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Das Wasserbecken im Quartier 52 Grad Nord. Die modernen Häuser spiegeln sich im Wasser und man sieht lila Blumen im Vordergrund.
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Sustainable Construction and Refurbishment

Our new construction activities are aimed at creating urgently needed new and affordable housing, particularly in metropolitan areas As one of the largest residential real estate companies in Europe, we play a crucial role in addressing these pressing needs by implementing sustainable and economically viable approaches to building and development. In our new construction and refurbishment projects. we prioritize optimized energy design, the utilization of renewable energies, and environmentally-friendly construction methods that promote resource conservation. Additionally, we emphasize designing layouts that accommodate diverse lifestyles and ensure accessibility in our buildings and developments.

Daniel Riedl
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We want to develop sustainable, future-oriented and innovative neighborhoods.

Daniel Riedl
CDO

Our Projects

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52° Nord Sponge City

Living on the Water: 52° Nord Sponge City

Neubau Amendestr Berlin
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850 Cubic Meters of Wood for Sustainable Construction

Find out more about sustainable new builds

Bilder zur Veranstaltung Baustoffkonferenz
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Vonovia sets the course for sustainable construction

Construction Conference 2022 – a Look at the Future of Construction

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Projekt Hygge Höfe

Hier erfahren Sie mehr über ​​Projekt Hygge Höfe (German only)

Our Objectives and Key Performance Indicators

Key performance indicators and target achievement: The average primary energy demand per square meter of newly constructed buildings is the primary non-financial performance metric in our development efforts. This indicator is also a component of the Sustainability Performance Index (SPI). In 2023, the average primary energy demand was 25.3 kWh per sqm .

Target for 2024:  We expect an increase in primary energy demand for 2024 attributable to several projects stemming from the merger with Deutsche Wohnen

Medium to long-term Target (2030-2045):  Our objective is to cap the average primary energy demand of new buildings at approximately 29 kWh/sqm by 2028. Over the long term, we aim to further reduce energy demand and carbon intensity, including the embodied carbon emissions of new buildings. Additionally, by 2030, 20% of our project pipeline is targeted to be comprised of timber construction 

Challenges, Opportunities and Risks

Opportunities

Through our new construction and refurbishment projects. we can create efficient, resilient homes that are expected to experience substantial future demand. This will also positively impact rental income and the value of the properties involved.

Risks

Rapidly changing economic and regulatory environments can impact development and construction costs, leading to potential increases in project expenses and reduced economic viability. The measures we implement, such as serial and modular construction, aim to mitigate these risks over the long term.

Opportunities

Through our new construction and refurbishment projects. we can create efficient, resilient homes that are expected to experience substantial future demand. This will also positively impact rental income and the value of the properties involved.

Risks

Rapidly changing economic and regulatory environments can impact development and construction costs, leading to potential increases in project expenses and reduced economic viability. The measures we implement, such as serial and modular construction, aim to mitigate these risks over the long term.

Baustellengerüst mit einem orangen BUWOG Banner auf dem steht
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Management Approach

Our subsidiary BUWOG is responsible for Vonovia’s development activities. It is active in the development of attractive, sustainable and diverse residential neighborhoods in Germany and Austria, and is involved in the densification of buildings as part of the development of existing neighborhoods. Our focus is on the development of large, inner-city properties in major cities (“brownfield projects”) that meet a whole range of requirements. Through these projects, we aim to increase housing supply while minimizing surface sealing.

The development branch has established a comprehensive sustainability strategy that delineates specific requirements, incorporating guidelines, specifications, and tools across 14 focus areas to address all aspects of sustainability in new construction. These include optimized heat supply within neighborhoods, utilization of ecological building materials, and designs for open spaces. In Germany, our starting point is to exceed legally mandated building efficiency standards by at least 10%, while in Austria, we adhere to the fundamental 'klimaaktiv' criteria. Our Building Information Modeling (BIM) strategy enables us to comprehensively understand the entire lifecycle of our neighborhoods, facilitating the development of additional measures.

