Communism in Berlin: Senator Lompscher (PDS / Linke) may demand landlords soon only a maximum of 8 euros rent per square meter.
Living in the chic old building on the Ku’damm and in the prefabricated building in Marzahn-Hellersdorf? For Berlin’s city development senator Katrin Lompscher, this will hardly play a role for rents soon. At least in terms of rent. Your rental cover provides for a ceiling of just under eight euros per square meter for almost all leases, regardless of the location of the apartment. In the GDR, this idea was subsidized with taxpayers’ money. 30 years after the supposed end of socialism in Germany, this is done through quasi-expropriations.
Depending on the age and equipment of an apartment, the net cold rents should be a maximum of 3.42 to 7.97 euros per square meter.
For a GDR prefabricated building then a maximum of 5.64 euros may be required, for a built before 1918 and only ten years ago elaborately renovated Wilhelminian style in Bestlage Charlottenburg, there are then only 6.03 €. A maximum rent of € 7.97 may be requested in residential buildings built between 1991 and 2013. Allowances of up to 20 percent should be allowed if modernized in the last eight years. Rents that exceed these limits should be able to lower the tenants on applications at the district offices and can reclaim the overpaid rent from the application.
In mid-June, the Red-Red-Green Senate of Berlin had agreed to freeze the rents that had risen sharply in recent years for five years to the level of June 18, 2019, with the exception of new buildings that were ready for occupancy from January 1, 2014. and publicly funded housing.
This nonsensical regulation has already led to a dramatic decline of the building fabric in the GDR. Renovation and rental will not be worthwhile anymore. There will be increased distress sales and foreclosures. Benefit will be speculators who buy the insolvent private landlords their unprofitable real estate for a ridiculous price, let them rotting until the tenants voluntarily take off and then rent to a clientele that can not or may not make any claims.
Red-red-green has a lot of imagination when it comes to expropriation and regulation of landlords. The real problem, the creation of new housing, through incentives and deregulation they do not create.
Do youl remember the GDR?