Berlin's Social Housing Construction Faces Delays, 1,400 Apartments at Risk by 2026
Berlin's housing construction, particularly for social housing, is facing delays. The Senate Department for Urban Development revised its forecast, predicting 1,400 fewer apartments by 2026. The SPD Construction Senator admitted that 2023's social housing construction targets will be missed.
Between January and June 2023, state-owned real estate companies managed to build 624 new social security apartments. However, the construction progress is slower than expected. The coalition government expanded housing subsidies to encourage private investors, but challenges persist. Reasons for the delay include unplanned investment costs, insufficient construction capacity, and missing documents or planning law delays.
The CDU and SPD coalition, led by Kai Wegner and Franziska Giffey respectively, initially agreed to build 20,000 new apartments annually by 2026, including 5,000 social security housing units. Despite this ambitious goal, as of early September 2023, funding was approved for only 151 new social security housing apartments.
The wait for affordable housing in Berlin continues, with the city falling short of its social security housing construction targets. While efforts are being made to incentivize private investors, the slow progress highlights the need for further action to address the city's housing shortage.
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