1.500 UF 338 UF (*) Mortgage loan of CSE 80 UF • Subsidy for on-time payments To 2,400UF 140 UF • Unemployment insurance for the lifetime of the debt with subsidies on payment of premiums (*) Subsidy amount according to location. Article 3 DS19 Figure 61: Supreme Decree N°19 subsidy values. Source: (Ministry of Housing and Urban Planning, 2016) THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 89 Subsidy program Supreme Decree N°120: this rental contract with a sales agreement. The applicant instrument, also called the Housing Leasing Subsidy, may be entitled to a one-off state subsidy that varies takes applications from adults who cannot save to between 125 UF and 600 UF, according to the value apply for other subsidies, who are subject to credit, of the property and its location. who do not already own a property and who have a Table 10: Housing Leasing Subsidy values. Source: (BCN, 2018b) Housing price Maximum subsidy, Minimum subsidy, Housing location in UF UF UF Housing in all regions, provinces and communes of Chile, Up to 2,000 UF 425 125 except those indicated below Housing in Arica y Parinacota, Tarapaca Antofagasta and Atacama 475 regions Housing in the province of Chiloe Up to 2,200 UF 525 140 Housing in the Aysen del General Carlos Ibanez del Campo and Magallanes regions, Chilean Antarctic, Palena province and the Isla 600 de Pascua and Juan Fernandez communes New housing subsidies aim to promote For public housing, there is a difficulty in the participatory design processes with the financing of industrialized buildings similar to beneficiaries, who may object to the materials those available in privately financed housing. chosen for their future home. In many areas of Subsidies for the construction of new homes consider the country there is a certain stigma attached to the status of payments from SERVIU, according to on- timber buildings, due to its use in minimum-standard site progress and the details in the On-Site Technical emergency housing, temporary buildings and/or lower Inspection Manual (MITO). Although this manual standard buildings that do not comply with regulations. does not prevent industrialized construction, it does This has meant that many beneficiaries of subsidies, present some barriers to its proper development and who are unfamiliar with timber houses that meet to what extent it receives the benefits associated with standards, reject timber. It is therefore necessary to such processes. Added to the difficulty of verifying build timber housing pilots for to see first-hand their construction progress, this can delay payments and high standards when built according to all regulatory hinder development. parameters and the standards resulting from their good design. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 90 CONCLUSIONS FROM CHAPTER 3 By comparing the information gathered from private • Comparing a 6-story timber and concrete and public financing channels with construction and residential building, timber can be expected to operating costs and environmental and value chain increase direct construction costs by around externalities, the following conditions and gaps can 5 percent. However, considering the costs be identified: associated with heating and the valuation of CO2eq emissions from the respective materials, the • Timber is a highly cost-competitive material for overall cost of the building over 60 years would be 1-2 story buildings, tending to be a cheaper 9 percent less than the concrete building. alternative to other materials such as masonry. This explains its widespread use in low-rise • Timber is a material with zero or negative CO2eq homes in Chile. emissions, but this environmental benefit is not normally valued when executing a project, nor is • Medium-height timber buildings tend to be more it addressed by any regulation that limits CO2eq expensive than alternatives in concrete if only the emissions. This gap favors construction systems direct construction costs are considered. These with higher CO2eq emissions, which are often costs tend to increase in 5 to 6-story buildings, more attractive from a short-term economic point where a leap in structural connector technologies of view. translates into higher construction costs. In the absence of regulatory changes that allow for • Chile has a significant gap in information and more flexible timber structures, buildings of 3 and traceability regarding the impact of construction 4 stories with simpler anchoring systems present materials on the environment, their energy a greater potential for cost competition compared requirements and their associated CO2eq to concrete buildings. emissions. This makes it difficult to evaluate the costs and impact on climate change of • While building in timber is not necessarily more construction projects. economical than building in other materials, high- standard timber homes tend to offer greater • Considering Chile’s carbon neutrality goals benefits and comfort than other materials. for 2050 and its international climate change Once industrialized processes become more commitments, it is essential to advance in levies widespread, timber homes can become less on CO2eq emissions in construction. These levies costly than those built with traditional materials. could significantly reduce emissions from the construction of new buildings. If emissions were • Timber residential buildings can reduce heating priced at the international standard of US$50/ costs by up to 65 percent compared to concrete tonCO2eq, high-rise timber homes with lower CO2eq buildings. This means that although a 6-story emissions would have a lower emissions value of timber building in Santiago can cost 100 UF around 56.8 UF. more per apartment than in a concrete building, the timber building can generate savings of • To obtain either public or private financing, about 300 UF in heating during 60 years of the projects in Chile must meet all the applicable property’s life. regulatory requirements and meet on-site THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 91 conditions congruent with good design and subsidies can request technical specifications construction. The regulations make no distinction according to materiality and their use in the between timber and other materials such as projects. This is in a framework associated with concrete or steel. good design and on-site construction practices. • In the national private financial market, there are • The subsidy instruments currently available provide highly competitive financial instruments, strictly adjusted financing amounts for high-rise timber regulated through public institutions such as the housing. For timber social housing, an apartment CMF, which allow for the acquisition of homes can have a net cost of around 1,200 UF, without through loans or endorsable mortgages that considering indirect costs. Only subsidies such include mandatory fire and life insurance. These as the D.S. N°19, with state contributions of up to instruments do not make any direct distinction 1,070 UF, are capable of fully covering the value of regarding the materials used in the construction, the home. except for specific cases such as adobe and adobe bricks, and they do not discriminate in • In new social housing projects, it is important to relation to the use of timber in structures and/or work with families benefiting from subsidies, so finishings. Although some complementary and that they can learn about the benefits of timber optional fire insurance policies have conditions construction and not be influenced by prejudices for the coverage of timber buildings, these are associated with low-standard homes that do not framed under specific and unusual conditions for meet regulatory requirements. properties located in urban environments. • Public subsidy instruments also have no restrictions on the purchase of timber housing. However, the instruments associated with these THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 92 04. ANALYSIS OF THE BARRIERS AND OPPORTUNITIES AROUND A ROADMAP OR WORK PLAN FOR THE CONSTRUCTION OF TIMBER HOUSING SUMMARY Quantitative information regarding regulatory in the survey, but perceived a positive environment gaps was gathered through a survey, the review for the development of timber construction during the of emblematic projects, and interviews with post-pandemic economic recovery. relevant stakeholders. The purpose was to identify guidelines for the development of a roadmap or It is essential to have a cross-sectoral working action plan for the promotion of timber construction. group at a national level to connect the public and private sectors in a joint roadmap or action The survey analyzed 21 barriers to the wider plan to promote the development of timber adoption of timber construction, grouped construction. This working group, led by a unifying into four categories: (a) the cultural gap, focused actor such as the Ministry of Housing and Urban on perceptions regarding timber and its use in Planning, should leverage its multiple agreements construction; (b) the technology gap, which considers with entities linked to the timber sector to focus technical and knowledge capacities regarding on: (a) Advancing standards of sustainability in the construction of timber residential buildings; construction, with a fundamental role for materials (c) the public sector gap, which considers the with low CO2eq emissions such as timber, similar incentives, rules and regulations affecting timber to those of developed countries; (2) advancing an construction; and (d) the private sector gap, focused agenda to update regulations to reflect state-of-the- on the interests of developers and project financing, art timber construction and the needs of society; (c) among others. The largest share of the 166 survey promoting industrialized construction in high-value respondents identified the cultural gap as the greatest timber, strengthening high-tech industrialization barrier to the development of timber construction in companies and developing advanced human capital; the country. (d) promoting the development of emblematic projects, both buildings and urban initiatives, in The key stakeholders, however, tended to focus order to make the benefits of timber better known on regulatory gaps and the lack of incentives from and demonstrate its competitive advantages; the public sector. All declared the importance of (e) Supporting incentive programs for timber developing emblematic projects that allow progress in construction to promote economic recovery, closing the gaps related to timber construction. The employment and social development at local and stakeholders identified similar gaps to those identified national levels. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 93 THE CREATION OF AN AGENDA THAT PROMOTES TIMBER CONSTRUCTION REQUIRES A SERIES OF GUIDELINES TO DEVELOP A ROADMAP WITH IDENTIFY EXISTING GAPS WITHIN THE INDUSTRY TWO ANGLES QUANTITATIVE ANGLE QUALITATIVE ANGLE (SURVEY) (INTERVIEWS) CULTURAL GAPS (OF THE PERCEPTIONS OF THE MATERIAL) VISION OF KEY PLAYERS TECHNOLOGY GAPS REGULATORY GAPS (TECHNICAL CAPACITY AND KNOWLEDGE) LACK OF PUBLIC SECTOR INCENTIVES PUBLIIC SECTOR GAPS (INCENTIVES AND REGULATIONS) PRIVATE SECTOR GAPS (DEVELOPERS’ INTEREST AND FINANCING) IT WAS SHOWN THAT THE BIGGEST GAPS FOR THOSE CONTACTED, PROJECTS WERE CULTURE, DISINFORMATION AND ARE KEY TO REDUCING THE GAPS INFOGRAPHIC THE LACK OF KNOWLEDGE A WORK GROUP IS FUNDAMENTAL TO BRING PLAYERS TOGETHER TO PROMOTE TIMBER CONSTRUCTION. IT SHOULD FOCUS ON: ACADEMIA UPDATE REGULATIONS IMPROVE SUSTAINABILITY STANDARDS INCREASE INDUSTRIALIZED CONSTRUCTION TRIGGER PROJECTS THAT CREATE COMMUNICATION PROMOTE INCENTIVE PROGRAMS FOR ECONOMIC RECOVERY PRIVATE SECTOR PUBLIC SECTOR THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 94 Figura 62: Survey on gaps in timber construction INTRODUCTION This chapter documents progress, lessons learned, The survey ranks the barriers identified, allowing problems and recommendations regarding the quantitative analysis of the main obstacles to promoting construction of timber housing in Chile. This information timber construction in Chile. The survey was sent to the has been generated through a review of cases, a survey CIM UC database and got 166 replies. Based on the and a series of interviews with key players in the sector. interviews conducted, guidelines can be identified to A quantitative and qualitative report is thus made that direct projects that promote timber construction in Chile. can facilitate a diagnosis allowing the identification of Considering the opinions and visions of the interviewees preliminary guidelines that will be necessary for the -influential actors and representatives of public and construction of a roadmap or action plan to further private sector institutions- complemented the results of develop sustainable timber construction. the surveys and created a more complete picture of the situation in Chile. