Mass customisation of offsite manufactured modular construction components to transform the existing built environment

Revitalising neighbourhoods for communities to come together is about ensuring the right conditions. Innovative funding and new business models can provide the necessary framework and incentives to rethink how solutions and projects are designed, planned, executed, and invested in for the structural and systemic transformation of neighbourhoods^[1] in line with New European Bauhaus (NEB) values^[1] and working principles^[1]. Demonstrating the socioeconomic, environmental, financial, aesthetic^[4] and cultural value creation of NEB-aligned solutions and projects can incentivise stakeholders in the built environment^[1] and its related ecosystems (e.g. construction^[1], banking, insurance, social economy, and real estate) to invest and participate in the circular^[1], inclusive^[1], affordable, accessible, sustainable^[1] and culturally significant revitalisation of neighbourhoods. New business and innovative funding models are thus crucial to encourage long-term and life-cycle thinking in the built environment while enhancing its long-term, sustainable competitiveness.

This Destination will address three of the Commission political guidelines 2024-2029, namely:

1. A new plan for Europe’s sustainable prosperity and competitiveness
2. Supporting people, strengthening our societies and our social model
3. Sustaining our quality of life: Food security, water and nature

This Destination supports the NEB Facility’s overarching aim to drive the implementation of the European Green Deal on the ground. Its focus on circular economy principles, biodiversity, responsible and sufficient use of natural resources, and sustainable competitiveness contributes to the Clean Industrial Deal^[10], EU Circular Economy Action Plan^[11], new Circular Economy Act^[12], Zero Pollution Action Plan^[13], EU Biodiversity Strategy^[14], and European Climate Adaptation Plan^[15]. This Destination also seeks to engage local stakeholders and the local social economy in neighbourhood transformation while addressing community^[1] challenges and needs as well as better understanding and leveraging appropriate market dynamics. It thereby offers potential contributions to the EU Startup and Scaleup Strategy^[17]. By focusing on the reuse of the existing building stock, the provision of key social infrastructures^[1] and services, and addressing homelessness^[1] at neighbourhood level, it also contributes to the EU Renovation Wave^[20] and potentially contributes to the European Affordable Housing Plan^[21].

In work programme 2026-2027, this Destination contributes to the following overarching expected impacts set out in the Horizon Europe strategic plan 2025-2027:

8. Realising the full potential of cultural heritage, arts, and cultural and creative sectors

9. Strengthening social and economic resilience and sustainability

15. Achieving global leadership in climate-neutral, circular and digitized industrial and digital value chains

In addition, proposals for topics under this Destination should set out a credible pathway to contributing to the development of innovative funding and new business models for the transformation of neighbourhoods, and more specifically to one or several of the following impacts:

1. Better understanding of the contextual local conditions that drive or hinder sustainable neighbourhood developments and the uptake of NEB-aligned solutions and projects, such as capital and real estate market dynamics and socioeconomic, cultural, demographic, and climatic changes.
2. Anticipation and consideration of future needs, functions and inhabitants (including more-than-human^[1] perspectives) of neighbourhoods and their developments towards the future.
3. Demonstrated socioeconomic, financial, environmental, cultural, and aesthetic value of NEB-aligned solutions and projects driving the revitalisation of the built environment in neighbourhoods.
4. Increased investment in the transformation of neighbourhoods in line with NEB through alternative, innovative, and community-based investment and ownership approaches^[23].
5. Community and place-based approaches that adopt a systemic perspective and use co-creation^[1] approaches with diverse local stakeholders, including marginalised or underrepresented groups or those in a vulnerable situation, and contribute to addressing pressing community challenges and needs such as homelessness and housing.
6. ⁠Circular manufacturing, renovation, and reuse approaches in the built environment contribute to the sufficient use of resources and space.

When possible and relevant, actions are strongly recommended to collaborate with and build on the results of past and ongoing research projects, including regional, national or European funded projects, to ensure consistency and continuity in research.

[1] See definition in the Glossary section of the NEB part of the HE WP26-27.

[2] See definition in the Glossary section of the NEB part of the HE WP26-27.

[3] See definition in the Glossary section of the NEB part of the HE WP26-27.

[4] See definition of "beautiful” in the Glossary section of the NEB part of the HE WP26-27.

[5] See definition in the Glossary section of the NEB part of the HE WP26-27.

[6] See definition in the Glossary section of the NEB part of the HE WP26-27.

[7] See definition in the Glossary section of the NEB part of the HE WP26-27.

[8] See definition in the Glossary section of the NEB part of the HE WP26-27.

[9] See definition in the Glossary section of the NEB part of the HE WP26-27.

[10] European Commission, ’Clean Industrial Deal’, accessed 5 August 2025, https://commission.europa.eu/topics/eu-competitiveness/clean-industrial-deal_en

[11] European Commission, ’Circular Economy Action Plan’, accessed 5 August 2025, https://environment.ec.europa.eu/strategy/circular-economy-action-plan_en

[12] Under development and with expected adoption by the end of 2025.

[13] European Commission, ’Zero Pollution Action Plan’, accessed 5 August 2025, https://environment.ec.europa.eu/strategy/zero-pollution-action-plan_en

[14] European Commission, ’Biodiversity Strategy 2030’, accessed 5 August 2025, https://environment.ec.europa.eu/strategy/biodiversity-strategy-2030_en

[15] European Commission, ’EU Adaptation Strategy’, accessed 5 August 2025, https://climate.ec.europa.eu/eu-action/adaptation-climate-change/eu-adaptation-strategy_en

[16] See definition in the Glossary section of the NEB part of the HE WP26-27.

