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Post-socialist gentrifications: similar, but different

Author: Bernt, Matthias,Ogrododwczyk, Agnieszka
Publisher: Chichester, UK: John Wiley & Sons, Ltd,Chichester, UK: John Wiley & Sons, Ltd
Year: 2025
DOI: 10.1111/1468-2427.13321
Source: https://www.econstor.eu/bitstream/10419/323884/1/IJUR_IJUR13321.pdf
Be n , Ma hias; Og ododwczyk, Agnieszka
A icle — Published Ve sion
Pos -socialis gen i ica ions: simila , bu di e en
In e na ional Jou nal o U ban and Regional Resea ch
P o ided in Coope a ion wi h:
John Wiley & Sons
Sugges ed Ci a ion: Be n , Ma hias; Og ododwczyk, Agnieszka (2025) : Pos -socialis gen i ica ions:
simila , bu di e en , In e na ional Jou nal o U ban and Regional Resea ch, ISSN 1468-2427, John
Wiley & Sons, L d, Chiches e , UK, Vol. 49, Iss. 3, pp. 531-551,
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INTERNATIONAL JOURNAL OF URBAN AND REGIONAL RESEARCH
DOI:10.1111/1468-2427.13321
531
— POST- SOCIALIST GENTRIFICATIONS: Simila ,
bu Di e en
Ma hiasBe n and agnieszkaOg OdOdwczyk
Abs ac
Con a y o he expec a ions many u ban schola s had a e he end o socialism, i
has aken almos hi y yea s o gen i ica ion o become a signi ican u ban de elopmen
end in Cen al and Eas e n Eu ope. The eason o his delay is ha he e a e massi e
‘commodi ica ion gaps’
—
ins i u ional ba ie s o he alo iza ion o land and housing
—
which could only be o e come wi h g ea di icul ies. In his a icle, which is based
on an empi ical s udy o gen i ica ion in wo second- ie ci ies in Eas Ge many and
Poland, we pick up on his issue and ocus on policies ha ha e a ec ed he likelihood
o gen i ica ion. We compa e wo di e en ajec o ies o pos - socialis gen i ica ion,
inding ha he cou se o gen i ica ion has been deeply embedded in o he dissimila
poli ical- economic amewo k o ansi ion in Eas Ge many and Poland. This has led o
conside able di e ences in he iming and geog aphy o upg ading and displacemen . We
dis ance ou sel es om ‘di usionis ’ iews, which po ay gen i ica ion as a gene alizable
end in which pos - socialis ci ies a e ‘la ecome s’, based on a model ha has been
pionee ed in Wes e n ci ies and emphasizes he speci ici y o gen i ica ions as well as hei
embeddedness in na ional, egional and local poli ical en i onmen s.
In oduc ion
Gen i ica ion, ini ially epo ed in he 1960s in London (Glass,1964), has
unde gone signi ican geog aphical expansion o e subsequen decades. Concu en ly i
has di e si ied, leading o he eme gence o a ious o ms o gen i ica ion.1 The pos -
socialis wo ld, speci ically coun ies behind he o me ‘I on Cu ain’, as iewed om he
Wes , holds a unique posi ion in his con ex . The Cen al and Eas e n Eu opean (CEE)
coun ies, o en associa ed wi h his egion, ha e been ‘la ecome s’ in e ms o gen i ica ion.
Al hough signs o u ban upg ading and displacemen ha e been e iden since he ea ly
1990s and conside able esea ch has documen ed his change (see, e.g. Hegedüs and
Tosics,1991; Sýko a,1993; Tosics,1994; Ruoppila and Käh ik,2003; S andl and
K upickai e,2004; Badyina and Golubchiko ,2005; Be n and Holm,2005; Sýko a,2005;
B ade e al.,2009; Ko ács,2009; Cook,2010; Ko ács e al.,2013; Axeno ,2014; Haase and
Rink,2015; Holm e al.,2015, Ko ács e al.,2015; Gó czyńska,2017a; 2017b), he o e all
ex en o gen i ica ion has been ela i ely limi ed. I is only ecen ly ha u ban enewal
has in ensi ied signi ican ly in many inne ci ies. Mos esea ch on gen i ica ion in his
con ex has been based on indi idual s udies conduc ed in di e se se ings and a a ious
imes. The e ha e been e y ew collec ions o a icles (see, e.g. Be n e al.,2015). The only
s udy o e ing a mo e sys ema ic examina ion is a li e a u e e iew by Kubeš and
Ko ács(2020), which consolida es indings om p e ious s udies on he p econdi ions,
ac o s and ypes o gen i ica ion iden i ied in he CEE egion. The au ho s iden i y 16
p e equisi es o he g ow h o gen i ica ion, 11 ypes o gen i ica ion and nume ous ac o s
1 We ollow he a gumen made by Lees e al. (2016) and e e o a plu ali y o gen i ica ions a he han a
homogeneous p ocess emphasizing he e ogenei y.
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BERNT AND OGRODODWCZYK 532
ac oss di e en case s udies.2 In essence, while gen i ica ion in pos - socialis coun ies
sha es some simila i ies, i also exhibi s signi ican a ia ion. Kubeš and Ko ács (ibid.: 2604)
desc ibe his phenomenon as a ‘kaleidoscope’, highligh ing he need o mo e empi ical
analyses wi h a compa a i e pe spec i e.
Howe e , in a- pos - socialis compa isons ha e hus a emained ai ly limi ed.
A icles on pos - socialis gen i ica ion o en include implici compa isons, such as
when desc ibing he slow pace o spa ial pa e ns o gen i ica ion in a speci ic loca ion
o analyse di e en empo al dynamics o discussing he impac o o eign in es o s.
Typically, hese compa isons a e di ec ed owa ds an imagined ‘Wes e n’ no m. Ra ely a e
compa isons made be ween di e en pos - socialis gen i ica ion p ocesses (excep ions
include Holm e al.,2015; Be n ,2016; 2022), and when such compa isons a e made, he
ocus is o en on emphasizing di e ences. In ligh o his s a e o esea ch, he call o mo e
compa a i e s udies by Kubeš and Ko ács(2020) is bo h imely and necessa y.