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 95 4.0 ANALYSIS OF LESSONS LEARNED IN PREVIOUS PROJECTS From reviewing different elements in examples timber because at the time there were no regulatory of timber construction of housing and other tests available without these items, which increased buildings, the main lessons learned in each costs and hindered the industrialized process. That project are presented generally. This transmits situation was modified in projects such as Villa the experience of promoting continuous on- Verde, where construction solutions were optimized site improvement and favors the industrialized to avoid these difficult-to-industrialize elements, construction of projects with industrialized timber through using bracing plates that furthermore construction systems, which are addressed in greater reduced construction costs. detail in Annex D. The projects considered are Oasis de Chanaral, El Salado, Villa Verde, the Milan Expo The Milan Expo Pavilion showed the importance Pavilion, and the Penuelas Experimental Tower. of the geographical location and design of structures to adequately protect the timber. The Although the standards and quality of homes in pavilion was erected in Milan for a limited stay as part Oasis de Chanaral are higher than other similar of an exhibition. It was later relocated to the city of projects, several difficulties could be identified in Temuco, where its intended use and environmental the construction stage, where the industrialization conditions are very different. The exposed timber of the construction system could have been structure was considerably affected through getting better approached. The lessons learned are to older and by the weather, increasing maintenance maintain better communication between different costs and leading to the incorporation of additional stakeholders, especially between the architects and solutions to protect the structure from high humidity the construction company, and promoting early- and rain. It is therefore essential to incorporate timber stage planning to reduce or eliminate unforeseen design strategies that anticipate the intended use expenses and/or overlaps in the project. Furthermore, and climatic conditions that a timber building will be to achieve a high level of industrialization, bottlenecks subject to so that it performs optimally and does not associated with the design and on-site construction generate additional expenses during its operation. processes must be avoided, for which it is necessary to at least (a) create an area to receive and store The Penuelas Tower, the tallest timber building materials, (b) plan the on-site assembly process, in Latin America, shows the need to make (c) monitor production lines in their different stages, technological advances for the validation and (d) ensure suppliers always have a critical stock of wider application of new timber construction materials available. technologies. This 6-story timber-framed tower is the first in the region to use technologies such A publicly available, varied catalog of easily as ATS structural anchoring systems to reach the industrialized construction solutions with target height, showing the importance of the logistics regulatory validation should be kept. In and assembly stages in this type of building. The industrialized construction, one of the main lessons construction of emblematic cases that demonstrate from the Oasis de Chanaral and Villa Verde projects the functionality of timber structures in the real world is the optimization of construction solutions and the therefore make it possible to advance work in Chile’s need to have their respective regulatory validations technology and regulatory gaps while generating a at hand. For example, Oasis de Chanaral had to use cultural change regarding the perception of timber horizontal bracing supports in walls and higher-cost and its benefits. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 96 4.1 ANALYSIS OF THE SURVEY OF PERCEIVED GAPS REGARDING TIMBER CONSTRUCTION IN CHILE The survey had a 16 percent response rate, and others). The 8 respondents who identified with equivalent to 166 valid and completed returns another professional area were three commercial that were specifically analyzed by sector and by engineers, two designers, a designer, an entrepreneur, professional area. Generalizations were made of and a management analyst. The AIC professional area the 166 responses from a universe of 1008 people to represents 75 percent of the sample with an “n” equal whom the survey was sent, equivalent to a response to 125 and the “Others” area represents the remaining rate of 16 percent. The professional area is divided 25 percent with an “n” equal to 41. Another division of into two large groups: AIC (architects, engineers, and the sample was made by sector: academic (n=38.23 builders); and Others (real estate manager, sponsoring percent), private sector (n=98.59 percent) and public entity, product provider, teacher/researcher, student, sector (n=30.18 percent). Table 11: Types of gap identified. Timber is a lower quality product Maintenance costs Cultural gaps Insurance and/or mortgage costs Fire risk Lack of knowledge on the environmental benefits of timber Lack of knowledge on timber construction technologies Lack of knowledge by professionals Construction companies with experience in timber Technology gaps Qualified labor and limited technical training Timber quality for construction Network of high-tech industrializing companies Government standards Government incentives Public sector gaps Municipal standards Municipal incentives Communication of the benefits of building with timber Lack of interest from developers Buyers do not prefer timber over other materials Private sector gaps Problems in after-sales Getting project financing Lack of knowledge on the advantages of building in timber THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 97 8 | Other Student | 4 30 | Public Sector Teacher | 17 58 | Architect Academic | 38 Researcher Sector Product | 7 Supplier Real Estate | 3 Developer Builder | 23 44 | Engineer 98 | Private Sector Figure 63: Composition of the survey sample. On the left, a definition by professional area and on the right their respective sectors. The majority are AIC (75 percent) and private sector (59 percent). The 4 macro gaps identified score averages over For the cultural gap, the most relevant barrier is 4 on a scale of 1-7. All were identified as gaps, fire risk and the barriers with the lowest average, with the technology and private sector gaps the i.e., less relevant, are timber’s maintenance costs largest, and the public sector and cultural gaps and its perception as an inferior quality material. the smallest. In general, the four gap groups were The view of timber as an inferior quality material has identified as such through having averages over 4, an average of 4.6 which, together with maintenance indicating that they are all considered as a barrier costs makes it the least relevant obstacle in the cultural to the development of timber construction in Chile. gap. This contrasts with other research stating that the Although the four sections had similar averages, from perception of timber as an inferior quality material has largest to smallest obstacles those associated with a greater relevance because it is always mentioned as technology and private sector gaps ranked first with a barrier (Construye 2025, 2016). Fire risk is the barrier the same average, before gaps associated with the with the highest average, a point that highlights the public sector, and finally cultural gaps. need for more communication about the properties of timber and construction solutions regards fire. AVERAGE OF TIMBER CONSTRUCTION GAPS IN CHILE CULTURAL GAPS 7 7 6 6 5 5 4 4 3 3 2 2 1 1 4.8 5.2 4.9 5.2 4.6 4.6 4.7 5.0 4.9 0 0 Cultural Technology Public sector Private sector Timber is Maintenance Insurance &/or Fire risk Lack gap gap gap gap an inferior costs mortgage of knowledge quality costs about material environmental bene ts Figure 64: General averages for each gap in timber construction in Chile. As Figure 65: Average values of the cultural gap barriers. Valued at 1-7 with values over 4 indicate that an item is a barrier, all are barriers. The private n=166. All averages are over 4, and so are identified as barriers. The most sector and technology gaps represent the largest obstacles. relevant barrier is fire risk, and the least are maintenance costs and that timber is an inferior quality material. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 98 In general, the AIC group assigned less relevance to the barriers than the Others group. When analyzing the results, separating the responses by development area according to AIC and Others, the AIC group rated the barriers with a lower number: on average 27 percent of them did not consider the cultural gap to be a barrier, versus 19 percent of the Others group. This shows that for AIC, the statements in the survey are a lower barrier than for Others, except in the last point; on the lack of knowledge about the environmental benefits of timber, where AIC rated the gap with a higher number. CULTURAL GAP 7  4.5  4.5  4.8  5.0  5.0 6 5 4 3 2 1 4.4 4.7 4.8 4.4 4.7 5.2 4.6 5.2 4.9 4.9 5.3 5.2 5.0 4.9 0 Timber is an inferior Maintenance Insurance &/or mortgage Fire risk Lack of knowledge quality material costs costs about environmental bene ts AIC Others  Average Figure 66: Averages by professional area, grouped into AIC (n=125) and Others (n=41), evaluated on a scale of 1-7. In general, the AIC group has lower averages, meaning that for it the gaps are less relevant. 100% 80% 60% 40% 20% 57% 66% 54% 71% 53% 68% 62% 78% 62% 59% 0% -30% -24% -30% -17% -26% -12% -27% -17% -20% -24% -20% -40% AIC Others AIC Others AIC Others AIC Others AIC Others TIMBER IS AN INFERIOR MAINTENANCE INSURANCE &/OR FIRE RISK LACK OF KNOWLEDGE QUALITY MATERIAL COSTS MORTGAGE COSTS ABOUT ENVIRONMENTAL BENEFITS Considers it is a barrier Considers it is not a barrier Figure 67: The cultural gap, analyzed by respondents’ development areas; AIC (n=125) and Others (n=41). On average it shows that 27 percent of AIC and 19 percent of Others do not consider the cultural gap to be a barrier. 57 percent of AIC and 68 percent of Others consider it as a barrier. Barriers are generally less relevant for the private considered that the statements were not barriers, sector than for the public and academic sectors. and 63 percent said they were. Finally, the highest When analyzing responses by sector, it was found evaluation regarding the perception of a barrier is given that the private sector rated the barriers with the by the academic sector, in which 19 percent did not lowest average, with 27 percent not considering think the statements were barriers, while 65 percent the statements to be barriers and only 57 percent said the statements were relevant barriers. considering they are. In the public sector, 22 percent THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 99 CULTURAL GAP 7  4.5  4.5  4.8  5.0  5.0 6 5 4 3 2 1 5.1 4.4 4.5 4.7 4.6 4.3 4.8 4.5 5.2 5.5 4.9 5.1 5.1 4.9 4.8 0 Timber is an inferior Maintenance Insurance &/or mortgage Fire risk Lack of knowledge quality material costs costs about environmental bene ts Academic Sector Private Sector Public Sector  Average Figure 68: The average of cultural gap barriers, analyzed by sector. The private sector (n= 98) has the lowest average and the public sector (n=30) and academic sector (n=38) have very similar averages. 100% 80% 60% 40% 20% 71% 54% 60% 63% 58% 50% 58% 53% 67% 74% 61% 70% 61% 60% 67% 0% -18% -34% -27% -24% -29% -23% -16% -29% -13% -16% -29% -23% -21% -20% -23% -20% -40% Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector TIMBER IS AN INFERIOR MAINTENANCE INSURANCE &/OR FIRE RISK LACK OF KNOWLEDGE QUALITY MATERIAL COSTS MORTGAGE COSTS ABOUT ENVIRONMENTAL BENEFITS Considers it is a barrier Considers it is not a barrier Figure 69: The perception of cultural gap barriers by sector, where average valuations as a barrier are 65 percent for the academic sector (n=38), 57 percent for the private sector (n=98) and 63 percent for the public sector (n=30). In the technology gap, respondents are seen not the structural sawn wood on the market has a certificate to have perceived timber quality as a relevant gap, from an accredited laboratory for timber classification and the greatest importance is given to the lack (INFOR, 2020), showing that it is a very relevant gap. On of construction companies experienced in timber the other hand, for this section the obstacle perceived construction. As already mentioned in this document, as the most relevant was not having construction there are studies that estimate that only 0.25 percent of companies experienced in timber construction. TECHNOLOGY GAPS 7 6 5 4 3 2 1 5.2 5.4 5.5 5.4 4.6 5.1 0 Lack of knowledge Professionals’ lack Construction Quali ed labor Quality timber Network of high tech about timber of knowledge companies with and limited technical for construction industrializing companies construction technologies timber experience training Figure 70: The average of technology gap barriers, analyzed by sector. Valued 1-7 with n=166. It shows that all averages are over 4, and so are identified as barriers. The most relevant barrier is construction companies without experience in timber, and least relevant is timber quality for construction. