Creating affordable living space in central locations is the most pressing challenge facing the real estate industry in Germany. Vonovia is creating this new affordable living space.
As far as its new construction activities are concerned, Vonovia makes a distinction between undeveloped and developed land. On developed land, we create new living space by adding extra stories to existing buildings. On undeveloped land, we create new living space by constructing new buildings. What both of these measures have in common is that we always focus on series production based on modular construction.
The company has completed its first series-built residential unit with a modular construction in Bochum in 2016. Fourteen new, turnkey apartments were completed following a construction period of just three months. The term “modular” means that the three-story building was erected at the construction site using standardized elements that were directly transported there. As a result, the construction period was shortened, thus reducing disruption to residents in particular. We attach great importance to a good neighborhood spirit and try to also consider the needs of local residents during the construction phase. In times characterized by a shortage of apartments, the demand for affordable living space is on the rise, particularly in major cities. The growing popularity of construction using prefabricated components also offers an opportunity for tackling urban development challenges. Standardized construction allows both the costs of new residential construction and the construction period to be reduced considerably. This allows real estate companies like Vonovia to create new living space more quickly. What is more, the costs are not only lower – they are also easier to calculate than with other forms of construction. The main advantage is that this more efficient construction method allows the new apartments to be offered at affordable rents as a result.
The initial experience gleaned in 2016 will prove fundamental for the significant expansion of the new construction volume over the next few years. By the time we have reached the final expansion stage, we plan to be creating more than 1,000 new apartments every year in the future.