Howe e , how can meaning ul compa isons be achie ed? How can we ind a way
o compa ing ha goes beyond me ely lis ing simila i ies and di e ences o make sense o
he mul iplici y o u ban eali ies documen ed in empi ical s udies? The issue is no so
much a lack o empi ical knowledge
—
nume ous s udies ha e al eady been conduc ed (as
no ed abo e)
—
bu a he he absence o an adequa e concep ual amewo k o making
compa isons. In his espec , esea ch on ‘pos - socialis ’ gen i ica ions has p edominan ly
ollowed one o wo pa hs. I ei he analyses gen i ica ion as a eplica ion o Wes e n
models wi h speci ic nuances (see, e.g. S andl and K upickai e,2004; Be n and Holm,2005;
Sýko a,2005; Ko ács e al.,2013), which calls o mo e a en ion o ‘con ex ’, o i
emphasizes de elopmen s dissimila o Wes e n gen i ica ion amewo ks (Gen ile,2018;
Ol e al.,2024) o ejec he gen i ica ion lens en i ely.3 The i s app oach isks eplica ing
seemingly uni e sally alid ca ego iza ions, he eby neglec ing he speci ici ies o pos -
socialis gen i ica ion. The second app oach ends owa ds ‘ hick’ desc ip ions o singula
cases, whose alidi y may be ques ionable beyond he speci ic con ex analysed.
Agains his backg ound, in his a icle we p o ide a compa a i e s udy o
gen i ica ion in wo inne - ci y neighbou hoods in Eas Ge many and Poland. The aim is
o ad ance esea ch on pos - socialis gen i ica ion beyond me e compa ison o Wes e n
models. In doing so, we hope o con ibu e o a be e unde s anding o he simila i ies
among pos - socialis gen i ica ions and o g asp he di e ences be ween hem. We
add ess wo esea ch gaps. Fi s , we analyse he di e ences be ween wo pos - socialis
gen i ica ions using a common amewo k ha cen es on he ins i u ional en i onmen
o ein es men , displacemen and gen i ica ion. Me hodologically, we aim a a a ia ion-
inding compa ison wi hin a se o cases commonly labelled ‘pos - socialis ’, deduc i ely
using a pa icula concep ual amewo k. This enables us o be e iden i y he causes
behind obse ed di e ences and o analyse how gen i ica ion is embedded in di e en
pos - socialis ajec o ies (see Be n and Volkmann,2024). Secondly, we place pa icula
emphasis on he di e en oles o he s a e. Ra he han conduc ing a ca ch- all compa ison
ha ies o include a la ge a ie y o empi ical phenomena in an induc i e way, we ocus
on analysing how gen i ica ion is embedded in di e en ins i u ional en i onmen s. We
a gue ha his app oach acili a es connec ing he empi ical indings o a speci ic se o
heo ies
—
in ou case, supply- side explana ions (Smi h,1979) and hei ins i u ionalis
modi ica ions (Be n ,2022)
—
and being mo e speci ic abou he obse ed di e ences.
2 While we acknowledge he me i s o his li e a u e e iew, i is e iden ha i allows o limi ed compa ison. This
limi a ion a ises pa ly because di e en s ands o Wes e n gen i ica ion li e a u e ha e been adap ed in he
s udies e iewed and pa ly because o he di e ences in he ime ames analysed and he me hodologies used.
3 The deba e hus widely ollows he schism be ween pos colonial and Ma xis adi ions in u ban s udies (see also
Be n ,2016; 2022). An inc easing numbe o schola s ejec gen i ica ion as an o e s e ched ‘No he n’ concep
(Ghe ne ,2015; Sma and Sma ,2017; Tang,2017; Schmid e al.,2018), while o he s a gue o sus aining he
concep bu applying i mo e lexibly (Lees e al., 2015; 2016; Shin and López- Mo ales, 2018; Ge lo s and
López- Mo ales,2023).
533POST- SOCIALIST GENTRIFICATIONS
Theo e ical o ien a ion
Ou amewo k includes wo undamen al concep ual dema ca ions: i s , we
obse e gen i ica ion as a p ocess o ein es men in o he buil en i onmen . In his
iew, gen i ica ion occu s when ‘ en gaps’ (gaps be ween he po en ial g ound en and
he capi alized g ound en ) a e closed. Ren gaps and ein es men o m he economic
basis o p o iding a decision- making en i onmen in which he agen s o gen i ica ion
(homeowne s, landlo ds, gen i ie s) ope a e. Howe e , he ope a ion o en gaps is no
au oma ic; social, cul u al and economic con ex s can al e , modi y, os e o p e en
how ein es men p oceeds. Ren gaps a e hus a sine qua non o gen i ica ion, bu
hey do no au oma ically lead o i s ealiza ion. E en when en gaps a e closed, he
ways in which gen i ica ion ope a es can a y signi ican ly.
Secondly, we asse ha ins i u ions play a pi o al ole in he p ocess o
gen i ica ion, pa icula ly wi hin he s a e–ma ke nexus. We add ess his by employing
he concep o ‘commodi ica ion gaps’, as de eloped by Be n (2022) in a compa a i e
s udy. The commodi ica ion gap is de ined as ‘ he dispa i y be ween he po en ial g ound
en le el which can be achie ed o a piece o land when i is ully commodi ied and he
ac ual g ound en capi alized when i is de- commodi ied, pa ly de- commodi ied o
non- commodi ied’ (ibid.: 52). In his iew, ‘I is only when his gap is closed ha
in es men in o housing becomes a iable op ion and gen i ica ion is se in o wo k’
(ibid.). Pu di e en ly, gen i ica ion needs o be enabled by public policies, and he way
his is done is by abolishing, li ing o bypassing ins ances o de- o non- commodi ica ion
(i.e. non- commodi ied land, social housing, en egula ions), which p e en he
exploi a ion o land a he le el o i s ‘highes and bes use’.4
While he concep o commodi ica ion gaps has po en ially a - eaching
implica ions o he s udy o gen i ica ion, i has only been applied in one s udy on
gen i ica ion in London, Be lin and S . Pe e sbu g (Be n ,2022). In his s udy,
Be n iden i ied 12 dis inc commodi ica ion gaps ha ha e in luenced he cou se o
gen i ica ion in he h ee neighbou hoods examined. This ela i ely la ge numbe o
speci ic commodi ica ion gaps could be p oblema ic, as including mo e cases migh esul
in a p oli e a ion o commodi ica ion gaps, leading o an endless numbe o place- speci ic
gaps (see Wyly,2024). To ci cum en his issue, Be n sugges s ha he commodi ica ion
gap should no be unde s ood as a ca alogue o ac ually exis ing and obse able objec s
bu a he as a pe spec i e ha enables an analysis o he economic de e mina ions o
gen i ica ion alongside i s poli ical, con ex - speci ic condi ions (Be n ,2024).
