LWB continues to invest heavily - rents rise moderately

The Leipziger Wohnungs- und Baugesellschaft (LWB) intends to continue investing heavily in new builds and the refurbishment of its housing stock despite the difficult conditions. "The LWB is continuing to build. This is good news for the city and its citizens," said Leipzig's Lord Mayor Burkhard Jung (SPD) on the occasion of the adoption of the company's annual financial statements by the shareholders' meeting. The LWB is an important partner for the city in housing policy issues and also takes on social tasks in the neighborhoods.

According to LWB Supervisory Board Chairman Thomas Dienberg, the company is one of the most active players in social housing construction in eastern Germany. Four new construction projects with a total of 349 apartments are currently nearing completion and preparations are underway for seven more. Energy-efficient renovations are also being driven forward.

More apartments for Leipzig - despite the crisis climate

According to Managing Director Doreen Bockwitz, the number of LWB apartments has increased by almost 1,000 over the past five years, the majority of which are subsidized with housing entitlement certificates. The company also recently acquired a large commercial property in the city center, which is to be converted into around 80 to 100 apartments.

According to Bockwitz, average net cold rents rose by 19 cents to 6.03 euros per square meter last year, but remained around one euro below the city's comparative value. The vacancy rate fell to around four percent.

Less profit - more investments

In the 2024 financial year, the LWB reportedly generated a net profit of EUR 19.8 million - compared to EUR 33.6 million in the previous year. The reasons for the decline were the lack of special effects compared to 2023. Total assets grew to 1.62 billion euros, while construction expenditure rose to 165 million euros.

At the end of 2024, the LWB managed 36,782 apartments and employed 569 people.