German home building permits decline in May as sector struggles

FRANKFURT (Reuters) -Building permits for apartments in Germany fell 5.3% in May from a year earlier, statistics office data showed on Friday, as the nation’s troubled property industry continues to struggle.

The drop is a setback after some improvements earlier this year. The nation’s property sector has been in a funk since 2022.

“The hope was recovery, but the reality is unchanged: no momentum,” said Aygul Ozkan, CEO of the property industry association ZIA.

The drop in May weighed on an overall 1.9% gain in permits during the first five months of the year.

(Reporting by Tom Sims, editing by Rachel More and Miranda Murray)