May 2019

Investors Guide Berlin Schöneberg 2019

Centrality stings Green. Schöneberg is a very popular district not only for its pub and cultural scene. The urban inner-city district offers excellent connections in every direction. Tauentzienstraße and KaDeWe are the gateway to Kurfürstendamm. In Schöneberg it is less about recreation, but much about savoir vivre.

Berlin-Schöneberg

On David Bowie's tracks

Schöneberg has many, very different faces: quiet and lively, alternative and modern, simple and sophisticated. Its inhabitants are as heterogeneous as their neighborhoods. At Winterfeldtplatz, Berliners and tourists meet in traditional and relaxed pubs, bars, restaurants and cafés. Berlin's largest greengrocer's and weekly market takes place here on Wednesdays and Saturdays. The mood is very relaxed. Schöneberg is Berlin's symbol of diversity, tolerance and cosmopolitanism. This was also appreciated by David Bowie, who lived in the Hauptstraße. Kurt Tucholsky, Albert Einstein and Marlene Dietrich also lived in Schöneberg. While Albert Einstein resided in the noble Bavarian quarter, the birthplace of Marlene Dietrich is in Leberstraße in the so-called "Red Island". It got its name from the Leftist orientation of the Berlin working class population.

Existing buildings

Median Asking price
4,530 EUR/m²
+13.20 %
Median Asking rent
13.30 EUR/m²
+11.80 %

New buildings

Median Asking price
6,320 EUR/m²
-7.40 %
Median Asking rent
16.30 EUR/m²
+11.40 %

Markets

Schöneberg with approx. 156,000 inhabitants has many, very different quarters and locations. The building typology is mixed. The reconstruction programme closed war gaps in Wilhelminian quarters with some very simple apartment buildings. Around 1,300 apartment buildings, or 20 percent of the housing stock, date from the years 1951 to 1970. Post-war buildings are today a sought-after segment with compact apartment sizes. At the same time, Schöneberg has some of the most well-kept and beautiful Wilhelminian style quarters, such as the Viktoria-Luise-Platz with its exceptionally beautiful, chic old buildings. The residential areas range from predominantly medium to good. Living space in Schöneberg is traditionally scarce. Further densification is only possible in a very limited and decentralized way. The high demand in Schöneberg is not a new development. In the 1980s, purchase prices and rents were already high in the central districts of Schöneberg. Around 66 percent of households are single-person households.

Buy

Currently the offer prices for condominiums in Schöneberg are about 4,530 EUR/m². This corresponds to a price development of 13.20 % compared to the previous year. In the 10-year period the increase in prices for existing apartments in Schöneberg is about 184.00 %. New apartments are offered in the price corridor around 6,320 EUR/m².

Price index Schöneberg

Period Existing buildings Median Offer price Index (base 10 years = 100) New buildings Median Offer price Index (base 10 years = 100)
Today 4,530 EUR/m² - 6,320 EUR/m² -
1 Year 4,000 EUR/m² 13.20 % 6,830 EUR/m² -7.40 %
3 Years 3,410 EUR/m² 32.80 % 4,930 EUR/m² 28.30 %
5 Years 2,470 EUR/m² 83.20 % 4,000 EUR/m² 58.10 %
10 Years 1,590 EUR/m² 184.00 % 3,240 EUR/m² 95.00 %

Snapshot

Supply situation of the property market in Schöneberg over the previous 12 months. 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.

Price segments

In the last 12 months 2,190 flats (existing stock) and 350 apartments from new building projects were offered on the Berlin real estate market.

Rent

At present the average offer rent in Schöneberg is about 13.30 EUR/m². This corresponds to a rent development of approx. 11.80 % compared with the same period of the previous year. 2,860 apartments were offered for rent in Schöneberg the last 12 months.

Rent index Schöneberg

Period Existing buildings Median Offer price Index (base 10 years = 100) New buildings Median Offer price Index (base 10 years = 100)
Today 13.30 EUR/m² - 16.30 EUR/m² -
1 Year 11.90 EUR/m² 11.80 % 14.60 EUR/m² 11.40 %
3 Years 10.10 EUR/m² 31.60 % 11.50 EUR/m² 41.50 %
5 Years 9.45 EUR/m² 40.90 % 9.80 EUR/m² 66.40 %

Snapshot

The Bubble Chart shows the supply situation of the past 12 months on the rental market in Schöneberg. 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. The market for rental apartments covers all sizes, year of construction classes and price segments. Apartments in old buildings and properties built between 1950 and 1978 dominate the market. 

Rent segments

Development of the housing supply (existing apartments, rent) in Schöneberg. The chart shows price increases and price segment shifts over the 10-year period. 

