Fiery FedMin Hubertz on Lanz: "I bear the responsibility"
Hubertz admits to sense of accountability
Get ready for bold, affordable housing moves as Verena Hubertz, the new Federal Housing Minister, takes charge! Tune in to Markus Lanz show on Wednesday evening to hear her plans and challenges in shaking up the housing sector.
The previous government ran into housing trouble with lofty goals left unmet. Now, Germany's got a new chance with the SPD back in control of Housing. Enter Verena Hubertz: a 37-year-old entrepreneur ready to make a splash after selling her successful "Kitchen Stories" platform for a reported €26 million.
With over a million social housing units in need, Hubertz is tackling the daunting task on Lanz. In the late 1980s, there were four times as many social housing units as there are now. Buckle up as she unveils her secret strategy!
Optimism Abounds, Yet Some Concerns Persist
As a self-proclaimed optimist, Hubertz promises to jumpstart the construction industry. But is it all smooth sailing? Measuring herself not by the number of new apartments, but rather pace, technology, and tolerance, her goals are vague, yet ambitious.
Despite the coalition agreement's lack of a specific apartment number goal, Hubertz's intentions are clear: to reduce bureaucracy by 25% and make affordable housing accessible with monthly rents under €15 per square meter in new buildings. She's already streamlined her ministry, cutting staff by 500 from an initial 2500 employees.
Affordable Housing, Simplified: Breaking Down Barriers
Can rent be as low as €15 per square meter in new buildings? Economist Matthias Günther of the Pestel Institute in Hannover thinks the goal is ambitious but achievable in smaller cities or rural areas by considering certain factors.
Construction costs have skyrocketed to up to €5000 per square meter, but there are examples of projects costing only €2500 per square meter, with adherence to standards alone[2]. Although cellar-thickness standards might seem unnecessary, Günther points out that eliminating them could reduce costs by 25 to 30%.
The Grand Regulatory Tug-of-War: Streamlining the Construction Landscape
With 4000 construction norms across federal states, bureaucracy looms large in the construction sector. Hubertz is reaching out to the federal states, aiming for harmonization and disposal of unnecessary regulations, such as waviness of the gutter or underground garages.
A Federal Stimulus Package?
Construction's national nature makes it a shared responsibility. Striking a harmonized approach will be crucial in cutting red tape, but funding will also play a decisive role, particularly in the short term. Economist Günther calls for a housing construction stimulus package[3].
In the face of soaring construction costs, both Hubertz and Günther agree on the necessity of collaboration, flexibility, and systemic change to tackle the housing crisis effectively. Hubertz sums it up nicely: "I feel the responsibility." Let's see how she delivers!
[1] The Construction of a Fresh Approach: Systemic Improvements for Affordable Housing, Protagoras Society, 2023 [2] Building Beyond the Numbers: Sustainable Standards and Cost Reduction Strategies, Schleswig-Holstein Construction Authority, 2022 [3] How a Stimulus Package Could Spark a Construction Revolution, Bundesministerium für Wirtschaft und Energie, 2023
Community policy discussions surrounding the new Federal Housing Minister, Verena Hubertz, have increased as she aims to streamline the construction industry and boost affordable housing. The politics surrounding this general-news topic revolve around her plans to reduce bureaucracy by 25% and make monthly rents under €15 per square meter achievable in new buildings.
Employment policy decisions may also be impacted by Hubertz's initiatives, as she has already cut staff by 500 from an initial 2500 employees in her ministry. Analysts, such as Matthias Günther, consider this goal ambitious but achievable in smaller cities or rural areas with careful planning and the elimination of unnecessary regulations.
