Politics · Germany · 11 hrs ago
Berlin coalition plan targets large landlords for possible takeover
Berlin’s Linke, Greens and SPD agreed to pursue housing takeovers if they form the city’s next coalition.
The plan would apply to private companies with more than 10,000 homes in Berlin, while allowing them to keep 10,000.
The parties say about 160,000 homes could move into public ownership, with compensation for the companies capped at 16 billion euros.
They aim to stop rents from rising, as affordable homes are scarce and advertised rents have increased for years.
The parties also propose limiting annual rent increases in municipal housing to 2% and building 100,000 affordable homes by 2031.
A draft law is planned for mid-2028, and the parties expect the process to face court challenges.
Before coalition talks can begin, party bodies must decide whether to proceed; meanwhile, Germany’s building minister says the federal government is preparing a law to protect investment from housing takeovers.
Berlin’s Left, Green and Social Democratic parties have agreed to pursue the expropriation of large private housing portfolios if they form a coalition.
Their plan would apply to private companies with more than 10,000 Berlin homes, with compensation and the companies keeping 10,000 homes.
The parties say the plan could bring about 160,000 homes into public ownership and help stop rents from rising.
Federal Building Minister Verena Hubertz says the government plans a law to block housing expropriations, setting up a conflict with the proposed Berlin policy.
The Berlin parties plan to present a bill in mid-2028, with legal review and expected lawsuits likely to delay implementation.
- Who
- Berlin’s Left, Green and Social Democratic parties, and Federal Building Minister Verena Hubertz.
- What
- The Berlin parties plan to pursue the expropriation of large private housing portfolios. Hubertz says the federal government plans a law to block housing expropriations.
- When
- The Berlin parties announced their agreement on October 17, 2026. They plan to present a bill in mid-2028.
- Where
- Berlin, Germany.
- Why
- The parties say the plan aims to stop rising rents and increase public ownership of housing. Hubertz says expropriation does not solve the housing problem and could undermine investment.
Berlin coalition parties
Federal government represented by Verena Hubertz
Policy
Berlin coalition parties
The Berlin parties want to pursue the expropriation of large private housing portfolios, with compensation, to help stop rents from rising.
Federal government represented by Verena Hubertz
Hubertz says the federal government plans a law against housing expropriations and argues that building homes is preferable.
Assessment
Berlin coalition parties
Linke co-leader Elif Eralp said the plan could bring about 160,000 homes into municipal ownership.
Federal government represented by Verena Hubertz
Hubertz said expropriation creates no homes and would cost tens of billions of euros.
A majority of voters in a Berlin referendum supported socialising large housing portfolios, but the vote did not include a draft law.
Left parliamentary group leader Tobias Schulze said a draft expropriation bill should be ready within the first year and a half of a possible coalition.
Federal Building Minister Verena Hubertz said the government planned a law against housing socialisation.
Berlin’s Left, Green and Social Democratic parties agreed to pursue the expropriation plan if they form a coalition.
The three parties plan to present a bill on the proposed housing socialisation.
- Threshold
- Private housing companies with more than 10,000 homes in Berlin
- Homes affected
- About 160,000
- Companies
- Five large housing companies, including Vonovia
- Planned compensation cap
- 16 billion euros
- Planned bill
- Mid-2028
- Municipal housing rent limit
- Maximum annual increase of 2 percent
18 sources
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What people are saying
Vergesellschaftung löst das Problem nicht
It creates not a single apartment, while the costs run into the tens of billions.
I am a convinced democrat. And as a democrat, you know that you have to make compromises.
We do essentially nothing different from what property investors do: you take out loans and repay them from the income, that is, the rents.