The destruction caused half a million euros (£425k) worth of damage.
A building contractor tore down the balconies of a new apartment block ‘out of frustration’ after he allegedly did not get paid.
Shocking footage shows the development, in the German city of Blumberg in the Black Forest, being demolished by an excavation machine on Wednesday evening.
The destruction caused €500,000 (£425,000) worth of damage, police said.
A spokesman for the local force said the driver, 47, cited ‘unjustly witheld payments’ as the reason and acted out of ‘frustration’.
The man is said to have obtained the excavator specifically for his destruction campaign and only stopped because the hydraulic hose broke, local media reports.
He also damaged the building’s garages, where there were several gas bottles.
Police cordoned off a large part of the area because damage to the gas containers could not be ruled out.
There were no people in the building, but the action attracted around 50 onlookers.
After the destruction, the man got in his car and drove away, but soon turned himself in to the police.
He is said to be the subcontractor of the developer and claims he is owed five million euros in outstanding debts.