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Case Study Vienna (April 2003)

Building Blocks





Tenant: where to move, where to invest? E.g.
ownership vs. renting
                                                                            X            m                                  X       X
                                                                 X          X                                               X       m
Conversion of summerhouses/second homes into
permanent housing
                                                                  x        m                                      X          x      m
In-migration                                                     X          x                                    m           x       x
Declining population                                                        X             X
    Taxation, e.g. Sonder-AfA                                             X                                                X
    Effectiveness, -: missing, +: existing                      X-        X-           X+                         X        X-      X-
Acotrs on the demand side:                                      ?
    Elderlies                                                                            X                        X         x
    Young families                                                          X            X                        X         X       X
    Industry and services                                                   X            m                                  X       X
    Middle-income urban strata                                   X          X                                                       X
    Higher-income urban strata                                              X                                                       X

     •    Strong rent control law in Vienna. Guideline Values for renting prices. Law protecting
          against notice of cancellation of the tenancy agreement. Price reduction for short term
          tenancy agreements. Because of low rent relatively high amount of empty flats in
          Vienna (people, who move out of the town keep the flats for their children or as
          second homes)
     •    Increasing trend to condominiums or freehold flats. Also in the old quarters of Vienna
     •    Rowed and terraced houses on the edge of the city
     •    Increasing amount of single-family houses in the surrounding of Vienna

Supply driven Sprawl:
   • Trade and Commerce Centers grow in the periphery
   • (Collective) Investors build residential settlements in the municipalities surrounding
       Vienna (up to 20 km from Vienna, i.e. “Ökosiedlung Guntramsdorf”, etc.)
   • Investments in Infrastructure: The building of highways has a direct influence on the
       population development in the urban hinterlands (see A21, A3, A4). Those three
       highways were built relatively late, thus the influence of the settlement (population
       census) can be observed. The highways A1 und A2 (built during and after the second
       world war) have influenced the historic development of suburbanisation (the first areas
       of suburban zones)

Conversion of summerhouses into permanent housing
   • Can be observed for elderly retired people. In the further periphery with not so good
      accessibility to Vienna (Waldviertel, Alpenvorland, Burgenland). See map of age
Vienna Team: Jens Dangschat, Alexander Hamedinger, Susanne Kratochwil, Andrea Mann                                                         1
Case Study Vienna (April 2003)

Building Blocks

     •    Public parking restrictions in the inner districts of Vienna with exceptions for
          permanent residents by parking labels caused a reduction in the change of the
          conversion of second homes into permanent housing. Otherwise no permanent public
          parking in the inner zones of Vienna between 9 a.m. and 8 p.m. is possible. Change of
          the registration law, where each person can only have one permanent residence, cause
          the fact, that people prefer to notify their permanent residence in Vienna, so that they
          can park their car.
     •    Subsidy regulation of Lower Austria cause the change of second homes into
          permanent housing (official not real), because the subsidies are higher for permanent

   • Vienna has a high immigration rate compared to the rural areas around the city.
   • The fall of the iron curtain increased the immigration rate, strong immigration laws
       reduced the process in the late nineties.
   • Vienna is the only bigger city of Austria with an increase of population counted in the
       last census, mainly caused by immigrants from foreign countries. The ring of
       municipalities around Vienna show a high immigration rate, caused by migrants from
       the city.

Declining Population:
   • Increasing population in Austria
   • Declining zones near the border to Czech Republic and in the zones north of the alps
       (Styria, Upper Austria)
   • Declining population in the city centre
   • Declining population in the densely built old quarters (Gründerzeitviertel) with a high
       rate of revitalisation – merging of small flats to one bigger one. Increase of m²-use for
       housing per capita. Declining population as a fact of the trend to smaller households in
       the dense built old quarters of Vienna.

Regulation / Taxation:
   • Vienna is city state – thus the border of the city is a strong limiting factor, even
       because Vienna is reigned by the social democrats and Lower Austria is reigned by the
       peoples party.
   • Not much cooperation between Vienna and the surrounding municipalities (no
       efficient cooperation structures, laws, a.s.o.)
   • Zoning plan and housing decisions is law of the single municipalities. No cooperation
       between neighbouring municipalities is forced by law.
   • Many reserves of building land in the municipalities of Lower Austria zoned in the
   • Change of the Planning Law of Lower Austria in the 1990s – promoting the rezoning
       into greenland, tightening of the site taxation as a first step to reduce sprawl.
   • Better subsidies for housing construction in Lower Austria than in Vienna (which
       causes sprawl)
   • Financial compensation forces competition between municipalities in the settlement

Vienna Team: Jens Dangschat, Alexander Hamedinger, Susanne Kratochwil, Andrea Mann                   2
Case Study Vienna (April 2003)

Building Blocks

Regulation / Effectiveness:
   • The existing regulations are not effective to reduce urban sprawl.

Actors on the Demand side:
   • Elderlies: move into the rural areas in their former second homes – relative far from
   • Young Families: move with their children into the good accessible suburbia of
       Vienna, single family housing or semi detached housing with garden. Prefer access to
   • Industry and Services: increase of employees in the periphery, reduction (1971-
       1981)or stagnation (1981-1991) in Vienna (see maps „development of employment)
   • Middle income urban strata: live in the revitalized urban areas in the districts 1 and 3-9
       (within the „Gürtel“ and „Donaukanal“)
   • Higher income urban strata: live in the districts 13 and 19 of Vienna (western part of

Vienna Team: Jens Dangschat, Alexander Hamedinger, Susanne Kratochwil, Andrea Mann                3

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