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2,500 New Apartments To Be Built In Reykjavík By 2018

2,500 New Apartments To Be Built In Reykjavík By 2018

Published February 7, 2013

The City of Reykjavík has mapped potential areas within the downtown area for the construction of 2,500 new apartments in the next 3 to 5 years, with an expected 14,500 new apartments to be built by 2030.
City Council Chairman Dagur B. Eggertsson is heading the group that has been assessing the possibility of building more residential apartments in the city, a project that has been ongoing for the past two years, Vísir reports.
“Firstly, a new master plan is being developed in the city, as it is clear that this is needed. Second, the City Council agrees that we need a new housing policy that focuses on more diverse and secure housing, primarily rental housing and residential apartments. Thirdly, the focus will be on how people get around, we’re interested in trying to reduce the operating costs of households by enabling people to live where they can enjoy reduced transportation costs,” said Dagur.
The effort to reduce transportation costs will be achieved through developing new rental residences with limited parking spaces available, thereby encouraging tenants to make use of public transit or other alternate means of transport
Dagur emphasizes that the new housing developments will not guarantee that rental prices will fall throughout the city, however he is hopeful that developing the rental market will create a balance among the residences available. It is further hoped that introducing new residential property in Reykjavík will help the city avoid a housing bubble, as renting or owning a property in the city center is currently very expensive and the costs are only increasing.


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