Germany currently lacks 1.4 million apartments, according to estimates from the Pestel Institute.
At the same time, more than twelve million square meters of commercial space in Germany are unused. The trend toward working from home has not reversed since the pandemic.
The coexistence of vacant commercial space and housing shortage is a 'No-Go'.
Two years ago, former German Minister for Housing Klara Geywitz (SPD) launched a program to convert vacant offices into apartments. Through the government program 'Gewerbe zu Wohnen', 30,000 euros is offered per apartment as funding.
Funding offered per apartment under the 'Gewerbe zu Wohnen' program.
Real estate experts doubt that the 30,000-euro figure is sufficient given the high costs of conversion. Building materials are expensive, and significant energy efficiency standards must be met during the process.
While newer office buildings may easily meet heating requirements using renewable energy, older buildings from the 1980s or 1990s, such as former Galeria department stores, are unlikely to qualify for conversion.
Suitability for conversion is limited to buildings with sufficient windows, stairwells, and smart spatial layouts. Additionally, water and sewage pipes often need to be completely relaid during such projects.
Environmental and Economic Considerations
Repurposing existing buildings offers environmental benefits because demolition and new construction cause major climate damage. Modern buildings must also meet higher ecological standards.
Despite some successful examples of converting vacant offices into housing, the idea of repurposing these spaces to benefit both people and the environment is at risk of failing.
Architects and economists in Germany are calling for vacant office spaces to be repurposed differently. Solving the housing shortage will require new apartment construction in addition to conversion.