Lars von Lackum: "A rental apartment is never just an asset".
The head of the real estate company LEG explains why his visit to dilapidated East German housing stock has left an impression on him and why the rental market is currently stuck in a vicious circle.
Lars von Lackum, CEO of LEG Immobilien, a German housing company, has identified the largest untapped potential in the real estate industry as the existing housing stock. He believes that both decarbonization and utilizing existing apartments can be achieved here. However, he thinks that current regulations artificially keep rental prices low for existing apartments, while new rentals have significantly higher prices, creating a gap that makes it difficult for people to move.
This situation leads to a vicious cycle where project developers are unwilling to build new apartments at the current rental levels.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
