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Resolution on New Building Land to Drive Frankfurt’s Urban Development

On May 7, 2020 the members of the City Council passed the Resolution on New Building Land to Drive Frankfurt’s Urban Development. In this way, the City of Frankfurt is creating a transparent framework for the development of future building land for housing.

The Resolution on New Building Land means that in Frankfurt in the future there will for the first time be uniform and transparent conditions for developing new building land for housing. The conditions include a mandatory quota of 30 percent of land for subsidized housing. Half of the latter will be realized as Subsidy Scheme 1 projects, the other half will be part of the Subsidy Scheme 2 plan. Added to which, of the total land developed, 15 percent will come under the concept procedure for communal and cooperative housing projects. Moreover, there will be a quota of 15 percent assigned to freely financed housing construction and a share of 10 percent allocated for owner-occupied apartments at reduced prices. To date, the only quota set in Frankfurt for subsidized housing construction was the 30 percent. It is hoped that the definition of the additional quotas will lead to the construction of more housing at steady prices, more rental apartments, and more affordable owner-occupied apartments.

A crucial new aspect of the new resolution is that land owners will sign a so-called “Basic Approval” document with the City of Frankfurt at the very beginning of the process, in other words at a very early stage and prior to the decision on land use being taken. In the document, the land owners agree to conclude an urban development contract and recognize the principles of the Resolution on New Building Land.

Since the resolution was passed, guiding principles have been developed for the conclusion of so-called Urban Planning Agreement (Guidelines I – Urban Planning Agreement with the City of Frankfurt ).