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Germany : Investment Market monthly - July 2016

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Germany : Investment Market monthly - July 2016

In the current debate surrounding housing shortages in the major conurbations, the subject of micro-apartments is increasingly gaining traction. The Federal Ministry for Construction, for example, is seeking to promote the development and construction of smaller residential units via its “Variowohnungen” subsidy programme. And there is actually high demand for precisely such small residential units of around 25 sq m to 35 sq m in size.

The micro-living segment often sits between the poles of living and lodging and includes apartment buildings, student accommodation and serviced apartments. The latter in particular are placed in the lodging and hotel segment owing to their diverse service offerings.

Source : Savills

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