"We are moving from consolidation to controlled growth. This strategic land acquisition will allow Bonava, one of Berlin’s largest residential developers, to continue providing newly produced housing units for the city’s inhabitants while concurrently securing future business volumes", says Sabine Helterhoff, Business Unit President, Bonava Germany.

The investment, the scope of which includes several projects, marks the first collaboration between Bonava and local German banks for financing. It aligns with Bonava’s strategy to increase project financing and reduce central debt. This may potentially lower interest expenses as well as increase financial stability.

Bonava is planning this new residential area for a previously developed property in northeastern Berlin. The surrounding area has a distinctive natural environment, with proximity to green spaces. Services such as a preschool, school and grocery stores are directly adjacent to the property. A total of 450 housing units with various types of tenure are planned for the neighbourhood, where around half will be sold as rental apartments to investors and the remainder to consumers. 

There is a substantial need for newly produced housing units in Berlin. According to a long-term forecast from the Federal Institute for Research on Building, Urban Affairs and Spatial Development (BBSR), Berlin’s population is expected to grow up to 12.6 per cent by 2045. The city’s diversified business community with emerging sectors within tech, startups and services all benefit the city’s economic growth.