🇩🇪 Berlin wants to take over 144,000 apartments from private landlords. And pay them BILLIONS less than they're worth on paper.
Die Linke, which won last month's election, is negotiating with the Social Democrats and Greens to bring the properties into public ownership and curb soaring rents.
Any company owning more than 10,000 apartments in Berlin would have to give up every flat above that line, with legislation planned for 2028.
And here's where things get VERY expensive.
Berlin wants to cap compensation at €16 BILLION, roughly €100,000 per apartment and more than 40% below what the landlords have them on their books for.
Europe's biggest landlord, Vonovia, faces an especially nasty hit.
Its 120,000 affected flats are valued at €20.4 BILLION.
Berlin would pay roughly €12 billion, leaving an €8.4 BILLION gap, equivalent to about 60% of the company's entire market value!
Vonovia’s CEO calls the plan “unconstitutional,” and a rival landlord warns Germany becomes “uninvestable” if it goes through.
Berliners voted for the idea back in 2021, and the city's housing shortage remains severe.
Berlin has a housing crisis, angry renters, and now some VERY angry billion-euro landlords. What could possibly go wrong, right?
Source: FT / Writer: Julie
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Sniper 🇦🇺 @JoshMichalski ·
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@MarioNawfal Seize 144,000 apartments for billions less than they're worth and no private builder touches Berlin for a decade. Fewer homes, higher rents. Don't give Labor ideas.




































