New construction stop in Western Pomerania: Over 3,000 apartments are missing!

New construction stop in Western Pomerania: Over 3,000 apartments are missing!

In Cologne, the issue of housing construction is currently one of the hottest irons in the fire. A recently published report by the Pestel Institute shows that there is a shortage of around 3,100 apartments in the Vorpommern-Greifswald district. This is an alarming number that underlines the urgency of the housing shortage. The analysis, prepared on behalf of the Federal Association of German Building Materials Trade (BDB), shows that only 105 building permits were issued for new apartments in the first half of 2023. A sign that proper care needs to be taken here.

Matthias Günther, the chief economist at the Pestel Institute, describes the new building as “with the handbrake on”. This situation is not accidental; the economic conditions are anything but easy. A key obstacle is the lack of short-term stimulus for housing construction. Katharina Metzger, President of the BDB, is therefore calling for more support from the federal government. In her opinion, housing construction is a central driver of the domestic economy. Improvements must be made here as quickly as possible in order to alleviate the housing crisis.

The current figures and the need for action

According to the analysis, around 1,000 new apartments would have to be built every year to meet demand. For the next five years, 990 new apartments will be needed every year. What is particularly depressing is the fact that 6,070 apartments have been empty for more than a year and have little prospect of being re-let. This makes it clear that the focus must not only be on new buildings, but also on revitalizing existing properties.

The authors of the study see a need for reform in building regulations and call for simpler construction processes. Excessive energy saving requirements for new buildings are cited as a major cost factor, which poses additional hurdles for private builders and investors. According to the Pestel Institute, rapid relief through financial incentives and regulatory relief is necessary to significantly reduce the housing deficit.

What is needed for a solution?

An interest program with a maximum of 2 percent for cheap construction money, which many are calling for, could help to motivate private developers and investors. The pressure to act in this matter is growing, and it is clear: it is not just about construction figures, but about the quality of life and future of countless people who rely on affordable housing.

This makes it clear that housing construction in Western Pomerania is not just a local challenge, but has far-reaching consequences for the entire region. A coordinated approach from politics and business is required here in order to effectively combat the known shortage and create new perspectives. The pressure on those responsible will continue to increase, because one thing is certain: something is happening!