New Construction of Rental Apartments – 1st Funding Path

Last updated: 14.6.2025
Grant

The Free and Hanseatic City of Hamburg promotes the new construction of affordable rental apartments for low and middle-income households. The modular funding offer from Hamburgische Investitions- und Förderbank (IFB Hamburg) includes interest-subsidized loans and grants for projects such as land acquisition, new construction, and extensions. It aims to create and modernize living space for families, seniors, and people with disabilities.

Who is Funded

Hamburg promotes the new construction and extension of affordable rental apartments. The program targets landowners and hereditary building rights holders who wish to create social housing for low and middle-income households, especially families, seniors, and people with disabilities.

What is Funded

The funding program supports various measures in rental housing construction, from new buildings to extensions and modifications of existing living spaces. It also emphasizes energy-efficient, sustainable, and barrier-free construction, as well as the creation of specific living spaces for various target groups.

Type and Extent of Funding

Funding is provided through interest-subsidized loans and various grants, the amount and scope of which depend on the respective module and project. The commitment period for rent and occupancy restrictions is 30 years.

Conditions and Requirements

The funding is subject to specific conditions regarding application submission, applicant qualification, construction execution, and subsequent use of the apartments, including rent and occupancy restrictions. Cumulation with other funding is also regulated.

Application Process

Applications for funding must be submitted to Hamburgische Investitions- und Förderbank (IFB Hamburg) before construction begins. IFB Hamburg reviews applications and grants written approval, which is required for the start of construction.

The funding program 'New Construction of Rental Apartments – 1st Funding Path' is based on the Funding Guideline for Rental Apartments in Multi-Family Houses in Hamburg, which came into force on July 1, 2022. This guideline is drafted in accordance with the Hamburg Housing Promotion Act (HmbWoFG) and EU state aid rules.

Similar Programs

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Funding Overview

Funding Status

Funding Status:

Open

Maximum Amount

Maximum Amount:

Up to 2,000.00 EUR/m² of eligible living space (loan), up to 18,970.00 EUR/apartment (grants for wheelchair-accessible apartments) and ongoing grants of up to 7.50 EUR/m² living space per month.

Open Until

Open Until:

Ongoing

Award Channel

Award Channel:

Demand Driven Scheme

Region

Region:

Hamburg (Germany)

Sectors

Sectors:

Construction and Building Materials, Social Enterprises

Beneficiaries

Beneficiaries:

Housing Construction, Social Housing

Application Type

Application Type:

Single Applicant

Funding Stages

Funding Stages:

Product Development, Implementation, Infrastructure

Funding Provider

Program Level:

Regional

Funding Body:

Free and Hanseatic City of Hamburg, Authority for Urban Development and Housing

Managed By:

Hamburgische Investitions- und Förderbank (IFB Hamburg)

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