Zug plans special zones to accelerate affordable housing

Zug, a Swiss canton, plans to create temporary “white zones” where developers could build taller and more densely to address the housing shortage, SRF reported.

Property owners would be allowed to exceed standard building rules in these zones, but at least 40% of newly built homes would have to be affordable. Owners would also need to agree on planning rules, including how local residents could receive priority for the apartments.

The Zug housing market has been severely constrained for years, while prices have risen rapidly. The cantonal government has therefore submitted a comprehensive revision of the Planning and Building Act for consultation as part of its Housing Policy Strategy 2030.

The package is intended to reduce bureaucratic obstacles, speed up procedures and encourage the construction of affordable homes. A white zone would be placed over an existing building zone for a limited period and would allow substantially greater building height and density than normally permitted.

Further concessions could also be introduced in certain residential and mixed-use zones. These could include an additional floor and up to 10% greater development density if an affordable home is built.

Procedures for development plans and building permits would also be simplified and accelerated, while deadlines for appeal proceedings would be shortened. The revised law will now undergo consultation before being considered by the cantonal parliament.