Aarhus__Locations_Online_MR19

Copenhagen Property Market Report 2019

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Residential development areas The significant population growth has naturally increased demand for housing in Aarhus. Based on the current per capita residential area usage in Aarhus of 45.7 sqm, the popula- tion growth since 2010 corresponds to an additional housing demand of some 1,787,000 sqm. Looking at the predicted population growth, another 2.8 million sqm will be needed by 2045 to house the around 61,300 expected additional residents. On the supply side, the construction of residential properties in Aarhus is gaining momentum in response to the surge in demand. Following record high construction activity in 2017, an estimated 287,000 residential sqm was completed in 2018. The added supply has served to somewhat restore the supply and demand balance in the residential market. However, the current pipeline of another 200,000 sqm under construction could possibly put downward pressure on rents in secondary residential locations in the years ahead. Aarhus Ø Located in the previous industrial harbour, Aarhus Ø is expected to have 12,000 resi- dents and 10,000 workplaces when fully developed. The area has a number of prom- inent residential buildings, including stage one and two of Lighthouse, The Iceberg, Havneholmen and Havnehusene. Located with a waterfront location, residential rents and prices in Aarhus Ø are above average. However, in order to secure varied urban develop- ment, the City of Aarhus has specified that a quarter of the residential construction must consist of rent-regulated social housing. Aarhus has the following four primary residential development areas: