The Munich City Council has designated new milieu protection areas in Schwabing-West and Laim. They hope to avoid luxury refurbishments and speculations.
Structural changes and conversions are only approved in the conservation statute areas in special cases. The city also has a right of first refusal on land in these areas. So it is harder to divide apartment buildings into condominiums and then sell them expensive.
New milieu protection areas are ‘Birnauer Strasse’ in Schwabing-West and three new areas in Laim, ‘Agnes-Bernauer-Strasse’, ‘Friedenheimer Strasse’ and ‘Pfarrer-Endres-Weg / Landsberger Straße’.
The milieu protection statute is intended to protect the milieu and to protect tenants from gentrification in a quarter.
Only in 2018, the city exercised its right of first refusal so often that it bought apartments for around 200 million euros, which were too expensive for private investors.