We ind he concep o commodi ica ion gaps pa icula ly well sui ed o he
compa ison o pos - socialis gen i ica ions. This is because land unde socialism
was la gely no a commodi y. The commodi ica ion o land and he es ablishmen o
p i a e p ope y we e essen ial condi ions o gen i ica ion, which would ha e been
impossible wi hou hese changes. The ansi ion om socialism o capi alism can hus
be unde s ood as a uni e sal mo e owa ds closing he signi ican commodi ica ion gaps
esul ing om socialis de- commodi ica ion and non- commodi ica ion. Howe e , he
ac ual ans o ma ion was highly une en and cha ac e ized by conside able economic
and poli ical di e si y (Bohle and G esko i s,2007; Myan and D ahokoupil,2011;
Leszczyński,2015; Bohle,2018). This di e si y is pa icula ly e iden in he housing
sec o , whe e p i a iza ion, es i u ion, en egula ions, mo gage sys ems and
o he ac o s we e implemen ed e y di e en ly ac oss pos - socialis coun ies. In
o he wo ds, while he ‘commodi ica ion’ o non- commodi ied land is he common
denomina o o pos - socialis e o ms, making di e en pos - socialis coun ies ‘simila ’,
he manne in which i was achie ed a ied g ea ly. This esul ed in a mul iplici y o
commodi ica ion gaps and di e se s a egies o closing hem.
4 I should be emphasized ha en gaps and commodi ica ion gaps do no s and agains each o he as heo e ical
ools. Ra he , hey a e ‘conjoined wins’ (Be n ,2022: 216).
BERNT AND OGRODODWCZYK 534
Ma e ials and me hods
The empi ical basis o ou a gumen is a compa a i e s udy o gen i ica ion
and i s ins i u ional unde pinnings in wo pos - socialis ci ies: Halle in Eas Ge many
and Łódź in Poland. These ci ies we e selec ed o he ollowing easons. Fi s , while
p e ious esea ch has concen a ed on capi al ci ies in he CEE egion, Halle and Łódź
a e mo e ‘o dina y ci ies’ (Robinson,2006), wi h less in ensi e ma ke p essu e and,
in some cases, a p olonged popula ion decline. Secondly, bo h ci ies a e subjec o
gen i ica ion p essu es in hei mo e a ac i e a eas. S a is ical da a o Halle (see
Helbig and Jähnen,2018; Be n and Hausmann,2019; Be n and Volkmann,2023)
e eal a clea end o sociospa ial pola iza ion, wi h pe iphe al housing es a es acing
inc easing concen a ions o po e y, while mo e p es igious neighbou hoods no h o
he ci y cen e expe ience social ascension. In con as , he inne ci y o Łódź had long
been neglec ed bu has expe ienced an upwa d shi in socioeconomic s a us since he
second decade o he wen y- i s cen u y, owing o in ensi ied e i aliza ion e o s
by he municipali y (Og odowczyk,2024). The in ensi y and speed o gen i ica ion
hus di e signi ican ly be ween he wo ci ies. Thi dly, Eas Ge many and Poland
ep esen wo di e en ajec o ies o pos - socialis ansi ion. Eas Ge many unde wen
a apid ansi ion (a ‘wo mhole speed’, see Be n ,2016), while Poland ollowed a slowe
pa h. Addi ional di e ences a e discussed la e in his a icle. Finally, bo h au ho s
ha e conside able esea ch expe ience in hese ci ies, enabling hem o mobilize hei
backg ound knowledge e ec i ely. Mo eo e , hey possess he necessa y language
skills o analyse local documen s, u he enhancing he dep h and accu acy o hei
compa a i e analysis.
In his esea ch, we applied he ollowing me hodologies. Fi s , based on a
e iew o Polish and Ge man li e a u e, documen analysis and expe in e iews, we
econs uc ed majo ins i u ional changes in he housing sec o ollowing he collapse
o socialism and analysed hei ela ionship o gen i ica ion in Eas Ge many and
Poland. We used he concep o commodi ica ion gaps o unde s and how hese changes
o med o e ased ba ie s o he alo iza ion o land and p ope ies. Secondly, we
selec ed one pa icula a ea in each ci y ( he Paulus ie el in Halle and he cen al-
no he n pa o he special e i aliza ion zone, o SRZ, in Łódź) o an in- dep h s udy
o changes. In hese a eas, we conduc ed 24 in e iews wi h esiden s om di e en age
g oups (11 in he Paulus ie el and 13 in he SRZ in Łódź) o gain a mo e comp ehensi e
unde s anding. These in e iews ocused on housing condi ions, housing choices and
li e ajec o ies and we e conduc ed in he o m o guided, semi- s uc u ed in e iews.
Ou g oup o esponden s we e selec ed acco ding o he speci ic needs o each case
s udy and expanded using ‘snowballing’ echniques.5 Addi ionally, we conduc ed h ee
expe in e iews in each ci y. The expe in e iews we e in o med by ho ough
documen analysis (including policy documen s, unding p og ammes and planning
epo s) and p o ided aluable insigh s in o he s a egies, logics and es ic ions o s a e
ac o s ega ding u ban egene a ion. The expe s we in e iewed we e p edominan ly
decision make s om di e en adminis a ions wi h p i ileged access o in o ma ion
ele an o he s udy, such as he Re i aliza ion Bu eau, he Ci y A chi ec ’s Bu eau, he
Depa men o S a egy and De elopmen , he Planning Depa men and local housing
companies. O e all, he s udy u ilized a combina ion o esea ch echniques o ga he a
b oad ange o da a om di e se sou ces and ac i ely employed me hodological
5 In Łódź, a o al o 13 in- dep h in e iews wi h esiden s we e conduc ed. The esponden s anged in age om 30
o 77 yea s and epo ed a ying le els o educa ion: 61% had a seconda y educa ion, 31% had a highe educa ion
and 8% had a p ima y educa ion. They we e ei he employed (53%) o e i ees (47%). O he esponden s, 31%
li ed in hei own apa men s, 31% in municipal housing and 38% en ed in he p i a e sec o . In Halle, we
conduc ed 11 in e iews wi h esiden s. Among he in e iewees, six we e young adul s (18–25 yea s old, mos ly
s uden s) o middle- aged adul s (24–65 yea s old), while i e we e senio s (o e 65 yea s old) wi h ex ensi e
housing expe ience in he neighbou hood. All esponden s li ed in p i a e en als.

