Last Update: 19.08.2019

Investors Guide Berlin Marzahn-Hellersdorf 2019

Berlin is discussing about skyscrapers. MarzahnHe and Hellersdorf have them and profit from immigration from Berlin. The negative image has long been over, the silhouette is cleverly staged and many new district centres have arisen.

Berlin-Marzahn

From slab to families darling

After the fall of the Berlin Wall, the image of the prefab housing developments was very poor and anchored with the name Marzahn-Hellersdorf, even though the large housing developments made only part of the building structure in the district. That's history. Active neighbourhood management, uninterrupted modernisation and the creation of green spaces and active district centres have triggered structural and sustainable changes. Today, the district benefits from its heterogeneous development structure of prefabricated buildings and single-family house locations. The green centre between the two districts will be formed by the park of the International Garden Exhibition IGA in 2017, with cable car. GEWOBAG has created a tourist attraction with the Skywalk on one of the 70 metre high skyscraper towers. The formerly grey facades are used for artworks and poems to reflect the vivid cultural exchange in the neighbourhood.

Existing buildings

Median Asking price
3,020 EUR/m²
+21.60 %
Median Asking rent
8.15 EUR/m²
+1.50 %

New buildings

Median Asking price
3,900 EUR/m²
-2.10 %
Median Asking rent
11.85 EUR/m²
-4.00 %

Markets

Marzahn-Hellersdorf is characterised on the one hand by its large settlements from the 1970s to the 1980s, and on the other by the huge single-family house quarters in the immediate vicinity and in the south and east of the district, in Biesdorf, Kaulsdorf, Mahlsdorf and Hellersdorf. The slab buildings were privatised only occasionally, which explains the very small existing housing market when measured against the available space. The focus of demand in both subdistricts is on the family house market. Measured in terms of area, the house market is also limited and is unable to meet the high demand. The quarters in Hellersdorf are now expanding beyond the Berlin border into the nearby Märkisch-Oderland. The prices for family houses range around 3,790 EUR/m² and are above the apartment prices in the stock with 3,020 EUR/m²

Buy

The price increase for existing flats in the past 12 months was approx. 21.60 %. The current average offer price is approximately 3,020 EUR/m². New buildings are offered on average at a price of about 3,900 EUR/m². The price of small new apartments is already approaching the 5,000 EUR/m² mark. Prices continue to differentiate from quarter to quarter: Hellersdorf 3,090 EUR/m², Kaulsdorf 1,730 EUR/m², Mahlsdorf 2,910 EUR/m², Biesdorf 2,740 EUR/m² and Marzahn with 3,630 EUR/m².

Price index Marzahn-Hellersdorf

Period Existing buildings Median Offer price Index (base 10 years = 100) New buildings Median Offer price Index (base 10 years = 100)
Today 3,020 EUR/m² - 3,900 EUR/m² -
1 Year 2,490 EUR/m² 21.60 % 3,980 EUR/m² -2.10 %
3 Years 1,900 EUR/m² 58.70 % 3,040 EUR/m² 28.10 %
5 Years 1,410 EUR/m² 114.80 % 2,300 EUR/m² 69.30 %
10 Years 940 EUR/m² 220.00 % 1,910 EUR/m² 103.90 %

Snapshot

The Bubble Chart shows the supply situation over the past 12 months on the property market in Marzahn-Hellersdorf. The colors mark the year of construction classes, the size of the bubbles the quantity of offers, the location in the grid price radius (square meters) and apartment sizes.

Price segments

Price evolution (existing apartments) in Marzahn-Hellersdorf. The chart shows price increases and price segment shifts over the 10-year period.

Family houses

Marzahn-Hellersdorf has an attractive and highly sought-after family house market. In the past 12 months about 790 Stock houses and around 240 new buildings have been offered. In the inventory the current, average quotation price is about 3,790 EUR/m². The price development in 12 months is approx. 13.40 %. The price development for new buildings was approx. 14.00 %. The middle list price is currently about 3,540 EUR/m². The number of offers in this period was around 360 in Mahlsdorf, followed by Kaulsdorf with about 180 and Biesdorf with about 160 family houses offered.

Rent

The rents in Marzahn-Hellersdorf are well below the overall Berlin level. Under 3,510 rental offers registered by us in 12 months  the current average offer price is 8.15 EUR/m². In comparison: The average new contract offer rent in Berlin is currently 11.40 EUR/m².

