Politics · Germany · 9 hrs ago

Germany proposes rules to restrict Berlin’s housing expropriation plans

Germany proposes rules to restrict Berlin’s housing expropriation plans

Germany’s interior minister, Alexander Dobrindt, has proposed a law to make Berlin’s planned housing takeovers harder.

Berlin’s Left party wants to take over landlords with more than 10,000 homes if it enters government with the Social Democrats and Greens.

Dobrindt’s plan would require compensation at full market value, paid immediately in cash.

It would also require proof that taking over the homes is necessary after other options have been exhausted.

An economist says those conditions could effectively end the plan, which already faces concerns about its cost to Berlin.

A legal scholar doubts the proposed law would survive constitutional review, though the reason for her view is not given here.

Any dispute could ultimately reach Germany’s Federal Constitutional Court in Karlsruhe.

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Michael VoigtländerEconomist at the German Economic Institute (IW)
Compensation must correspond to the market value, compensation must be paid directly and socialisation must be the last resort, meaning other measures must be exhausted.
via WirtschaftsWoche