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 100 When the results are analyzed by professional AIC sector does not see timber quality as a barrier area, the perception is quite similar for each gap, to construction, contrasting with the reality shown by but their relevance is 10 percent higher for the INFOR (2020), which estimates that only 6 percent of Other sector. It is relevant that 37 percent of the sawn timber in Chile is for structural use. TECHNOLOGY GAP 7  5.2  5.4  5.6  5.4  4.4  4.1 6 5 4 3 2 1 5.3 5.0 4.8 5.4 5.4 5.5 5.8 5.4 5.4 4.3 4.9 4.9 5.7 0 Lack of knowledge Professionals’ lack Construction Quali ed labor Quality timber Network of high tech about timber of knowledge companies with and limited technical for construction industrializing companies construction technologies timber experience training AIC Others  Average Figure 71: Averages by professional area, grouped into AIC (n=125) and Others (n=41). In general, the AIC group has lower averages, meaning that for it the gaps are less relevant. 100 80 60 40 20 72% 73% 76% 80% 78% 80% 74% 78% 50% 73% 64% 76% 0 -14% -12% -11% -12% -12% -14% -15% -37% -22% -18% -17% -5% -20 -40 AIC Others AIC Others AIC Others AIC Others AIC Others AIC Others LACK OF PROFESSIONALS’ LACK CONSTRUCTION QUALIFIED LABOR QUALITY TIMBER NETWORK OF KNOWLEDGE OF KNOWLEDGE COMPANIES WITH AND LIMITED FOR CONSTRUCTION HIGH TECH ABOUT TIMBER TIMBER EXPERIENCE TECHNICAL INDUSTRIALIZING CONSTRUCTION TECHNOLOGIES TRAINING COMPANIES Consider it is a barrier Consider it is not a barrier Figure 72: The technology gap, analyzed by the respondents’ development area, where in AIC n=125 and in Others n=41. It shows that all statements are considered as barriers. But for 37 percent of the AIC sector, timber quality for construction is not a barrier. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 101 When analyzing the technology gap by sector, the private sector and the academic sector, where the results are quite similar between the three sectors latter is the one that values all the barriers as the most analyzed. The greatest difference, with 7 percent relevant obstacles. in the average perception of gaps, is between the TECHNOLOGY GAP 7  5.2  5.4  5.6  5.4  4.4  5.1 6 5 4 3 2 1 5.7 5.0 5.3 5.5 5.3 5.5 5.6 5.4 5.7 5.8 5.2 5.5 5.0 4.5 4.3 5.2 5.0 5.3 0 Lack of knowledge Professionals’ lack Construction Quali ed labor Quality timber Network of high tech about timber of knowledge companies with and limited technical for construction industrializing companies construction technologies timber experience training Academic Sector Private Sector Public Sector  Average Figure 73: The average of the technology gap barriers, analyzed by sector. The private sector (n= 98) has the lowest average and the public sector (n=30) and academic sector (n=38) have very similar averages. 100% 80% 60% 40% 20% 82% 66% 80% 84% 74% 77% 74% 79% 87% 87% 67% 83% 63% 57% 43% 66% 64% 77% 0% -17% -12% -16% -12% -18% -13% -26% -36% -33% -16% -18% -17% -5% -10% -5% -7% -7% -5% -20% -40% Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector LACK OF PROFESSIONALS’ LACK CONSTRUCTION QUALIFIED LABOR QUALITY TIMBER NETWORK OF KNOWLEDGE OF KNOWLEDGE COMPANIES WITH AND LIMITED FOR CONSTRUCTION HIGH TECH ABOUT TIMBER TIMBER EXPERIENCE TECHNICAL INDUSTRIALIZING CONSTRUCTION TECHNOLOGIES TRAINING COMPANIES Consider it is a barrier Consider it is not a barrier Figure 74: Sector analysis of the technology gap where in the academic sector n=38, in the private sector n=98 and in the public sector n=30. It shows that the barrier least identified as such is timber quality for construction; a relevant gap when considering INFOR data. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 102 The largest public sector gap identified is communication of the benefits of timber construction and government incentives. The least relevant obstacle identified is that of municipal regulations, followed by the gaps associated with government regulations and municipal incentives. PUBLIC SECTOR GAPS 7 6 5 4 3 2 1 4.8 5.2 4.6 4.9 5.2 0 Government Government Municipal Municipal Communication of standards incentives standards incentives the bene ts of building with timber Figure 75: Average values of barriers in public sector gaps. Valued 1-7 with n=166. It shows that all averages are over 4, and so are identified as barriers. The most relevant are government incentives and the communication of the benefits of timber, and the least relevant is government standards. When analyzed by professional area, the barrier while for AIC the lack of government incentives is of communication of the benefits of timber is the public sector’s greatest barrier, being part of seen as the most relevant, and the AIC group a scenario in which neither the market nor public perceives the lack of government incentives as the policies recognize the environmental and habitational largest obstacle. In the Others group, the perception benefits of timber buildings. between incentives and regulations is more uniform, PUBLIC SECTOR GAPS 7  4.7  5.1  4.6  4.8  5.2 6 5 4 3 2 1 4.6 5.1 4.8 5.2 4.7 4.7 4.2 5.0 4.3 5.1 5.4 0 Government Government Municipal Municipal Communication of standards incentives standards incentives the bene ts of building with timber AIC Others  Promedio Figure 76: Averages by professional area, grouped into AIC (n=125) and Others (n=41). In general AIC has lower averages, meaning that for it the gaps are less relevant. The biggest gap for AIC is government incentives, but the largest average is for the gap of communication of the benefits of timber. 100 80 60 40 20 53% 78% 70% 70% 53% 59% 59% 59% 71% 84% 0 -28% -14% -16% -19% -24% -32% -20% -24% -18% -16% -20 -40 AIC Others AIC Others AIC Others AIC Others AIC Others GOVERNMENT GOVERNMENT MUNICIPAL MUNICIPAL COMMUNICATION OF STANDARDS INCENTIVES STANDARDS INCENTIVES THE BENEFITS OF BUILDING WITH TIMBER Considers it is a barrier Considers it is not a barrier Figure 77: Public sector gaps, analyzed by respondents’ professional areas, AIC (n=125) and Others (n=41). THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 103 When analyzing by sector, it is clear that in general of respondents by sector who did not perceive the the results do not present major differences, and statements as gaps, although the same previous trend once again the academic and public sectors are is identified, the dispersion is greater. In this way, 23 the ones that give most relevance to barriers, percent of the private sector, 18 percent of the public with averages of 62 percent and 63 percent sector and 12 percent of the academic sector did not respectively. The private sector averages 58 percent, think the statements were gaps. The communication of which although indicating a lower perception of the the benefits of timber construction is one of the main gap by this sector, also shows that the difference is gaps identified in the entire survey, and only 3 percent only 5. However, when reviewing the percentages of the public sector did not think it was a barrier. PUBLIC SECTOR GAPS 7  4.8  5.1  4.6  4.8  5.2 6 5 4 3 2 1 4.8 4.8 4.8 5.3 5.0 5.4 4.2 4.7 4.8 5.2 4.7 5.1 5.1 5.1 5.8 0 Government Government Municipal Municipal Communication of standards incentives standards incentives the bene ts of building with timber Academic Sector Private Sector Public Sector  Average Figure 78: The average of the public sector gap barriers, analyzed by sector. The private sector (n= 98) has the lowest average and the public sector (n=30) and academic sector (n=38) have very similar averages. 100% 80% 60% 40% 20% 55% 57% 53% 68% 64% 70% 47% 51% 57% 66% 52% 57% 71% 67% 77% 0% -18% -27% -20% -13% -18% -10% -29% -26% -17% -13% -26% -10% -18% -20% -3% -20% -40% Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector GOVERNMENT GOVERNMENT MUNICIPAL MUNICIPAL COMMUNICATION OF STANDARDS INCENTIVES STANDARDS INCENTIVES THE BENEFITS OF BUILDING WITH TIMBER Consider it is a barrier Consider it is not a barrier Figure 79: Public sector gaps, analyzed by sector, where in the academic sector n=38, in the private sector n=98 and in the public sector n=30. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 104 The gaps around the private sector show the greatest difference in averages, where the least relevant obstacle is the problems associated with after-sales, and the most relevant gap in the survey is the lack of knowledge of the advantages of timber construction. The highest average, scoring 5.8 with 88 percent identification as a barrier, is the lack of knowledge of the advantages of timber construction. The main gap again corresponds to misinformation, and once again there is a clear need to promote communication and education on timber construction and its benefits. PRIVATE SECTOR GAPS 7 6 5 4 3 2 1 5.1 5.4 4.5 5.1 5.8 0 Lack of interest Buyers do not Problems associated Getting project Lack of knowledge by developers prefer timber with after-sales nancing of the advantages over other materials of building with timber Figure 80: Average values of barriers in private sector gaps. Valued 1-7 with n=166. It shows that all averages are over 4, and so are identified as barriers. The most relevant is lack of knowledge of the advantages of timber in construction and the least relevant are aftersales problems In private sector gaps the AIC professional area 22 percent of AIC respondents did not believe that again has the lowest averages, as has been the the gaps described were really a barrier for the trend throughout the survey. The average percentage development of timber construction, compared to 14 considering the statements as a barrier is 64 percent percent in Others. for AIC and 70 percent for Others. At the same time, 7  5.1  5.3  4.4  5.0  5.8 6 5 4 3 2 1 5.1 4.8 4.8 5.3 5.6 4.3 4.8 5.1 4.7 5.8 5.7 0 Lack of interest Buyers do not Problems associated Getting project Lack of knowledge by developers prefer timber with after-sales nancing of the advantages over other materials of building with timber AIC Others  Average Figure 81: Averages by professional area, grouped into AIC (n=125) and Others (n=41). In general AIC has lower averages, meaning that for it the gaps are less relevant. The largest gaps for AIC are after-sales problems and the lack of knowledge of the advantages of timber for construction. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 105 100% 80% 60% 40% 20% 70% 70% 54% 73% 48% 58% 63% 58% 85% 90% 0% -22% -13% -30% -18% -28% -15% -19% -15% -11% -10% -20% -40% AIC Others AIC Others AIC Others AIC Others AIC Others LACK OF INTEREST BUYERS DO NOT PROBLEMS ASSOCIATED GETTING PROJECT LACK OF KNOWLEDGE BY DEVELOPERS PREFER TIMBER WITH AFTER-SALES FINANCING OF THE ADVANTAGES OVER OTHER MATERIALS OF BUILDING WITH TIMBER Considers it is a barrier Considers it is not a barrier Figure 82: Private sector gaps, analyzed by respondents’ professional area, where in AIC n=125 and in Others n=41. Private sector gaps are an obstacle for timber sector itself considered as the least important, but with construction according to 74 percent of the public only a 3 percent difference against other sectors the sector, but the highest average -i.e., that these difference is not considered significant. In the public gaps are the most relevant- was given by the sector, 97 percent believed that lack of knowledge of academic sector, with a score of 5.3. Although the the advantages of timber construction is a barrier, and private sector recognized all statements as barriers, no group believes that it is not. The statement was the it rated them lower, with the barriers from the private only one to receive a unanimous rating. 