Blick auf ein Gewerbegebiet im ländlichen Raum

Business Needs Space

The shortage of suitable commercial and industrial spaces increasingly serves as a barrier to business establishment and growth. National policy must address this issue: revising construction and planning laws for accelerated procedures, sensible land definitions, and mixed-use strategies.

In many areas, the battle rages over every square meter, and businesses often simply cannot find suitable spaces anymore. Building land has become a scarce resource, contested by companies and residential needs. Within this tension, the availability of commercial spaces has deteriorated dramatically.

This article was the 'Topic of the Week' in the newsletter for KW 14 in 2025.

Germany is in constant change. Charging stations for electric cars are being installed, industrial companies are expanding, new public transport links are being constructed, and power lines, renewable energy sources, or even cycle paths in urban areas are being developed. There are many construction projects. However, businesses face an enormous challenge when relocating or expanding: they cannot find suitable plots or encounter metaphorical boundaries. Land is a scarce resource, sought after by residential areas, recreational spaces, leisure facilities, agriculture, transport, and commerce.

The increasing pressure on the availability of commercial and industrial spaces is evident in the latest IHK business barometer. According to it, the majority of businesses report worsened availability of commercial spaces. Action is needed, as without suitable land, business establishment and growth become significantly hindered. While reserves of land may exist in planning theory, these often fail in practice: plots are frequently unsuitable due to poor layout, limited usability, or inadequate transport connections.

National policy must respond to this situation, focusing on key aspects:

Providing land for residential and commercial use

To equally accommodate commerce, industry, and residential needs, forward-looking planning is required, enabling swift construction of commercial buildings and housing. This necessitates revising construction and planning laws to accelerate planning and approval processes comprehensively.

Sensible definitions for land consumption

Statistical elements of settlement and transport areas include buildings and open spaces, operational spaces, transport areas, as well as recreational and cemetery spaces. When calculating settlement and transport areas, only the truly sealed areas resulting from structural measures should be considered.

Revising the Noise Abatement Technical Instructions (TA Lärm)

In densely populated areas, mixed-use solutions for residential and commercial purposes can address land competition. To ensure compatibility, revising the Noise Abatement Technical Instructions (TA Lärm) is crucial, enabling practical management of noise conflicts. A central change should be relocating the noise measurement point indoors, as practiced in traffic noise assessments and other European countries.

These structural guidelines enable sustainable and demand-oriented land development. Adhering to them creates long-term prospects for locations that meet the economic land requirements.

Key areas:
  • Wachstum
  • Industrie

Contact

Tögel, Ann-Kathrin_quad

Anne-Kathrin Tögel

Head of Department for Urban Development and Land Policy