Market Analysis
Berlin tourism market 2015
Berlin tourism growing faster than the national average
Overnight stays in Berlin rose 8.6% in February 2015, outpacing the rest of Germany. International visitors showed the strongest growth. What the tourism boom means for the housing market.
Peter Guthmann
According to Berlin's statistics office, hotels and hostels recorded around 1.8 million overnight stays in February 2015, up 8.6% on the same month a year earlier. The national average was 7%. On any given night, around 65,000 registered guests were staying in the city.
International visitors drive growth
The figures for international visitors stood out: overnight stays by foreign guests rose 10.9%, compared with 6.7% for domestic visitors. Guests from the United Kingdom and Israel contributed most to the increase, according to the statistics office. The average length of stay remained unchanged at 2.3 days.
What this means for the housing market
Growing tourism increases demand for accommodation of all kinds. This affects not just hotels but also furnished apartments and holiday lets. For property owners in tourist-heavy locations such as Mitte or Friedrichshain-Kreuzberg, this is relevant, even though the ban on misuse of residential space now restricts short-term letting.
In the long run, tourism strengthens Berlin's reputation as an international city. That attracts not only visitors but also skilled workers and businesses. Both increase demand for apartments in Berlin and support price development.
Do outer boroughs benefit too?
While the classic tourism boroughs remain the focus, neighbourhoods such as Neukölln are also drawing an international audience. The effect is already visible in restaurants and retail. For property owners in these areas, rising footfall has a positive impact on location quality.