[17] European Commission, ’EU Startup and Scaleup Strategy’, accessed 5 August 2025, https://research-and-innovation.ec.europa.eu/strategy/strategy-research-and-innovation/jobs-and-economy/eu-startup-and-scaleup-strategy_en

[18] See definition in the Glossary section of the NEB part of the HE WP26-27.

[19] See definition in the Glossary section of the NEB part of the HE WP26-27.

[20] European Commission, ’Renovation Wave’, accessed 5 August 2025, https://energy.ec.europa.eu/topics/energy-efficiency/energy-performance-buildings/renovation-wave_en

[21] European Commission, ’European Affordable Housing Plan’, accessed 5 August 2025, https://ec.europa.eu/info/law/better-regulation/have-your-say/initiatives/14670-European-Affordable-Housing-Plan_en

[22] See definition in the Glossary section of the NEB part of the HE WP26-27.

[23] See the NEB Investment Guidelines for more information. European Commission, ’NEB Investment Guidelines’, New European Bauhaus, accessed 5 August 2025, https://new-european-bauhaus.europa.eu/tools-and-resources/neb-investment-guidelines_en . Sections of particular relevance for applicants to consider include: 1. Introduction; 2. Mapping the NEB; 4.4 Project risks; 5. Making the NEB case; and 6. Conclusions.

[24] See definition in the Glossary section of the NEB part of the HE WP26-27.

Expected Outcome:

Project results are expected to contribute to all of the following expected outcomes:

• Stakeholders involved in the construction^[1] and renovation ecosystem adopt innovative solutions for the mass customisation of offsite manufactured modular construction components.
• Significantly reduced waste and environmental impacts (including air quality, noise and transportation) and enhanced local cultural heritage and/or aesthetics^[2] of the built environment^[1] compared to using conventional modular construction components.

Scope:

Solutions to transform the existing built environment^[1] in line with the New European Bauhaus (NEB) have typically been at smaller, individual scale so far. The wider uptake and adaptation of such solutions require a manufacturing approach that is efficient, affordable, and accessible while at the same time being adaptable to different local needs and contexts.

The mass customisation of modular construction components^[5] that are manufactured offsite^[6] can contribute to the sustainable^[1] and high-quality renovation and adaptation of the existing built environment that reflects local needs and preferences and fosters local cultural heritage, aesthetics, and identity. This can also contribute to modular disassembly, re-assembly, and renovation approaches within National Building Renovation Plans^[8] under the Energy Performance of Buildings Directive^[9].

Better understanding and demonstration are required of the potential, applications, and scalability of solutions for offsite manufactured modular construction components that can be customised to the existing built environment in line with NEB.

Proposals are expected to address all of the following:

• Develop an innovative solution for the mass customisation of offsite manufactured modular construction components, which applies technologies and technological advancements such as distributed manufacturing, building information modelling (BIM), and modular construction approaches.
• Demonstrate the innovative solution in an operational environment in at least three Member States and/or Associated Countries. Mass customisation of the modular construction components should address the needs of at least three application areas (e.g. residential, commercial, public space, cultural heritage, education, recreation).
• Evaluate the economic, aesthetic, environmental, social, and cultural value and the business case to invest in the solution^[10].
• Develop and demonstrate strategies to scale up and adapt the solution to different local contexts. This includes consideration of the solution’s long-term performance, durability (e.g. in changing climates), and repairability.

Proposals are expected to follow a participatory^[1] and transdisciplinary^[1] approach through the integration of different actors and disciplines.

This topic requires the effective contribution of social sciences and humanities (SSH)^[1] disciplines and the involvement of SSH experts, institutions, as well as the inclusion of relevant SSH expertise, in order to produce meaningful and significant effects enhancing the societal impact of the related research activities.

Proposals are expected to allocate at least 0.8% of their budget for engaging with the Horizon Europe-funded 'New European Bauhaus hub for results and impact' to share their intermediate and final results, findings and learnings, as well as to contribute to impact assessment.

[1] See definition in the Glossary section of the NEB part of the HE WP26-27.

[2] See definition of "beautiful" in the Glossary section of the NEB part of the HE WP26-27.

[3] See definition in the Glossary section of the NEB part of the HE WP26-27.

[4] See definition in the Glossary section of the NEB part of the HE WP26-27.

[5] Modular construction components refer to standardised building components that can be easily rearranged, added, or removed as requirements evolve.

[6] Offsite manufacturing refers to the process of planning, designing, and fabricating construction components in an external facility, rather than at the final construction or renovation site, after which these components are transported and installed in place. This approach enables faster, higher-quality, and more efficient construction and renovation with reduced on-site disruption and waste.

[7] See definition in the Glossary section of the NEB part of the HE WP26-27.

[8] European Commission, ’National Building Renovation Plans’, accessed 5 August 2025, https://energy.ec.europa.eu/topics/energy-efficiency/energy-efficient-buildings/national-building-renovation-plans_en

[9] European Commission, ’Energy Performance of Buildings Directive’, accessed 5 August 2025, https://energy.ec.europa.eu/topics/energy-efficiency/energy-efficient-buildings/energy-performance-buildings-directive_en

[10] European Commission, ’NEB Investment Guidelines’, New European Bauhaus, accessed 5 August 2025, https://new-european-bauhaus.europa.eu/tools-and-resources/neb-investment-guidelines_en .Sections of particular relevance for applicants to consider include: 1. Introduction; 2. Mapping the NEB; 4.4 Project risks; 5. Making the NEB case; and 6. Conclusions.

[11] See definition in the Glossary section of the NEB part of the HE WP26-27.

[12] See definition in the Glossary section of the NEB part of the HE WP26-27.

[13] See definition in the Glossary section of the NEB part of the HE WP26-27.