After complaints by the current US administration our chancellor office announced 'only limited understanding' and 'skepticism about pursuing such plans', but has made perfectly clear, that a decision is not to make on the federal level. No word about forbidding anything. So if Obama would have insisted on using the Brandenburg gate, he most likely could have done so. It was his decision to use another place.
Furthermore I think Merkel's protest was only for the reason, that Americans don't perceive Germany as partisan in the US election. I have doubts, that Merkel really has a problem with Obama speaking at the Brandenburg gate. Speaking there is nothing you have to earn in Germany (see Westerwelle's 'Piesepampel' comment), but in the US. And being elected president qualifies for that.
And with the visitors, I think there will be the 100,000+ visitors. Gemach, gemach
However, I would be surprised if you didn't heard any of the lesser Union politicians using stronger language, and the reaction from SPD guys. Even FOCUS titles its article Koalition: Streit um Obama-Rede verschärft sich ( = [Governing] Coalition: fight over Obama speech intensifies).
Say, there was CSU boss Huber, who spoke as if only people with a role in Reunification have a right to speak there. He attacked foreign minister Franz-Walter Steinmeier/SPD (who praised Berlin's decision) for "chumming up to a likely favourite".
For the SPD's part, party secretary Hubertus Heil reminded in reaction to talk about a campaign event that Merkel herself campaigned in the USA during the 2002 federal elections of Germany.
I have doubts, that Merkel really has a problem with Obama speaking at the Brandenburg gate.
Me too. But she has to please the more Republican-oriented Atlanticists in the CDU/CSU. *Traitor*, n. A benighted individual who perceives an illusory distinction between serving his nation and abetting the criminals who govern it.