Government Policy, the Local State, and Gentrification: The Case of Prenzlauer Berg (Berlin), Germany

Abstract

Since reunification, Berlin planners have sought to find a niche for a postindustrial New Berlin integrated into Europe. While great scholarly attention has focused on the grand projects that have dominated the reconstruction of the city's government and downtown commercial districts, only lesser attention has been paid to the city's housing and social policies. This article seeks to identify the extent to which Berlin planners have permitted unabated market-led redevelopment to proceed and to what extent local policy has sought more balanced redevelopment and the ''European city'' ideal. The article looks at gentrifying Prenzlauer Berg, in eastern Berlin, to assess the extent to which public policy measures can be expected to constrain and temper, and not just promote, gentrification. The role played by community development organizations in mediating development is observed. The impact of the city's fiscal crisis and slack housing market are also noted.

Regeneration of the Historical Urban Center and Changing Housing Market Dynamics: ‘Fener-Balat’

“…Secondly, the social structure in these areas has undergone a sharp change. Finally, more research that is academic has been conducted to analyze the residential characteristics in the gentrification processes, especially to investigate the social impacts of these processes on the socio-economic structure (Atkinson, 2000;Milanovich, 2001;Dutton, 2003;Levine, 2004). The transformation of historical centers constitutes a special case within the gentrification studies.…”

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“…At the same time, those who opposed the GDR ideology moved into the neglected and ignored neighbourhood and squatted in the vacant houses. Prenzlauer Berg turned into an enclave of dissidents, activists, students, writers, and artists (Huron, 2002;Levine, 2004). After the fall of the wall, Prenzlauer Berg continued to attract artists and began to attract other creative entrepreneurs and, shortly afterwards, foreign investors.…”

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“…where institutional deprived neighborhood's development projects like 'Social City' were created having in mind and considering the multiple voices of local residents' ideas and opinions (see Levine, 2004). Although a lot of criticism to this project has already been made (Marcuse, 2006), it is still a good example of an attempt of institutional planning to experiment with the neighborhood planning including local residents into the planning practice.…”