The Spar- und Bauverein was founded in 1897 by government secretary Christian Holstein with the aim of creating affordable housing for low-income workers and small craftsmen. The focus of the association, which was organized as a cooperative, was primarily on the purchase and construction of houses.

According to internal occupational statistics, around two thirds of its members in January 1898 were craftsmen and workers. In 1897, the association bought land on Waldstrasse and built 200 houses along Waldstrasse, Vereinsstrasse, Wiesenstrasse and Riedstrasse by 1905. In addition to the rapid increase in the number of members to almost 300, the granting of a mortgage by the Hesse-Nassau Old Age and Invalidity Insurance Institution was decisive for this success.

After these initial successes, however, the Spar- und Bauverein soon fell into a crisis. In 1899, the number of members fell to 200. Around 1911, the association ran into financial difficulties with the Biebrich city administration. In this crisis situation, the Spar- und Bauverein fared like many non-profit building societies. After the initial capital had been used up, the financial strength to continue the construction work that had been started was lacking. The Spar- und Bauverein was dissolved in 1915.