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Berlin’s impending 750th anniversary was also the catalyst for the restoration of the city’s oldest district, the Nikolaiviertel, named for its Gothic church, St. Nikolai. In the sixteenth and seventeenth centuries merchants had built row houses along the quarter’s narrow streets, and the great humanist writer Gotthold Lessing had lived there in the eighteenth century. World War II, however, had transformed the area into a ruin-field, which is how it had remained for over thirty years. Beginning in 1979, Honecker’s architects restored the church and most of the district’s housing. The fact that these houses had belonged to merchants presented no problem to the regime, since according to Marxist theory the rise of the bourgeoisie was a necessary precursor to the proletarian revolution. Although the restorers tried to recapture the district’s historic flavor, a lack of resources necessitated the use of prefabricated concrete slabs on the facades, which hardly made for authenticity. West German visitors, whom the regime had desperately wanted to impress, condemned the endeavor as an insult to true historical restoration—a piece of pretentious Communist kitsch. Visitors from other parts of East Germany bristled at the expense. They were appalled that large sums of money were being expended on a show-project in the capital while the rest of the country continued to suffer from shortages of every kind.

Similar complaints were raised about another belated grasp for historical legitimacy (not to mention tourists’ hard currency): the restoration of the Huse-mannstrasse in Prenzlauer Berg. This small street was reconstructed in the early 1980s as a “typical workers’ neighborhood,” complete with historic street lamps, a restaurant called “1900,” and a museum devoted to working-class history. In reality, however, Husemannstrasse had never housed many workers, and its solid apartment buildings had remained a bourgeois enclave through the Third Reich. Moreover, the Honecker regime’s new theme park of working-class life represented a glaring contrast to the crumbling facades and sagging balconies typical of the genuine working-class streets surrounding it. Rather than highlighting the GDR’s proletarian roots, it showed how far the Communist state had yet to go to create a decent living environment for the vast majority of its citizens.

By the late 1970s the East German government was firmly established in the old governmental quarter in central Berlin. Although the Nazis had also ruled from this quarter, their Communist successors did not feel terribly haunted by ghosts in brown sheets; after all, as a “tool of monopoly capitalism,” Nazism allegedly had nothing to do with the GDR. Some of the East German ministries even moved into Nazi-era buildings. As we have seen, the House of Ministries was harbored in Göring’s vast Aviation Ministry from 1949 on. The only rite of exorcism that the new tenants had performed in that building was to replace a relief of marching Wehrmacht soldiers with a mural depicting the establishment of the GDR, which had taken place there. As of 1959, the SED headquarters was located in the former Reichsbank, one of the central sites of Nazi financial policy. Equally ironic—yet perhaps fitting—was the fact that the GDR elected to house its Government Press Office and Ministry for Media Policy in the former headquarters of Goebbels’s Ministry of Popular Enlightenment and Propaganda.

The GDR government took over these Nazi buildings primarily because it was cheaper to refurbish existing structures than to build entirely new ones. From the beginning, however, East Germany’s rulers had hoped to erect at least one governmental structure that could serve as an architectural symbol of the new state. Shortly after taking over from Ulbricht, Honecker decided to build a new home for East Germany’s parliament on the site of the former Royal Palace. The choice of this location was at once another reach for historical legitimacy and a symbol of victory over the imperial past. The building that arose in the mid-1970s, and which still stands today (though perhaps not for long), is a squat rectangular structure sheathed in white Bulgarian marble and gold-tinted glass. Inside, the building contains an auditorium that was used for meetings of the GDR’s rubber-stamp parliament, a 5,000-seat hall for party congresses and other mass functions, a restaurant and cafe, and even a bowling alley. At the dedication ceremony on April 23, 1976, the government heralded the Palace of the Republic as a true “house of the people.”

A panel from the GDR mural at the House of Ministries (formerly Reich Air Ministry)