BBU: Vacancy rate of Berlin real estate at historical low.
According to the federation of the housing companies and housing cooperatives (BBU), the vacancy rate and fluctuation for Berlin real estate declined to a historical low. At the annual press conference the speaker of the association, Maren Kern, announced that the vacancy within the BBU member companies fell to 2.0 percent in 2013, representing now the lowest level since the beginning of evaluations in 1995.
In the same way as the vacancy rate is coming down, the fluctuation is continuing to decline. Especially within the inner circle of Berlin the relocation quota is less than 5 percent.
Most remarkable is the fact that some of the formerly not so popular districts such as Marzahn-Hellersdorf are showing clear signs of recuperation. The vacancy rate in Hellersdorf was stated with approximately 1.6 percent. This corresponds to the level in Kreuzberg, one of Berlins most demanded areas. Despite the declining vacancy quota, the rent development is moving at a moderate level, following BBU Board, Maren Kern. The average net rent increase for Berlin real estate holdings within the BBU member companies rose from 2012 to 2013 by only 2.7 percent to 5.28 euros per square meter per month (net cold). The construction of 18,000 new rental housings is on the agenda until 2020 corresponding to an increase of 160 percent in 2013.
Around 1,300 new apartments have been launched; in 2014 the number will be doubled with the construction of another 1,500 homes. Maren Kern critizised the general mind-set in Berlin in terms of acceptance for new constructions: "Everybody wants new homes, but no one wants them in the neighborhood," said Mrs. Kern. A BBU internal survey shows, however, that most tenants in Berlin are positive against concrete construction projects. Waiting lists usually are full before projects are even started.