Blogs run by economists can sometimes be a little dry. Fortunately this is not the case for Marginal Revolution, which just quoted the Guardian:
Politicians in Berlinhave launched a campaign to rescue the city’s legendary nightclub scene from the spectre of property investors in the hope of salvaging the capital’s reputation as one of Europe’s party hotspots.
A ‘Music Board’ fund of around €1m (£835,000) has been set up to help protect the city’s shrinking club scene, which has been a mainstay of the economy since the fall of the Berlin Wall but has found itself increasingly squeezed out by real estate investors.
Berlin’s clubs have even coined the word ‘clubsterben’ – literally, ‘club death’ – to describe the phenomenon. The €1m fund will be used to help stricken clubs find new locations and hold fundraising concerts.
Around 15 clubs are currently under threat of closure according to Spiegel, while three prominent clubs have closed within the last few months. The nightspots, which are often housed in grungy urban buildings, breweries, or former factories situated on prime land, are increasingly being converted into apartment blocks and loft homes.