Despite an enormous need for new apartments, Vonovia is stopping the construction of 60,000 units. Under one condition, the real estate group wants to “build again immediately.”
Germany’s largest real estate group Vonovia says it is foregoing the construction of tens of thousands of new apartments for the time being due to high interest rates and construction costs.
“We have plans for a total of 60,000 apartments in the drawer,” said CEO Rolf Buch to the newspapers of the Funke media group. “We’re getting everything ready until the building regulations are approved. And we hope that building will soon be worthwhile and profitable again. Then we want to build again immediately.”
From Buch’s point of view, there is currently a lack of more than a million apartments in Germany. “My estimate is: We need 700,000 apartments a year, also because of increasing immigration.” The problem is not a million apartments, but rather several million apartments that are missing in a very short period of time.
Source: Stern
