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ABG Frankfurt Holding Increases Housing Stock and Forces Modernisation

For the 2025 financial year, ABG FRANKFURT HOLDING reports an increase in its housing stock as well as significant investments in new construction and modernisation.

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ABG Frankfurt Holding Increases Housing Stock and Forces Modernisation. Illustrative image generated using artificial intelligence (AI). The image does not depict a real property, person or event and is not a documentary photograph. Labelled in accordance with Article 50(4) of the EU AI Act.

ABG FRANKFURT HOLDING, the housing and real estate group of the City of Frankfurt am Main, has published its business and sustainability report for 2025 and reported a positive balance. Despite persistently high construction costs, the company was able to expand its own housing stock to 55,317 residential units. In the past financial year, 406 new rental flats were completed, with approximately 47 per cent of these being subsidised. In addition to new construction, extensive modernisation measures were carried out.

The Group's net annual profit reached a stable level of approximately 82.5 million EUR, forming the basis for continuous new construction activities. The balance sheet equity ratio rose to 44.7 per cent, a record high to date, which represents a significant foundation for financial stability and future investments. For the years 2026 to 2030, ABG plans an investment volume of approximately 2.4 billion EUR. This budget includes not only new build and developer measures but also comprehensive modernisation and renovation projects.

Focus on Affordable Housing and Sustainability

With the planned investment volume, over 3,700 new rental flats are to be realised. A particular focus is on creating affordable housing for households with low and middle incomes. The Chairman of the ABG Supervisory Board, Mayor Mike Josef, emphasised that ABG makes a socially and economically important contribution to the city of Frankfurt and offers secure housing prospects for around 130,000 people. He highlighted that the City of Frankfurt significantly contributed to the creation of new housing by adjusting funding for the construction of affordable rental flats.

Frank Junker, Chairman of the Management Board of ABG FRANKFURT HOLDING, explained that the completion of over 3,700 flats is planned, and the planning or construction of more than 2,000 additional flats will begin. However, he pointed out that construction projects depend on an improvement in construction prices and interest rates, as well as state funding conditions. A reliable funding environment is a basic prerequisite for ensuring affordable rents and high energy efficiency in new residential construction. The Group's net annual profit, after a dividend payment of approximately 10 million EUR to the City of Frankfurt, will be fully reinvested in maintenance, modernisation, and new construction.

Energy Modernisation and Green Technologies

In 2025, over 160 million EUR were invested for the first time in the modernisation and maintenance of the housing stock and in preparations for the heat transition, in order to intensify CO2 reduction in the building stock. This includes connecting additional residential units to district heating. By 2045, at least 10,000 more residential units are to be connected to district heating, in addition to the 15,000 units already supplied.

  • —Voluntary publication of a sustainability report according to VSME standard for 2025.
  • —Expansion of photovoltaic systems: 2.07 megawatts (peak) of power were newly installed in 2025.
  • —Around 41,700 photovoltaic modules on ABG roofs, which can theoretically supply almost 5,000 households.
  • —Integration of ESG topics into the business strategy, with a focus on climate strategy and CO2 reduction plan.

ABG has also once again surpassed its targets for the expansion of photovoltaic systems and plans, together with Mainova, to install an additional capacity of up to 1.5 megawatts (peak) annually on the rooftops of the ABG building portfolio. The sustainability report according to the VSME standard, which was voluntarily published for the first time in 2025, is divided into fields of action for integrating ESG topics into the business strategy and forms a central component for the company's climate goals.

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