The Netherlands is dealing with a severe housing crisis, in which there is a major shortage of affordable housing. The government has introduced many new regulations, trying to curb this affordability problem. Many of these measures seem to center around tempering market parties on the Dutch housing market. However, quite contradictory is that the same government is also dependent on these market parties to construct new housing. The relationship between government and market parties need to become less hardened, as the there is a tremendous urge for affordable housing. Many lower and middle-income groups are excluded from social housing and owner-occupied housing, therefore dependent on the middle rental segment. Within the new coalition agreement is laid down that there will be a rent regulation for middle segment rental housing, which has to conclude in affordable housing for middle-income groups and profitable investment opportunities for institutional real estate investors. This utopian way of thinking will be further explored within this research, as there seems to be a more complicated field of tension between the subjects of affordability and financial feasibility. New and innovative concepts could help to bridge this gap, however the effectivity of these concepts for realizing middle segment rental housing still seems underexplored in literature. The main research question is therefore: To what extent are new and innovative concepts effective in realizing middle segment rental housing, which remain affordable for tenants and financially feasible for project initiators?

The research involves two types of studies. Starting off with a literature study, to shape the theoretical context of the problem. The literature study is followed up by empirical case studies on new and innovative concepts, in which data is acquired through document analyzes and the conduction of qualitative interviews with involved stakeholders.

The goal of the research is to provide recommendations to market parties and governmental parties on how to effectively realize middle segment rental housing. The recommendations are based on the concluding answers to the main research question and the corresponding research sub-questions.

The final outcome is that new and innovative concepts are to a very high extend effective in realizing middle segment rental housing. The concepts have a unique financial structure, which allows them to guarantee the affordability for tenants and the financial feasibility for project initiators. This way new and innovative concepts are able to lower the tension between affordability and profitability. Moreover, some concepts offer additional solutions for other larger social challenges, such as the energy transition, skewed housing and an aging population. In addition to the concept itself, the important role of the government must also be acknowledged, which influences all developments in the housing management field by means of steering legislations and regulations.