Over 250 residents of the Röntgenareal in District (Kreis) 5 of Zurich have been told to pack their bags, as the rental apartments they live in are now set to be completely renovated. The incident has galvanised the local tenants’ association, who fear long-term residents are being priced out of the city through mass evictions.

Over 250 residents of Röntgenareal to be evicted in 2025

On November 25, 105 tenants at the Röntgenareal all received the same letter through the post. Residents in Neugasse 81, 83 and 85, who total over 250 people and account for one-third of the apartments in the affectionately named “Sugus” houses, were told that their rental contracts were being terminated because of planned renovations.

Allgood Property, the management company responsible for the homes, wrote in a statement that they must be “completely renovated” to ensure a “sustainable and ecological future” and fix an “unsatisfactory living situation [which is] no longer acceptable.” They added that "the assessment of the building structure showed that the condition of the properties requires a comprehensive renovation."

Sugus houses in Zurich were originally affordable housing

The homes themselves were built in 1999 by Leopold Bachmann, who deliberately designed the Sugus houses to be affordable. As it stands, a 4,5-room apartment in the development costs around 2.000 francs a month - considering that the homes are right in the heart of the city, this is very affordable considering how high rental costs are in Zurich.

Bachmann himself passed away at the end of 2021, with each of his three children receiving the ownership of three of the Sugus houses. All of the homes being renovated are owned by one of his descendants.

"Like a bad dream": Tenants react to mass eviction

With asking rents in Zurich having risen so dramatically in the last few years, once the renovated homes are re-let, it is unlikely that the current tenants will be able to afford the higher price. Residents have been told they have until March 31, 2025, to move out. "We wish you all the best for the future and hope that you find a new home quickly,” Allgood Property wrote in its termination letter.

"Everything seems like a bad dream at the moment,” one tearful tenant told 20 Minuten."It also says a lot about the owners when they terminate 105 tenants so close to Christmas…Greed has taken over and now the ordinary citizen has to suffer," others told the newspaper.

Renovation evictions are about profit, notes real estate expert

Speaking to 20 Minuten, real estate economist Christian Brunner said that he had serious doubts about whether the 24-year-old apartments needed to be renovated, calling the practice “atypical.” "This is about returns. It is about optimising profits for these properties. I understand that from an investment perspective, but from a socially acceptable point of view I am critical of it."

“No one has the legal right to live in the best location, for example in Zurich,” Swiss Homeowners Association director Markus Meier told 20 Minuten. “It is understandable that tenants don't like being evicted. But I object to putting property owners in a bad light. Landlords don't renovate properties for profit. Owners are responsible for keeping the buildings in good condition.”

Writing in a statement, the Zurich Tenants’ Association told Watson that it would help tenants contest the terminations, noting that legal action remains on the cards. They added that they would try to counter the “short-term and short-sighted actions of the owners.”

Rental terminations on the rise in Zurich

The incident has raised wider questions about whether landlords in Switzerland can evict tenants in cases of renovations, and what rights tenants have to appeal. Speaking to 20 Minuten, Zurich Tenants' Association head of legal advice Nicole Schweizer said that landlords in the city are increasingly resorting to mass terminations, so they can re-let their properties at the vastly inflated market price.

“Legally speaking, termination is possible provided the notice periods [in rental contracts] are observed. However, there are reasons why termination can be abusive,” she explained. 

Can renters in Switzerland appeal a renovation eviction?

Under Swiss law, you can contest a rental termination with the arbitration authority in the local council. In addition, you can request an extension of the tenancy beyond the termination date, which can last up to four years. 

During this time, Schweizer advised claimants to continue to look for rental properties in the neighbourhood and surrounding areas. This helps build their case around the fact that they would be unable to live in the same region after the termination unless their salary or earnings increase dramatically.

It must also be borne in mind that previous tenants are not automatically given priority should they wish to re-rent their now-renovated property. However, Schweizer noted that some landlords would be willing to arrange such an agreement if it is requested.

Thumb image credit: Michael Derrer Fuchs / Shutterstock.com