Berlin Properties Kreuzberg 2023

Kreuzberg: High International Pace

Progressive, modern Berlin is omnipresent in Kreuzberg. Thousands of young people from almost 200 nations crowd the neighbourhoods and guarantee one of the most agile street, work and night lives in the world 365 days a year. The economy in the district is booming, incomes are growing. That was not always so. In the divided Berlin, Kreuzberg had become a periphery district; the name stood for a scene, nightlife and its own folklore. Then, with the fall of the Wall in 1989, the periphery district suddenly found itself in the middle of Berlin again. The transformation from a rough working-class district to a modern, multinational hotspot has not been without friction to this day, but it is unstoppable. Modern Kreuzberg is international, cosmopolitan and straightforward. The property market in Kreuzberg is challenging for sellers and buyers with high prices and equally high demand. Anyone investing in Kreuzberg is banking not only on the culturally-international lifestyle but also on Kreuzberg's reputation as an unconventional-alternative spot with a high level of diversity. 

Property prices Kreuzberg

Property prices in Kreuzberg are in the top range in Berlin. The median we found is currently 6,880 EUR/m². However, the positive double-digit growth seen for years has slipped into negative growth under the pressure of the interest rate turnaround. Calculated over nine months, the development is -0.80 %, over six months and in the three-month period at 0.10 %. 

On an annual basis, the price per square metre on offer is 6,920 EUR/m². The supply is dominated by the large stock of old buildings. The 1950 - 1978 building year classes and new construction are less well represented.

Property in Kreuzberg is also an excellent investment for the future. 12 years ago, the price of a flat in Kreuzberg was around 2,450 EUR/m². This corresponds to an increase of around 180.60 %.

New-build properties are offered at a median of 10,900 EUR/m². 

Development of property price segments in Berlin Kreuzberg

Development of price segments for apartments in Kreuzberg. The chart shows price increases and segment shifts since 2008.

Snapshot: Property listings Kreuzberg

Supply situation over the past 12 months on the Kreuzberg property market. The colors mark the year of construction classes, the size of the bubbles the quantity of offers, the location in the coordinate system price radius (square meters) and apartment sizes.

Trend

There is not one Kreuzberg, but many Kreuzberg neighbourhoods and quarters. Whether Graefekiez, Wrangelstraße, Bergmann-Kiez, Lausitzerplatz, Chamissokiez, Viktoriaquartier or Gleisdreieck, just to name a few. Until 2010, property prices in Kreuzberg averaged less than 2,000 euros/m² and the supply was dominated by the lower price segment. The first price increases began with the international influx around 2007. Accompanied by many measures in various redevelopment areas, weathered locations became prosperous neighbourhoods. In the Kreuzberg neighbourhoods to the south, many houses were refurbished and converted from 2012 onwards. As a result, property prices in Kreuzberg are now among the highest in Berlin. After slight reductions due to the pressure of the interest rate turnaround, the market is tending to grow again. In Kreuzberg, all property types will continue to increase in value in the coming years. In addition to the continuing high influx of new residents and the already high housing deficit, the limited supply of space and the slowdown in construction activity are leading to a growing demand overhang. The signs for the next decades point to growth.  

Apartment buildings in Kreuzberg

The housing stock in Kreuzberg amounts to nearly 5,400 buildings, in which around 93,000 households live with a statistical household size of approx. 1.74 persons. In almost all neighbourhoods, the real household size is significantly higher than the statistics show.

Square metre prices from 911 to 6,567 gross floor space

The price range for apartment buildings in Kreuzberg, as at 1.7.2023, is from €911 to €6,567/m² gross floor area. Converted to living space, this results in prices per square metre of at least €1,300 and a median value of around €2,700. According to the GAA, 12 apartment buildings with and without a commercial component were traded in Kreuzberg in the first six months. The wide range can be explained not only by the micro-location but also by the technical maintenance and the rental situation of the property. In particularly good Kreuzberg neighbourhoods, prices per square metre always override the factor; here the yield is not the top priority.

An apartment building in the international Graefekiez or along the Landwehrkanal, to name two examples, is representative for private investors and family offices. Somewhat more remote locations benefit from the charisma of the hot spots, but are valued more according to yield, condition and potential. Contact us for an accurate initial analysis of your rental property in Kreuzberg.

New construction Kreuzberg

How the transformation of a transit location into a central urban center unfolds can currently be witnessed along the Kreuzberg section of the Landwehrkanal, located west of Hallesches Tor. Until the 2000s, this part of Kreuzberg was considered unattractive. The perception of the neighborhoods between Potsdamer Platz, Schöneberg, Kreuzberg and Mitte was more that of a transit route connecting Kreuzberg with the city. Those days are long gone. The Gleisdreieckpark, the cultural use of the former refrigerated warehouse in Luckenwalder Strasse, the offices in the former railroad directorate and later GDR Reichsbahndirektion, the revitalization of the old pumping station by Christian Boros, and finally the Grünachse, on which one can travel comfortably and safely and without car traffic from the Flaschenhalspark south of Yorkstrasse to Anhalter Bahnhof. Taken together, it becomes clear what the location is today, and with the creation of the huge Gleisdreieckpark and an entire residential quarter between Kreuzberg and Schöneberg it was clear that this had to become one of the really great locations in the western part of Berlin.

