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Why the Federal Government’s Plan to Address Rising Rents with New Apartments Will Fail: Data Analysis

The federal government wants to get the problem of rising rents under control with hundreds of thousands of new apartments. Our data analysis shows why this will fail.

By Jakob Bauer, Paul Blickle, Philipp Daum, Annick Ehmann, Christian Endt, Philip Faigle, Carla Grefe-Huge, Valentin Peter, David Schach, Julius Tröger, Rina Wahls and Zacharias Zacharakis

This article is part of our series “The New City” about the development of major German cities.

It is unsatisfactory if you constantly have to chase a development. This is probably a familiar feeling in the town halls of many major German cities. For example with Andreas Ringle, the building mayor of the city of Heilbronn. “Our city has been growing continuously for years,” says Ringle. “We are also continually creating new living space.” Heilbronn is actually building significantly more than other cities in Germany. And yet this has little impact on the development of rents. They have increased by almost 60 percent in the past ten years.

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