Rotterdam defies national housing trend in 2023

Rotterdam defies national housing trend in 2023

ROTTERDAM, 26 January 2024 – Contrary to the national decline in construction activity, Rotterdam has experienced a notable increase in housing construction over the past year, a development attributed to the city's proactive measures.

Housing construction in Rotterdam sees an uptick

In an environment where the national trend has been a decline in construction production, Rotterdam has stood out by recording an increase in the construction of new homes last year. The increase has been facilitated by the Construction Agreement (Doorbouwakkoord) that Alderman Chantal Zeegers secured last year with housing associations and developers. The construction of 3,178 homes began in 2023, with over half of these in the affordable segment. The commitment to housing construction is set to continue into 2024, with projects like Slinge 303 in Zuidwijk and the transformation of the main building of the former Zuider Hospital (Zuiderziekenhuis) into homes, dubbed ZuideR Carré.

Alderman Chantal Zeegers, responsible for Climate, Building, and Housing, expressed satisfaction with the progress, stating, “This is very good news for all those searching for a home. That's what you do it for. I am extremely proud of the housing associations and developers who have put their shoulders to the wheel last year. They continue to build sustainable homes, more than half of which are in the affordable segment. This year too, we are unrelentingly committed to ensuring that as many new homes as possible are added to the city.”

The Construction Agreement

The Construction Agreement was finalized last year by Alderman Zeegers to prevent construction activities from halting amid rising interest rates, high material prices, and construction costs. Approximately 50 market parties and corporations collaborated, yielding fruitful outcomes in 2023. The agreement, along with the Start Construction Impulse from the national government and financial support from the Rotterdam Start Construction Scheme, has placed Rotterdam ahead in terms of construction activities compared to other municipalities.

Future prospects and challenges

Despite the success, the preparation for new projects continued vigorously in 2023, with almost 11,000 homes having their permits applied for. These homes are expected to be under construction in the coming years. However, despite these positive developments, concerns for the future persist. Rotterdam will continue to seek collaboration with market parties and housing corporations to ensure the realization of these homes.

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