Radeburg is booming: no free apartments, but no new construction!

Radeburg is booming: no free apartments, but no new construction!

In Radeburg, buildings are not springing up as desired, although the demand for living space is increasing. The Saxon reports that the Radeburg housing company has been in the black for years. Managing director Jana Funke emphasizes how important the city's location in Dresden's suburbs is. Despite the availability of around 600 rental apartments, there are currently no vacant properties to be found. A few years ago the vacancy rate was around 5%. This positive development is primarily due to the rapid renovation of vacant apartments, which are immediately re-allocated.

The current housing situation is also influenced by the establishment of a chip giant, ESMC, which could keep rents in the north of Dresden stable. Another reason for the increasing demand is the logistics companies in the commercial area on the motorway. Many companies are looking for accommodation for new workers that they cannot find in the region. Here, Funke tries to proactively sensitize companies before employment contracts are concluded.

No new construction projects in sight

If you look at the developments in Radeburg, you will see that no new apartments have been built or planned since the prefabricated buildings from the GDR era. In order to finance the necessary renovations, the Radeburg housing company had to take over the existing property and the old debts. The focus here is on sustainable preservation and gradual modernization of the inventory.

The cost of modernizing an apartment from the 1970s is around 25,000 euros. Two price categories determine the housing market: The basic rent for conventional apartments is around 5.35 euros, while modernized apartments cost between 6.50 and 6.65 euros. However, in order to be able to work cost-neutrally, the basic rent would actually have to be 15 euros - a clear sign of the current market development.

Challenges with new buildings

The high construction costs and various official restrictions, e.g. B. regarding parking spaces, thermal insulation and sound insulation reports make new buildings a real problem for the Radeburg housing company. The company currently does not own any land of its own that could be used for new construction projects, which is why it would first have to acquire them.

It remains to be seen how the situation in Radeburg will develop and whether the housing company will be able to respond to increasing demand. The challenges are enormous, but the consistently positive trend in rentals shows that Radeburg remains a lively city that is also attractive for new residents.