7  5.1  5.3  4.4  5.0  5.8 6 5 4 3 2 1 5.4 5.2 4.5 5.6 5.2 5.5 4.6 4.5 4.5 5.0 5.0 5.6 5.9 5.7 6.1 0 Lack of interest Buyers do not Problems associated Getting project Lack of knowledge by developers prefer timber with after-sales nancing of the advantages over other materials of building with timber Academic Sector Private Sector Public Sector  Average Figure 83: Average values of barriers in private sector gaps, analyzed by sector. The private sector (n= 98) has the lowest average and the public sector (n=30) and academic sector (n=38) have very similar averages. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 106 100% 80% 60% 40% 20% 55% 57% 53% 68% 64% 70% 47% 51% 57% 66% 52% 57% 71% 67% 77% 0% -16% -26% -16% -14% -16% -29% -13% -24% -17% -10% -13% -13% -3% -7% -20% -40% Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector Academic Sector Private Sector Public Sector LACK OF INTEREST BUYERS DO NOT PROBLEMS ASSOCIATED GETTING PROJECT LACK OF KNOWLEDGE BY DEVELOPERS PREFER TIMBER WITH AFTER-SALES FINANCING OF THE ADVANTAGES OVER OTHER MATERIALS OF BUILDING WITH TIMBER Consider it is a barrier Consider it is not a barrier Figure 84: Private sector gaps, analyzed by sector where in the academic sector n=38, in the private sector n=98 and in the public sector n=30. It shows that nobody in the public sector thinks that the lack of knowledge of the advantages of timber in construction is not a barrier. The 21 statements presented in the 4 macro- In general, the valuations do not identify the gaps are considered to be barriers. The greatest cultural gap as the most relevant barrier for the obstacle is identified in the public sector and is development of timber construction, although the lack of information about the advantages of when ranking gaps, the respondents defined it timber construction, with an average of 5.8. The the most significant in Chile. In contrast to the smallest obstacle identified is also from the public results of the valuation of barriers, which highlight the sector, and is problems associated with after-sales, public sector and technology gaps; in section 5 of followed by the perception of timber as a lower the survey, the general ranking of gaps, the cultural quality material, maintenance costs and timber macro gap was identified as the most relevant. quality for construction. In general, the private sector This can be explained, in part, to a social stigma of and technology gaps have the highest averages, timber associated with precarious or temporary making them the most influential obstacles to timber buildings, which has been the case in Chile in the construction in Chile, and in having the lowest most vulnerable social sectors and in reconstruction averages, cultural and public sector gaps are the processes after natural disasters. In a more objective least relevant obstacles. and thoughtful analysis of the real gaps in timber construction, public policy and technical instruments are identified as obstacles to its development. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 107 1 3 5 7 Fire risk 5.0 Lack of knowledge about environmental bene ts of timber 4.9 Insurance &/or mortgage costs 4.7 Timber is an inferior quality material 4.6 Maintenance costs 4.6 Construction companies with timber experience 5.5 Quali ed labor and limited technical training 5.4 Professionals’ lack of knowledge 5.4 Lack of knowledge about timber construction technologies 5.2 Network of high-tech industrializing companies 5.1 Quality timber for construction 4.6 Lack of knowledge of the advantages of building with timber 5.8 Buyers do not prefer timber over other materials 5.4 Lack of interest by developers 5.1 Getting project nancing 5.1 Problems associated with after-sales 4.5 Communication of the bene ts of building with timber 5.2 Government incentives 5.2 Municipal incentives 4.9 Government standards 4.8 Municipal standards 4.6 Public Sector Gaps Private Sector Gaps Technology Gaps Cultural Gaps Figure 85: Overview of the general gaps identified, ordered by macro gap and average in descending order, with the highest average being a larger obstacle, on a scale of 1-7. The n total of the survey is 166 respondents, and these representative results are only a sample. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 108 Table 12: Results of the section on ranking the gaps, comparing the overall average to the academic, private and public sectors, and to the AIC and Others professional areas. Academic Gaps Average Sector Private Sector Public Sector AIC Others Cultural gap 1 1 1 1 1 1 Technology gap 2 2 2 4 3 2 Public sector gap 3 3 3 3 2 3 Private sector gap 4 4 4 2 4 4 The gap ranking results vary widely, making it education, and therefore reducing cultural gaps and difficult to analyze and deliver a generalized the lack of information. diagnosis, however, the cultural gap can be identified as the main gap according to the On the other hand, technology and public/private respondents. There is a lot of difference between sector gaps require specific public policies and respondents, with the cultural gap in first place with investment to close. These policies should promote 49 percent (n = 81); the technology gap in second the use of sustainable materials and environmental place with 31 percent ; the public sector gap in third benefits such as the capture of CO2eq with a view to place with 37 percent ; and the private sector gap in carbon neutrality by 2050, value sustainability in public fourth place with 39 percent. and private sector tenders, and add subsidies and incentives to specific timber projects that promote Other gaps identified by respondents, provided communication. Regulations must also be updated, in the comments section of the survey, are also simplifying the certification processes for complex related to the communication and delivery of frame solutions for fire resistance and soundproofing information. Such gaps were the perception of performance requirements. Likewise, work between forest management and increased deforestation due the public, private, and academic sectors must be to the extraction of timber, the lack of integration strengthened, based on training to increase the between industry and academia, generating groups technical skills of construction companies and the of professionals dedicated to timber; and the generation of advanced human capital. perception that starting a real estate project in timber is somewhat risky. A key input to a roadmap or action plan to develop a timber construction agenda are the In general, throughout the analysis of the different aspirations and challenges identified in section 4 sections of the survey, the main barrier identified of this document, as having a clear diagnosis and is misinformation and lack of communication. defined strategic guidelines are very important. The largest gap identified is the lack of knowledge For this, it is recommended to work around already about the advantages of timber construction and, established and widely accepted related roadmaps, according to section 5, cultural gaps. To face these or to use recognized methodologies such as the obstacles, it is necessary to hold campaigns to University of Cambridge’s IFM that identifies trends communicate studies and success stories about among main stakeholders, first answering the emblematic projects; as well as developing local question Where do we want to go?, then Where are initiatives that effectively communicate the benefits of we now?, and finally, How do we get there?, while timber. In addition, information materials about timber setting short-, medium-, and long-term objectives construction and its advantages should be made based on previously-made diagnoses, such as those public, promoting the availability of information and set out in this document. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 109 4.2 PERCEPTIONS OF KEY ACTORS INTERVIEWED AND THE GAPS AND OPPORTUNITIES THEY SEE The general perception of key actors in no cross-sector, national work groups that address this construction, the manufacture of timber agenda, although there are some isolated initiatives construction products and the development that lack adequate coordination. of related public policies is that Chile is at an inflection point for the development of mid-rise “…Timber IS and MUST be the material of the timber buildings, which are expected to increase future, it has great benefits that lead to greater significantly in the next few years. Together with comfort and health for people. Timber should be the survey of gaps, interviews were also carried especially focused on human-scale construction out with relevant actors from the public and private projects, such as housing, schools, and sectors related to the construction sector and to kindergartens. For this it will be key to have quality, the development of public policies that promote certified supplies... This agenda should be led timber construction. These interviews show optimism by a partnership between the public and private regards timber construction in Chile, considering sectors, with institutions such as MINVU through the momentum that the subject has had in more its technical division (DITEC) and organizations developed countries, and especially in the context of a oriented to industrialized construction such as CCI post-COVID-19 green recovery plan. and/or Construye 2025 ...” “…We are at an inflection point with a much The lack of productivity in construction and the faster growth curve (for timber construction), higher construction standards resulting from the thanks to a more sophisticated industry, an challenges of climate change mean that sector activate professional sector, new industrialization modernization and a move towards industrialized capabilities, and the goal of carbon neutrality… systems of sustainable timber construction are like never before, a synergy between actors has needed. For some interviewees, the construction been created...” sector is resistant to change, preventing it from responding adequately. Therefore, it should create “…In recent years the foundations for a modern new capacities in advanced human capital and timber construction industry have been laid and industrialized construction solutions in sustainable now we are at an inflection point…New products timber to face present and future challenges. and high-tech industrialization companies will allow the development of the sector during the “...construction has not increased productivity next decade…” due to the lack of materials that can be industrialized and can deliver greater productivity The timber construction agenda, according to the ... when you compare, timber is one of the few different actors in the sector, should be led by a materials that can help increase productivity in joint effort between the public and private sectors, industrialized processes...” and for this the creation of a roadmap or joint action plan is needed. In general, the interviewees “...we have to generate a productive chain with say that initiatives to promote timber construction two pillars: advanced human capital and the should be led by public institutions such as MINVU supply of sustainable construction solutions ... and companies in the construction, industrialization, generating trust for the end user...” and timber supply sectors. A focus should also be on reducing Chile’s qualitative and quantitative housing New real estate and construction companies deficit, through increasing productivity by incorporating linked to traditional construction in other materials industrialized processes. However, at present there are say they need new regulatory incentives or public THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 110 instruments that facilitate change to enter the “...there are uncertainties about the cost of world of timber. Construction companies that do industrialized construction in timber, and not have experience in timber construction, see incentives are needed for both the construction predominantly commercial risks with respect to companies and the buyers ... tax benefits for building new mid-rise timber buildings. They see a construction companies could be generated, need to create incentives and regulatory or similar as well as property tax payments or commercial instruments that attract new actors, such as a bonus in licenses for the buyers ...” the maximum height of the project, a greater buildable area, urban flexibility, priority in project review in Legal tools and instruments that do not address construction management, among other possibilities. concepts such as sustainability, and that do not Additionally, opportunities are seen in which subsidy facilitate work around a cross-sector agenda on instruments for public housing provide greater benefits this issue in the public sector must be thoroughly for materials with less environmental impact, such as updated. Laws such as the LGUC do not have timber. For example, integration subsidies such as sustainability concepts in their core, making it hard to Supreme Decree 19 could provide a higher selection incorporate these concepts in subsequent instruments score and/or deliver higher amounts and terms such as the OGUC. The budget allocation models for the supporting loans associated with projects. for public investment projects do not adequately These companies also highlight the need to generate include the analysis of projects’ sustainability and favorable conditions for buyers, through benefits such environmental impact, making development in these as access to preferential mortgage loans and/or tax areas difficult in the public sector. benefits around the payment of property taxes. