Merz to ban housing expropriation after die Linke win Berlin

Federal Chancellor Friedrich Merz plans to rapidly implement a nationwide prohibition on housing expropriation following die Linke's victory in the Berlin state election on September 20. Die Linke, a left-wing party, secured 25,7 percent of the vote, reclaiming a mandate to pursue expropriation plans. Merz, representing the CDU, stated that legal clarity and financial feasibility would be crucial at the federal level to maintain Germany's attractiveness for property investors.

However, an expert panel appointed by the previous coalition concluded that expropriation would not financially burden the state government, as it wouldn't have to pay the current market price to buy back the flats. They also emphasized that constructing new affordable housing was not a long-term solution. Berlin Tenants' Association spokesperson Franziska Schulte criticized the warnings against rent regulation and nationalization, stating that private developers continue to build in Berlin, but the crucial issue is the creation of affordable housing for Berlin's residents.