Ranked in the top 10 best cities to live in Germany, with a GDP per capita equal to many West German communities, the Saxony capital’s "new town" north of the River Elbe, is slowly being rebuilt in the footprint of Second World War devastation. Its outer fringes are a Bohemian quarter of narrow lanes, filling up with trendy restaurants and boutiques. Head south of the river and the Altstadt (old town) hoard the lion’s share of grand public buildings, crowned by a classical skyline of spires, domes and steeples.
Top investment districts: Neustadt, Blasewitz-Striesen and Weisser Hirsch.
Average price per sq.m.: 800 – 2 000 pound. One-bed apartments cost from 40 000 pound.
Source: http://www.telegraph.co.uk/finance/personalfinance/offshorefinance/9389131/Property-investors-look-to-East-Germany.html