According to I am Expat, the authorities have set themselves a target of one-third of the market, or 33% of all rental apartments in Zurich, to become non-profit by 2050. Rents will be based on the cost of maintaining the building, not on market demand. The current rate is between 27% and 29%.
Zurich’s new housing policy
Firstly, the authorities are focusing on asset buyouts. The municipality will directly buy up land and old buildings from private owners and invest in new construction. These resources will be transferred to special funds and cooperatives to create affordable housing stock. From 2025, an additional 300 million francs ($343 million) from the special housing fund has already been allocated for this purpose.
Secondly, we are talking about new settlement rules. In order to get housing to those who really need it, restrictions are introduced: single people will not be allowed to occupy 3-4 room municipal apartments. In addition, priority will be given to young families and citizens with low income. The City Council also intends to oblige developers to allocate a fixed share of apartments for affordable housing in new projects. In return, they can get permission for denser development.
The plan has gotten a lot of public backlash. Some believe that systematic action is needed, while others assess the measures as too weak, given the difficult situation on the market.
