Challenges, Opportunities and Risks

Challenges

• Increasing requirements regarding the energy rating of individual buildings due to the German government’s climate target for 2050
• Increasing requirements regarding materials vs. low acceptance for higher rents
• Overall conditions for electromobility are not consistent with the goal of nationwide expansion – need for statutory changes and the expansion of grid capacities

Opportunities

• Systematically demanding and implementing higher environmental requirements for production processes and building materials ingredients at supplier level due to economies of scale

Risks

• Higher construction costs due to future pricing of carbon-intensive building materials, e.g., cement, or sustainability certificates
• Higher construction costs due to more sustainable building methods pose a risk to the objective of providing housing for broad sections of the population