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 111 “...the General Law of Urban Planning and is not explicitly mentioned ... Initiatives such as the Construction has to be updated to incorporate labeling of timber are also necessary, so that all sustainability concepts at its core ... in this way actors involved in the timber construction sector such concepts may mandate regulations such comply with at least the minimum standards as the General Ordinance of Urban Planning and required by regulations.” Construction ...” Although Chile has world-class forestry production “… It is also necessary to review how resources, it must add more value to timber- sustainability concepts are incorporated into the based products and increase the standards of Public Investment System, so that these are later sawn timber used in construction. Most timber reflected in programs such as those associated in the national market is low value and unsuitable for with social housing… which is a key element structural use in construction, making it important to on which to generate work jointly between the develop standards such as the labeling of sawn timber Ministry of Social Development, MINVU, MOP, to provide traceability. Greater added value is sought MMA and other services that develop projects” for timber products in construction, and there are important investment projects in timber engineering According to Chile’s industrialized timber and manufacturing of products such as CLT in Chile. construction industry, the country has the potential Likewise, sector actors consider it necessary to to become an international benchmark in the short develop regulations that quantify the environmental term, although public and private instruments have externalities of construction materials, implementing to modernize for this to happen. The industrialized green taxes on materials that emit more CO2eq or that timber construction sector has recently advanced have a negative environmental impact. in incorporating greater capacities and state-of-the- art technologies, which, added to first-class forestry “... the industry needs to create value in forest resources, positions Chile favorably to become products, since the advantage of cheap timber an international benchmark. Some companies has begun to decline due to market entry by accordingly plan to triple their current production in the other more competitive countries, such as fiber coming years, expanding their operations even to other produced in Brazil ...” regions of the country. For this, they nonetheless point out the importance of modernizing instruments for the It is necessary to develop emblematic projects that management of traditional construction, enabling the open the doors to using timber in construction, larger-scale use of these technologies. Difficulties are changing perceptions of timber, in anticipation of identified in public/private financial systems around the mid-rise buildings becoming more common in Chile. financing of industrialized works, in which progress All the actors involved in the development of timber made in factories is not eligible for the release of construction interviewed agreed on the importance payments, or in on-site inspection methodologies that of generating emblematic projects that help advance are unprepared for industrialized processes. this agenda. These projects spur regulatory updates, certainty in construction processes and cost “… Currently we are more prepared, we have evaluation, as well as changing buyers’ perceptions. better technology and much better conditions These projects should get more support than to become a benchmark in timber construction traditional projects, to be able to take shape, generate worldwide. We have forest resources and lessons and identify opportunities. technology comparable to developed countries ... Issues that should be updated are mainly “…advance is needed on three key fronts… (1) related to current regulations, for example the making timber suitable for construction visible, requirements for earthquake behavior. Because where labeling is key; there is no clear information of them, timber buildings must meet standards on timber for consumers and retail… (2) energy for rigid buildings as in the case of concrete, efficiency regulations, needing better standards which make structures unnecessarily more like there are in developed countries ... (3) expensive, making it difficult to develop medium- generating more iconic projects to materialize real and high-rise buildings ... Another example of experience and approach and demolish myths or a regulatory gap is MINVU’s On-Site Technical old memories of precarious solutions ...” Inspection Manual (MITO), where industrialization THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 112 CONCLUSIONS FROM CHAPTER 4 There is a need to create a cross-sectoral working opportunity to promote low-emission timber group, including representatives from the public, buildings and forest planting. Its work on the private and academic sectors, to develop an circular economy agenda, which seeks to promote agenda that promotes timber construction. From more sustainable development, is also contributing to the review of information and analysis in previous progress towards a bioeconomy. chapters, together with the review of quantitative and qualitative gaps in this chapter, it is apparent that the A roadmap or action plan to encourage quality, lack of a national level working group, including all sustainable timber construction in mid-rise sectors linked to industrialized timber construction, buildings should be based on five pillars: is one of the main barriers to the development of effective public policies. Chile has examples of • Advance sustainability standards in efforts to promote timber construction, such as construction, with a fundamental role for materials the timber agenda led by the Ministry of Housing with low CO2eq emissions and incorporated energy. and Urban Planning; the Meso Regional High Value Standards should be similar to those in developed Timber Industry Strategic Program led by CORFO countries. To this end, (a) instruments that limit and the private sector in south-central regions of the CO2eq emissions from construction and operation country; the UC Center for Timber Innovation (CIM of buildings should be evaluated; (b) tools such as UC), which brings together timber construction sector levies on CO2eq from construction emissions should suppliers, trade associations such as CORMA, and be evaluated, in order to level the playing field the Pontificia Universidad Catolica de Chile; and even between timber and more polluting materials; (c) initiatives between universities, such as Universidad product labeling should specify the environmental de Concepcion’s Polo Madera. However, there is impact of residential construction materials; (d) no entity in charge of promoting a country-wide waste produced on-site should be limited or agenda. Furthermore, the lack of participation in taxed; (e) regulatory standards for energy and timber initiatives by key players such as the Chilean environmental performance inside buildings should Construction Chamber and the banking sector, be increased. demonstrates the need to bring them into the dialogue about the timber construction sector. • Advance a regulatory and standards update agenda that considers state-of-the-art timber In recent years, MINVU and its technical division, construction and the needs of society. It is DITEC, have taken the lead in promoting timber recommended that the following initiatives be construction. They have strengthened their support for explored: (a) accelerating the revision of standards iconic timber projects; validated timber construction and regulatory instruments that govern timber solutions according to regulatory testing requirements; construction; (b) updating specific regulations strengthened partnerships with institutions such as that do not take into account the characteristics CIM UC, the Forestry Institute (INFOR), laboratories and of modern timber construction, such as Standard strategic programs; and provided leadership in timber- NCh1198 (which does not allow an engineer to related regulatory reforms. Work implemented by some calculate the strength and rigidity of a building MINVU housing services stands out, especially in the with wooden walls), and Standard NCh433 O’Higgins Region, for the future development of a (which imposes maximum floor deformation limits 6-story timber building that would become the highest associated with rigid concrete structures); (c) residential timber building in Latin America. updating technical manuals and review protocols in the public sector, such as the MINVU On-Site The ambitious agenda around carbon neutrality Technical Inspection Manual (MITO), to clarify its promoted by the Ministry of Environment is an use in industrialized construction processes; (d) THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 113 advancing the creation of prescriptive instruments such as urban flexibility or greater densification; (d) for the development of mid-rise buildings; (e) exploring the use of MINVU or SERVIU instruments generating tools that allow the simplified validation to deliver benefits for the development of timber of constructive solutions with multiple layers, projects with public funds; (e) promoting a private such as timber frameworks, which would make it sector agenda around the development of mid-rise unnecessary to carry out multiple and costly fire timber housing construction. performance and soundproofing tests. • Support incentive programs for economic • Encourage and enhance industrialized recovery, and generate initiatives that promote construction in high-value timber, while employment and social development, at both strengthening high-tech industrialization local and national levels. The following strategies companies and developing advanced human should be considered: (a) development of a capital. To this end, the feasibility of the following short-term economic recovery agenda around initiatives should be evaluated: (a) making the the construction of sustainable timber houses; labeling of timber for construction mandatory, (b) preparation of instruments that facilitate and providing tools that enable SMEs to take faster approval of sustainable timber residential advantage of the added value of structural timber; projects; (c) promotion of the use of industrialized (b) creating incentives / instruments that allow construction systems in timber, within the small construction companies, industrializers framework of MINVU’s economic recovery plan; (d) and sawmills to carry out the transformations generating a DS19 green subsidy instrument that necessary to move towards high-standard creates favorable conditions for residential projects industrialization processes; (c) generate networks within the framework of economic recovery and among suppliers of timber construction materials, promotes sustainable construction strategies with industrialists, real estate companies, construction timber; (e) creation of instruments that promote companies, public entities, technology centers and sustainable construction in timber, such as state universities in order to promote the development guarantees for deposits made on green mortgage of timber construction; (d) develop programs that loans; (f) promoting the development of mid-rise promote the formation of advanced human capital timber residential projects under the modality of around industrialized construction in timber; rent subsidy. (e) generate transfer models that promote the adoption of new timber construction technologies • It is important that the definition of a roadmap in construction companies. or cross-cutting action plan is the result of a consensus among all parties. The success of • Promote the development of urban and any roadmap or action plan depends on it being building emblematic projects, to show the made collaboratively by the public, private and benefits of timber and evaluate its competitive academic sector actors involved. The actors must advantages. The following aspects of such projects agree on short, medium, and long-term goals and should be studied: (a) calling for bids through define responsibilities based on the respective public instruments that specify the use of timber as capacities of each participant. Two events related a construction material; (b) promoting R&D projects to timber construction in Chile have presented in relation to timber residential buildings; (c) opportunities for preliminary work on this matter: generating local and/or national public policies that Timber Week 2020 and the World Conference on promote the use of timber in housing construction, Timber Engineering 2020. