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Will the newly approved 'Bau-Turbo' help solve Germany's housing crisis?

Tom Pugh
Tom Pugh - tom.pugh@thelocal.com
Will the newly approved 'Bau-Turbo' help solve Germany's housing crisis?
Verena Hubertz (SPD), Federal Minister for Housing, Urban Development, and Construction, and Vice Chancellor Lars Klingbeil (SPD, left) at a construction site in Berlin. Photo: picture alliance/dpa | Kay Nietfeld

Germany approved amendments to construction law on Friday, designed to increase the supply of flats and houses in the country's cities. The emphasis is on speed and taking a creative approach to how existing buildings can be repurposed.

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A new draft law, referred to as Bau-Turbo (Construction-turbo), which is designed to speed up residential construction in Germany, was approved on Friday by the Bundesrat.

Designed to encourage "densification", the law is intended to permit a more flexible approach to delivering new housing. Bringing forward this change had been introduced months ago in the coalition agreement between the CDU/CSU and the SPD.

The law’s swift approval by the Bundesrat, following passage through the Bundestag on October 9th, reflects political consensus on the urgent need to simplify and accelerate housing development through the easing urban planning rules.

How will the new law work?

The legislation removes a number of legal and bureaucratic barriers that delay projects, allowing municipalities to approve new housing developments much faster – potentially within a three-month review period instead of the standard five years.

This significant reduction in approval time was praised by Construction Minister Verena Hubertz of the centre-left Social Democrats (SPD).

Hubertz, a former start-up founder, emphasised at an online conference with hundreds of municipalities that the plan focuses on smarter urban space use and reducing construction costs.

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The law includes an “experimentation clause,” valid until the end of 2030, which is intended to allow cities to deviate from current planning rules and test faster building approvals without drafting or changing detailed land-use plans.

The law also encourages using vacant inner-city land and adapting existing buildings rather than developing greenfield sites at city edges.

During the online conference, Hubertz suggested that examples might include adding extra floors on supermarket roofs or raising permitted building heights in Berlin.

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The law is also intended to balance faster construction with environmental and aesthetic concerns.

Hubertz underscored the need to avoid low-quality developments, citing mass-produced Plattenbau buildings as an example to avoid.

In addition, future provisions will allow more flexibility when it comes to protecting residents from construction noise, including the use of walls, shrubs, or soundproofing methods.

The government assures that environmental protection will continue to be important. Projects will still have to avoid negatively impacting rare animals or plants, and nature conservation authorities will continue to assess relevant biotopes and the environmental compatibility of developments.

READ ALSO: Berlin issues first ever fine against landlord for overcharging on rent

Nonetheless, the Ministry of Construction has indicated that it expects this process to be accelerated along with other procedures.

How has the new law been received?

Sebastian Dullien from the Hans Böckler Foundation warned that high construction costs remain a challenge.

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According to estimates, Germany needs to build around 320,000 homes annually to meet demand – far above current approvals.

Tim-Oliver Müller of the German Construction Industry Association supports the law but insists that further subsidies and deregulation are needed to truly unlock the sector's potential.

With reporting by DPA.

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R.Sam.
"densification" meaning higher population on the same area, with no investment on public transport, water and power supply network, and green/social spaces? At best, keeping the cuurent prices (which are very high), and lowering the quality of life (if the quality of the builinga remains the same). What a perfect plan!

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