PRIMUS Acquires Another Plot for Rental Housing Development in Berlin

Berlin, December 19, 2024 – PRIMUS Immobilien AG, a leading project developer in Berlin, has acquired a plot at Blücherstraße 26B in Berlin-Kreuzberg for a rental housing development. The site currently hosts a nine-story residential building from 1965, which will undergo energy-efficient refurbishment. Additionally, four new buildings with up to six floors will complement the site. A preliminary building permit has already been granted, and sustainability certifications such as DGNB Gold and QNG Plus are being pursued for the new construction. The ground floors of the buildings will feature commercial spaces for retail or essential services. In total, the development will include approximately 320 residential units across 16,000 m² of gross floor area, with construction set to begin in Q1 2026.

“Looking at building permit approvals and completion figures is alarming – low construction activity in the residential sector, both nationwide and in the capital, is exacerbating the housing shortage, further widening the supply gap. That makes it all the more encouraging that we have once again succeeded in acquiring land for rental housing in Berlin, positioning ourselves as one of the few active players continuously contributing to rental housing development. We are also in concrete negotiations for two additional plots and aim to acquire them shortly,” says Sebastian Fischer, CEO of PRIMUS Immobilien AG.

Following acquisitions at Berliner Straße 100 in Berlin-Pankow and Kärntener Straße 21–23 in Berlin-Schöneberg, Blücherstraße 26B marks PRIMUS’ third purchase in 2024, totaling over 60,000 m² of gross floor area. Alongside its condominium developments (e.g., Knesebeckstraße 10) and commercial real estate projects (e.g., Lietzenburger Straße 76 and Greifswalder Straße 168), building a portfolio of modern, sustainable rental apartments is a key pillar of PRIMUS’ corporate strategy.

The company aims to develop a portfolio of 2,000 rental apartments and complete them by 2028, with a focus on central, urban locations with excellent public transport connections. Maintaining its high standards, PRIMUS is committed to architectural excellence and top-tier sustainability. At Berliner Straße, PRIMUS will begin construction in 2025 on approximately 291 rental apartments, featuring premium amenities such as fitness areas, co-working spaces, and a rooftop terrace for residents.

“We are seeing renewed demand and growing interest in residential real estate from institutional investors and family offices. At the same time, low construction activity is limiting supply amid increasing demand for high-quality residential products – and we aim to address this gap with our pipeline,” adds David Neuhoff, CFO of PRIMUS.

Paragonia Partners acted as the transaction advisor.