Tracking Growth Since 2000
Economy / Finance

Tracking Growth Since 2000

Germany has witnessed the emergence of 309 new urban districts since 2000, extending to the end of 2024, collectively providing approximately 239,000 new housing units. This finding emerges from a recent study conducted by the Federal Institute for Building, Urban and Spatial Research (BBSR), as reported by the Tagesspiegel. The BBSR defines a new urban district as a newly developed area containing at least 500 housing units, a population of 1,000 residents, or an area of 10 hectares.

Averaging between 2010 and present, these new districts have comprised around 920 housing units spread across 38 hectares. The majority of these developments are concentrated in larger cities and university towns, not on previously undeveloped land, but on brownfield sites and areas undergoing redevelopment – encompassing former military bases, industrial zones and commercial areas.

“For a long time, there was a perception that Germany’s building was complete. However, this is not the case; we are acutely aware of a shortage of housing” stated Housing Minister Verena Hubertz.

Franziska Bensch, a housing market researcher at the BBSR, emphasizes the continuing significance of these new districts. “New urban districts are a cornerstone of housing development in Germany” she stated. “They address the pressing need for housing, reinforce urban structure and enable greater sustainability through the repurposing of existing sites.

Numerous further urban districts are currently in the planning stages. As of May 2025, the BBSR estimates that approximately 220 districts, encompassing 285,000 housing units, are under construction nationwide, while another 189 districts, capable of housing around 210,000 residents, are in the planning phase. Future development may also see a relaxation of building regulations, potentially allowing construction on previously undeveloped land more readily. A proposed initiative, dubbed the “Building Acceleration” aims to enable municipalities to approve new building areas under specific conditions even without detailed development plans.

Minister Hubertz underscored that addressing the housing shortage does not necessitate solely building new areas on greenfield sites. “I see considerable potential for new housing within cities” she said, citing opportunities for converting disused department stores and commercial properties into residential units. The BBSR’s findings highlight the potential of brownfield sites and redevelopment areas for building new residential areas and urban districts.