The second phase of this development is now in full swing. After a long planning period, a neighborhood is currently being developed on the northern side of the Landwehr Canal. Hundreds of apartments and thousands of square meters of office and retail space are being developed around the old post office tower. Right next door, another approximately 100 apartments are being added in the Mehring Quarter.

On the northeast side of Schöneberger Strasse, the WoHo project, short for residential high-rise, is still in the development process. The residential tower is expected to be 98 meters tall; in addition to the future- and very people-oriented architecture, the concept has all the prerequisites to become a proverbial flagship project. According to our current information, around 25 percent commercial space and 60 percent owner-occupied and rental apartments are planned on around 18,000 m² of floor space. Additional space is intended for social institutions and students. 

Very interesting real estate projects are also being developed in other parts of Kreuzberg. 120 apartments are being constructed by the municipal HOWOGE in the Ohlauerstrasse campus and will provide low-cost housing for refugees, homeless women with children, students and low-income families.

New office buildings are being developed in Adalbertsraße, just a stone toss from Kottbusser Tor, and luxury revitalized apartments in Riehmers Hofgarten, near Viktoriapark.

Neighbourhoods in Berlin Kreuzberg

Kreuzberg lies south of the river Spree and since the district reform in 2011 it forms an East-West district together with Friedrichshain. Almost all of Kreuzberg's sites have risen very much in value in recent years. The residential areas are classified as predominantly simple to medium. Due to the high demand, the internal differentiation in purchase prices is low; the differences between Kreuzberg 61 and Kreuzberg 36, which were still clear a few years ago, are disappearing. The dynamics of the housing market are currently contrasted by a restrictive housing policy that is expressed in six milieu protection areas ("Milieuschutzgebiete"). Even if Kreuzberg 61 and 36 grow together more and more, the neighborhoods are still different. The quarters located south of Gitschiner Straße and Skalitzer Straße (formerly Kreuzberg 61) are considered to be a bit more chic and bourgeois. In addition to the Bergmann-Kiez, the Graefe-Kiez is also internationally popular. In the former Kreuzberg 36 the Wrangelkiez, the streets around the Oranienstraße and the Mariannenplatz, as well as along the Engelbecken are very popular. In addition to the small neighbourhood locations, Kreuzberg also has also large-scale quarters such as the blocks along the highrailway route on both sides of Prinzenstrasse, which are defined by the extensive constructions of the 1970s. Behind these blocks, very attractive medium-sized projects have emerged in recent years. The housing density in most quarters is very high, as is the calculated housing deficit.

Rental market in Kreuzberg

About 600 rentals of all types of flats were offered on the market in the 12-month period. Currently the average offer rent on the free market in Kreuzberg is about 12.50 EUR/m². This corresponds to a price development of approx. 0.50 % compared with the same period of the previous year.

Snapshot

The Bubble Chart shows the supply situation of the last 12 months for the property market in Kreuzberg. The colors indicate the year of construction classes, the size of the bubbles the quantity of offers, the location in the coordinate system the price radius (square meters) and apartment sizes. The letting portfolio in Kreuzberg mainly comprises old buildings and post-war residential buildings.

Development of rental price segments in Berlin Kreuzberg

Approximately 50 percent of the apartments offered by 2010 were in the price segment between 5 EUR/m² and 8 EUR/m². Meanwhile, the price segment with rents above 14 EUR/m² dominates the market for new rentals. After declining figures until 2015, the supply of apartments in Kreuzberg is growing again. The construction of new rental apartments in Kreuzberg is almost exclusively carried out by private companies. In the 12-month period about 100 new apartments were offered for rent. First rentings are carried out for approx. 25.80 EUR/m².

Building activity in Kreuzberg

With an apartment stock of around 79,000 units distributed over 14 statistical planning areas LOR (Lebensweltlich orientierte Räume), Kreuzberg has the most densely populated quarters. The statistical household size is 1.73 persons per household and the calculated household size is 2.03 persons per household, which is the second highest discrepancy across Berlin. With an average of 68.9 m², the average size of apartments in Kreuzberg is very small when compared to the rest of Berlin.

Milieu protection

In Kreuzberg, six milieu protection areas are in effect as of 2019. The conservation areas represent approximately 53% of the total area of the district.

Milieu protection map Kreuzberg

Check in our milieu protection map Berlin whether your property is located in a protection area, an investigation area or a suspected area. Our milieu protection map is continuously revised and updated on basis of the resolutions of the district assemblies (BVV). Please also visit our milieu protection area for further information.

General background

Kreuzberg was merged with Friedrichshain in the course of the district reform in 2001. The district mayor is currently provided by Bündnis 90/ Die Grünen, as is the resort for construction, planning and facility management. The housing policy of the district is very restricted and turns against ownership.  In Kreuzberg 6 milieu protected areas are established, among them the two oldest from the 1990s. The focus of the district is not on the creation of new residential space, but on the pre-purchase acquisition of existing stock. Paradoxically, already divided properties benefit from the restrictive policy, as further splitting is prevented and the supply is kept tight. With an average apartment size of 70.7 m², the district is located in the midfield of Berlin. One-person households predominate the housing market with 62.3 percent.

Migration

Kreuzberg has grown in the past few years. Like its neighbour Friedrichshain, the growth is based on international influxes, while the district is losing residents on an internal basis. In Kreuzberg it gets visible how Europe works. Economic crises lead to immigration and, once they have been overcome, to emigration again. This is particularly evident in Kreuzberg, since the district is in great demand by young international people.