SPD Proposes Stricter Regulation Over Expropriation to Address Berlin's Housing Crisis

In response to Berlin's escalating housing crisis, the Social Democratic Party (SPD) has outlined a regulatory approach aimed at compelling large landlords to maintain and improve their properties, as an alternative to expropriation. SPD faction leader Raed Saleh emphasized, "We do not want expropriation, we want regulation, and we want it to be drastic."

The SPD unanimously adopted a resolution demanding that landlords with large real estate portfolios invest in sustaining housing quality and energy-efficient renovations. Under these proposals, landlords would be prohibited from allowing properties to deteriorate.

Additionally, the SPD aims to cap profit distributions from real estate companies at 4% of their annual net rental income to prevent excessive profiteering. This approach contrasts with proposals by the Left and the Greens, which have suggested measures including expropriation, the "Affordable Rent Law," and special taxes on villa owners.

Saleh's regulatory strategy marks a distinct SPD stance focused on strict oversight rather than forced property seizure, reflecting a preference for obligations over expropriation to address Berlin's housing shortage and affordability problems.

The initiative indicates a legislative direction that mandates landlords not only to preserve but also enhance their properties, underlining the SPD's commitment to stabilizing Berlin's rental market through enforceable regulations rather than controversial expropriation policies.