Berlin, as the capital of Germany, is facing a serious housing crisis, and leftist parties have proposed a radical response to this problem: seizing properties from large real estate companies that they believe have destroyed the city.
Property Seizure Plan
This plan is considered one of the most contentious issues in the elections on Sunday. The coalition of leftist parties is trying to oust the current conservative mayor of Berlin and possibly bring the first radical left mayor to power since the fall of the Berlin Wall.
Elif Eralp, the main candidate of the Left Party, says: "The housing issue is the most important social issue we face, and I have always said that if I become mayor, I will do everything I can to make Berlin affordable and reduce rents."
Support for the Plan's Implementation
The Left Party, which links part of its history to the Communist Party of East Germany, is seeking new support from young voters. This party has proposed a plan to seize properties from real estate companies that own more than 3,000 apartments. This idea enjoys widespread support in Berlin, which has a leftist history.
Nearly 60% of voters in a 2021 referendum supported the seizure of properties from large companies. Estimates suggest that the city could acquire up to 220,000 apartments at a maximum price of 60% of market value, totaling up to 18 billion euros.
Challenges Ahead
Stephan Ores, a candidate from the Christian Democratic Union (CDU), says that the fear of a leftist party victory has harmed the real estate market. He believes this debate hinders the construction of new apartments and raises rents.
The Greens, currently in fourth place, are the only party that fully supports the seizure plans and hopes to advance this initiative in coalition with the Left Party. Meanwhile, the Social Democratic Party (SPD), in fifth place, has emerged as a moderating force.
There are many legal and political challenges to implementing this plan. Although an expert commission concluded in 2023 that the seizure plan may be legally feasible, its execution will be difficult.
