Berlin is investing massively: 2.6 billion euros for affordable housing!

Berlin is investing massively: 2.6 billion euros for affordable housing!

There's a lot going on in the area of ​​housing construction in Berlin! On July 14, 2025, the current developments and plans of the state-owned housing associations were reported. There are proud investments totaling 2.6 billion euros on the agenda in 2025, which is a whopping 38 percent more than in the previous year. The companies Berlinovo, degewo, GESOBAU, Gewobag, HOWOGE, STADT UND LAND as well as WBM are more committed than ever to creating living space in the capital and at the same time keeping rents affordable, despite rising construction costs.

The new construction offensive is particularly impressive: between 2020 and 2024, 22,820 new apartments were completed and 3,971 new projects were started in 2024 alone - a size that corresponds to an entire medium-sized city. A further 5,681 groundbreakings are planned for 2025, with the aim of completing 4,705 apartments by the end of the year. These impressive figures make it clear how committed the city and its companies are to ensuring residential well-being in Berlin.

Strong numbers for the future

Not only are investments pointing upwards, but the vacancy rate also remains low at 2.1 percent. The average length of time spent living in the apartments has increased from 25 to an impressive 27 years. This speaks for the satisfaction of tenants and the desire to stay in their apartments. The rental prices are also still accessible: the average net rent in 2024 was 6.76 euros per square meter, which is 45 cents below the rent index.

• Geplante Investitionen 2025: 2,6 Milliarden Euro (38% Anstieg)
• Neubauinvestitionen 2025: 1,6 Milliarden Euro (470 Millionen Euro mehr)
• Instandhaltungs- und Modernisierungsprojekte: 465 Millionen Euro für Instandhaltungen, 243 Millionen Euro für Modernisierungen

As Kai Wegner, the Governing Mayor of Berlin, emphasizes, economically strong companies are essential to mastering future challenges in urban development. And the two senators for urban development and the environment, Christian Gaebler and Ute Bonde, also advocate a strong commitment by the state's own companies with regard to climate and environmental protection as well as social infrastructure. Here we don't just make nice calculations, we actually work on a livable Berlin.

A look into the future

With big plans in hand, the state-owned housing associations strive to continue to create affordable housing for all citizens. At a time when many cities are suffering from rising rent prices, Berlin is showing that things are going in the right direction - with a clear focus on sustainability and social progress. Further information about the state-owned companies can be found at Live in Berlin.

Stay tuned – it will be exciting to see how the plans develop and what new residential projects are still waiting for us!