Liegenschaftsfonds Berlin finalized sales of properties valued at €107.5 million in total during the first half of 2007. This represents an increase of roughly €41.8 million compared with the preceding year. The properties sold have a total area of 1,010,138 m²; this compares with 699,957 m² sold in the previous year.
"This year we have generated higher revenues with fewer contracts than last year," says Holger Lippmann, Managing Director of Liegenschaftsfonds Berlin. "One reason for this is that we were able to sell very attractive properties in the first six months; another factor is that real estate prices have increased significantly. Due to the healthy competition in the bidding process employed by Liegeschaftsfonds, we often achieved results that were considerably higher than our expectations. Thanks to these developments, we've been able to transfer €157.1 million to Berlin's state coffer €87 million more than last year."
The recent sale of three former retirement homes in Berlin's central district Mitte contributed to the positive outcome in the first six months of this year. They were acquired through Akelius GmbH, the German subsidiary of the largest Swedish private residence enterprise Akelius Fastigheter AB.
"With excellent infrastructure, low rents and potential that is a long way from being fully exploited, Berlin is a metropolitan area with excellent future prospects," says Lippmann. "It is the political, scientific and cultural capital of Germany and is widely considered one of the most interesting cities in Europe."
This was also reflected in the findings of a recent study by the opinion research institute 'Ears and Eyes' in Hamburg. The survey showed that Berlin is viewed as the most vibrant and creative city in Germany, and that its multicultural and cosmopolitan atmosphere is regarded as an important factor in that. "Berliners are considered tolerant and cool," says the research center.
Source: Liegenschaftsfonds Berlin