Fire in the Northern Alps is comparatively rare. Yet, previous human-ignited fire events in subalpine forests up to the treeline have triggered severe fire damage to vegetation and soil. Here, we investigate post-fire vegetation dynamics in the Northern Limestone Alps about 80 years after disturbance. We observed higher species richness in burned compared to unburned vegetation and clearly distinct floristic communities emerging after fire-driven forest removal, with several alpine specialist species uniquely found in the burned subalpine sites. The functional composition of vegetation was also distinct, with higher relative forb cover in burned plots. This difference was likely driven by disturbance-related environmental changes, such as increased light availability, offering safe sites for subalpine and alpine species. Due to a general lack of tree encroachment, we consider this a case of arrested succession after fire. We conclude that the recovery of fire-affected subalpine forests is modulated by complex interactions of climatic and biotic filters producing extreme site conditions, controlling the recolonization of the disturbed areas by forest species while providing safe sites for the establishment of a rich subalpine and alpine low-statured flora. The coupling of disturbance and abiotic filters makes high-elevation treeline ecotones very vulnerable to climate change.