The Buwog group invests strongly in the crisis. Baas Daniel Riedl is irritated in the “Krone” discussion about complicated circumstances in the federal capital and sees a trend for pets in Huizen.
“Krone”: It is finally being rebuilt: the Buwog trusts condominiums on the Alvorada reasons south of Vienna. Is the crisis about the real estate market?
Daniel Riedl: We were the first to stop building because it could no longer be commercially justified. Then the focus was on the debt in our group. The phase is now more or less over, we have issued many debts. Now it is logical to build anti -cyclical. We can do that with the capital force of the Vonovia group in the background. We now start with 1000 apartments, including around 600 in Vienna and 400 in Salzburg. The condominium market is still a very tender plant.
We see a real housing shortage, actually everyone should build?
Many developers fight for survival. We consciously build anti -cyclic – knowing that the question is there.
Will this be comparable in Vienna or in Austrian cities such as in Munich or Berlin that forms a hose of 200 people on the viewing date of the new rental apartment?
This is not desirable. But too little has been built. Our central problem is not the availability of capital. It is very difficult to get permits. Revedes takes extremely long. Building permits are difficult. All residents we have delayed.
A conversion tax was discussed in coalition negotiations. Sensitive?
We have the obligation here in Vienna to actually offer two -thirds of the apartments in conversions. This is sometimes difficult. We also sign city planning contracts to make our contribution to infrastructure costs, to various things. This is nothing more than a return tax.
Will the problem of housing shortage?
The inflow into Vienna will continue. That is why the city must process the growth in the housing stock. This is currently underproportional. When the city says that we want two -thirds of financed apartments, but at the same time an urban design contract for the infrastructure and then a reciprocity levy on it: at some point there is nothing more and it is no longer affordable.
What will the future of the future look like? With the Corona period, green or outdoor areas and a study were added as needs. Is that possible for everyone?
Yes, the first is outdoor space in any form, balcony, terrace or garden parts. The second is that in whatever form we have to think of the home office. No extra space is needed now. Your niche is enough. That is the third point: infrastructure in the house. The floor plans are becoming more efficient. A party room in the house, in a larger project, maybe five or six niches in the general rooms, where you can actually hold a video conference or something. We have built a project in the 19th district. There is a home cinema.
And that is also used?
Yes, that is also used. Another luxury disappears: some of the 70s still exist. This will be closed sooner or later due to the operating costs. For example, pets also play a role, I look in America. PET -friendliness in residential complexes in rental apartments is a real subject. There are partly, there is already a small fountain where the dog can drink. Or there is such a – This is a green area with artificial grass where irrigation is installed. Then there are part of the washing stations of dogs, this is a small bathroom where you can wash your dog.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
