Housing developer balance sheet

Living at €11/m2: many can only dream of this

Tyrol's non-profit housing developers have 80 construction sites in 60 municipalities. They are an important partner for the economy.(Bild: Christof Birbaumer)

Every fifth Tyrolean lives under the roof of a non-profit housing developer, which together manage 71,000 residential units. On average, the apartments cost €11 per square meter gross warm. This is not the only reason why social housing is on the rise.  

Gemeinnützige Bauträger Tirol (GBV) can look back on a record year in 2024: A total of 1551 new apartments were built - the figure marks a new high. An additional 1600 apartments became vacant due to relocations. This means that more than 3100 units were newly let in 2024.

The focus is now on condominiums
At 370 million euros, the volume of new construction was also higher than ever before. "Despite the general slump on the real estate market, we were able to bring projects forward and thus implement more construction projects than in previous years. These additional apartments are important for the social balance on the Tyrolean real estate market," adds GBV deputy chairman Alexander Zlotek. In the past two years, a total of 1,600 condominiums have been built directly or transferred via the "rent with option to buy" model.

Despite the general slump on the real estate market, we were able to implement more construction projects than in previous years.

GBV-Stellvertreter Alexander Zlotek

Tool for housing mobilization
Here, people can initially move into the apartment on a rental basis and then purchase it after five, ten or 15 years if required. It is hoped that the measures announced by the state government on Tuesday will further simplify the process and make the procurement of building land and housing more effective: "State policy is thus giving the municipalities even more tools to use," said Zlotek.

The "top duo" of non-profit developers: Franz Mariacher (left) and Alexander Zlotek.(Bild: Johanna Birbaumer)

Non-profit active almost everywhere in Tyrol
"Our members are currently active in 60 municipalities. There are only a few white spots left in Tyrol," adds Mariacher. They are already well positioned, especially in the conurbations.

Our pipeline is well filled, there are currently 2,400 apartments under construction and demand remains high.

GBV-Obmann Franz Mariacher

Where the density of non-profit housing is even lower - which is particularly the case in more rural areas - demand often appears to be lower. As land costs are significantly lower than in the city, local residents usually want to fulfill their dream of owning their own home at their own expense.

GBV will not sit still in 2025 either
GBV has big plans for the current year. A total of 409 million euros will be invested in new construction and renovation. This year, 1,200 apartments are to be completed, 943 of them as rental properties or under the rental with purchase option system. According to Mariacher, the stabilization of construction costs and rents as well as the decarbonization of existing properties is proving to be a challenge for the future. Often, demolition is the only way out.