The housing market is still difficult in Longyearbyen. This was less apparent during the years with corona restrictions, but it is getting more of a problem again currently as the important winter tourist season starts.
Accommodation has always had a heavy price tag in Longyearbyen, but the situation became really difficult after a number of houses was lost during a snow avalanche in December 2015, which also took the live of two people, including one child. A number of houses with more than 100 units were abandoned after avalanche risk assessments. Avalanche fences and walls have since been built to secure remaining areas, but certain addresses still have to expect temporary evacuation in dangerous weather situations, as recently in Nybyen.
Avalanche wall near the mountain Sukkertoppen next to a residential area
in central location in Longyearbyen.
On top of that, the fire in September destroyed several houses with a number of flats. Nobody was injured, at least, although it was a narrow escape for some, who lost all their belongings in the fire.
Several houses in central Longyearbyen were lost during a fire in September 2022.
New dwelling houses are under construction in several locations in Longyearbyen, mainly at Elvesletta, between the centre and the river Longyearelva. This may give visitors the impression that Longyearbyen is growing, but it is actually still a race to catch up with the losses.
Construction site in Longyearbyen: the place appears to grow,
but it is actually a matter of catching up with the losses.
The problem was less apparent in 2020 and 2021 due to corona, but now the winter season is under full steam. Just as the fishing industry on the mainland, the tourism industry depends on seasonal staff to run the business. But now the industry is facing bigger problems than ever before to find housing for their work force. There is no detailed data, but NRK assumes that there is a lack of housing for a three-digit number of people for seasonal jobs in tourism.
Main housing space owners in Longyearbyen include the state-owned companies Statsbygg and Store Norske. Statsbygg’s main task is to supply employees of the public sectors with accommodation, and they don’t consider it their job to help the tourism industry. Store Norske says they are willing to help, but this would obviously require available capacities.
Construction is going on, and many are hoping for an easier housing market in the future. But this will take years – and those out for housing will have to pay heavy prices if they find anything at all.