535POST- SOCIALIST GENTRIFICATIONS
iangula ion. Documen analysis and expe in e iews, coupled wi h an in ensi e ocus
on neighbou hood- le el s udies, enabled us o achie e a mo e nuanced and con ex -
sensi i e unde s anding in ou esea ch o p o ide iche explana ions.
In he sec ion ha ollows, we begin by discussing he ins i u ional amewo ks
o gen i ica ion in Eas Ge many and Poland, wi h pa icula a en ion o he eme gence
o commodi ica ion gaps and he mechanisms h ough which hese gaps we e opened
and closed. Nex , we examine he ac ual cases, demons a ing how he ope a ion o
‘commodi ica ion gaps’ in luenced he spa ial and empo al pa e ns o gen i ica ion
in he Paulus ie el in Halle and he SRZ in Łódź. Based on his analysis, we highligh
hei simila i ies and di e ences and conclude by ad oca ing o a cen al ocus on he
p ocesses h ough which commodi ica ion is achie ed in he s udy o pos - socialis
gen i ica ions.
Gen i ica ion in Eas Ge many
In Eas Ge many, he ansi ion om socialism o capi alism happened
o e nigh . On 3 Oc obe 1990, he Ge man Democ a ic Republic (GDR) joined he
Fede al Republic o Ge many, and by his e y ac , he whole legal and ins i u ional
amewo k es ablished in he la e was se in o powe on he e i o y o he o me ly
socialis pa o he coun y. The majo consequence o his cons ella ion was ha he
ins i u ional en i onmen o housing p oduc ion, dis ibu ion and consump ion was
comple ely impo ed om Wes Ge many and olled ou o e nigh . I was only when he
si ua ion made adap a ions ine i able ha excep ional ules we e enac ed. Usually, hese
we e se in place in such a manne ha hey would pa e he way owa ds he ‘no mal’
s a e o a ai s known om Wes Ge many.
— Ins i u ional condi ions o gen i ica ion in Eas Ge many
Be o e we desc ibe he ac ual ansi ions implemen ed, i is he e o e necessa y
o di ec a en ion o his ‘no mali y’. The dominan ea u e o he Ge man housing
sys em (which se s i in s a k con as o mos o i s CEE coun e pa s) is, in a nu shell,
i s cha ac e as a highly egula ed ‘uni a y en al ma ke ’ (see Kemeny,1995). In 2018,
57.9% o all Ge man households li ed in en al uni s. In ci ies, he sha e o households
ha a e en ing is usually highe so ha , o example, 82.6% o all households in Be lin
a e enan s (see S a is ik Be lin- B andenbu g,2018: 5).
The abili y o enan s o esis en inc eases and emain in hei homes is la gely
de e mined by a sys em o en egula ions ha o igina ed in he pe iod ollowing he
i s wo ld wa . Howe e , hese egula ions wo k di e en ly o exis ing con ac s and
new enan s. In sum, hey enable h ee di e en commodi ica ion gaps, he closu e o
which enables an inc ease in en al yields ( o mo e de ail, see Be n ,2022: 77–97):
• New enancy gap: Whe eas en inc eases o si ing enan s a e limi ed o a a e o
20% wi hin h ee yea s, new enancies a e usually ag eed upon on he basis o ee
ma ke en s. Thus, whene e demand exceeds supply in he housing ma ke , new
enancies a e p e e able om he poin o iew o he landlo d.
• Mode niza ion gap: In con as o slow oppo uni ies o p ice inc eases in si ing
enancies, mode niza ion ac i i ies can lead o apid p ice escala ions. As
mode niza ion ac i i ies a e usually cos ly, he oppo uni y o deduc 9% (11% un il
2019) o he cos o he en enables en inc eases ha go a beyond he
oppo uni ies p o ided e en by new enancies.
• Tenu e gap: Compa able oppo uni ies a e p o ided by he con e sion o en al
homes in o p i a ely owned homes. Once a uni is con e ed, owne s o indi idual
la s can claim pe sonal use
—
hus jus i ying a e mina ion o he en al ag eemen
by he owne . The con e sion o en al homes in o p i a ely owned homes he e o e
BERNT AND OGRODODWCZYK 536
unde mines he o he wise highly p o ec ed secu i y o enu e and enables aca ing
apa men s and achie ing new enancies a highe a es.
In sum, he Ge man en al sys em includes compa ably s ong p o ec ions o enan s
—
bu also allows bypasses h ough which en inc eases a e made possible. Fo he cou se
o gen i ica ion, i is impo an o unde s and how his sys em was se in mo ion in Eas
Ge many. Two issues a e c ucial he e.
— he es i u iOn O p Ope ies
In he GDR he lion’s sha e o he housing s ock was managed by s a e
adminis a ions. A euni ica ion, mos p i a e p ope y owne s we e absen in inne
ci ies, hei p ope ies had been exp op ia ed o hey we e no in e es ed in claiming
hei owne ship. Clea ly de ined p ope y igh s we e only in oduced in he cou se o
he 1990s o he majo i y o he his o ical housing s ock, and he way his was done
was h ough es i u ion o p ope ies o he o iginal owne s o hei hei s. In his o ical
inne - ci y neighbou hoods, 70% o 90% o housing s ock was subjec o es i u ion
(Diese ,1996; Reimann,1997; Holm,2006). The scope o he es i u ion has been de ined
by he Law on P ope y Res i u ion, which s ipula es ha hose p ope ies exp op ia ed
be ween 30 Janua y 1933 and 8 May 1945 (mos ly Jewish- owned p ope ies) as well
as hose exp op ia ed since 7 Oc obe 1949 (in he GDR) should be gi en back o he
o iginal owne s o hei legal successo s.
