A joint report by the Ministry of Housing and the Ministry for Spatial Planning was presented to the public on Monday afternoon.

Luxembourg currently has 5,000 hectares of building land reserves available, out of which 3,750 can be used for housing purposes, explained Minister for Spatial Planning Claude Turmes.

This means that an estimated 300,000 more people could live in Luxembourg. At the moment, a number of construction projects are already underway, with the aim to construct 142,000 housing units.

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Minister for Spatial Planning Claude Turmes noted: "These are impressive numbers, and given that there is so much more room within existing building parameters, there is no need to destroy nature any further to solve the national housing crisis."

An initial phase will focus on filling the literal gaps in town centres, rather than on the border of villages and towns, meaning that new buildings will first be constructed in areas that are easily connectable to public transport and do not require more nature areas to be cleared.

Housing prices recorded an average increase of 16.3% between 2019 and 2020. This trend is however to blame on Luxembourgish investors rather than foreign ones. 3,500 people own half of the building land reserves here in the Grand Duchy.

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