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Housing associations demand reversal of rent freeze, otherwise lawsuit will follow

Housing associations demand reversal of rent freeze, otherwise lawsuit will follow
'Against agreements'
By RTL Z Modified :
© ANP Housing associations demand reversal of rent freeze, otherwise lawsuit will follow
RTL

About two hundred housing corporations and umbrella organization Aedes will go to court if Minister of Housing Mona Keijzer (BBB) ​​does not withdraw the plan to freeze rents for the next two years. According to the corporations, the government is not honoring previously made agreements.

Keijzer has been summoned to withdraw her plan. She has two weeks to respond to this and to comply with the agreements. If she does not do so, the housing corporations will start summary proceedings.

The spring memorandum of PVV, VVD, NSC and BBB states that rents in the social housing sector, good for 2.3 million homes, will not be increased. This will save tenants a 4.5 percent increase this year, and a similar percentage next year.

The government does have 1.1 billion euros ready as compensation for the corporations, spread over the next three years. Yet they are furious, because the compensation is only paid out for a few years, while a rent increase gives the corporations a higher rental income in every future year.

Summons

On Wednesday, Aedes sent the minister a written summons to comply with the agreements and reverse the rent freeze for the next two years.

The freeze on rents for social housing has major consequences for home seekers and tenants, says Aedes . Housing corporations will be able to build far fewer new homes and insulate homes in the coming years, while they made agreements about this with Minister Keijzer last December.

These are laid down in the National Performance Agreements 2025 – 2035 (NPA).

Rent freeze causes anger on housing market: 'Politics is behaving like an arsonist'

The NPA has agreed on which investments corporations will make in the coming 10 years in new construction, maintenance, insulation and liveability. In order to make these investments financially possible, they agreed that rents will rise moderately in the coming years.

'180,000 fewer houses'

Aedes chairwoman Liesbeth Spies: "If the rent freezes continue, we will be able to build 180,000 fewer new homes in the coming years, which people are eagerly awaiting. Or insulate 1,600,000 fewer homes, while reducing tenants' energy bills."

Whatever the minister's response, the trust of corporations in the government has taken a big hit, according to Spies. "When you make agreements, you want peace, cleanliness and regularity. The investment climate for corporations is fragile, which financier is prepared to help, if agreements are broken after four months?"

Earlier today in the RTL Z broadcast, Professor of Housing Market Peter Boelhouwer said that the freeze will have a disastrous effect on the housing market: