LEASEHOLD PROPERTY: ATTRACTIVE INVESTMENT OPPORTUNITIES WITH DIVERSE RISK DRIVERS

The German leasehold law became effective on 15 January 1919, celebrating its centenary back in 2019. The original intention was to deal with scarce living space in rural areas, as a result of returnees and refugees during and after the First World War. Heritable building rights would enable people with little income to own their own homes and prevent land speculation. One hundred years after its invention, the most common use of leasehold is still to build residential property. However, the …