Brexit Expected to Accelerate Frankfurt’s Skyscraper Boom

Frankfurt, Germany’s financial capital, is preparing for an even faster boom in skyscraper construction thanks to Brexit, the U.K.’s exit from the European Union, Bloomberg reports. Local economists are expecting an influx of bankers and other financial professionals, given the impact Brexit will have on London’s financial industry. “We expect that at least half of London’s declining financial jobs will be relocated to Frankfurt, which will be at least 8,000 employees over a period of several years,” Gertrude Traud, chief economist for Helaba, said in August 2017. The population increase, added to the fact that there is little available land for residential construction in Frankfurt — especially in the city center — has pushed prices for new condominiums high enough to justify the higher cost of high-rise buildings, and developers have taken note. Eight residential towers have been built in Frankfurt since 2014, and five are under construction. Another 15 are in the planning stages, meaning the city could see 20 new high rises by 2022. Asking prices for condominium homes in Frankfurt rose 15% in 2017 over the previous year.

One of the city’s newest condominium towers is the 51-story Grand Tower, under construction since the beginning of 2016. Completion is expected sometime in 2019. Developer GSP Staedtebau said Grand Tower will rise to an ultimate height of 172 m, which will make it the tallest residential building in Germany.