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 114 BIBLIOGRAPHY Accoya. (n.d.). The Timber Transport CO2 Calculator - Accoya. Retrieved June 10, 2020, from https://www.accoya.com/sustainability/the-timber-transport-co2-calculator/ AIA, USDA FLP, & FPInnovations. (2015). Off-Site Studies Solid Timber Construction. Australian Government. (2019). Housing and other residential building commencements. https://www.agriculture. gov.au/abares/research-topics/forests/forest-economics/forest-wood-products-statistics/housing-and-building- commencements ArchDaily (2013) Earth Sciences Building / Perkins + Will . 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Building and Environment, 46(5), 1133–1140. https://doi.org/10.1016/j.buildenv.2010.12.002 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 122 INDEX OF FIGURES Figure 1: View of the Smartcity Quayside neighborhood development project in Toronto, Sidewalklab. 14 Source: https://www.sidewalktoronto.ca/ Figure 2: Change in floor areas, population, domestic energy use and energy-related emissions. Source: derived from IEA 15 (2019a), World Energy Statistics and Balances 2019, www.iea.org/statistics and IEA (2019b) Energy Technology Perspectives, buildings model, www.iea.org/buildings P.9. Figure 3: Three scenarios related to terrestrial carbon sequestration. On the left, the natural process of millions of years of 16 terrestrial carbon sequestration; in the center, the massive release of carbon into the atmosphere by human industry in a construction scenario in highly polluting materials such as steel and concrete; on the right, a scenario in which humanity turns to bio-products that allow the storage of carbon in the atmosphere and reduce its content in the long term. Source: Churkina et al, 2020. Figure 4: Comparison of resistance and density of different construction materials, presenting the advantage of timber as 17 it has high resistance and low density. Source: Department of Engineering, Cambridge University, 2020, http:// www-materials.eng.cam.ac.uk/mpsite/interactive_charts/strength-density/basic.html Figure 5: Origine Building Source: Franco, J. T., 2020. 19 Figure 6: Bridport House Source: ArquiExpo. (n.d.). 20 Figure 7: Strandparken Building Source: Wingårdh Architects - Scan Magazine. (2015). 20 Figure 8: UBC Earth Systems Science Building Source: ArchDaily (2013). 20 Figure 9: Carlisle Lane Source: Carlisle Lane Flats | PRS Architects. (n.d.). 21 Figure 10: E2E Factory Source: (Madera21.cl, 2019). 21 Figure 11: The Monthly Economic Activity Index, IMACEC, March 2019 to March 2020, where significant decreases can be 22 seen in October 2019 (social crisis) and May 2020 (COVID-19 crisis). Source: Central Bank of Chile, 2020. Figure 12: Predominant materials by quantity of floors built, which shows the advance timber has made in the 1-2 story 24 buildings sector and its near total absence in the 3-6 story sector. Source: CIM UC, based on the INE Building Statistics Form, 2002 - 2017. Figure 13: Milestones that affect housing construction, effects such as higher thermal performance requirements and structural 25 regulations associated with earthquakes, favor the use of timber in construction. Source: CIM, 2019a. Figure 14: Example of timber frames and OGUC clauses. Source: (Catalogoarquitectura.cl, 2018). 26 Figure 15: Technical tests Source: (DITEC, 2009). 26 Figure 16: Direction of grain and in CLT. Source: (Maderas-uv, n.d.). 27 Figure 17: PymeLab Experimental Tower (left) and the Polo Madera building (right). Source: (UBiobio.cl, 2020). 28 Figure 18: Glulam bridge, Zapallar (left) and Villarica gymnasium (right). Source: (plataformaarquitectura.cl, 2008). 28 Figure 19: LP I-Joists technical brochure. LP Chile. 29 Figure 20: OSB SIP panel Source: Dib Car Labs. (2017). 29 Figure 21: STEKO construction system Source: www. steko-latinoamerica.com 29 Figure 22: A Chiloe church (left) and the Sewell mining camp (right). Source: Duna (2018); Revista Enfoque (2017). 30 Figure 23: Villa Verde (left) and Oasis de Chanaral (right). Source: Plataforma & Arquitectura; CIM, 2019. 30 Figure 24: BIP Computers offices, Santiago (left) and the UC School of Architecture (right). Source: Plataforma & 31 Arquitectura, 2008.; Claro, 2017. Figure 25: Chile Pavilion, Expo Milan (left) and the CMPC Corporate Campus, Los Angeles (right). Source: Plataforma & 31 Arquitectura, 2018; Madera21, 2019. Figure 26: Los Bronces mining camp (left) and the Horizonte del Pacifico housing development (right) Source: Lo Barnechea 31 & Anglo American; e2echile.com, 2020. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 123 Figure 27: Chile’s GHG national inventory: GHG balance (ktCO2eq) by sector, 1990-2016 series, the forestry contribution 33 shown by the Land Use, Land Use Change and Forestry (LULUCF) indicator. Source: MMA (2018). Chile’s third biennial update report on climate change. p.81. Figure 28: Forest lands: GHG emissions and capture (ktCO2eq) by its main subcomponents, 1990-2016 series, presenting 33 a higher contribution in CO2 capture from forest plantations, in relation to national parks and reserves. Source: MMA (2018). Chile’s third biennial update report on climate change. p.98. Figure 29: Carbon neutrality scenario for the 2020-2050 period, where it is indicated that by 2050 at least 50% of CO2eq 33 emissions will be offset by forests. Source: Ministry of Energy, 2020. Figure 30: Global Surface area of forests and protected areas. Source: Weller et al., 2014. 34 Figure 31: Forestry area by total and sub-use. Source: Compiled by authors, based on data from INFOR, 2019. 35 Figure 32: Quantity (in m3) of timber produced and its destination. Source: Compiled by authors, based on 36 data from INFOR, 2019. Figure 33: The 18-floor Mjøstårnet timber building, which has homes, offices and other uses. 40 Source: https://www.avontuura.com/mjostarnet-by-voll-arkitekter/ Figure 34: Evolution of timber building heights in Europe. Source: (Östman & Källsner, 2011). 43 Figure 35: Test NCh 935/1, with a floor solution on the left and a wall on the right. Source: IDIEM, 2018. 52 Figure 36: Test NCh 2786 of a dividing wall, with the receiving room on the left and the emitting room on the right. 53 Source: CPIA, 2017. Figure 37: Evolution of Chilean standards for the thermal conditioning of buildings (the colored elements are in force at 55 present). Source: Compiled by authors with data from EMB Construcción, 2016. Figure 38: Atmospheric decontamination plan strategy 2014-2018. Cities with valid plans are presented. 56 Source: MMA, 2014. Figure 39: Construction of the Horizonte del Pacifico building by the company E2E Chile. Source: www.tribunadelbiobio.cl 64 Figure 40: Plans of standard housing in the CIM UC study. Source: (DECON, 2019). 66 Figure 41: Net costs (UF/m2) in different materials and levels of industrialization by number of floors. Source: Compiled by 68 authors, based on data from CIM UC, 2019a. Figure 42: Timber structure costs for 3 to 6 floors, technology change between 4 and 5 floors. Source: (CIM UC, 2019a). 69 Figure 43: Construction time in months for 3-6 floor buildings and general expenses. Source: (CIM UC, 2019a). 69 Figure 44: Holdown system on the right and ATS system on the left. Source: (Strongtie, n.d.). 70 Figure 45: Net costs (UF/m2) in different materials and industrialization levels by zone. Source: Compiled by authors, based 71 on data from (CIM UC, 2019a). Figure 46: 5-floor building plan for vulnerable sectors (1,332 m2) above and for emerging sectors (2,183 m2) below. Source: 73 (CIM UC, 2019a). Figure 47: Times and costs of a 5-floor building for vulnerable sectors, with construction time of 5.5 months. Source: (CIM 74 UC, 2019a). Figure 48: Times and costs of a 5-floor building for emerging sectors, with construction time of 6.8 months. Source (CIM 74 UC, 2019a). Figure 49: Patterns for construction solutions in masonry. Source: (CIM UC, 2019b). 76 Figure 50: Patterns for construction solutions in reinforced concrete. Source: CIM UC, 2019). 76 Figure 51: Patterns for construction solutions in timber. Source: (CIM UC, 2019b). 76 Figure 52: Construction, energy and heating costs in buildings with minimum insulation. Source: (CIM UC, 2019b). 76 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 124 Figure 53: Construction, energy and heating costs in buildings with ideal insulation. Source: (CIM UC, 2019b). 77 Figure 54: Life cycle stages. Source: (Oliebana.com, 2012). 78 Figure 55: Carbon incorporated in structural works by m2. Source: Compiled by authors, based on data from CIM UC 2019 79 and Quartz, 2019. Figure 56: kgCO2 equivalent of electric heating. 81 Figure 57: Average kgCO2eq emissions by energy source and area. 81 Figure 58: Incorporated carbon in the life cycle. 82 Figure 59: Cost comparison in 3 scenarios for concrete and timber. 83 Figure 60: Mortgage loan stock in Chile by type, 2000 - 2006. Source: (SERNAC, 2017). 85 Figure 61: D.S. N°19 subsidy values. Source: (Ministerio de Vivienda y Urbanismo, 2016). 88 Figure 62: Survey on gaps in timber construction. 94 Figure 63: Composition of the survey sample. On the left, a definition by professional area and on the right their respective 97 sectors. The majority are AIC (75%) and private sector (59%). Figure 64: General averages for each gap in timber construction in Chile. As values over 4 indicate that an item is a barrier, 97 all are barriers. The private sector and technology gaps represent the largest obstacles. Figure 65: Average values of the cultural gap barriers. Valued at 1-7 with n=166. All averages are over 4, and so are 97 identified as barriers. The most relevant barrier is fire risk, and the least are maintenance costs and that timber is an inferior quality material. Figure 66: Averages by professional area, grouped into AIC (n=125) and Others (n=41), evaluated on a scale of 1-7. In 98 general, the AIC group has lower averages, meaning that for it the gaps are less relevant. Figure 67: The cultural gap, analyzed by respondents’ development areas; AIC (n=125) and Others (n=41). On average it 98 shows that 27% of AIC and 19% of Others do not consider the cultural gap to be a barrier. 57% of AIC and 68% of Others consider it as a barrier. Figure 68: The average of cultural gap barriers, analyzed by sector. The private sector (n= 98) has the lowest average and 99 the public sector (n=30) and academic sector (n=38) have very similar averages. Figure 69: The perception of cultural gap barriers by sector, where average valuations as a barrier are 65% for the academic 99 sector (n=38), 57% for the private sector (n=98) and 63% for the public sector (n=30). Figure 70: The average of technology gap barriers, analyzed by sector. Valued 1-7 with n=166. It shows that all averages are 99 over 4, and so are identified as barriers. The most relevant barrier is construction companies without experience in timber, and least relevant is timber quality for construction. Figure 71: Averages by professional area, grouped into AIC (n=125) and Others (n=41). In general, the AIC group has lower 100 averages, meaning that for it the gaps are less relevant. Figure 72: The technology gap, analyzed by the respondents’ development area, where in AIC n=125 and in Others 100 n=41. It shows that all statements are considered as barriers. But for 37% of the AIC sector, timber quality for construction is not a barrier. Figure 73: The average of the technology gap barriers, analyzed by sector. The private sector (n= 98) has the lowest 101 average and the public sector (n=30) and academic sector (n=38) have very similar averages. Figure 74: Sector analysis of the technology gap where in the academic sector n=38, in the private sector n=98 and in the 101 public sector n=30. It shows that the barrier least identified as such is timber quality for construction; a relevant gap when considering INFOR data. Figure 75: Average values of barriers in public sector gaps. Valued 1-7 with n=166. It shows that all averages are over 4, 102 and so are identified as barriers. The most relevant are government incentives and the communication of the benefits of timber, and the least relevant is government standards. Figure 76: Averages by professional area, grouped into AIC (n=125) and Others (n=41). In general AIC has lower averages, 102 meaning that for it the gaps are less relevant. The biggest gap for AIC is government incentives, but the largest average is for the gap of communication of the benefits of timber. