The Federal Minister for Building, Verena Hubertz of the SPD, has rejected the proposed socialization of large private real estate companies in Berlin. According to her statements to the “Tagesspiegel”, the debate surrounding ownership transfer is unsettling the construction and real estate sectors and, she argues, is ultimately unhelpful. Hubertz contends that socialization schemes fail to generate new housing, whereas investments do.
The subject is resurfacing in Berlin during the current campaign period. In 2021, a successful popular vote saw approximately 59 percent of voters supporting the socialization of real estate firms owning more than 3,000 apartments in the city. With the House of Representatives election scheduled for September 20, the issue remains highly relevant.
Similarly, Theresa Schopper, the Minister for Building in Baden-Württemberg (Greens), has signaled her opposition to the Berlin plans. She told the “Tagesspiegel” that Germany’s primary need is an increased supply of housing, allowing affordable and attractive properties to enter the market. Schopper warned that such a massive market intervention could backfire, stressing that businesses should not lose confidence in Germany as an investment location.
However, this position contrasts sharply with the stance of the Berlin Greens. Philmon Ghirmai, the Greens’ state leader in Berlin, reaffirmed his support for the “Nationalize Deutsche Wohnen & Co.” initiative. He stated that the Greens have supported the implementation of the successful popular vote since the beginning and maintain their commitment to it. Ghirmai criticized the SPD and CDU (Schwarz-Rot) for delaying necessary steps over many years.
Despite supporting the initiative, Schopper advises the future Berlin Senate to prioritize alternative approaches. The green minister concluded that the most effective measure would be additional housing to ease market pressure, pointing out that Berlin has not demonstrated sufficient momentum in housing construction so far.
