Briefing note

Berlin - a hotspot for TMT start-ups

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TMT is one of the main economic sectors in Berlin, with 5,800 businesses registered in the city, employing about 83,000 workers and generating an annual turnover of €10bn.

Within TMT, there is a buzzing start up scene, which has been named among the top 20 hubs globally and is forecast to grow a further 5% by 2018.

One of the major obstacles so far has been the patchy funding infrastructure and the lack of venture capital, which is gradually improving.

Start ups have increased their take up from 22.2% in 2010 to 54.8% in 2012 within the TMT sector. They mainly cluster around northern Mitte, Prenzlauer Berg and northern Kreuzberg, and pay on average €142 per sq m/year with lease length at 3.1 years.

Landlords and developers are to benefit from this increasing demand if they acknowledge the specific requirements of young TMT businesses. They are looking for small scale but central accomodation with a high technology fit out and flexible lease terms.

Source : Savills

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Mots-clés : Savills

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