The canton buys itself out

The canton of Lucerne is buying a property from its own outsourced organization and paying almost five million francs more than necessary. A bidding process drove up the price, although in the end only one buyer was seriously considered anyway. The resulting debate could permanently change the rules of the game for future real estate transactions between the canton and state-affiliated companies.

May 2026

The Lucerne cantonal court is currently spread across several locations, which creates complex processes and inefficient structures. After years of searching, the choice fell in 2024 on Würzenbachstrasse 8 in the city of Lucerne, a property owned by the compensation office of the social insurance center WAS. The WAS will move to a new building in Kriens in the summer of 2026 and will no longer need the site itself.

The bidding process as a cost driver
External estimates put the market value at just under CHF 14 million. The WAS felt it had a duty to its policyholders to achieve the best possible price and launched a bidding process in the fall of 2025. The canton agreed on a purchase price of CHF 18.4 million plus ancillary costs of a maximum of CHF 100,000, totaling CHF 18.5 million. The cantonal council grudgingly approved the proposal, unanimously by 115 votes to 0, because there was no better alternative.

A sensitive issue in terms of state policy
The Lucerne government confirmed that the procedure had been carried out correctly. However, the crucial question remained unanswered. Why can an outsourced organization with a state mandate maximize the price at the expense of the state and taxpayers? SP cantonal councillor Sarah Bühler-Häfliger from Schötz puts it bluntly. If political control is dispensed with, the canton will no longer be on an equal footing with its own institutions.

A postulate with broad support
Bühler-Häfliger announced an initiative during the cantonal council debate. The postulate is now available, signed by members of parliament from all parties. Future sales prices should be based on two independent market value estimates. Bidding procedures as in the WAS case should no longer be possible. The idea is that the canton should be better equipped to deal with such cases.

Vote and conversion
On June 14, 2026, the Lucerne electorate will decide on the purchase of the property. All six parties represented in the cantonal council and the cantonal government recommend a yes vote. If the people vote in favor, project work will begin on adding storeys, renovating the façade and installing courtrooms on the first floor, with an initial cost estimate of around CHF 26.7 million. The construction project should be completed by 2030, until then the canton will rent out the office space.

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