The Influence of Rent Regulation on Institutional Real Estate Investors. A Panel Data Analysis of Returns and Investment Behavior on a Cantonal Level in Switzerland

Abstract

Switzerland's real estate market faces challenges due to rising demand, shrinking supply, and increasing rents. In response, cantons like Basel-Stadt and Geneva have implemented strict rent regulations. Institutional investors are increasingly confronted by these regulations and in the center of heated debates. This study analyzes the impact of these policies on investors' returns and investment decisions, exploring how they influence their behavior and financial performance.