Our Levers for Achieving Sustainable New Construction and Refurbishment

Shooting wurde von der Deutsche Wohnen beauftragt. Rechte wurden an verbundene Unternehmen übertragen. Modelrechte nur für 5 Jahre (bis 31.08.2026).
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Sustainability Integrated Into the Planning Process

Wherever possible, we prioritize revitalizing existing real estate and urbanized spaces through 'brownfield projects.' Rather than developing new building grounds, our focus is on reusing and revitalizing already sealed or urbanized areas. Examples include the Main Au neighborhood in Hanau and the Wohnwerk in Niederschönweide, Berlin, where abandoned industrial sites are transformed into modern residential neighborhoods featuring new green spaces and biotopes. In the Münsterberger Weg project in Berlin, approximately two-thirds of the previously sealed area will be restored as part of the development concept .

A digitalization project has resulted in the integration of skills across our German and Austrian construction units and the standardized implementation of the Building Information Modeling (BIM) methodology. This collaboration between the two countries will facilitate mutual learning and ensure that developments are leveraged across multiple projects. Consequently, we have set a goal to establish a unified Group-wide BIM strategy that will consolidate expertise and enable centralized, focused management of this digital approach.

The implementation of the sustainability strategy in development is being standardized as a process, incorporating topic-specific tools to ensure that sustainability aspects of new construction projects are planned, executed, and monitored in a focused manner.

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Construction Standards and Energy Efficiency

In its new construction and refurbishment projects, Vonovia meticulously ensures optimized energy design and utilizes renewable energies. This is achieved, for example, through adherence to the German Efficiency House standard or the new-build criteria of the Austrian 'klimaaktiv Pakt' initiative. 

The continuous improvement in the energy performance of our new constructions is achieved through two methods: Firstly, by implementing high-standard building insulation and primarily utilizing district heating with a low primary energy factor. Secondly, by increasing the deployment of air source heat pumps in conjunction with photovoltaic systems. These approaches enable us to ensure that more than 55% of the heating and hot water supply is sourced from renewable energy in certain projects. In Austria, we have ceased using natural gas as a heat source in new construction projects since 2022.  

Our projects frequently fulfill the criteria of the Quality Seal for Sustainable Buildings (QNG), which is a prerequisite for eligibility under the Climate-Friendly New Construction (KFN) subsidy.

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Sustainable Materials

To minimize the environmental impact of construction, it is imperative to reduce the energy and resource-intensive production of new materials, increase the recycling of construction materials, and utilize more materials made from recycled products. At Vonovia, sustainability is prioritized across all phases of our construction projects. We are committed to employing environmentally friendly raw materials, adopting sustainable production processes, and integrating eco-friendly construction materials in new construction, refurbishment, and demolition.

We are placing increasing importance on the recyclability of materials and products. The construction materials we utilize should be reusable and highly recyclable. Sustainable buildings, such as modular timber or hybrid constructions, allow for structures to be dismantled and returned to their original components, resulting in lower energy consumption and reduced CO2 emissions. These methods are increasingly integrated into our construction projects. 

We integrate life cycle assessments that calculate the CO2 footprint across the entire life cycle—from the manufacturing of construction materials to operation and final demolition—as well as accounting for gray emissions, into our planning process. These assessments are based on our analysis of climate impacts and energy consumption associated with six different building construction methods .

Our planning departments integrate the respective CO2 footprint, determined during the early project phases, into their designs. Implementing proven sustainable construction projects enables us to leverage subsidies in financing and attain certifications for sustainable construction.

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Innovations/Modular Construction:

We employ innovative processes that enable us to construct in a more sustainable and cost-effective manner. Our strategic collaboration with GROPYUS AG is integral to this approach. Their platform-based solution for modular and prefabricated wood-hybrid construction combines resource efficiency with affordability. 

This initiative will enhance the recyclability of constructions and building projects. We plan to promote this by introducing a recyclability metric and gradually implementing material passports for new buildings. 

To promote sustainable product innovation, we hosted an innovation competition during the 'Perspectives on the Future of Construction' dialogue process, introducing cutting-edge materials and products.

