In the first quarter of 2016, Berlin approved 5,817 apartments, a slight increase of 1.0 percent year on year. Behind this stable headline figure, however, two opposing trends were at work.
New construction rises, loft conversions collapse
Of the approved apartments, 5,129 were new builds, up 22.1 percent. The largest share went to apartment buildings with 4,617 units (+25.1 percent).
At the same time, the number of apartments created through conversions and extensions fell by 55.9 percent to 688 units. Loft conversions, long a popular tool for urban densification, lost ground significantly. The potential in this segment appeared to be largely exhausted in many locations.
Where the most permits were issued
According to the Berlin-Brandenburg Statistical Office, the most building permits for new apartments in Berlin were issued in the boroughs of Charlottenburg-Wilmersdorf, Mitte, and Pankow. Mitte and Charlottenburg-Wilmersdorf focused on the higher-priced segment, while Pankow served demand from families and young professionals.
What this meant for the market
The figures showed a clear shift toward new construction. For owners of properties with unused rooftop potential, this could also mean rising value for that potential, since fewer such projects were being realised. Market trends in the following years confirmed that new-build apartment buildings remained the defining factor in Berlin's housing construction.