Rent index Marzahn-Hellersdorf

Period Existing buildings Median Offer price Index (base 10 years = 100) New buildings Median Offer price Index (base 10 years = 100)
Today 8.15 EUR/m² - 11.85 EUR/m² -
1 Year 8.05 EUR/m² 1.50 % 12.35 EUR/m² -4.00 %
3 Years 6.90 EUR/m² 18.30 % 12.00 EUR/m² -1.20 %
5 Years 5.90 EUR/m² 38.20 % 8.50 EUR/m² 39.40 %

Snapshot

The Bubble Chart shows the supply situation of the last 12 months for the property market in Marzahn-Hellersdorf. 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. Rentals are made nearly exclusively in the 1979 - 2000 construction year classes and in the new construction segment. Apartments over 100 m² living space are barely present.

Rent segments

The chart shows the changes in the price structure of the district based on four price segments. How many apartments were offered in the different price segments? The line shows the development of the average offer price per square metre across all apartment types and price segments for existing apartments.

Apartment buildings

The market for apartment buildings in Marzahn-Hellersdorf is a little smaller than in other districts. The house sizes are mostly between 300 and 400 m².

Construction era Simple to medium locations Medium to good locations
1900 - 1949 1,400 - 2,200 EUR/m² 1,600 - 2,800 EUR/m²
1950 - 1989 1,200 - 1,900 EUR/m² 1,500 - 2,500 EUR/m²
1979 - 2000 1,400 - 2,200 EUR/m² 1,700 - 2,700 EUR/m²
since 2001 1,600 - 2,400 EUR/m² 2,000 - 2,900 EUR/m²
Source: IVD Immobilienpreisservice 2018/2019

General background

A high influx from Berlin and an increasing purchasing power of households in all quarters during the past years show a clear trend. In Kaulsdorf, Mahlsdorf and Biesdorf, the average purchasing power per household is over 4,000 EUR. The average housing cost ratio in Marzahn-Hellersdorf is a low 18.9 %, which is related to the large number of housing companies on the one hand and to living in one's own house on the other. The family house market with approx. 22,300 houses occupies two thirds of the buildings. A further 7,000 buildings have 103,400 apartments (source: Statistisches Landesamt, 2017). Between 2013 and 2016 only 112 apartments were converted out of a total of 136,500 apartments. The condominium market is underrepresented. 

Migration

The number of inhabitants in Marzahn-Hellersdorf has grown since 2013. A large part of the inhabitants came from Berlin. This can be seen as an evasion movement, but it also shows the positive development of the perception of this district with its multi-layered offer of cheap rental apartments and family houses. Poland and Romania are leading the international influx in 2017. Besides Lichtenberg there is also an active and growing Vietnamese community in Marzahn-Hellersdorf. The popular Dong Xuan Center is not far away in Lichtenberg. The largest exchange occurs with the neighbouring state. More Berliners are attracted out of the city here than in. Especially popular is the directly bordering Märkisch-Oderland. In general, the residents remain committed to their usual environment, the connection to the district is strong. 

  • All migrations
  • International
  • National
  • Suburban
  • Binnen
  • Hotspot

Trend

Marzahn-Hellersdorf has one of the largest so called "future locations" in Berlin with the 90 ha area of the CleanTech Business Park. Inner-city areas for manufacturing industry are limited in Berlin and will accelerate the positive development of the district. The CleanTech Business Park is primarily aimed at companies from the recycling, water industry and chemical industry. Knorr-Bremse Aktiengesellschaft produces braking systems for rails and commercial vehicles. The company has been listed on the stock exchange since 2018 and has just over 1,000 employees in Berlin. "Marzahn Impuls" is another commercial hub with various industries and training locations. Companies and residents feel a strong bond to the district and the demand for high-quality housing will grow with the growth of the commercial locations. Besides family houses, condominiums are the trend segment for the next few years.

This report was last updated on 19.08.2019 .

Disclaimer

The Guthmann Market Report is a semi-automated report about the property market in Berlin. All information has been carefully researched and is given to the best of our knowledge and belief. We assume no liability for completeness, deviations, changes and errors. Our report does not represent an investment recommendation.

Sources

Amt für Statistik Berlin-Brandenburg: Einwohnerregisterstatistik (Bewegungsdaten), Fortschreibung des Wohngebäude- und Wohnungsbestandes, Ergebnisse des Haushaltegenerierungsverfahren KOSIS-HHGen, Baufertigstellungen. IMV GmbH: Rohdaten Preise und Mieten. Senatsverwaltung für Stadtentwicklung und Wohnen: Umwandlungsdaten (2018), Geoportal Berlin (FIS-Broker). Immobilienverband Deutschland IVD (2018/2019): Immobilienpreisservice 2018/2019.

Methodology

Housing deficit (Treemap): The Statistics Office updates the household data based on the 2011 micro-census. Determination of household count and statistical household size via household generation procedures (KOSIS). We calculate the real household size / housing deficits via the ratio number of inhabitants to number of apartments.
Purchase prices and rents (charts and reports): Calculation of the median on the basis of raw data, own visualization.
Migrations: Aggregation and visualization based on transaction data.