Corner lot

Corner Lot - A corner lot is a parcel of land located at the intersection of at least two intersecting or converging streets. This prominent location offers both advantages (better natural light, greater visibility, and often a larger lot size) and disadvantages (more street noise, higher development costs, and limited buildability due to setbacks on two sides of the street). In real estate appraisal, the corner location is considered a special property feature.

Appraisal of Corner Lots

The corner location affects the property value differently depending on the type of use:

Residential Real Estate

• Value-reducing: Increased noise pollution from two street sides, less privacy due to a double street frontage, setback requirements reduce the buildable area
• Value-enhancing: Better natural light (corner apartments often have windows facing two directions), larger lots, design flexibility
• Typical valuation discount: 5-10% for residential properties at heavily trafficked intersections

Commercial real estate

• Generally increases value: High visibility and foot traffic are a locational advantage for retail and restaurants - corner locations often command 10-20% higher rents than comparable interior locations
• Storefront: Two storefront sides increase display space and attract more walk-in customers

Special Building Code Provisions

Corner lots are often subject to special building code requirements:

• Setback distances: Building code setback requirements must be met on both streets (BayBO: 0.4 H in core areas, otherwise 1.0 H)-this reduces the buildable area more significantly than for interior lots
• Sight triangle: A sight triangle must be kept clear at intersections-buildings and tall vegetation are prohibited within the field of view
• Parking Regulations: On corner lots, access roads are often permitted on only one street - design freedom for garages and parking spaces is limited
• Design Regulations: In many Nuremberg neighborhoods, design requirements apply to corner buildings (emphasizing the corner with a bay window, tower, or unique shape)

Development Contributions for Corner Lots

A frequently underestimated cost factor for corner lots is development contributions: Since the lot borders two streets, contributions for road construction, sewer connections, and street lighting may be required for both sides of the street. The calculation follows the Local Tax Act (KAG Bavaria) and the respective development contribution statutes of the municipalities. In Nuremberg, development contributions are calculated based on the respective street frontage length and the lot area-with two street frontages, the frontage length subject to contributions is summed accordingly. In the case of planned road improvement measures-such as the renovation of an adjacent street according to Nuremberg’s development plans-buyers should check with the City of Nuremberg’s Public Works Department in advance to determine whether fees are expected in the coming years.

Practical Tip for Property Owners in Nuremberg and Franconia

In Nuremberg’s Wilhelminian-style neighborhoods (Gostenhof, St. Johannis, Südstadt), corner buildings are often architecturally distinctive-featuring corner towers, bay windows, and stately facades. These corner locations are in high demand on the housing market because corner apartments have windows facing two directions, making them brighter and better ventilated. When purchasing a corner lot, you should consider the development costs: Since the lot borders two streets, development fees (road construction, sewer, street lighting) may apply to both sides of the street-this can increase the total cost by €5,000-20,000 compared to an interior lot. Before purchasing, check with the civil engineering office to see if any road construction projects are planned. In established residential areas around Nuremberg (Feucht, Wendelstein, Lauf a.d. Pegnitz), there are also numerous corner lots with historical peculiarities that require careful review in the land registry and at the building authority.

Frequently Asked Questions

Is a corner lot worth more or less than a comparable interior lot?

That depends on the type of use and traffic volume: For residential purposes, corner lots on quiet residential streets are often of equal value or slightly more valuable (better natural light, more lot area), whereas at heavily trafficked intersections they are 5-10% less valuable (noise, exhaust fumes, visibility restrictions). For commercial use-especially retail and restaurants-corner lots are almost always more valuable than interior lots, as the double street frontage improves visibility and customer access. When determining the purchase price, therefore, the specific intersection situation should always be considered on a case-by-case basis.

Do I have to pay double development fees for a corner lot?

Not automatically double, but development fees are calculated for each adjacent street. The exact calculation is based on the Local Tax Act (KAG Bavaria) and the City of Nuremberg’s Development Fee Bylaws. The fee is based on the lot area and the length of the street frontage-for a lot with two street sides, the fee for development measures is correspondingly higher than for a lot with only one street frontage. Before purchasing, check with the City of Nuremberg’s Civil Engineering Office regarding any ongoing or planned development measures on both adjacent streets.

Can I create a driveway on both sides of the street?

This depends on the Parking Space Ordinance and the Zoning Plan. In many Nuremberg neighborhoods, driveways are restricted to one side of the street-especially on major thoroughfares-to avoid obstructing traffic flow and to protect sidewalks. On side streets with light traffic, driveways from both sides are often permitted. Clarify this in advance with the City of Nuremberg’s Building Regulations Office (Environmental Office, Department of Urban Planning and Building Authority) to ensure planning certainty and avoid costly planning errors.

How does a corner location affect a building’s energy efficiency?

Compared to buildings in interior locations, corner buildings have a higher proportion of exterior wall area-the so-called A/V ratio (envelope area to volume) is less favorable. This means there is more surface area through which heat can be lost. When planning a new building on a corner lot or carrying out an energy-efficient renovation of an existing building, this factor should be taken into account: Better insulation of the exposed exterior walls makes sense both energetically and economically. In Nuremberg’s Wilhelminian-style buildings with corner locations-such as in Gostenhof or St. Johannis-heat loss through the two uninsulated facade sides is particularly significant. Anyone renovating such a property and applying for KfW funding should explicitly address the corner location during the energy consultation, as it affects the achievable energy-efficient house standard.

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