Urban Development

Urban renewal funding

Seven new redevelopment areas: EUR 216 million for Berlin's urban development

The Berlin Senate has designated seven new redevelopment areas. Around EUR 216 million will be invested over 15 years in schools, childcare facilities, roads and green spaces.

Peter Guthmann

Peter Guthmann

The Berlin Senate has designated seven new redevelopment areas (Sanierungsgebiete). According to the Senate Administration for Urban Development, around EUR 216 million will be invested over the next 15 years, primarily in schools, childcare facilities, roads and green spaces. More than 74,000 people live in the affected areas.

Which areas are affected

Preparatory studies had confirmed significant investment and intervention needs, according to the Senate Administration. The seven new redevelopment areas are:

  • Turmstrasse in Mitte
  • Muellerstrasse in Mitte
  • Northern Luisenstadt in Mitte
  • Southern Friedrichstadt in Friedrichshain-Kreuzberg
  • Wilhelmstadt in Spandau
  • Karl-Marx-Strasse/Sonnenallee in Neukoelln
  • Frankfurter Allee Nord in Lichtenberg

The Senator for Urban Development emphasised that splitting funding equally between East and West Berlin was no longer justified 20 years after reunification. Eastern districts had already received substantial support through programmes like Stadtumbau Ost. Of Berlin's 22 redevelopment areas in total, seven in the eastern part of the city remain active.

What redevelopment area status means for owners

The legal basis is the German Building Code (Baugesetzbuch, BauGB). For property owners in a redevelopment area, this means: construction works, property sales and plot divisions require a redevelopment permit (sanierungsrechtliche Genehmigung). After the measures are completed, an equalisation levy is due, based on the increase in land value attributable to the redevelopment.

At the same time, public infrastructure investment improves the residential environment. Owners of apartments and apartment buildings in these locations should engage early with their borough's plans and factor redevelopment objectives into any planned modernisation.

The official press release contains maps and handouts for each area.

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