Berlin, Germany - Officials Back Jewish Property Claim

Berlin, Germany - State asset authorities have approved a Jewish group's claim against KarstadtQuelle for the property in downtown Berlin seized by the Nazis and now worth at least 145 million euros (185 million dollars).

The Federal Agency for Unresolved Property Questions has ruled the heirs of the Wertheim retail dynasty - who were driven out of Germany by the Nazis in the 1930s - can reclaim the property, The property in question is on the Lenne-Dreieck on Potsdamer Platz and belonged to the Wertheim department store dynasty.

The claim involves 20,000 square metres of prime real estate on Berlin's prestigious Potsdamer Platz which is also claimed by the struggling department store and mail order giant KarstadtQuelle AG. 
Located at what used to be the Berlin Wall, the property was given for free by the city
government of Berlin to the KarstadtQuelle forerunner Hertie in the early 1990s.

The ruling by the Federal Agency shows that KarstadtQuelle was not the legal owner of the property.

A lawyer for the Wertheim heirs, Matthias Druba, called on KarstadtQuelle CEO Thomas Middelhoff to accept the ruling and not to begin any further lawsuits over the property.
But KarstadtQuelle plans to appeal the decision and will go to the Germanys highest court if needed, a KarstadtQuelle spokesman said. He denied reports that the disputed amount was more than 145 million euros ($186 million).

Shares of KarstadtQuelle fell more than 2 percent.