Overview

• Deutsche Wohnen & Co. enteignen presented a 20-page Vergesellschaftungsgesetz to socialize the Berlin portfolios of corporate groups owning more than 3,000 apartments, affecting about 220,000 units.
• The proposal excludes public, cooperative and religious landlords, counts only portfolios with at least 75% residential use, and allows each targeted group to retain 3,000 apartments.
• Compensation would range from roughly 40% to 60% of current market value, with the initiative estimating a total payout of €8–18 billion based on a model that discounts speculative land-price gains since 2013.
• Payments would be issued as tradable bonds with a fixed 3.5% coupon and 100-year amortization, which the initiative says would be serviced from rents rather than the Berlin budget.
• The draft now enters a feedback phase alongside work on a managing public entity (“Gemeingut Wohnen”), with a binding citizens’ referendum targeted no earlier than 2027 and legal challenges expected from the Senate and property companies.