Minister Hubertz Prefers Action Over Targets in Housing Construction
No plans apparent for Hubertz to construct a dwelling house.
The fresh federal government is eager to tackle housing issues with gusto. The new Minister for Housing, Verena Hubertz, is leading the charge, aiming to build new, affordable social housing and streamline the construction process. She shared her vision and challenges with Markus Lanz on ZDF.
Hubertz, a 37-year-old entrepreneur, previously founded "Kitchen Stories," and sold the platform for a reported €26 million. Instead of retiring, she's determined to make a difference in housing. Germany currently boasts around one million social housing units, a stark decline from the late 1980s when there were four times as many. Hubertz intends to flip the script, but she's not fixated on numbers.
"I'm an optimist," Hubertz declared, "but I'm not about carving numbers in stone and then chasing them. The world keeps evolving, as we've seen in recent years. I won't promise a specific number of apartments, but we'll build as much as feasible. You can judge me by the pace, technology, and tolerance."
Cutting Red Tape and Affordable Living
When it comes to pace, Hubertz seems credible. The minister exudes optimism, laughter, and resilience, perhaps unflappable due to a Ministry waiting for her. Prior to this administration, there was no Ministry of Housing, Urban Development, and Building. Its previous head, Clara Geywitz, had to construct it from the ground up in 2021. Resources were scarce—there weren't even computers available when she was appointed Minister of Housing. Geywitz started with great enthusiasm, eager to shatter barriers. However, reality ultimately got the better of her.
Hubertz intends to learn from Geywitz's experiences. She acknowledges the need to deliver, even though the coalition agreement fails to set a target for the number of apartments to be built. "It's not productive to set a goal. Instead, we should ask what actions we can take to genuinely progress," she explains.
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Taskforce for Cheaper Housing
Hubertz aims to cut bureaucracy by 25 percent and create affordable housing in new buildings, with monthly rents below €15 per square meter. She's already streamlined her own ministry, reducing the workforce to 500, including around 2500 subordinates.
Economist Matthias Günther praises these moves, but warns that rents under €15 in cities like Hamburg, Cologne, or Munich might be unattainable due to high land prices. However, more achievable in smaller cities or rural areas with careful planning.
Günther notes that in recent years, residential construction standards have often been surpassed. Overspending on minor details like sound insulation could be curbed, potentially reducing costs by 25 to 30 percent. Building type E, which allows deviation from technical standards to cater to lower cost, high-quality living, is a key part of Hubertz's plan.
Can We Speed Up Construction?
Regional factors play a crucial role in construction, with state building codes posing challenges. Each federal state has its own building codes, leading to 4,000 rules nationwide that sometimes contradict each other. Hubertz is exploring ways to harmonize and adopt these regulations. She's in talks with the federal states to reduce regulations, aiming for a unified, streamlined approach.
According to Günther, construction costs have risen to an average of €5,000 per square meter. However, some projects in Schleswig-Holstein have achieved square meter costs of €2,500 by adhering to building standards. Hubertz inspected these buildings and claims the difference isn't noticeable, with residents living comfortably.
Stimulus Package Needed?
While Hubertz works on regulation harmonization, Günther argues that financing costs are the real issue. A housing construction stimulus program could help jumpstart the industry, but its implementation remains uncertain. Hubertz acknowledges her responsibility to deliver, asserting, "We only have one shot left for democracy, and it has to hit the mark."
- Minister Hubertz's employment policy aligns with her community policy, as she aims to streamline bureaucracy and create affordable housing through the taskforce she established.
- In the realm of politics and general-news, the debate over the need for a housing construction stimulus package is gaining traction, as Minister Hubertz works on harmonizing building regulations to lower construction costs.