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 125 Figure 77: Public sector gaps, analyzed by respondents’ professional areas, AIC (n=125) and Others (n=41). 102 Figure 78: The average of the public sector gap barriers, analyzed by sector. The private sector (n= 98) has the lowest 103 average and the public sector (n=30) and academic sector (n=38) have very similar averages. Figure 79: Public sector gaps, analyzed by sector, where in the academic sector n=38, in the private sector n=98 103 and in the public sector n=30. Figure 80: Average values of barriers in private sector gaps. Valued 1-7 with n=166. It shows that all averages are over 104 4, and so are identified as barriers. The most relevant is lack of knowledge of the advantages of timber in construction and the least relevant are aftersales problems. Figure 81: Averages by professional area, grouped into AIC (n=125) and Others (n=41). In general AIC has lower averages, 104 meaning that for it the gaps are less relevant. The largest gaps for AIC are after-sales problems and the lack of knowledge of the advantages of timber for construction. Figure 82: Private sector gaps, analyzed by respondents’ professional area, where in AIC n=125 and in Others n=41. 105 Figure 83: Average values of barriers in private sector gaps, analyzed by sector. The private sector (n= 98) has the lowest 105 average and the public sector (n=30) and academic sector (n=38) have very similar averages. Figure 84: Private sector gaps, analyzed by sector where in the academic sector n=38, in the private sector n=98 and 106 in the public sector n=30. It shows that nobody in the public sector thinks that the lack of knowledge of the advantages of timber in construction is not a barrier. Figure 85: Overview of the general gaps identified, ordered by macro gap and average in descending order, with the highest 107 average being a larger obstacle, on a scale of 1-7. The n total of the survey is 166 respondents, and these representative results are only a sample THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 126 INDEX OF TABLES Table 1: Required fire resistance for residential construction elements. Source: OGUC, 2009. 51 Table 2: Cases studied to establish referential costs. Source: (CIM UC, 2019a). 65 Table 3: Construction solutions for each scenario. Source: (CIM UC, 2019b). 75 Table 4: Transport impact on CO2eq. Source: (Accoya, n.d.). 80 Table 5: kgCO2eq per kWh produced by energy source. 80 Table 6: kgCO2eq of fixed consumption by geographical area. Source: Compiled by authors. 80 Table 7: D.S. N°49 subsidy values Source: (BCN, 2018b). 86 Table 8: D.S. N°10 subsidy values. Source: (BCN, 2018b). 87 Table 9: D.S. N°1 subsidy values. Source: (BCN, 2018b). 87 Table 10: Housing Leasing Subsidy values. Source: (BCN, 2018b). 89 Table 11: Types of gap identified. 96 Table 12: Results of the section on ranking the gaps, comparing the overall average to the academic, 108 private and public sectors, and to the AIC and Others professional areas. Table 13: Composition of the CIM UC database. 132 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 127 ANNEX ANNEX A: NCH TECHNICAL STANDARDS RELATED TO TIMBER CONSTRUCTION. *Standards that DITEC MINVU is in the process of updating • *NCh433 Earthquake resistant design of buildings • NCh762 Timber slabs and boards - Determination of moisture content • *NCh1198 Timber – Timber Constructions– Calculation • NCh2148 Glued laminated structural timber - Requirements, sampling methods and inspection. • NCh1990 Timber - allowable stresses for structural timber • NCh790 Timber – Timber preservation - Classification, composition and specifications • NCh2151 Structural glued laminated timber - (requirements) of preservatives Vocabulary • NCh1969/1 Timber - Hardwood - Visual grading • *NCh2165 Allowable design stresses for structural for cutting or use - Part 1: Sawn or planed timber glued laminated timber of radiata pine in second-growth forests of coigue, rauli and roble [different species of beech] • NCh1989 Timber- Strength grouping by species - Procedure. • NCh3223 Timber - Hardwood - Visual grading of logs in second-growth forests of species coigue, • NCh1970/1 Timber - Part 1: Hardwood - rauli and roble [different species of beech] Visual classification for structural purposes - Specifications for grading • NCh3226 Timber - Second-growth forests of species coigue, rauli and roble [different species of • NCh1970/2 Timber - Part 1: Softwood - beech]- Visual classification for structural purposes Visual classification for structural purposes - - Specifications for grading Specifications for grading • NCh3222 Timber - Hardwood - Visual grading of • *NCh1207 Radiata pine - Visual classification for standing trees in second-growth forests of species structural use - Quality grades specification coigue, rauli and roble [different species of beech]. • NCh1079 Architecture and construction - • NCh3177 Timber-plastic - Determination Climatic zoning for dwellings for Chile and mechanical and physical properties - Methods of recommendations for architectural design testing. • NCh789/1 Timber - Part 1: Grading of commercial • *NCh173 Timber – General Terminology timber according to its natural durability • NCh1969 Timber - Hardwood timber - Visual • *NCh819 Treated timber - Classification according grading rules. to operational damage risk and sampling. • NCh3028/2 Structural timber - Determination of • NCh3390 Timber - Method for determining physical and mechanical properties of the timber formaldehyde in air - Using a small-scale chamber classified by its resistance - Part 2: Sampling and evaluation of the characteristic values of pieces in • NCh3391 Timber – Fiber boards and particles structural size boards - Maximum limit of emission of formaldehyde THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 128 • NCh3112 Adhesives - Classification of • NCh2957/1 Timber - Propagation material for thermoplastic wood adhesives for non-structural forestry use - Part 1: General requirements for applications Radiata pine. • NCh3079 Timber - Joints made with mechanical • NCh2957/2 Timber - Propagation material for elements of union - Determination of the resistance forestry use - Part 2: General requirements for characteristics and deformation - General Eucalyptus globulus and Eucalyptus nitens principles • NCh2957/4 Timber - Propagation material for • NCh3060 Timber preservatives - Determination of forestry use - Part 4: General requirements for efficacy against underground termites - Laboratory Douglas fir. method. • NCh760 Timber – Particle boards– Specifications. • NCh980 Madera – Timber - Determination of volumetric contraction and swelling. • NCh351/3 Building construction - Stairs - Part 3: Wood stairs requirements. • NCh3053 Timber - Determination of radial and tangential swelling. • NCh2999 Timber - Poplar sawn wood - Requirements. • *NCh174 Timber - Unit, dimensions, tolerances and specifications. • NCh793 Timber – Timber-based plates and boards - Determination of water absorption and of swelling • NCh177 Timber - pressed fiber boards - in thickness after immersion in water. Specifications. • NCh794 Madera - Timber – Timber sheets and • NCh3065 Timber - hardwood - Timber for furniture boards - Determination of bending strength - Requirement and classification • NCh2059 Timber - Medium density fiber • NCh3028/1 Structural timber - Determination of boards and particle boards - Determination of physical and mechanical properties of the timber formaldehyde content – Perforator method classified by its resistance - Part 1: Methods of test in structural size • NCh999 Double pole wood scaffolds - Requirements. • NCh775:1980 Timber based panels - Boards - Sampling and extraction of test specimens and • NCh2957/5 Timber - Propagation material for determination of dimensions of test specimens. forestry use - Part 5: General requirements for Rauli [a species of beech]. • NCh1207:2005 Radiata pine - Visual grading for structural use - Specifications of quality grades. • *NCh178 Sawn Radiata Pine - Classification by appearance • NCh3004 Timber - Test methods for mechanical properties of laminated veneer lumber to structural • NCh2122 Timber - Radiata pine poles - use. Specifications and dimensions. • NCh3005 Timber - Evaluation of structural • *NCh354 Timber flush doors – General laminated veneer lumber. requirements. • NCh3003 Adhesives - Adhesives for laminated • *NCh723 Timber flush doors – Testing methods. veneer lumber for exterior (wet) use - Requirements and test methods. • *NCh2824 Timber - Radiata pine - Units, dimensions and tolerances. • NCh2957/0 Timber - Propagation material for forestry use - Part 0: Production and • *NCh2827 Test method for use and calibration of commercialization. hand-held moisture meters THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 129 • *NCh631 Preserved timber - Sampling. • NCh968 Timber – Selection, sampling and conditioning for the determination of physical and • *NCh176/1 Timber - Part 1: Determination of mechanical properties moisture content. • *NCh969 Timber - Determination of mechanical • NCh2100 Timber - Moldings - Patterns. properties - General conditions for tests. • NCh2093 Timber - Medium density fiber boards • *NCh973 Timber - Determination of mechanical and particles boards - Limits of total extractable properties - Compression parallel to grain. formaldehyde. • *NCh974 Timber - Determination of mechanical • *NCh630 Timber - Preservation– Terminology. properties - Testing compression perpendicular to grain. • NCh1438 Timber - Preservation - Chemical analysis - Wet ashing procedure • *NCh975 Timber - Determination of mechanical properties - Testing tension perpendicular to grain. • *NCh755 Timber preservation - Measurement of penetration of preservatives in timber • *NCh976 Timber - Determination of mechanical properties - Testing shearing parallel to grain. • NCh763/2 Timber - Preservation - Part 2: Treatment solutions with atomic absorption • NCh724 Timber based panels - Boards - spectrophotometry Vocabulary. • NCh763/1 Timber - Preservation - Analysis of • NCh795 Particle boards - Determination of tensile wood preservative and treated timber by using strength perpendicular to the plane. X-ray fluorescence instruments. • *NCh977 Timber - Determination of mechanical • NCh1439 Timber - Preservation - Water borne properties – Cleavage test. preservatives - Chemical analysis. • *NCh978 Timber - Determination of mechanical • NCh2284 Timber - Preservatives - Methods for properties –Hardness test. sampling. • *NCh979 Timber - Determination of mechanical • *NCh2150 Glued laminated timber - Mechanical properties – Nail withdrawal test. and visual stress grading of radiata pine timber. • *NCh986 Timber - Determination of mechanical • NCh2149 Timber - Sawn timber - Determination of properties – Toughness test. modulus of elasticity in bending • *NCh987 Timber - Determination of mechanical • *NCh1970/1 Timber - Part 1: Hardwood - properties – Static bending test. Visual classification for structural purposes - Specifications for grading. • NCh176/3 Timber - Part 3: Determination of radial and tangential shrinkage • *NCh1970/2 Timber - Part 1: Softwood - Visual classification for structural purposes - • NCh792 Wood based panels - Boards - Specifications for grading. Determination of density. • NCh176/2 Timber - Part 2: Determination of • NCh761 Wood based panels - Boards - density. Determination of dimensions and shape. • NCh1989 Timber – Strength grouping by species – • *NCh993 Timber - Procedure and criteria for Procedure classification. • *NCh789/1 Timber - Part 1: Grading of commercial • NCh1320 Timber for preservation - Requirements. wood according to its natural durability. