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The Berlin housing crisis is very much happening almost everywhere. City-wide average rents increased 45% between 2009-2015. Rents doubled in some districts in
by uhnuhnuhn 8y ago
The Berlin housing crisis is very much happening almost everywhere. City-wide average rents increased 45% between 2009-2015. Rents doubled in some districts in that timeframe and even in the least affected areas (Marzahn and Spandau) rents increased by more than 30%.
- aestetix 8y agoI'd argue that's a reflection on what I said before (prices normalizing from dirt-cheap). I do not consider these numbers a crisis at all. Here is an example of why the Bay Area is in a crisis: https://abcnews.go.com/US/san-francisco-resident-fights-sudden-rent-hike-400/story?id=40158270 https://abcnews.go.com/US/san-francisco-resident-fights-sudd... A San Francisco man had his rent increased from $1800 a month to $8000 a month. True, it is one of the more extreme examples, but this is what I would call a crisis. Can you show me examples like this from Berlin?
- jpla 8y agoThe situation are a bit different though. The Bay Area is competitive despite its housing market, while Berlin to a large extent is competitive because of its housing market. If rents become similar to other major European cities Berlin will lose a lot of its appeal and potential compared to those other cities.
- jpatokal 8y agoSilicon Valley became what it is today because there was cheap industrial land for chip fabs and random startups.
- jpla 8y agoDebatable. As far as I know it wasn't really until around 2000 that Silicon Valley became dominate enough to really set it apart from other regional technology centers like Dallas, Boston or Pittsburgh. In any case that doesn't really help Berlin if it takes, say, five years for its housing market to catch up to its European neighbors.
- evanlivingston 8y agoWhat? You're overlooking an enormous number of factors. If it's cheap industrial land alone that made Silicon Valley how did Texas, Nevada, The Midwest and other places miss out on a tech business boom?
- wbl 8y agoTexas has TI which is a big tech firm.
- ido 8y ago45% in 6 years is 6.21% compound per year, which is not unusually high for that time scale for an attractive large city.
- kayoone 8y agobut rent was also dirt cheap in 2000-2010, so its more moving towards the average in other big german cities now.