Entrepreneurship as a Catalyzer of Housing Quality Enhancement in Colombia: Tervi

Abstract

The evolution of cities in Latin America has been shaped by a complex interplay of factors, including political history, informality, geography, and culture. With one of the highest rates of urbanization in the world, the region's urban centers have experienced a surge in makeshift settlements as governments struggle to meet demand and provide affordable housing. The result is a critical housing deficit, both in terms of quantity and quality, which requires innovative solutions from both the government and the private sector.

The narrative in this thesis unfolds exploring the housing deficit in the region, focusing specifically on Colombia's case and the implications of the existing social housing system on the market. By examining the actors involved, the policy framework, and the current status quo, I sought to reveal the potential for local governments, developers, entrepreneurship, and technology to play a more influential role in addressing the quality gap. In 2021, I co-founded Tervi, a platform designed to provide low- and mid-income homeowners in Colombia access to design, financing, and construction services to improve their substandard dwellings and dignify their living conditions. Drawing on my experiences in conceiving, developing, and engaging with families, communities, and stakeholders during the deployment of the minimum viable product and proof of concept, this thesis highlights the potential of tech-enabled solutions to have a direct impact on life quality through home improvements. Furthermore, the thesis explores potential alternatives to address housing quality deficiencies and challenges the notion of the qualitative deficit as a fixed threshold for classifying the complex concept of home. It argues that factors such as livability and well-being are equally important in the creation of just and comfortable living conditions, and that policies must take these factors into account to avoid perpetuating substandard housing.

The outcome of the process outlined in this thesis is a digital platform that aims to bridge the gap between much of the homeowner population in Colombia and access to high-quality standard homes. In essence, a platform that provides home improvement as a service supporting social housing homeowners in transforming their incomplete dwellings by using technology to optimize their resources and unlock the full potential of their equity. Ultimately, stating that developing prop-tech platforms in the service of communities can augment their opportunities to progress and contribute to the creation of healthier, more comfortable, and just living conditions.