Berlin Rent Freeze Gives Real Estate Stock Investors Cold Feet
- Tenant backlash leaves landlords facing an uncertain future
- Apartment stocks, once among top performers, are falling fast
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Berlin’s plan to freeze rents in the city for five years has spooked investors facing leaner returns amid a public backlash against big apartment owners, once among the best-performing stocks.
The combined market value of Germany’s 60 publicly traded landlords fell by about $8 billion in the second quarter, according to data compiled by the European Public Real Estate Association. The 7% decline from the previous three months was by far the worst performance among European countries.