For the referendum on “Expropriate Deutsche Wohnen & Co” in Berlin, a majority of yes-votes is emerging after the counting has started.
In the Berlin referendum on expropriations from real estate groups, after counting more than half of the votes, a majority of yes-votes emerges.
According to the website of the regional returning officer, approval was 57 percent, while there were around 38 percent no votes. Under the title “Expropriate Deutsche Wohnen & Co”, Berliners were able to vote on whether large housing groups with more than 3,000 apartments should be expropriated.
If the referendum was successful, the Berlin Senate would be called upon, according to the text of the resolution, to “initiate all measures” that are necessary for the transfer of real estate to common ownership and to draft a law for this purpose.
Around 240,000 apartments affected
Specifically, the project, which is so far unique in Germany, involves companies with more than 3,000 apartments in Berlin, insofar as they pursue an “intention to make a profit”. These are to be socialized, i.e. expropriated against compensation and transferred to an institution under public law. Around 240,000 apartments would be affected, around 15 percent of Berlin’s rental housing stock.
The vote is not legally binding on politics. Because a specific bill was not voted on. Nevertheless, the new Senate and the newly elected House of Representatives will have to deal with it.
Rise in rent should be stopped
The “Deutsche Wohnen & Co expropriate” initiative, the initiator of the referendum, believes that it will be able to stop the rise in rents and secure affordable rents in the long term with the help of the socialization of apartments. Whether the Berlin Senate will now draft such a law is open and depends on the political composition of the new state government. The SPD, CDU, AfD and FDP are – like business – against expropriations. The left is in favor of it, with no ifs or buts, the Greens consider such a step “as a last resort” to be possible.
According to forecasts by the Senate, the compensation costs would amount to 29 to 36 billion euros. The expropriation initiative, on the other hand, expects 7.3 to 13.7 billion euros. She does not want to compensate the real estate company with money, but with bonds, which are then repaid over 40 years from the rental income. In any case, such a project should end up in the Federal Constitutional Court. Berlin last failed there in April with the rent cap, i.e. state-imposed upper limits for rents.
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