The big winners of the corona crisis are real estate investors. They did not run any risk while their tenants went bankrupt. Time to let them pay a lot.
Huge profits for real estate investors
More and more catering and retail businesses are on the brink of collapse due to the covid-19 related retail and catering closures. The contribution provided by the government is nowhere near sufficient. Meanwhile, real estate investors are making gold money. This is because they can borrow money cheaply due to the low interest rates.
The fact that we do not have to feel any pity for the owners of real estate is also evident from the prices for real estate. One store after another has to close permanently due to the lockdowns, while the prices for houses and investment properties break one record after another. Is it right that one entrepreneur has to survive by hanging and strangling - and often goes under - while the other entrepreneur, who enriches himself with speculation, can continue to reap the profits at the expense of the taxpayer?
What could this levy look like?
A major problem for entrepreneurs in the hospitality industry and the middle class is that they have to continue to pay the hefty rents for their buildings while there is no turnover. The government has stepped in with bridging aid, but this has only moved the problem. Namely, from the entrepreneurs to the treasury. A lot of money is still going out of the productive part of the economy to investors.
A law could be passed requiring retailers to reduce their rent by 50 percent as long as the corona crisis continues. For example, less government money is needed to keep companies afloat. This would keep the national debt under control.