- Geywitz supports priority for residents in land allocation
Federal Minister of Housing Klara Geywitz (SPD) encourages municipalities to allocate plots of land more often to local residents rather than newcomers. "It's causing widespread and rightful frustration when only the wealthy from outside can afford to buy building land," the minister told the "New Osnabruecker Zeitung". Communities already have various tools at their disposal to create affordable housing. "The key is to better utilize these possibilities to allow residents to build and live at reasonable prices," she said.
This is in response to complaints, particularly from coastal regions, that wealthy newcomers are snapping up plots of land from long-time residents. Geywitz said some municipalities already use so-called "local preference models". "This allows plots of land to be allocated at discounted prices to locals in a fair process, rather than to the highest bidder. The federal government has advocated for such special rules at the EU level. However, they are not used very often," the minister added. Her department aims to make the local preference model more well-known and easier to apply.
The minister highlighted the need for municipalities to prioritize allocating land to local residents, as the current situation of wealthy newcomers buying land at high prices is causing frustration. Implementing local preference models, where plots are allocated at discounted prices to locals fairly, could be a priority to address this issue.
