District Biberach in BW. They could then repurchase the property at the original purchase price. However, they would probably be left with the tax and notary costs.
Maybe a little explanation.
1. According to the Land Mobilization Act of 2021, the municipality has improved options to exercise its municipal pre-emptive right.
2. The period is now three months.
2. Even if you buy above the market value (in case of doubt assessed based on the standard land value plus adjustments), the municipality can set a lower purchase price when exercising its pre-emptive right – but not below the market value.
3. Consequences of the pre-emptive right are that a new purchase contract is concluded between the seller and the municipality. There is no entry into the purchase contract concluded with you. This contract is unwound.
==> Thus, regarding your comment on costs: there are no taxes for you since you have not bought any property. Whether you get back the notary costs is not yet finally clarified. However, the Federal Court of Justice has already decided that the municipality must reimburse the broker's fees. So there are at least quite good chances.
4. However, the buyer of a property has the right under certain conditions to avert the pre-emptive right. He must then commit to meet the municipality’s objectives (development within x years, certain ecological requirements, or whatever). In practice, detailed aversion agreements in the form of public-law contracts are actually very often concluded, which (unlike the unilateral declaration of aversion) sometimes go far beyond the legally prescribed purpose of aversion and also include securities for the municipalities in case of performance disruptions.