When he es i u ion o a p ope y happened, he esul was usually a quick sale.
As a ule o humb, he o iginal owne s (o hei hei s) had li le in e es o expe ience
in he housing business, bu ‘o e nigh ’ came in o possession o p ope ies ha we e
long belie ed o be los . O en, he es i uen s we e communi ies o hei s, so a ai
dis ibu ion o obliga ions and bene i s was a p oblem. In addi ion, unde socialism,
mo gages we e aken up o inancing main enance wi hou he consen o he owne
(who was absen anyway), so many es i u ed buildings we e highly indeb ed. Unde
hese condi ions, he easies way o ge ou o his si ua ion was a swi sale. The e is no
comp ehensi e s udy abou he sha e and p ices o esales ac oss Eas Ge many, bu a
numbe o s udies done in Eas Be lin pain a i id pic u e. Diese (1996) ound ha only
abou 5% o 8% o o iginal owne s we e in e es ed in keeping hei p ope y in he long
e m in he inne - ci y neighbou hood Spandaue Vo s ad . In P enzlaue Be g, ano he
Eas Be lin inne - ci y neighbou hood, s udies by Reimann(1997; 2000) ha e shown
simila esul s. The buye s we e a ely p i a e indi iduals, bu p o essional eal- es a e
companies, eal- es a e unds and de elope s.
This was p oblema ic, as p ices o eal es a e we e booming in Eas Ge many in
he 1990s. The eason o his was bo h a sca ci y o eno a ed homes in good loca ions
(caused by socialis housing policies and he long ime i ook o ma e s o es i u ion
o be se led) and
—
mos ly un ealis ic
—
g ow h expec a ions o he majo i y o ci ies.
Gi en he high cos s o eno a ion, in la ed house p ices and in e es a es o a ound
7%, his led o immense p essu e on en s. The e ec o es i u ion ega ding he
likelihood o gen i ica ion was hus wo old (see also Häuße mann,1995; Ha h e
al.,1998; F ied ich,2000; Wies and Hill,2004; Be n and Holm,2005; Gla e and
Wies ,2007). Fi s , es i u ion esul ed in a mode niza ion and comme cializa ion o
owne ship s uc u es in mos inne - ci y neighbou hoods, which in ol ed p o essional
eal- es a e companies who we e in e es ed in sho - e m p o i s and had he expe ience
and means o achie e hem. Secondly, because he majo i y o p ope ies we e sold
immedia ely a e es i u ion, owne s we e bu dened wi h compa a i ely high expenses
o he acquisi ion o hei p ope ies, which came on op o he al eady high cos s
o eno a ion. This led o exo bi an expenses, and p ope ies could only be made
p o i able i high e enues could be achie ed, ei he in he o m o en inc eases o
esales.
537POST- SOCIALIST GENTRIFICATIONS
— he in Oduc iOn O he (Wes ) Ge Man en egula iOn sys eM and ax
suBsidies O enO a iOns
Inc easing yields om en ing we e, howe e , also es ic ed o some deg ee o
a while. The in oduc ion o (Wes ) Ge man en egula ions ook place in se e al s ages,
culmina ing in he inal in oduc ion o he compa a i e en sys em in he e i o y o
he o me GDR on 1 Janua y 1998. The ansi ion phase du ing which en inc eases
ollowed special egula ions only ended hen. In o he wo ds, he i s hal o he 1990s
can be ega ded as an ‘in- be ween’ space in which he ins i u ional amewo ks allowing
ein es men in o exis ing building s ock ollowed by en inc eases had no ye s a ed
o p ope ly ope a e.
No wi hs anding hese di icul ies, mo e han wo hi ds o he his o ical
building s ock in inne - ci y neighbou hoods we e e u bished in he decade ollowing
euni ica ion. The majo eason o his seemingly pa adoxical esul is o be ound in
he special dep ecia ion possibili ies gua an eed in he Fö de gebie sgese z (Fede al
De elopmen Zone Ac ). Un il 1996, his law allowed o up o 50% o e u bishmen
cos s in he i s yea o in es men o be o se agains ax; his p opo ion was educed
o 40% un il 1998/99. These high indi ec subsidies made he e u bishing o old housing
s ock ex emely luc a i e o in es o s wi h a la ge axable income, especially i cos s
we e high and en s low, since he ‘cos s’ o in es men could be ans o med in o ax
sa ings o he in es ing pa ne s in ol ed. As he balance shee o he in es men could
be e ened ou by ax ad an ages, in es o s could a o d o o go high en al income o
a while and build in a eas wi hou appa en a luen demand.
— P oducing he condi ions o a gen i ica ion ye o come
In summa y, he ansi ion om socialism o capi alism led o a con adic o y
pic u e in Eas Ge many:
• The es i u ion o p ope ies led o he commodi ica ion o land, which was
p e iously no ea ed as a commodi y. This c ea ed he condi ions o
gen i ica ion. In he sho un, howe e , i c ea ed ba ie s o in es men .
• Mass sales and high p essu e on en s c ea ed eno mous po en ial g ound en s. A
he same ime, exis ing land egula ions made i e y di icul o inc ease ac ual
g ound en s o his le el wi h si ing enan s.
• Closing his en gap was he e o e only possible on he basis o ‘mode niza ion’
and new enancies, which could only be achie ed h ough cos ly eno a ions. The
oppo uni ies o ax deduc ions in oduced in he 1990s lowe ed he cos s o his
ope a ion, hus enabling quick and in ensi e eno a ions and closing
‘mode niza ion gaps’ a a high le el.
• Since ‘mode niza ion’ o en wen hand in hand no only wi h massi e en
inc eases bu also wi h changes in loo plans and in ensi e cons uc ion wo k, i
usually esul ed in a high le el o economic and physical displacemen o exis ing
enan s. This opened up oppo uni ies o new enancies a a highe en le el.
