No residential construction on land from the property fund yet
No apartments have yet been built on land from the state's land fund. This is according to an answer from the Ministry of Housing published in Stuttgart in response to a question from the FDP parliamentary group. The creation of the conditions for the production of affordable housing on the part of the municipalities is taking some time. So far, 2.9 million euros have been spent on the purchase of land. The fund currently owns 14 plots of land that are awaiting future development.
The FDP parliamentary group's housing policy spokesperson, Friedrich Haag, said that the land fund was a toothless tiger. "We don't need more land in state hands, we need more building land." The real solution to the housing shortage can only be "build, build, build" and not further intervention in the market. The fund is simply the wrong instrument at the moment; the 100 million euros available could be put to better use elsewhere. He cited the reduction in land transfer tax as an example.
With the help of the fund, the state buys land in financially weak municipalities in order to make it available to them for the construction of affordable housing. The purchase by the state is intended to remove the building land from speculation. After five years at the latest, the local authority or a developer nominated by it buys the land back. The fund was launched in 2020 with a budget of 100 million euros.
Municipalities can benefit from the land fund to facilitate the construction of affordable living spaces, aiming to alleviate the land from speculation. Despite the fund's availability, no significant residential construction has emerged within the municipalities yet.
Source: www.dpa.com
