Housing shortage action plan: Federal government focuses on intensification and acceleration of procedures

As the queue grows up to 150 meters towards the evening, desperation increases. Someone who joined the ranks without much hope says he has never seen anything like this. There is no doubt that there is a housing crisis in Switzerland.

The problem cannot be solved by the federal government alone

The federal government recognized the problem. In May, Economy Minister Guy Parmelin (64) invited key players to a round table. Representatives of municipalities, the real estate industry and interest groups were tasked with investigating measures to alleviate the housing shortage.

The second round of talks is planned to be held in Federal Bern on Tuesday. Next, Senior Vice President Parmelin wants to present the results. The current version of the “Housing Shortage Action Plan” is already available to Blick. In its preamble, the Federal Council writes: “The provision of housing is of great importance for the economic and social development of our country.” Like food, work or education, shelter is a basic need.

But there’s a setback for anyone expecting a big blow in the next episode. No one can solve the looming housing shortage problem alone; especially the federal government.

The solution lies in a balanced mix of measures supported by all actors. The article proposes 35 measures for implementation, and three more need to be examined. Since the decline in construction activity is the main reason for the emerging housing shortage, the focus is on increasing supply.

Housing shortage will deepen further

The number of vacant apartments has been decreasing in almost every part of the country for three years. According to the Federal Statistical Office, last summer the vacancy rate was only 1.15 percent (see chart). In the city of Zurich, where the gap between supply and demand is greater than anywhere else, the figure was a microscopic 0.06 percent.

And the outlook remains bleak. Raiffeisen counted the apartments advertised on real estate portals. There are currently 34,000; less than this decade. Supply has halved in two years and apartment building permits have fallen to a 20-year low. “This means that the housing shortage will worsen over the next few years,” writes Raiffeisen chief economist Fredy Hasenmaile.

Faster building permit procedures and densification

Participants at the roundtable also want to focus on densification, the denser use of residential areas through, for example, taller buildings. Additionally, communities should be supported to develop strategies for spatial development.

The action plan, which raises the question of whether the separation of working and living areas can be relaxed in appropriate places, continues as follows: “This can be done, for example. For example, office and hotel properties can be more easily converted into apartments.” A study will be initiated to determine the potential and limits of greater permeability and mixing, and a regulation of the canton’s spatial planning and construction laws will be examined.

The action plan focuses for the second time on strengthening building permit procedures, which are currently taking longer than ever before. So-called interrogative objections are particularly annoying; they are exploitative objections that apparently only serve to delay projects. These must be limited, among other things, by the imposition of a cost. The roundtable also recommends preparing a legal opinion showing how such objections could be reduced without jeopardizing legal protection.

Various measures requested by tenants’ associations or housing associations were not included in the action plan. For example, a plan to create a fund for property acquisition for non-profit housing developers was rejected. The reason: “The tight financial situation of the federal government.”

Tenants’ association disappointed

The 18-page action plan is largely limited to recommendations for creating analyzes and guidelines, ideas for strengthening dialogue, or projects for encouraging the exchange of experiences.

That’s why the tenants’ association is disappointed. Tenants’ association president Carlo Sommaruga (64) told Blick that the main problem was high rents. This is largely ignored in the action plan. “There is no mention of the very high returns that homeowners receive,” criticizes the SP Council of States from Geneva.

The Federal Constitution states that the state government can take measures in case of crises in the housing market. Sommaruga says that’s not what they’re doing with this action plan. The article is far from being a suitable “road map”. There were no effective measures and it was an “unpretentious to-do list”.

No desire to move quickly

Sommaruga says that when power outages occur in Switzerland, the approach is completely different. “The Federal Council and the Parliament managed to find a solution very quickly by decree.” When it comes to the housing shortage, this willingness to act quickly seems to be missing. “So the situation will remain unstable for the next five to ten years.”

Parmelin’s action plan receives more credit from the cantons. “Anyone expecting miracles will be disappointed,” says Jean-François Steiert, State Counselor of the Freiburg SP and Vice-President of the Conference of Directors of Construction, Planning and Environment. It is the sum of various measures that leads to success and attracts the majority. “There is no single recipe for all of Switzerland.”

The cantons are particularly interested in interrogative objections. Cases in federal court that usually end only after a long period of time. Steiert said the federal government should examine how laws can be adjusted to reduce them in the future. “If someone spends a large amount of money to see the foothills of the Alps clearly for ten years, it is not possible.”

But Rebecca Omoregie, deputy director of the Association of Swiss Housing Cooperatives, is not happy with the outcome of the roundtable. Although everyone agrees that action is needed, no concrete measures are being taken. “We therefore call on the cantons to take action against the housing shortage. For example, by setting minimum rates for affordable apartments for additional use.”

Omoregie says the action plan in its current version consists of a series of recommendations and analyses. “We can’t solve problems this way.”