Apartment buildings

Of the total number of buildings in Schöneberg, almost 2,000 are owned by WEGs (Gemeinschaft von Wohnungseigentümern/-innen), another 2,200 are owned undivided by private individuals and around 520 apartment buildings belong to the district, municipal housing companies, the federal government or the state of Berlin. The average price per square metre of residential buildings (multi-family houses) in Schöneberg is currently around 3,920 EUR/m². The prices are differentiating less than before across year of construction classes, but increasingly across the location within or outside the milieu protection. The number of apartment buildings on offer is declining. Price pressure continues to increase due to the introduction of new milieu protection areas and the application of the Conversion Ordinance (Umwandlungsungsverordnung). While the conversions are declining in the social milieu protection areas, the numbers are rising in the neighbouring quarters. 

Construction era Simple to medium locations Medium to good locations
1900 - 1949 1,550 - 2,050 EUR/m² 2,000 - 3,150 EUR/m²
1950 - 1978 1,350 - 1,850 EUR/m² 1,750 - 2,550 EUR/m²
1979 - 2000 1,450 - 1,950 EUR/m² 1,850 - 2,750 EUR/m²
since 2001 1,650 - 2,250 EUR/m² 2,350 - 3,500 EUR/m²
Source: IVD Immobilienpreisservice 2018/2019

Milieu protection

Im Bezirk Schöneberg bestehen seit 2014 sieben Erhaltungsgebiete nach §172 Abs. 1 Satz 1 Nr. 2 BauGB. Die Milieuschutzgebiete erstrecken sich über etwa 412,6 ha, dies entspricht etwa 33,55 % des gesamten Bezirks Schöneberg.

Milieu protection area In force since Area in ha Extended Last update
Barbarossaplatz/Bayrischer Platz 2014 72.3 - -
Kaiser-Wilhelm-Platz 2014 19.8 2016 -
Bautzener Strasse 2014 18.5 - -
Schöneberger Insel 2015 34.2 - -
Schöneberger Süden 2018 106.4 - -
Schöneberger Norden 2018 112.8 - -
Grazer Platz 2018 48.1 - -

Dem Bezirk wurde nach der Festsetzung des Milieuschutzgebietes Schöneberger Norden im März 2018 empfohlen das Gebiet um mehrere Blöcke zu erweitern. Aus den vertiefenden Untersuchungen ging hervor, dass auch bei diesen Blöcken die Voraussetzungen für den Erlass einer sozialen Erhaltungsverordnung vorliegen.

Please see the GUTHMANN milieu protection map for details.

General background

Even though Schöneberg seems at first glance to be a largely regulated district, the general conditions for ownership are good. Schöneberg is structurally heterogeneous. The residential areas are medium to good. Continuous population growth, a high international share of the population, interesting neighbourhoods, sought-after and expensive inner city locations and, last but not least, a very high density characterise the district. The population is approx. 156,000 persons (2017). With an average household size of 1.68 persons, approx. 92,900 apartments would be necessary to cover the current demand. However, the housing stock amounts to only 80,900 units. In arithmetic terms, the deficit is therefore around 12,000 apartments. In this context, the district's greatest challenge is its low land resource for further densification. At present, only one project at Schöneberger Linse with approx. 1,000 apartments is planned for Schöneberg.

Migration

The population in Berlin-Schöneberg is growing mainly from international influx. The ranking of states is currently led by immigrants from the USA. In comparison with the other Berlin districts, the population in Schöneberg is making evasive movements. Migration movements in the time series from 2013 to 2017 show a negative balance. Most of the migrations took place to Steglitz, Wilmersdorf and Tempelhof, followed by Neukölln and Charlottenburg.

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

Trend

Schöneberg forms the city centre area of the Tempelhof-Schöneberg district. Both areas have little in common. The price structure in Schöneberg begins more or less where rents and purchase prices stop in Tempelhof. The closer to the city, the higher the prices. There seems to be no connection between purchasing power and rent, because the average purchasing power in Tempelhof is higher than in Schöneberg. A decisive factor is the high proportion of international and young people who are willing and able to afford an apartment in Schöneberg. The district is also characterised by the very high proportion of condominiums for Berlin. In the annual report on the transformation ordinance of the Senate for Urban Development, Tempelhof-Schöneberg is in second place for the number of transformations since 1950. The introduction of milieu protection areas and the application of the conversion ordinance (Umwandlungsverordnung) have a dampening effect on the number of transformations, but not on purchase prices and rents. Many buyers of apartment buildings are shifting their investment strategies from buy-and-sell to buy-and-hold. The price-dampening effect of milieu protection areas on the housing market is being counterbalanced by the tightening supply situation. In addition, the dense architecture in Schöneberg leaves little room for new building projects. The arithmetical housing deficit is between 15 and 20 percent of the housing stock in almost all of Schöneberg's neighbourhoods. At Bayerischer Platz and Wittenbergplatz/Viktoria-Luise-Platz the housing pressure is lowest. At the same time, rents are highest there. Central, international and highly dense locations in Schöneberg will also experience considerable increases in value in the coming years. 

This report was last updated in May 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.