Gen i ica ion in he Paulus ie el in Halle (Saale)
The Paulus ie el (Paulus neighbou hood) is a neighbou hood no h o he
ci y cen e o Halle (Saale) buil a he end o he nine een h cen u y in Wilhelminian
a chi ec u al s yle. Fa om being unique, i is a pa adigma ic example o he ope a ion
o gen i ica ion in Eas Ge many. While he a ea expe ienced se ious neglec
unde socialism, i is oday ega ded as one o he mos a ac i e housing a eas o
he ci y (Kowalski,2006; S ad Halle,2018) and cha ac e ized by highe incomes,
(compa a i ely) low unemploymen and high educa ional le els. The a e age en o
la s in he Paulus ie el neighbou hood is among he highes in Halle.
BERNT AND OGRODODWCZYK 538
When socialism collapsed in 1989/90, he neighbou hood was ma ked by
d ama ic main enance neglec , high acancies and a dea h o mode n acili ies such as
cen al hea ing o sani a ion. Like e e ywhe e in he GDR, mos p ope ies we e subjec
o es i u ion and we e consequen ly sold quickly o comme cial p ope y owne s,
mos ly om Wes Ge many. The ollowing igu es gi e a ough pic u e o changes in
p ope y s uc u es: in 1990, abou 60% o esiden ial buildings in he a ea we e owned
by he public sec o o coope a i es, abou 12% we e in s a e adminis a ion and only
28% we e p i a ely owned (S ad Halle,1995: 22). The p opo ion o p i a e owne s
inc eased con inuously in he ollowing yea s as es i u ion p og essed. In 1995, abou
55% o housing uni s we e al eady p i a ely owned (ibid.: 23). In 2020, he sha e o
p i a ely owned buildings inc eased o 83% o he s ock (S ad Halle,2020: 33). Thus,
while in 1990 only abou a qua e o he housing s ock was p i a ely owned and h ee
qua e s in coope a i e, municipal o s a e adminis a ion, in 2020 mo e han ou
i hs o housing uni s we e p i a ely owned and less han one i h in coope a i e o
municipal owne ship. Wi hin 30 yea s, he e o e, he owne ship s uc u e had been
comple ely e e sed, and public p ope y was elega ed o a ma ginal posi ion.
Res i u ion and esales se in mo ion a massi e wa e o eno a ions, so ha he
majo i y o buildings we e e u bished wi hin h ee o ou yea s in he second hal o
he 1990s. A s udy conduc ed by geog aphe s om Halle (F ied ich,2000) epo ed ha
in h ee blocks mapped in he Paulus ie el, he a e o comple ed building eno a ions
almos ipled om 24% o 71% wi hin ou yea s be ween 1996 and 2000. As a ule
o humb, eno a ion measu es we e so comp ehensi e ha i was no possible o
esiden s o emain in hei apa men s. The e u bishmen hus became he igge o
he physical displacemen o he majo i y o he si ing esiden s. Since e u bishmen
usually wen hand in hand wi h massi e en inc eases, i also in ensi ied he economic
displacemen o low- income households. The ollowing quo es om in e iews wi h
esiden s gi e a pic u e o hese changes:
A lo o people ha e mo ed ou . Because o he eno a ions. I such a gene al
eno a ion is done, all he pipes mus be enewed, he loo plan is new
—
so
ha dly anyone can s ay (in e iew 036).6
Wi h he announcemen ‘The e is gonna be a eno a ion and so he en will
hen inc ease’ we made ou decision and ga e no ice o he landlo d and
mo ed ou (in e iew 022).
He [ he landlo d] said, ‘I’ll gi e you 10,000 ma ks i you mo e ou ’ … 10,000
Wes Ge man ma ks, in one ell swoop. And … o he mos pa , all enan s ook
he 10,000 and mo ed ou . Wi hou commen , hey accep ed he o e om he
in es o om Munich and packed hei hings (in e iew 031).
In con e sa ions i was o en said ha she is a g ea landlady. She knows wha
i ’s like o li e as a s uden … and she doesn’ in end o inc ease he en , and
she doesn’ in end o ake possession … And a mon h la e … suddenly: ‘claim
o pe sonal use’ (in e iew 005).
While i is impossible o documen he whole spec um o pe sonal changes he esiden s
o he Paulus ie el expe ienced a e euni ica ion, hese ex ac s om ou in e iews
clea ly e eal ha eno a ion wen hand in hand wi h he displacemen o la ge pa s
o he o iginal popula ion. This displacemen ope a ed h ough he closu e o all h ee
‘commodi ica ion gaps’ discussed abo e. Reno a ion cos s we e deduc ed so ha he
en le el inc eased, o iginal enan s we e displaced by new enan s who would pay
6 All ex ac s ha e been ansla ed om Ge man o Polish by he au ho s.
545POST- SOCIALIST GENTRIFICATIONS
signi ican dec ease in he numbe o dwellings owned by he municipali y caused a
educ ion in he numbe o (mainly low- income) households ha could li e in he SRZ.
Unexpec edly o he local au ho i ies, 75% o he enan s exp essed no desi e o e u n
o hei o me apa men s. The main eason o his was he inc ease in en s in he
FIGURE 2 Włókiennicza S ee in he special e i aliza ion zone (SRZ) in Łódź (p io i y
a ea no. 1) (pho o by Agnieszka Og odwczyk, May 2022)
TABLE 1 Social and spa ial changes in p io i y a eas o e i aliza ion (2016–2023)
Numbe o a ea
P io i y a eas designa ed o e i aliza ion
1 2 3 4 5 6 7 8 To al
BEFORE REVITALIZATION
Municipal dwellings 472 116 43 278 23 61 633 275 1901
Residen s 1957 3038 1500 3750 1759 993 3096 1144 17237
AFTER REVITALIZATION
Municipal dwellings 458 19 24 165 18 29 116 66 895
Suppo i e housing uni s 3 3 3 3 2 3 - 1 18
Non- esiden ial comme cial uni s 71 10 11 18 20 4 12 - 146
Non- esiden ial non- comme cial
uni s
19 - 24 9 10 12 14 2 90
Households displaced o
eplacemen dwellings
405 47 20 150 20 55 489 217 1403
Households displaced o social
housing
67 69 23 128 3 6 144 58 498
sOu ce: Au ho s’ abula ion.

