The city of Frankfurt am Main has increased its social housing budget to 211 million euros, a record amount. The funds are intended to halt the decline in affordable housing. Planning chief Marcus Gwechenberger (SPD) recently signed two funding approvals for the Hilgenfeld development area on Frankfurter Berg, where 40 percent of the 860 planned apartments are to be subsidized.
In the first construction phase, 71 apartments will be built in five multi-family houses, 29 of which will be offered at reduced rents. The city is providing around seven million euros in grants and 4.7 million euros in low-interest loans. In addition, the state of Hesse is contributing one million euros in grants and 2.2 million euros in loans.
Gwechenberger expressed optimism that housing companies will become more active in social housing construction. Last year, only 205 new social housing units were approved because funding conditions had to be revised. This year, the city planning office expects more than 1,000 approved funding applications.
The city has also taken measures to extend the occupancy commitment for social housing, thereby slowing the further loss of subsidized housing. Nevertheless, the need for social housing remains high, as around 7,500 needy households in Frankfurt are looking for an apartment.
Source: www.faz.net
