Email of the day (2)
Comment of the Day

June 10 2010

Commentary by Eoin Treacy

Email of the day (2)

on potential headwinds for investing in German property
"Just a quick comment regarding subscribers requests for information on German property investments. In connection with publicly traded real estate investments, a new law is in process of being hammered out. It is expected to go in effect in the coming year. If I understand the gist of the matter correctly, liquidity of fund shares will be curtailed, redemptions may be limited to once or twice per year. There may be more by the time Berlin is through with it. Current uncertainty has brought additional jitters into this sector.

"I've not been able to find a story in English, so will link to a recent article in the Frankfurter Allgemeine Zeitung:

"Anyone interested in the German property sector may want to look further into details as they become law to avoid unpleasant "surprises" in the small print.... Hope this is helpful!"

Eoin Treacy's view Thank you for this informative email highlighting the potential regulatory headwind for those interested in investing German property. I am moving this email into the Forum where subscribers may wish to continue this discussion.

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