
Renovation in Neukölln district of Berlin.Flickr/Alper Çuğun.Some rights reserved.Berlin has some of the fastest rising rents in Europe and a rapidly changing consumption infrastructure. Despite continuing regulations, such as a new rent cap law enforced in June this year and prohibition of luxury restorations in the relevant quarters, gentrification is taking its toll on the local population. Particularly low-income immigrants are adversely affected.
Generally speaking, in countries with strong welfare traditions such as Germany, the negative effects of gentrification are not easily detected. Often immediate displacement can be avoided through strict rent control. This year, in fact, Berlin was the first city in Germany to issue a rent cap law that forbids landlords from charging more than ten percent over the average local rent for new tenants. However, Berlin-based reporter Michael Scaturro in The Guardian has already noted that the law remains ambiguous, giving landlords the opportunity to make use of legal loopholes.
From my own field work in Berlin’s up-and-coming Reuterkiez neighborhood, located in the historical working-class and immigrant-heavy Neukölln borough, I can tell that landlords are eager to push low-income residents out of apartments and rent out to middle class newcomers and students who pay more due to flat sharing. Particularly immigrants are disadvantaged when it comes to defending themselves since they frequently lack language skills and know-how of the German legal system.