BERNT AND OGRODODWCZYK 546
eno a ed municipal enemen s. Municipal egene a ion was usually accompanied
by en inc eases o up o 60%. These inc eases can be ega ded as he main cause o
economic displacemen , as hey p iced ou low- income households. In line wi h his, a
s udy ound ha enan s who did e u n o hei apa men s usually had a highe le el
o educa ion and highe incomes han hose who did no (Daab e al.,2019).
The alloca ion o municipal p emises in eno a ed la s has been speci ied in
The Se lemen Model o Reno a ed Tenemen s in he Inne - ci y Re i aliza ion Zone
in Łódź (Daab e al.,2019). I speci ied achie ing a ‘social mix’ h ough di e en ypes
o apa men s in eno a ed buildings as a goal o egene a ion and in oduced di e en
ca ego ies o he apa men s o e ed a e eno a ion. These included social housing
bu also job- ela ed apa men s and p emises in ended o adap a ion (mainly a ics
in enemen s ha could be adap ed o esiden ial pu poses o as a s udios). These
cons i u e sepa a e ca ego ies o p emises, so enan s we e selec ed on he basis o
di e en c i e ia. Fo gen i ica ion in he inne ci y, he mos impo an ac o was
he in oduc ion o job- ela ed apa men s. People whom he Mayo o Łódź iden i ied
acco ding o hei quali ica ions and he asks hey ca ied ou o he local communi y
we e able o apply o such apa men s. These apa men s a e also in ended o g adua es
(up o 30 yea s old) and s uden s g adua ing om highe educa ion ins i u ions in Łódź
(on ecommenda ion o he ec o ), p o ided ha hey s ay on o wo k in Łódź.
Discussion
Ou compa ison o gen i ica ion in Halle (Saale) and Łódź e eals se e al key
simila i ies and di e ences.
As is he case in mos o he inne - ci y neighbou hoods, bo h he Paulus ie el
in Halle and he inne ci y o Łódź expe ienced se e e neglec unde socialism. When
he ansi ion om a planned economy o a ma ke sys em began, massi e en gaps
eme ged in bo h a eas. Ye , a e 30 yea s, hese en gaps ha e been closed in he
Paulus ie el, whe eas hey ha e emained wide open in la ge pa s o Łódź, whe e hey
ha e only been closed in a spa ially agmen ed way and equi ed signi ican municipal
in e en ions. In ou case s udies, we iden i ied se e al ac o s con ibu ing o his
di e ence. The mos impo an ones a e highligh ed in Table2.
TABLE 2 Ins i u ional condi ions o gen i ica ion compa ed
Paulus ie el Inne ci y o Łódź
P ope y igh s Fas es i u ion and esales
Almos comple e p i a iza ion
P i a iza ion o si ing enan s
High sha e o ‘ emaining’ p ope ies
s aying unde municipal con ol
F agmen a y and ongoing es i u ion
A ailabili y o inancial esou ces o
eno a ion
Easy access o mo gages since
1990
Suppo h ough gene ous ax
subsidies un il 1998
Limi ed access o mo gages un il 2004
A ailabili y o EU unding a e 2004
Dominan enu e P i a e en al Mix o p i a e en als (wi h high sha e o
in o mal a angemen s), public en als and
owne occupa ion
Ren egula ions Tigh en egula ions
Incen i es o abolishing exis ing
con ac s o ‘mode niza ion’
Ren inc eases ha dly possible un il 2005
E ic ions e y di icul o achie e, wi h he
excep ion o e i aliza ion in SRZ
Incen i es o abolishing exis ing con ac s
and o ‘mode niza ion’
Role o he local s a e Negligible S a e- led gen i ica ion h ough
e i aliza ion p og ammes
Spa ial and empo al dynamics Fas and comp ehensi e
gen i ica ion
Gen i ica ion slowed down and dispe sed,
bu accele a ed a e 2015 in SRZ
sOu ce: Au ho s’ abula ion.
547POST- SOCIALIST GENTRIFICATIONS
In summa y, he ans o ma ion o p ope y igh s, he cons uc ion o mo gage
ma ke s, he a ailabili y o inancial suppo and egula ion o enu e ha e aken e y
di e en ou es in he o me GDR and Poland, esul ing in dis inc empo al and
spa ial pa e ns o gen i ica ion. The condi ions o achie ing as and comp ehensi e
gen i ica ion a e much mo e complica ed in Poland han in o me Eas Ge many, whe e
ans o ma ion o p ope y s uc u es, in oduc ion o en egula ions and cons uc ion
o housing ma ke s we e apidly implemen ed and comple ed by he mid- 1990s. By
con as , his p ocess is s ill ongoing in Poland. The amewo ks implemen ed in Poland
ha e led o signi ican coo dina ion p oblems. Ren inc eases and e ic ions emain
di icul o achie e, and s a e inancial suppo is ela i ely un a ou able. While he
pas h ee decades ha e seen ins ances o spo adic and spa ially sca e ed gen i ica ion
in s ock sold o o me enan s, i was only in 2015 ha an ins i u ional amewo k was
in oduced in Poland ha allowed o bypassing obs acles o upg ading s ock in a mo e
spa ially concen a ed and coo dina ed manne .
The amewo k o he Re i aliza ion Ac o 2015 has made municipali ies
he main d i e s o gen i ica ion in Poland, os e ing a p edominance o ‘s a e- led
gen i ica ion’ (Og odowczyk,2024). This s ands in s a k con as o Eas Ge many,
whe e gen i ica ion p oceeded much as e and in ol ed a less ac i e ole om he
s a e. In Eas Ge many, he s a e’s ole was la gely limi ed o enac ing es i u ion and
p o iding inancial suppo h ough ax incen i es.
Ou analysis o e s a clea unde s anding o he ins i u ional unde pinnings
d i ing gen i ica ion dynamics, wi h p ope y igh s eme ging as a c ucial ac o . The
massi e commodi ica ion gaps obse ed in Poland esul om ailu e o ansi ion om
‘socialis ’ p ope y s uc u es in a way ha os e s an en i onmen ha is conduci e
o in es men and acili a es gen i ica ion wi hou subs an ial s a e in e en ion and
suppo . As a esul , gen i ica ion in Poland has p og essed much mo e slowly, wi h he
s a e playing a cen al ole in he p ocess. In con as , in Eas Ge many, he s a e played a
cen al ole in enabling apid p ope y ans e s o comme cial landlo ds. This app oach
has e ec i ely ca alyzed gen i ica ion dynamics and demons a ed how s a e policies
and p ope y igh s ans o ma ions can signi ican ly in luence he pace and na u e o
u ban ede elopmen .
