Off-plan property (VEFA) purchases have become a source of significant distress for many buyers, prompting a demonstration in Luxembourg City on Saturday. Supported by the Left Party (Déi Lénk) and the Foundation for Access to Housing, the protesters called for greater protections, while government ministers notably avoided the gathering.
Around 60 people assembled at Place Clairefontaine to demand better safeguards for off-plan buyers. Attendees included individuals affected by developer bankruptcies and stalled construction projects, some of whom have previously shared their stories with RTL Infos.
Representatives from the Left Party and Gilles Hempel, director of the Foundation for Access to Housing, attended to show support. In contrast, Justice Minister Elisabeth Margue and Finance Minister Gilles Roth passed through the square without engaging with the demonstrators.
A prevailing sense of injustice united those present. “Why doesn’t the government choose to help the buyers who have suffered losses? By ignoring them, it is only increasing buyers’ sense of insecurity and contributing to the crisis of confidence in VEFA”, said Emily, a rally organiser who is still awaiting updates on her flat in Moutfort.
Currently, no compensation fund is planned, and proposed reforms to VEFA legislation will not apply retrospectively.
Alejandro Marx, another rally organiser, confirmed that this protest marks the beginning of a broader campaign, including future demonstrations and petitions. He expressed satisfaction with Saturday’s turnout and highlighted the systemic issues driving buyers away from off-plan purchases.
“The legal framework is so ineffective that buying off-plan today is absurdly risky”, Marx stated, pointing to bankruptcy risks and inadequate protective mechanisms.
Since RTL Infos published its series “When VEFA turns into a nightmare”, numerous affected individuals have come forward, though organisers believe the true scale is much larger. Emily, who compiled a list of bankrupt developers and stalled projects, estimates that at least 800 households are affected, noting the actual figure could be higher.
Many victims remain silent due to shame or fear of professional and social judgment, despite having done nothing wrong, according to Emily.
RTL Infos has also received several messages from individuals who have suffered losses but did not want to be contacted about a report, underscoring the sensitivity of the issue.
“If you just want to talk about it, don’t hesitate to get in touch with Alejandro or me”, Emily said. To foster solidarity, a dedicated WhatsApp group has been established to connect those facing similar stalled projects.
For many, the situation remains stagnant. Follow-ups with individuals featured in RTL Infos reports over the past two months reveal that the Capelli project in Moutfort has seen no progress, despite recent promises from the developer. Similarly, a separate project in Mamer has ground to a halt, leaving one couple waiting for several years.
Despite the discouraging outlook, demonstrators and Left Party representatives are exploring potential solutions. One proposal put forward by the latter suggests redirecting a portion of the funding earmarked for affordable housing to acquire and complete these stalled private projects, subsequently adding the finished units to the public housing stock.
For now, however, such measures remain a distant prospect. Marx confirmed that further protests are being organised, and several Saturday demonstrators indicated they will join a major mobilisation against the broader housing crisis scheduled for 13 November. It remains to be seen whether this growing movement can successfully compel the government to address the VEFA crisis.
