Rents in Berlin will be frozen for five years under a new law targeting the housing crisis in the German capital.

The legislation which was passed by the state senate earlier this week following an agreement between The Left Party, the Social Democrats and the Green Party, applies to 1.5 million apartments in the city.

It limits rents to a maximum of €9.80 per square metre excluding bills, at a time when the current average rent stands at €11.60.

Tenants will also be able to sue landlords to reduce rents if they are above the cap, while landlords face restrictions on their ability to raise prices

Although the legislation still requires state parliament approval, it is expected to come into force at the beginning of 2020.

First pictures of the polar bear cub born in Berlin Zoo Show all 30 1 /30 First pictures of the polar bear cub born in Berlin Zoo First pictures of the polar bear cub born in Berlin Zoo The first pictures have been released of a polar bear cub that was born in Berlin's Tierpark Zoo on December 1. AP First pictures of the polar bear cub born in Berlin Zoo The pictures were taken after the cub's first veterinary examination which revealed that the 11-week old is a female. AP First pictures of the polar bear cub born in Berlin Zoo She is yet to be named and the zoo says that a name will not be announced until the cub and her mother Tonja are ready to make their first public appearance. AP First pictures of the polar bear cub born in Berlin Zoo In recent years Tonja has given birth to two other cubs, though both died in infancy. Tierpark director Dr. Andreas Knieriem says that "infant mortality in polar bears is extremely high, especially within the first ten days of life. However we are all staying positive and keeping our fingers crossed for Tonja." AP First pictures of the polar bear cub born in Berlin Zoo The pair have been living together in a birthing den where Tonja can raise her cub in privacy for the first few months. AP First pictures of the polar bear cub born in Berlin Zoo Knut Knut, a polar bear at the nearby Zoo Berlin became hugely famous in 2006 when he was rejected by his mother at birth. He was able to survive by artificial incubation and developed a close relationship with his keeper. Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays at the Berlin Zoo in March 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays at the Berlin Zoo in March 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays at the Berlin Zoo in March 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut rests in his den at the Berlin Zoo in March 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut in March 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays with his minder during his first public outing on March 23 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Photographers struggle to get a view of Knut at his first public appearance on March 23 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut on his first public outing on March 23 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut on his first public outing on March 23 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays with his minder during his first public outing on March 23 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut nuzzles with his minder during his first public outing on March 23 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays with his minder during his first public outing on March 23 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut in March 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut in March 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut at six months old plays with his keeper on June 22 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut at 11 months old in November 2007 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut on his first birthday on December 5 2007 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut bathes, January 2008 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut plays in hay in January 2008 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut at two years old in September 2009 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Polar bear Giovanna joins Knut in his enclosure in September 2009 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut and Giovanna, on loan from the Munich Zoo, play together in January 2010 AFP/Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut and Giovanna nuzzle in January 2010 Getty First pictures of the polar bear cub born in Berlin Zoo Knut Knut and Giovanna nuzzle in January 2010 Getty

Katrin Lompscher, the senator for urban development and housing who proposed the legislation, said it was “good news for Berliners”.

She added: “In the next five years, tenants no longer have to fear losing the roof over their heads due to exincorbitant rent increases or high modernization costs."

Berlin, which was known for low rents after the wall came down in 1989, has seen sharp rises in prices since the 1990s and now has the lowest rate of home ownership in Germany, at just 18 per cent.

Many have been forced to move out into the suburbs.

By 2016 the lack of affordable housing prompted the city government to pass legislation aimed at preventing apartments being left empty by property speculators or rented out to tourists using Airbnb and other services.

The latest legislation sets out a “rent table” with different limits set depending on when the property was built, beginning at €3.92 per square metre for pre-1918 properties with heating and without a bath.

It does not apply to new buildings constructed since 2014 and permits increases for “modernisation measures” and in case of economic hardship of the landlord.

However, the real estate industry and opposition politicians have criticised the bill, suggesting that the government should instead focus on the construction of new apartments.

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Some experts also suggested it would encourage a black market in housing and discourage landlords from maintaining their properties.

“Then the plaster crumbles from the ceiling and the bathroom looks like hell,” Harald Simons, director of the Empirica research institute, told The Local website.