Blackstone has said it owns too small a chunk of the Copenhagen market to materially influence rents, an assertion that is backed up by the Danish Property Federation. It has also said it’s a long-term investor with a goal of improving the properties it owns, and that it complies with the law.
COPENHAGEN: Denmark’s plan to rein in short-term property speculators has backfired as the country’s pension industry rips into the proposal.
A plan that was initially intended to target Blackstone Group Inc. has ended up uniting Denmark’s investment community, after Housing Minister Kaare Dybvad proposed placing a 10-year moratorium on rent hikes tied to renovations. Local pension funds, which had set their sights on real estate to boost returns amid negative rates, say the law would choke investments.
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