Berlin’s Economic Growth Comes with a Cost: Is the ‘Poor but Sexy’ Image Fading Away?
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In Berlin, the Art House Tacheles was once the hub of alternative art and culture, housed in a historic five-story building dating back to 1908. After the fall of the Berlin Wall, it was occupied by artists. However, in 2012, the building was sold to a New York investor, leading to the eviction of the artists and the transformation of the space into apartments, offices, stores, a supermarket, and a Swedish photography museum.

For longtime Berlin resident Oliver Putzbach, the change at Tacheles reflects a larger shift happening in the city. As Berlin's economy grows and attracts more investment, concerns arise among residents like Putzbach that the city is losing its unique and bohemian character that once earned it the reputation of being "poor but sexy."

Despite historically being poorer due to its divided past and costly reunification, Berlin has experienced rapid economic growth over the past decade, outperforming the overall economy of Germany. The city's economic output per capita has surpassed the national average, driven by factors like attracting young talent, becoming a hub for startups, and hosting major companies such as Tesla's gigafactory and the delayed but recently opened airport.

Berlin's distinct mix of culture, counter-culture, and history has also solidified its position as a top tourism destination in Europe, ranking third in overnight stays behind London and Paris.

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