New building project in the middle of Zurich UBS pays tenants money for eviction
UBS is planning a luxurious new replacement building in Zurich's Brahmsstrasse - and is evicting dozens of tenants. As a consolation, however, an "extraordinary" gift beckons: 3500 francs in relocation allowance.
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- UBS is giving notice to all tenants on Brahmsstrasse by March 2027 at the latest.
- As a "concession", the bank is paying CHF 3500 per party.
- The new construction project will comprise 60 apartments instead of the previous 22 - with significantly higher rents.
UBS is planning a radical intervention on Brahmsstrasse in Zurich's Sihlfeld district: the two buildings with a total of 22 apartments are to be demolished and replaced by a new building with 60 units. The notices have already been sent out - all tenants must move out by the end of March 2027 at the latest, as tsüri.ch writes.
What regularly causes protest in Zurich's tight housing market comes here with an unusual gesture: UBS is offering the affected parties a flat-rate relocation fee of 3,500 francs.
One neighbor, who wishes to remain anonymous, speaks to the portal of "hush money". UBS itself calls it a "concession". Walter Angst from the Zurich Tenants' Association considers the payment to be "unusual" - at least on paper.
After all, similar methods had already been used when Credit Suisse evicted tenants from the Heuried estate, which has since been taken over by UBS. Back then, individual tenants with long contracts were also persuaded to move out voluntarily with payments.
A temporary farewell
UBS remains vague when asked. It is focusing on "sustainable living space" and pursuing a "long-term investment strategy". The new rents should be in the "mid-range local segment for new buildings".
However, a look at comparable UBS projects shows that a 3.5-room apartment can easily cost over 3,400 francs per month - a level that is unlikely to be affordable for the current tenants.
The bank refers to densification and the creation of modern living space. Yet it has long since become the largest real estate player in Switzerland - UBS owns 70,000 apartments, around 6,500 in Zurich alone.
While the big bank prides itself on sustainability and urban development, for many tenants there is one thing above all: a temporary farewell - with a bonus. Whether 3,500 francs can really cushion rising rents and displacement in the neighborhood remains more than questionable.
