- 3 min read
- 19.02.2026
Neighborhood Report Schöneberg: Stability with room for development
High demand, limited new construction, stable factors—potential primarily in existing properties and mixed-use developments.
Schöneberg is one of the inner-city districts in the borough of Tempelhof-Schöneberg. Between City West, Potsdamer Platz, and Südkreuz, around 125,000 people live in an area of approximately 10.6 square kilometers, mainly in closed Wilhelminian-style perimeter block developments with typical Berlin courtyards. Larger contiguous areas of new construction are rare.
A diverse range of neighborhood characters come together here in a small space: the prestigious Bavarian Quarter with its spacious squares, the lively Winterfeldt and Akazienkiez neighborhoods, and the Rote Insel with its more mixed structure. Residential, retail, restaurant, and commercial uses are located close together. Larger open spaces such as Rudolph-Wilde-Park (formerly Stadtpark Schöneberg) and Natur-Park Südgelände create additional green space in this dense urban area.
This is how Schöneberg lives
Schöneberg is a stronghold for singles. Around 63 percent of households consist of one person, which is significantly above the city and national average. Two-person households make up a significantly smaller proportion at just under 23 percent, while larger households are in the minority.
The age structure is broad. The largest group is 30- to 50-year-olds, accounting for around 31 percent, followed by 50- to 65-year-olds. This supports a constant demand for housing across different stages of life. In terms of income, Schöneberg is slightly above the Berlin average.
Rents and market trends
Asking rents in Schöneberg have risen steadily since 2020 and are often above the level for the city as a whole. Temporary slowdowns did not result in any structural breaks.
The market for residential and commercial buildings in the district is also lively. Until 2021, purchase prices and factors rose significantly, reaching new highs during the boom phase. This was followed by a normalization and subsequent stabilization below the peak values. Schöneberg's small-scale structure leads to noticeably different demand situations within a few streets. Residential areas rely on classic rentals, while mixed-use sections generate additional commercial income.
General conditions in the neighborhood
Schöneberg has several protected areas, including Schöneberger Norden, Bayerischer Platz, and Kaiser-Wilhelm-Platz. Ongoing project developments are providing additional impetus: “Am Mühlenberg” with around 120 apartments and the SCHÖNEWERK quarter on Schöneberger Linse are examples of the further development of the location and underline the continuing demand for residential and mixed-use properties.
Outlook for 2026
In Schöneberg, demand for housing remains constant, driven by a high proportion of single-person households. The limited supply of new construction continues to characterize the existing building stock. The old building stock offers the opportunity to realize further increases in value through modernization. Mixed-use properties with flexible ground floor space can also tap into additional sources of income.
At the same time, the framework conditions are challenging. Regulatory requirements such as environmental protection, tenancy law, and licensing requirements limit the scope for modernization and conversion. Energy efficiency measures in particular are driving up renovation costs. In the case of commercial ground floor space, fluctuating demand and shorter contract terms are leading to higher fluctuation. In addition, stricter financing and ESG criteria are increasing the demands on planning and management.
Berlin is a city of many faces. Each district functions differently, with its own audience and its own residential and commercial structure. We make this diversity visible.
