When it comes to housing for locals at reduced prices, disputes have already broken out in some municipalities. Apparently, this is particularly true of the Five Lakes region, which is hardly surprising given the exorbitant rents and land prices – just think of the unfortunate development of the Starnberg local model “Am Wiesengrund”. At Ammersee, however, the waves of excitement are particularly high: Of the 23 residential units in the former Prix area, which the municipality of Schondorf awarded well below market value, two went to the children of the incumbent mayor Alexander Herrmann (Greens). This came to the public because one of these two apartments was recently offered for rent on the Internet. The reduced-price properties were intended for personal use by the “local population with special needs”, as stated in the agreement with the investor.
The municipality of Schondorf acquired the 1.8-hectare, former industrial site in a central location in 2013 for 4.2 million euros. Initially with the purpose of realizing the extension of the neighboring secondary school, the largest part should serve as building land to refinance the purchase of the property. From the outset, however, the municipal council also had an eye on creating apartments there at socially acceptable prices for locals. The approach of taking over the building owner and renting out the property was dropped in 2017 for financial reasons – instead, the area was sold to the investor “Wüstenrot”. This was linked to the requirement that one third of the newly created living space be made available to the municipality, which wanted to pass it on to middle-income citizens at reduced prices.
In the local model, the apartments only cost about a third of the market price
So Schondorf received six mid-terrace houses and 18 apartments in the so-called “Aal” on the area between Schulstrasse and Ringstrasse, which is located directly on the railway tracks. An 82 square meter apartment there cost around 275,000 euros, while the investor asked for 670,000 euros. The municipal council set income and asset ceilings for applicants as well as the requirement to use the discounted property for 15 years. The allocation was regulated with a points system, decisive criteria were length of stay or job in the village, relatives in the household who needed care and low income.
The community wanted 275,000 euros for an 82 square meter apartment in the so-called “Aal” – the investor demanded almost three times as much.
(Photo: Franz Xaver Fuchs)
Mayor Alexander Herrmann’s two children were each awarded one of the affordable apartments.
(Photo: Franz Xaver Fuchs)
The mayor’s 26- and 24-year-old children, who no longer live with him, meet all these requirements. The parents also hadn’t accumulated any wealth and “never owned any real estate,” says Herrmann. Even before the first applications arrived at the town hall, he delegated the award to his deputy, so he could not give any further information: “Once it was clear that my children would apply, I put the entire award procedure in the hands of Mr. Wagner given.”
Vice Mayor Martin Wagner (CSU) was supported by two administrative employees and Klaus Hoffmann, the community’s legal advisor. When evaluating the applicants, “they worked strictly along the list of points, the administration carried out the evaluation in detail,” says Wagner when asked. Since the applications also included personal documents as proof of eligibility, the names of the applicants were usually known. How many people were interested in one of the discounted properties, no information can be obtained from the municipality, despite repeated inquiries. The deputy mayor estimates that demand has more than doubled supply.
“If I think about the father situation, I would have tried to stop her.”
Wagner emphasizes that there are no legal objections to the applications of the mayor’s 26-year-old and 24-year-old children. Whether he also considers her morally responsible is another question: “I don’t have any children. But if I think about the father’s situation, I would have tried to stop her.” For him, it is also unacceptable that after the purchase “one apparently has no interest in moving in there”.
In this case, the purchase contracts contain a passage that exceptionally permits resale or re-letting – but only to the group of beneficiaries and with the approval of the municipal council. In this case, the municipality reserves the right of first refusal and the commitment period is extended from 15 to 20 years. The municipal councils were surprised by the real estate advertisement on the Internet, which advertised a “stylish 2-room apartment with a balcony” measuring 56 square meters. Wagner has read the website with the advertisement, which can no longer be accessed: He confirms that it pointed out all restrictions regarding the group of applicants and the necessary approval from the council. However, it is questionable whether the potential landlord wanted to enrich himself: The rent should be ten euros per square meter – exactly the amount that the municipal council had aimed for as being socially acceptable.