Berlin’s Public Housing Firms Lead the Fight Against Rising Rents

Decades of privatization left Berlin’s housing market broken. Now, public firms are rebuilding social balance—one affordable apartment at a time.

, and Administrator

2025 December 15 . 11:07 PM

1 min read

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Berlin’s Public Housing Firms Lead the Fight Against Rising Rents

Berlin is turning to its six city-owned housing companies to tackle the housing crisis. These firms now manage around 360,000 apartments, playing a vital role in keeping rents affordable. After decades of privatisation, the city is relying on them to restore social balance in housing.

The six providers—DEGEWO, GESOBAU, Gewobag, HOWOGE, STADT UND LAND, and WBM—have become central to Berlin’s housing strategy. Some, like Beamten-Wohnungs-Verein (BWV), date back to 1900, while others, such as WBG Zentrum and NEUES BERLIN, were founded in the 1950s. Together, they are working to reverse years of decline in social housing.

Between 2017 and 2023, Berlin and Brandenburg lost over 46,000 social housing units. To counter this, the city needs around 236,000 new units by 2030. These companies are stepping up: in 2023, they invested €1.7 billion in construction and modernisation, with plans to spend over €2.3 billion in 2024.

Their approach focuses on social diversity. In new developments, at least 50% of apartments are reserved as social housing. Even for relet units, rents average around €7.65 per square metre—far below market rates. Existing tenants pay even less, with an average of €6.46 per square metre.

One key effort involves reclaiming lost social housing. Projects along Karl-Marx-Allee show how the city is bringing back affordable homes in high-demand areas.

With rents rising and demand growing, Berlin’s municipal housing companies are expanding their role. Their investments and focus on social housing aim to prevent displacement and gentrification. The goal is clear: stabilise the market and ensure long-term affordability for residents.