Why Premium Green Design Is a Strategic Advantage in Berlin’s Office Market

Berlin’s Office Market Is Splitting in Two. Premium Spaces Keep Winning, and Green Design Helps You Get There

Berlin’s office rental market is sending a clear signal: premium, high-quality space is still achieving rent growth, while the wider market is facing softer demand, higher vacancy, and declining average rents.¹

Prime rent now sits at €45.00 per sq m per month, while the weighted average rent has fallen to €26.11 per sq m per month, down 7% year-over-year

If you are a landlord, asset manager, or coworking operator, this is both a warning and an opportunity. The market is not down across the board. It is rewarding buildings that feel modern, healthy, and easy to say yes to.¹

(in €/sq m/month) Source: CBRE Berlin Office Market Q3 2025 https://www.cbre.de/en-gb/insights/figures/berlin-office-market-q3-2025

1. What the Latest Market Data Is Really Telling Owners

Take-up is down, vacancy is up, and deal sizes are shrinking

Berlin office take-up reached 390,300 sq m in the first three quarters of 2025, which is 16% below the same period last year. Vacancy has risen to 7.5%, up 1.5 percentage points year-over-year

At the same time, demand is shifting toward smaller spaces. The average deal size has fallen to around 600 sq m, compared with nearly 1,000 sq m in previous years.¹

[Image Placeholder: Berlin office take-up and vacancy trend]

Prime rent is rising while average rent is falling

Prime rents increased by €0.50 per sq m per month quarter-over-quarter, reaching €45.00 per sq m per month, while the weighted average rent declined to €26.11 per sq m per month

This widening gap reflects a clear flight to quality. Tenants are choosing fewer spaces, but they are paying more for the ones that feel right.¹

2. The Practical Problem: Many Offices Feel the Same on a Tour

When a prospective tenant tours three to six offices in a single week, the decision often comes down to which space feels premium and which one feels simply acceptable.

In a tenant-driven market, acceptable becomes expensive. Market analysis shows increasing pressure on landlords to modernize and reposition assets as tenant expectations rise.¹

3. Why Biophilic Design Helps Premium Space Win More Deals

Natural design elements influence leasing outcomes

Biophilic design, meaning the integration of plants and natural elements into office interiors, has been consistently linked to stronger commercial performance.

Published research summaries indicate that offices featuring living walls or indoor gardens can command rental premiums of 5–10% compared to traditional office environments.²

Additional analysis references data showing 16% lower tenant turnover and leasing cycles that are approximately 3.5 weeks shorter in biophilic office buildings.²

Other industry research suggests buildings with strong natural design elements achieve rental and sales premiums of 4–7%

Why this matters in Berlin right now

Market forecasts indicate that total office take-up in 2025 is expected to remain below prior years, reinforcing pressure on landlords to actively differentiate and reposition their spaces.¹

If premium offices can still raise rents while averages fall, the most reliable strategy is to make your space feel premium. Biophilic design is one of the fastest and most visible upgrades available without major construction.¹

4. The Landlord Playbook: Three Numbers That Matter

  • A. Achievable rent per sq m

  • Research summaries indicate 5–10% rental premiums for offices with living walls or indoor gardens in comparable markets.²

  • B. Vacancy and leasing speed

  • With Berlin’s vacancy rate at 7.5%, faster leasing becomes a meaningful advantage.¹
    Biophilic spaces have been shown to shorten leasing cycles by around 3.5 weeks

  • C. Tenant churn

For coworking and multi-tenant buildings, retention is critical. Cited research shows 16% lower tenant turnover in offices with strong biophilic elements.²

5. What Premium Plant Design Looks Like in Practice

Lobby and arrival moments

Statement planting in reception areas creates a strong first impression and sets the tone for the entire building.

Meeting rooms and collaboration zones

Plants soften corporate spaces and make shared areas feel more human, which directly impacts how tenants and employees experience the office.

Low-light and transitional areas

Hallways and interior zones can become design features with the right plant selection and professional maintenance.

6. How Plant Circle Helps Landlords and Operators Win

Market analysis highlights growing pressure on landlords to modernize office buildings in order to stay competitive in a tenant-driven market.¹

Plant Circle for Business helps landlords, coworking operators, and office tenants respond to that pressure with high-impact plant design that tenants notice immediately.

We provide:

  • Design-led plant concepts tailored to your building and tenant mix

  • Professional installation with immediate visual impact

  • Ongoing maintenance so spaces stay premium year-round

  • Seasonal refreshes to keep interiors looking intentional

If prime rents are rising while average rents fall, the goal is to move your space closer to “prime” in the eyes of a tenant. Thoughtful greenery is one of the fastest ways to do that.¹

7. Final Thought: Premium Wins, and You Can Build Premium Without Renovation

Prime office rents in Berlin have risen to €45.00 per sq m per month, while weighted average rents have fallen to €26.11 per sq m per month, down 7% year-over-year

As competition for tenants intensifies, spaces that feel healthier, more modern, and more cared for continue to outperform. Research consistently shows measurable upside in rent levels, leasing speed, and tenant retention for offices that invest in biophilic design.²

Want to see what this could look like in your building?
We can propose a concept for your lobby and shared spaces, then scale it once you see the impact on tours and tenant feedback.

Sources

  1. CBRE, Berlin Office Market Q3 2025
    https://www.cbre.de/en-gb/insights/figures/berlin-office-market-q3-2025

  2. The RealVal, Biophilic Design: How Living Walls and Natural Elements Are Boosting Commercial Property Values
    https://www.therealval.com/blog/biophilic-design-how-living-walls-and-natural-elements-are-boosting-commercial-property-values

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