Economics

Berlin Rent Freeze Is No Solution for Booming Lisbon, Costa Says

  • Portugal is seeking to end ‘golden visas’ in Lisbon and Porto
  • Country’s previous attempt to control rents stymied investment
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Berlin’s imminent five-year rent freeze is no solution for booming Lisbon, left scarred by underinvestment in its buildings after the city pursued a similar policy, Portuguese Prime Minister Antonio Costa said.

Home prices in the Portuguese capital have doubled since 2012, when the previous administration eased long-held rent controls. The restrictions discouraged owners from improving their properties, and critics of Berlin’s clampdown on landlords claim the same thing will happen there.