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Construction site in Hanover: Many projects no longer feasible

Photo: Julian Stratenschulte / dpa

The umbrella association of the housing industry GdW continues to see the industry in a free fall. "The crash in housing construction is gaining speed," lamented association president Axel Gedaschko at a "Housing Industry Day" on Wednesday, which was attended by Federal Economics Minister Robert Habeck, among others.

Due to historically poor conditions due to increased costs, interest rates and a lack of subsidies, the socially oriented housing companies were forced to go into reverse, Gedaschko criticized. "Energy-efficient renovation also had to be massively scaled back."

According to a GdW survey, around 22 percent of the new building completions originally planned for the coming year will not be feasible, according to the socially oriented housing companies surveyed. In 2025, this figure will rise to 38 percent. Gedaschko demanded: "The socially oriented housing companies need long-term political and economic reliability." However, the necessary planning security is completely lacking at the moment.