Conversion and privatization

The conversion of rental apartments into condominiums opens up the possibility of selling the apartment building “slice by slice” or apartment by apartment, which of course promises significantly higher returns than selling the building as a whole.

The previous landlord or owner has no special right of termination if he wishes to convert. The conversion itself is a purely formal act and practically only takes place in the land registers.

Once the conversion has been carried out, nothing initially changes for the tenants. However, the previous owner and landlord will often try to sell the apartment.

The converted tenant then has a statutory right of first refusal. However, this does not mean that the tenant has to buy the converted apartment immediately at the price quoted by the landlord. Tenants have the right to wait with their purchase decision until the apartment has been sold to another prospective buyer. Only when a detailed, notarized purchase agreement between the seller of the apartment and a buyer is presented, which must of course also include the specific purchase price, must the tenant of the converted condominium decide whether to buy. And they must do so on the terms set out in the notarized purchase agreement. The tenant therefore has the right to enter into the purchase agreement concluded with the third party as the buyer. The tenant has a consideration period of two months.