Redevelopment permit

After completion of an urban redevelopment measure in accordance with the German Building Code, the municipality demands a compensation amount from the owners of the properties located in the formally defined redevelopment area.

The compensation amount is based on the increase in land value generally determined by the expert committees as a result of the redevelopment. This is the difference between the land value that would result for the property if redevelopment had neither been intended nor carried out (initial value) and the land value that results for the property as a result of the legal and actual reorganization of the formally defined redevelopment area (final value).