Bilder zur Veranstaltung Baustoffkonferenz
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Dialogue Process “Perspectives on the Future of Construction”

The main question posed in Vonovia's sustainable construction dialogue process, "A Look at the Future of Construction," focused on how new buildings could be constructed in a more climate-friendly and sustainable manner. The dialogue process commenced with a kick-off meeting in March 2022, bringing together representatives from industry, research, and politics. The series of events concluded with a symposium on November 23, 2022, held at Futurium Berlin, attended by approximately 300 participants. The spotlight was on collaborative solutions developed during the dialogue process. 

Working groups comprised of participants from our departments, alongside industry experts and the Fraunhofer Institute, have been diligently working on innovative approaches across various focal points since spring. These efforts are intended to translate into specific measures and objectives for the future. Additionally, specific calls were made to policymakers to promote sustainable construction practices. 

A Selection of our Approaches to Sustainable Construction:

  • Increasing the use of renewable and sustainable construction materials through serial and modular construction methods.  
  • Establishing a company-wide target for life-cycle emissions in new construction and the modernization of existing stock 
  • Advancing the development of calculation tools to assess the recyclability of construction materials 
  • Digitalization of the housing stock aimed at enhancing recyclability, optimizing maintenance, extending management periods, and improving dismantling options, including innovative solutions to minimize operational costs. 
  • Launch of a skills and information campaign on alternative construction materials and methods  
  • Training offers on specific topics for Vonovia employees  

You can learn more about this here: Construction material conference 

Pressefotos zum Richtfest in Kornwestheim, Bolzstraße
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Sustainability in the ​Construction Process

We believe that ensuring construction site management is aware of their responsibilities plays a crucial role in achieving sustainable construction and refurbishment. Under the German Occupational Safety and Health Act (ArbSchG), we are obligated to uphold high standards for supporting and safeguarding the health and well-being of our employees. These standards are reinforced by employer's liability insurance associations and the German Employee Secondment Act. A safety and health coordinator ensures compliance with site requirements to the fullest extent possible. 

On our construction sites, we prioritize protecting neighboring communities by minimizing emissions such as dust, noise, and light. Rigorous safety standards apply to general contractors and subcontractors, including requirements for fencing, signage, provision of protective gear, risk assessments and meetings, safety inspections, appropriate safety equipment, and regular training for all personnel.

The German Waste Management Act (AWG) imposes stringent requirements on waste management practices. Errors such as improper waste sorting can result in substantial financial penalties. Beyond our sustainability goals, there is also a strong economic incentive: By practicing responsible waste management, we can effectively control costs. Therefore, disposal costs are routinely included in our tenders in Germany and Austria. 

To promote biodiversity in new construction and refurbishment projects, we implement programs aimed at providing special protection to endangered species. We adhere strictly to all relevant statutory requirements in this regard, conducting surveys early in the planning phase of every refurbishment or construction project to assess potential threats or impacts on protected plant or animal species in the area.

We adhere to a rigorous regulatory framework that includes the German Federal Nature Conservation Act (BNatSchG) in Germany and the Federal Environmental Impact Assessment Act (UVP-G-200) in Austria, as well as local building regulations and our internal planning guidelines. These measures ensure the protection of any endangered species in the vicinity of construction sites, including the preservation of woodland areas and the integration of protected species into the planning process.

Im Vonovia Bestand
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Mobility

Sustainable mobility concepts are integral to our development initiatives. We promote sustainable mobility in our projects through various accessible options. For instance, the Helio Tower in Vienna's urban development area 'The Marks' features a unique bicycle arcade, accommodating 2,000 bicycles across the site, including 652 spots designated for the tower. On average, we allocate 1.8 bicycle parking spots per newly constructed apartment. Additionally, we provide a car-sharing program with electric cars, city bikes, and electric cargo bikes, along with up to 27 e-charging stations equipped with intelligent load management in BUWOG's parking garage. New buildings constructed in the reporting year are conveniently accessible from public transport, typically within a four-minute walk.

Baustellengerüst mit einem orangen BUWOG Banner auf dem steht
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ORGANIZATIONAL FOCUS

Responsibilities

The activities of the BUWOG development business in Germany and Austria are the responsibility of the Chief Development Officer (CDO), and the individual development projects are approved by the Management Board.

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