In the spring of 2016, several developments converged in Berlin: the Senate released new building land, permits for new-build apartments surged, and the IVD criticised demand planning as insufficient.
New building land in four boroughs
The Senate approved changes to the land use plan for Mitte, Reinickendorf, Tempelhof-Schoeneberg, and Neukoelln. In Mitte/Reinickendorf, parts of older cemetery land were rezoned for housing (Barfusstrasse/Hollaenderstrasse/Gotthardstrasse). In Tempelhof-Schoeneberg/Neukoelln, building rights were created on former nursery land (Britzer Strasse/Mohriner Allee). Potential: over 1,000 apartments.
The decision followed a consultation process involving borough offices, planning authorities, and residents.
Building permits: new construction booms, loft conversions collapse
First-quarter 2016 statistics showed a clear shift. Permits for new-build apartments rose 22.1 percent to 5,129 units, of which 4,617 were in apartment buildings (+25.1 percent).
At the same time, permits for conversions and extensions fell 55.9 percent to 688 units. Loft conversions, once a popular densification tool, lost ground sharply. Most permits went to Charlottenburg-Wilmersdorf, Mitte, and Pankow.
IVD: planning targets fall short
Despite rising permit numbers, the IVD criticised the Senate's demand planning. Marco Woelfle of the Center for Real Estate Studies estimated real demand at up to three times the planned 15,000 to 20,000 units per year. According to the Federal Statistical Office, Berlin's housing stock had grown by just 23,000 units over the previous five years.
Putting it in context
New building rights and rising permits were positive signals. But the gap between supply and demand remained large. Market trends in the following years confirmed that price pressure on Berlin's housing market persisted.