While his migh be in e p e ed as ye ano he ins ance o s a e- led gen i ica ion,
ou analysis e eals he mo e nuanced and con adic o y ole o he s a e. In bo h cases,
he s a e’s in ol emen was shaped by decision making a highe le els, esul ing in
dis inc d i e s o and obs acles o gen i ica ion. In Eas Ge many, apid es i u ion and
he mix u e o p i a iza ion o si ing enan s and piecemeal es i u ion we e ou comes
o uppe - le el s a e decisions. Local adminis a ions in Eas Ge many we e la gely
cons ained by na ional ansi ion ajec o ies, elega ing hem o a passi e o eac i e
ole.10 Con e sely, Poland’s complex and challenging condi ions necessi a ed subs an ial
s a e in e en ion. As a esul , municipali ies we e pushed in o a mo e ac i e ole as
de elope s, which e lec ed a di e en se o s a e dynamics. This illus a es ha he
s a e’s ole in gen i ica ion is no monoli hic bu a ies depending on he speci ic
his o ical and ins i u ional con ex s o each coun y.
Conclusion
This s udy highligh s ha he ansi ion om socialism o capi alism
—
including
he ‘un eezing’ o p ope ies and he in oduc ion o eal- es a e, mo gage and
housing ma ke s
—
has been a key simila i y in he cases o Halle and Łódź. Wi hou
his ‘ ans o ma ion’, gen i ica ion would ha e been nea ly impossible. Howe e ,
10 Be lin p esen s an excep ion o his pa e n. In Be lin, bo oughs a emp ed o in e ene in he gen i ica ion
p ocess ea ly on. Howe e , hei e o s we e cons ained by limi ed legisla i e powe s, which esul ed in only
pa ial success in mi iga ing he impac s o gen i ica ion (see Be n and Holm,2005; Be n ,2016; 2022).
BERNT AND OGRODODWCZYK 548
despi e his common s a ing poin , signi ican di e ences eme ged owing o he a ied
ajec o ies o pos - socialis ansi ion in each loca ion. In his ega d, Halle and Łódź
a e ‘simila , bu di e en ’, a dis inc ion ha se s hem apa om o he global cases
such as London, Oakland o Seoul. Ou co e a gumen is ha he speci ic cou se o pos -
socialis ansi ion p o oundly in luences he ajec o y and pa e ns o gen i ica ion.
The eby, he indi idual ajec o ies o ansi ion in Halle and Łódź ha e esul ed
in se e ely di e en gen i ica ion p ocesses. Labelling hese di e ences simply as
‘local speci ici ies’ o ‘con ex ’ is insu icien . While such e ms may apply b oadly, i
is he ansi ion o p ope y igh s, he in oduc ion o new enu e s uc u es and he
cons uc ion o new ma ke s ha dis inc ly cha ac e ize ‘pos - socialis ’ gen i ica ion.
Ou indings e eal ha he e is a mul iplici y o ‘pos - socialisms’ a he han a
gene alized model. O e simpli ying hese di e ences isks o e looking undamen al
a ia ions in a ou o a mo e con enien label. In his sense, ou esea ch o e s new
insigh s in o pos - socialis gen i ica ion in wo ways:
• Wha uni es ‘pos - socialis ’ gen i ica ions is hei ounda ional s a ing poin :
comp ehensi e ins i u ional e o ms designed o disman le socialism and es ablish
ma ke - d i en housing sys ems. These ans o ma i e e o ms, which can be
cha ac e ized as ‘an i- communis ’ (Chelcea and D uţă,2016), ha e es ablished
unique pa h dependencies ha shape he ajec o y o gen i ica ion and esul in
signi ican di e ences, no only compa ed o o he global con ex s bu also wi hin
he o me Eas e n Bloc i sel .
• While some schola s a gue o a depa u e om he pos - socialis amewo k
(Mülle ,2019; see also Gen ile,2018), we ad oca e o a mo e nuanced app oach.
I is essen ial o unpack he concep o pos - socialism and ecognize he di e se
ajec o ies wi hin pos - socialis socie ies. These socie ies a e in luenced by a
complex in e play o ‘Wes e n’ models, indigenous pa h dependencies and o he
dynamics (such as pa imonialism, socialis he i age, au ho i a ian
de elopmen alism). This mosaic o in luences means ha gen i ica ion can ollow
a a ie y o dis inc pa hs, e lec ing he a ied and mul i ace ed na u e o pos -
socialis ansi ions.
In he ield o gen i ica ion s udies, hese indings ha e wo signi ican implica ions.
Pos - socialism should be concep ualized as comp ising mul iple, dis inc ins i u ional
e o ms ha ha e c ea ed unique pa h dependencies. These e o ms deeply in luence
he dynamics, empo ali ies and pa e ns o gen i ica ion. As a esul , gen i ica ion
in ci ies such as So ia, Leipzig o Tbilisi di e s no only om gen i ica ion elsewhe e
bu also om one ano he . Thus, i is c ucial o emphasize he speci ic ajec o ies o
pos - socialis ansi ion when s udying u ban change in his egion. Supe icial no ions
o ‘con ex uali y’ and ‘hyb idi y’ a e insu icien o cap u ing hese complexi ies. We
ad oca e o mo e igo ous compa isons wi hin he pos - socialis egion, a he han
compa ing i o a pe cei ed Wes e n no m o gen i ica ion. An Eas –Eas compa a i e
app oach would p o ide deepe insigh s in o how di e en pos - socialis ajec o ies
shape u ban change and e eal he unique dynamics and ou comes o gen i ica ion in
a ious con ex s wi hin he egion.
Ma hias Be n , Leibniz Ins i u e o Resea ch on Socie y and Space, Flakens asse
29–31, E kne , 15537, Ge many, ma [email p o ec ed]
Agnieszka Og ododwczyk, Ins i u e o he Buil En i onmen and Spa ial Policy,
Uni e si y o Łódź, 31 Kopcińskiego S ee , 90–743, Łódź, Poland, agnieszka.
og [email protected]
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