Landlord puts up a fight High rents reach Baden AG - 4.5-room apartment offered for 5675 francs
Intensive building work is underway on Badstrasse in Baden AG: Modern and expensive apartments are being built. A maisonette apartment costs 5675 francs per month. Investor Martin Schoop explains why the costs are so high
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- Many new, modern and expensive apartments are being built on Badstrasse in Baden AG.
- But they are also expensive.
- Investor Martin Schoop explains the high rents with construction costs, regulations and growing bureaucracy.
The Badstrasse in Baden AG has been a hive of construction activity for months. Numerous new buildings are being erected or renovated here. The apartments on Badstrasse and the adjacent Theaterplatz are now among the most modern in the city - but they are also among the most expensive.
Take the building complex at Theaterplatz 12, for example: a maisonette apartment with 4.5 rooms, 146 square meters and a balcony on both floors will be available to rent for CHF 5,675 per month from December. This is a high price, even for Baden.
The property belongs to Intergrund AG. The owner of the company, Martin Schoop, tells the "Badner Tagblatt":"Of course, every investor wants to earn money. But I can assure you: I'm not making a killing here, and it's certainly not about ripping people off." From a financial point of view, it would have made more sense for him to leave the old building standing for another fifteen to twenty years.
Many challenges
Schoop explains further: "I have to charge so much rent - otherwise it's not worth investing here at all." There are also a number of challenges: The building permit arrived later than planned, so the apartments could not be rented out in time. In addition, there is a protected oak tree on the neighboring property. Schoop was allowed to build, but only around the tree. This makes the apartments smaller.
Schoop also criticizes the increasing bureaucracy and the new building and usage regulations, which in his opinion reduce planning security. He warns that such rules could deter investors and make building in Baden even more expensive. He is particularly bothered by the fact that a permit is required to cut down trees with a circumference of 80 centimetres or more.
Despite the high prices in Baden, rental costs are still moderate compared to Zurich. A 6.5-room house in Zurich is on offer for 30,000 francs a month.