Justice
Berlin Just Showed the World How to Keep Housing Affordable
Under a new plan, low-income tenants of public housing will pay less than a third of their income in rent.
Beginning January 1, many Berlin housing project residents can expect a cut in their rent. The cost of public housing in the city is just too high, the Berlin Senate ruled today, and from now on the rent tenants pay will be directly linked to how much they earn.
In a city with high numbers of public housing residents, the effect of the new rule could be striking. Of Berlin’s current 3.5 million residents, about 250,000 people live in housing projects, spread across some 125,000 apartments. The city also has 280,000 apartments owned by four state property companies that will likewise be subject to the new rules.