"Building a Better Future" - Minister Hubertz on Housing Construction
No plans for construction: Hubertz.
In the wake of Germany's new government, housing construction is undergoing a significant overhaul. The young and energetic Minister of Housing, Urban Development, and Building, Verena Hubertz, is spearheading this transformation, aiming to revolutionize the housing market. She discusses her dreams, obstacles, and strategies with Markus Lanz on ZDF.
Hubertz, a former successful entrepreneur, effortlessly sold her "Kitchen Stories" platform for an estimated €26 million. Seizing this opportunity to make a difference, she steps into the political arena with a genuine passion to create affordable social housing, a much-needed solution for the growing housing crisis. Germany currently boasts just around a million social housing units, a figure significantly lower than the late 1980s.
When asked about her specific construction goals, Hubertz advocates for a dynamic approach, rather than a set numerical target like the 400,000 apartments her predecessor envisioned. She clarifies, "I'm an entrepreneur, not a fortune-teller. We need to adapt according to the ever-changing landscape, keeping an eye on regional demographics and immigration patterns."
The Journey Begins
The Ministry of Housing, Urban Development, and Building, established when the coalition government took office, finds itself with a leader ready to tackle the hurdles in her path. Clara Geywitz, the minister from 2021, started with great enthusiasm but ultimately fell short of her goals due to red tape and bureaucracy.
Breaking Barriers, Building Dreams
Unlike Geywitz, Hubertz strives to avoid the same pitfalls. She acknowledges the pressing need for results, even without a specific apartment construction target in the coalition agreement. "Setting goals doesn't always work. We should focus on what we can do to truly push things forward," Hubertz says.
To achieve her aims, Hubertz plans to streamline bureaucracy by an impressive 25%. She intends to facilitate affordable housing in new buildings, aiming for a monthly rent of €15 per square meter. To meet these objectives, she has trimmed her ministry staff by 75%, reducing the number of employees to 500, and around 2,500 subordinate authorities.
A Brighter Building Future
Economist Matthias Günther, head of the Pestel Institute in Hannover, believes that Hubertz's ambitious goal of €15-per-square-meter rent in new buildings will be challenging to achieve. However, he acknowledges the potential of accomplishing this in smaller cities or rural areas by adhering to a few guidelines and scaling back on unnecessary construction costs.
Günther highlights that while some standards for residential construction exceed expectations, others increase expenses unnecessarily. By eliminating these redundancies, construction costs can be reduced by as much as 25-30%.
A Constructive Dialogue
Addressing bureaucracy is crucial to streamlining construction processes. While building is largely a state’s responsibility, Hubertz aims to foster a cooperative environment among federal, state, and municipal governments to simplify regulations and achieve financial support for construction projects. Hubertz plans to collaborate with her counterparts at the Building Ministers' Conference to discuss ways to reduce unnecessary regulations and streamline construction.
Günther suggests that, in addition to efforts to streamline processes, a stimulus package for housing construction could be the key to bolstering the construction industry. An injection of capital could efficiently jump-start the housing market, providing a much-needed boost to the construction sector.
Although many details regarding the implementation of Hubertz's vision remain to be seen, her commitment to affordable and efficient housing is unwavering. As she embarks on her mission to revolutionize Germany's housing market, citizens can expect a focus on cooperation, innovation, and a determination to deliver results for the betterment of the nation.
The Community Policy and Employment Policy of the new government are expected to play significant roles in Minister Hubertz's transformation of the housing market, as she aims to create affordable social housing. With her background as an entrepreneur, she is well-positioned to navigate the complexities of the political arena.
In her efforts to streamline bureaucracy and reduce construction costs, Minister Hubertz's initiatives fall under the broader scope of general-news and politics, as they involve shaping Germany's future housing policies and addressing the nation's housing crisis.
