Booming berlin set to dominate european investment

The booming city of Berlin is set to dominate the European property investment scene in the coming year.

Berlin's population was expected to swell by 250,000 people between 2011 and 2030. Now, city planners believe that number will be added by 2019. In 2014 alone, the population grew by 44,700.

City development senator Andreas Geisel has described this rocketing growth as “a great blessing” but it has also put pressure on infrastructure, with the need for housing increasingly sharply as a result.

For owners of residential property in Berlin, the city's newfound popularity has led to some interesting developments. CBRE'sGlobal living: A city by city guide reports that average values for apartment buildings have risen by 21 per cent in a single year. Rents have also shot up, by 5.7 per cent over the past year (compared with 3.6 per cent nationally).

Ray Withers, CEO of specialist property investment company Property Frontiers, which is offering high specification buy-to-let apartments in the city at Stadtpark Steglitz from €153,670, comments: "We're seeing some rapid shifts in Berlin's property market after almost two decades of very little activity. It's an exciting time to be part of the market there and property investors around the world are looking to Berlin as one of Europe's top residential real estate investment destinations. Berlin looks set to be one of Europe's most dominant cities during 2016 so far as residential investment is concerned."