BERLIN: The German government said Wednesday it will shut down a Berlin hostel after it emerged that the site is North Korean embassy property and had been leased in violation of UN rules.

Located downtown next to the gated North Korean embassy, Cityhostel Berlin offers dorm beds for as little as 16 euros ($17) a night.

But it came under scrutiny after German media reported that the North Korean embassy was not just the hostel’s neighbour but also owner of the prime real estate.

Rented out since 2004, the property fetches Pyongyang some 38,000 euros per month in rent, public broadcaster ARD said.

Foreign ministry spokesman Martin Schaefer cited a UN Security Council resolution that requires member states to only allow “North Korean foreign representations to carry out diplomatic and consular activities”.

“Any kind of commercial activity on the site of the embassy or in relation to the embassy is prohibited,” he said.—AFP