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 130 • NCh356 Parquet. • *NCh3028/2 Structural timber - Determination of physical and mechanical properties of the timber • *NCh992 Timber - Defects determination for classified by its resistance - Part 2: Sampling and classification, terminology and measurement evaluation of the characteristic values of pieces in methods. structural size. • *NCh355 Wooden windows. • *NCh3390 Timber - Method for determining formaldehyde in air - Using a small-scale chamber • *NCh1989:2017 Timber - Strength grouping by species – Procedure, pending official approval • *NCh3391 Timber - Fiber boards and particles boards - Maximum limit of emission of • *NCh1990 Timber - Allowable stresses for formaldehyde structural timber, pending official approval. • NCh2369 Earthquake-resistant design of industrial • *NCh3028/1 Structural timber - Determination of structures and facilities. physical and mechanical properties of the timber classified by its resistance - Part 1: Methods of test • NCh3617 Structural plywood. in structural size THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 131 ANNEX B: SUMMARY TABLE OF LIFETIME CO2 EMISSIONS, BY SCENARIO AND TYPE OF HOUSING. SHOWN IN FIGURE 58: INCORPORATED CARBON IN THE LIFE CYCLE. Data summary table kgCO2eq kgCO2eq Construction kgCO2eq Fixed Electric kgCO2eq LPG kgCO2eq Nat Firewood kgCO2eq kgCO2eq Scen N° Floors solution consumption heating heating Gas heating heating Incorporated Captured BM; SG 1,639 405 430 437 - 526 35 1 Floor TF1; SG 1,639 315 335 341 - 268 92 RC; SG 1,639 231 245 249 - 384 2 1 4 Floors TF1; SG 1,639 49 52 53 - 118 62 RC; SG 1,639 231 245 1,328 - 351 25 6 Floors TF1; SG 1,639 49 52 1,167 - 103 63 BMi; SG 1,965 1,605 1,704 1,734 - 526 35 1 Floor TF1; SG 1,965 1,530 1,624 1,653 - 268 92 RCi; SG 1,965 929 987 1,004 - 384 2 2 4 Floors TF1; SG 1,965 605 642 653 - 118 62 RCi; SG 1,965 929 987 1,328 - 351 25 6 Floors TF1; SG 1,965 605 642 1,167 - 103 63 BMi; SG 1,992 1,200 1,274 1,297 - 526 35 1 Floor TF1; SG 1,992 1,069 1,135 1,155 - 268 92 RCi; SG 1,992 692 735 748 - 384 2 3 4 Floors TF1; SG 1,992 419 445 453 - 118 62 RCi; SG 1,992 692 735 1,328 - 351 25 6 Floors TF1; SG 1,992 419 735 1,167 - 103 63 BMi; SG 1,992 1,990 2,113 2,150 - 526 35 1 Floor TF1; SG 1,992 1,700 1,805 1,837 - 268 92 RCi; SG 1,992 1,221 1,296 1,319 - 384 2 4 4 Floors TF1; SG 1,992 760 806 821 - 118 62 RCi; SG 1,992 1,221 1,296 1,328 - 351 25 6 Floors TF1; SG 1,992 760 806 1,167 - 103 63 BMe; DG1 1,992 2,341 2,486 2,530 - 526 35 1 Floor TF2; DG1 1,992 2,337 2,481 2,525 - 268 92 RCe; DG1 1,992 1,229 1,305 1,328 - 384 2 5 4 Floors TF2; DG1 1,992 1,080 1,147 1,167 - 118 62 RCe; DG1 1,992 1,229 1,305 1,328 - 351 25 6 Floors TF2; DG1 1,992 1,080 1,147 1,167 - 103 63 THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 132 ANNEX C: THEORETICAL AND METHODOLOGICAL FRAMEWORK FOR THE PERCEPTIONS SURVEY ON TIMBER CONSTRUCTION Table 13: Composition of the CIM UC database This survey was carried out to visualize the perception of the barriers and/or gaps timber construction Data base Quantity faces in Chile, to be aware of the current scenario CIM UC academics 45 and so be able to prioritize and channel efforts to promote the subject. Therefore, the main question of Civil Construction academics 62 the survey would be what the biggest obstacles to Construction 126 the construction of timber buildings in Chile are. The Construction companies 142 opportunities for timber construction in the country could then be identified from this. Architecture and design companies 25 Diploma alumni 308 As a methodology reference, a study carried Internal CIM UC 23 out in Australia was used that aimed to identify obstacles to timber construction through different Government SERVIUs 61 professionals and people in the subject area (Xia et Real estate companies 18 al., 2014). The study also exposes some barriers like Timber companies 5 those in Chile, creating a good foundation for the preparation of the survey. Prefabricators 25 Architecture academics 155 Perceived gaps could be identified by respondents’ Design academics 9 professional area and sector. CIM UC sent the survey Urban studies academics 4 to its database of 1008 people, according to the classification described in the following table. The TOTAL 1008 survey was sent by email with a link to the survey that was carried out with a Google tool. The first email was sent on July 2, then a reminder on July 8, before obstacle. Furthermore, one open question was asked the survey closed at 23:59, July 9. A total of 166 valid per section. where respondents identified if there were responses was received. The incentive of a prize draw others gap in the sector that had not been mentioned. of two books on timber construction was used to The sections are cultural gap, technology gap, public encourage responses. sector gap, and private sector gap. The data collected was aggregated to obtain The fifth section was to rank the most important gap information from different groups of people, for the development of timber construction in Chile. therefore, the personal information of each The titles of the four previous sections were shown and respondent was protected, ensuring the anonymity respondents had to put numbers from 1 to 4 ordering of the data obtained. by importance, where 1 was the most significant gap and 4 the least significant. The survey structure was of 5 sections plus a respondent identification section and had an average Finally, respondents were asked two identification response time of between 5 and 7 minutes. The first questions. The first was about their professional area, four sections had the same form where a general gap and the available options were architect, engineer, is identified that is the heading of the section, and builder, real estate manager, sponsoring entity, product then 5 or 6 statements were presented which had supplier, teacher/researcher, student or other. The to be ranked as obstacles for timber construction in second was on the sector in which respondents work, Chile, on a scale of 1-7 where 1 means the statement with the options of academic sector, private sector, or is not an obstacle and 7 means it is a very important public sector. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 133 ANNEX D: SIGNIFICANT TIMBER CONSTRUCTION CASE STUDIES IN CHILE IN THE LAST DECADE Name Expo Milan Pavilion Architectural design: Undurraga Deves Arquitectos Year: 2015 Location: Milan, Italy Structure: Glulam Floor area: 1,720 m2 Overview: The design of this building consists of a rational and simple mechanical structure, which allows a rapid assembly and disassembly of the work, ideal for its subsequent transfer back to Chile for reconstruction and a subsequent new use. Lessons learned and gaps: Although the project considered the ease of assembly and disassembly, having been designed to be located in Milan for a period of 6 months between spring and summer, it did not take into consideration that once it was moved to Temuco, the building both in its assembly and construction and its operation could be affected by drastic differences in climate due to environmental humidity and rainfall, not only Sources: by direct exposure of the wood and the possible https://www.plataformaarquitectura.cl/cl/892049/pabellon- changes in the percentage of humidity and therefore de-chile-expo-milan-2015-undurraga-deves-arquitectos its dimensional stability, but also due to the eventual accumulation of water in the lower joints between diagonals. It will therefore require proper inspection and maintenance, as well as a design of some element or system that protects the timber. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 134 Name Villa Verde Architectural design: Elemental Year: 2010 Location: Concepcion, Chile Structure: Timber, platform framework Total floor area: 5688 m2 Housing area: 56.44 m2 Type A housing 56.88 m2 Type B housing Overview: The project, commissioned by the Arauco company, was designed to give company workers access to a permanent home, using structural MSD from the same company, and also applying the principle of incremental housing, including the lot and the structure of the house space to allow the extension of the house, by approximately 18m² for Type A and 28m² for Type B. Lessons learned and gaps: The structure did not use structural plates, instead using diagonals and chains, and required on-site installation of terminations such as plasterboard- cardboard and fiber cement boards. To maximize the Sources: effectiveness of the insulation, sprayed cellulose was https://www.plataformaarquitectura.cl/cl/02-309072/villa- used, which fits seamlessly into the resulting cavities verde-elemental between uprights, chains, beams and the like. http://www.elementalchile.cl/ Given the large number of standardized houses and the proximity of the project to forest resources and industry, this could be built in Chile today in a totally industrialized way in timber by panelizing elements such as walls, floors and ceilings, further optimizing resources, quality control and construction times. In addition, the use of structural plates would not only facilitate the manufacture and handling of the panels, but also the installation of the moisture and wind barriers. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 135 Name Penuelas Experimental Tower Architectural design: Centro de Innovacion en Madera UC Year: 2018 Location: Penuelas, Chile Structure: Modular timber Floor area: 24m2 per floor Overview: The tower, unlike a conventional 6-sided modular system, is designed with a 4-sided module: 3 walls and a floor. In this way, the module allows its replicability both horizontally and vertically, eliminating double floors and walls. It uses StrongRod technology from Simpson Strongtie, also known as ATS, which consist of steel cables at the ends of the walls that run through the building from the foundations to the top floor to reduce the lifting of the walls by the energy of earthquakes or wind loads, transforming it into compression loads that descend through the walls. All timber elements, including finishings, were prepared to be highly durable, and therefore require little maintenance. Lessons learned and gaps: The tower will mainly study the variables of interior comfort and energy efficiency, and the behavior of the structure Sources: in the event of earthquakes. The tower is furthermore as https://www.madera21.cl/primer-edificio-en-madera-de- a communications example of the characteristics of this chile-se-inauguro-en-penuelas/ type of construction. Through a survey of those attending guided tours, a real estate perception study is carried out for this type of construction. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 136 Name Oasis de Chanaral and El Salado Architectural design: Centro de Innovacion en Madera UC Year: 2018 Location: Chanaral, Chile Structure: Timber, platform framework Total Floor area: 19360 m2 Overview: These projects collectively deliver 352 homes for the multiple families that lost theirs in storms in northern Chile in 2015. It has 2 and 3-floor buildings with entire timber structure platform framework systems. It incorporates multiple design strategies and uses renewable energies to increase the interior comfort of homes, becoming the first social housing development of this scale to obtain the A and A + housing energy rating, which translates into energy savings of 84 percent and 91 percent in heating and cooling. It furthermore reuses gray water from the development to irrigate community gardens, strengthening networks in the community. Lessons learned and gaps: Sources: https://www.plataformaarquitectura.cl/cl/02-309072/villa- This project successfully dealt with multiple challenges. verde-elemental The first of these was design, how to build in timber http://www.elementalchile.cl/ in the north to avoid overheating and maintain interior comfort. Then it was the cultural acceptance of the project by its future users, given the local tradition of building in masonry, adobe and concrete. In addition, there were problems of access to construction material and qualified labor. The project therefore prefabricated elements and transported them to the site, and had to search for human resource for assembly, installation work, terminations, and other tasks. Oasis de Chanaral demonstrated the high-quality standards of a well-designed timber building. THE CONSTRUCTION OF TIMBER HOUSING IN CHILE | 137 Name El Morro Sustainable Neighborhood, Talcahuano Architectural design: CITEC Universidad del Bio Bio Year: In development Location: Talcahuano, Chile Structure: 1st floor reinforced concrete and 3 upper floors timber, platform framework Expected floor area: In development General description: The project consists of sustainable timber houses in 14 four-story towers in El Morro. There is a total of 140 apartments, as well as urban gardens and green areas, linking the housing complex and its neighbors with the urban environment. The project is located on the coast affected by tsunamis after the earthquake of February 27, 2010, so it opted to build the first floor as a non-habitable space, made of reinforced concrete piles and walls, imitating the shape of stilt houses. THE CONSTRUCTION OF TIMBER HOUSES IN CHILE A pillar of sustainable development and the agenda for economic recovery