Germany’s Federal Minister for Housing, Urban Development and Spatial Planning, Verena Hubertz, has voiced reservations regarding the forced public ownership of private housing companies, a strategy currently being debated within the country.
Speaking in a recent podcast interview, Hubertz suggested that addressing the housing shortage requires a broader approach than simply re-nationalizing private entities. She acknowledged past mistakes in the sale of municipal housing stock during periods of financial difficulty for cities, but argued that expensive buy-backs are not the optimal solution. Instead, she emphasized the need to prioritize the creation of new housing units.
Hubertz highlighted significant challenges in the construction sector, citing slow building rates, high costs and insufficient overall supply. She asserted that simply allocating existing housing, even if publicly owned, is not a viable solution without a corresponding increase in available units. The minister also broadened the definition of construction, noting that renovation and repurposing existing structures are vital components of addressing the housing crisis.
Regarding regional disparities in housing availability, Hubertz refrained from recommending specific areas for relocation. Instead, she advocated for strategies to improve the quality of life in rural areas, making them more desirable places to live. She stressed the importance of providing a diverse range of housing solutions to address the complex and varied nature of the challenges facing different communities, while ultimately respecting individual freedom of choice regarding residential location.
