Switzerland's Housing Crisis: Densify Urban Areas to House 2 Million
Switzerland's housing crisis could be eased by densifying urban areas, according to a study by the Urbanistica think tank. The study suggests that compacting 30% of these areas could provide homes for around two million people.
The housing shortage in Switzerland is dire. As of June 2025, the vacancy rate plummeted to a mere 1 percent, the lowest in over a decade. This scarcity has led to a significant drop in available rental apartments, particularly in regions like Ticino and the Lake Geneva area.
Urbanistica proposes a sustainable solution: densifying existing built-up areas instead of expanding into new zones. The study pinpoints agglomerations in Geneva and Vaud as prime locations for this approach. By substantially densifying 8% of the existing area and moderately densifying another 22%, the study suggests that new housing can be created while preserving 70% of the current urban space.
Urbanistica's study offers a pathway to address Switzerland's housing crisis. By densifying urban areas, the country could potentially provide homes for two million people while preserving most of its existing urban space. This approach could significantly alleviate the acute housing shortage, particularly in regions facing severe market pressures.
