Due to their absolute size or complexity, many urban development, functional and social problems can only be tackled as a whole state responsibility.

The federal and state governments are facing up to this responsibility and supporting the cities and municipalities with a differentiated range of funding within the framework of housing promotion.

On the basis of the administrative agreement between the federal and state governments, the funding guidelines of the states regulate the eligibility of measures and projects, funding priorities and more detailed selection criteria. The administrative agreement and funding guidelines thus control the programmatic objectives of urban development funding.

Cities and municipalities can apply for funding for individual measures (individual application for urban development project funding) but also for large projects (program application for overall measures). In this case, municipalities have the option of passing on the funding they receive to associations, initiatives, institutions and individuals.

Urban redevelopment in Thuringia is financially supported by federal-state urban development programs and supplemented by state programs. This makes it possible to implement significant urban development measures in rural areas outside of the federal-state programs and EU funding. This is important because Thuringia is a rural state.

The main purpose of urban development funding is to

• the elimination of urban deplorable conditions
• Strengthening internal development
• reduce land consumption for settlement and transport purposes
• the elimination of social problems
• securing and strengthening public services, especially in sparsely populated rural areas.