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Germany's bold plan turns empty offices into 60,000 new homes

Empty skyscrapers could become apartments—but will €30K grants cover the steep costs? Berlin, Munich, and Hamburg lead the push to solve two crises at once.

The image shows a building with a sign in front of it, surrounded by a metal fence, a gate, some...
The image shows a building with a sign in front of it, surrounded by a metal fence, a gate, some plants, a pathway, some poles, wires, a group of trees, and a cloudy sky. The sign reads "hr realty agency's office for rent in phnom penh".

Germany's bold plan turns empty offices into 60,000 new homes

Investors converting properties into new housing can receive grants of up to €30,000 per unit, with total funding capped at €300,000 per company. The money does not need to be repaid.

"In many cities, buildings stand empty while housing is in short supply," explained Hubertz. "This contradiction troubles me—and this is exactly where we want to take action." The program pursues three key goals: reducing vacancy rates, creating new housing, and promoting climate-friendly renovations. "Every converted building saves resources," stressed the SPD politician.

Experts estimate that thousands of apartments could be created in major cities by repurposing vacant office space. Earlier calculations by real estate firm Jones Lang LaSalle found that unused office areas in Germany's seven largest cities alone could accommodate around 11,000 new homes. The Ifo Institute went further in 2024, projecting a theoretical potential of up to 60,000 apartments in these metropolitan areas.

Yet significant obstacles remain. The Ifo Institute noted that conversions often fail to make financial sense, as spaces originally designed for entirely different purposes may require costly and complex modifications. Compounding the issue, construction costs have surged in recent years.

Another challenge is that office buildings are not always ideal residential locations—particularly when they lack access to schools, public transport, daycare centers, shops, or green spaces.

Hubertz, however, remained optimistic: "The funding is highly attractive for investors and a powerful incentive to launch projects that will transform our cities for the better." The program supports the conversion of heated, non-residential buildings into housing.

To qualify, renovations must meet at least the "Efficiency House 85 Renewable Energy" standard, though exceptions apply for listed buildings.

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