That is true for the overall stock (to my knowledge about 2/3 in private hands), but there is still a correlation between the regions where a large share of rental apartments are indeed in public hands or owned by private companies and regions where the housing shortage is particularly severe.
E.g. Berlin: there (as of 2019) 60% of the stock belongs to professional owners and of that 50% to private companies.
That is certainly the extreme example, but in other metropolitan areas and metro regions the trend is at least similar, especially in Hamburg and M.
In this respect, a mandatory exchange assumption without rent increase could actually make a difference there.
The problem in the recent past was more about how interested parties find each other. I think there are now many possibilities and, for example, an offer from the municipalities could help.
Is that the big gamechanger? Certainly not, but it is one adjustment wheel among many and you cannot tackle only one thing at a time. Above all, it initially costs nothing but the effort to make the law, possibly later something for the platform of the exchange market.
We also have to get going. The constant braking by naysayers harms more than progressive ideas that perhaps do not solve 100% of all problems.