Following an extraordinary meeting of the board of directors, the major German landlord said Stefan Brendgen would replace Kirsten with immediate effect.

Adler, one of Germany's biggest landlords, is fighting a liquidity crisis, triggered by a downturn in the domestic property market, rising energy and building prices caused by Russia's invasion of Ukraine and the fallout from the COVID-19 pandemic.

"Adler is stabilized and can determine its own future, albeit in an extremely difficult market environment," Kirsten said after the meeting, adding that doctors advised him to avoid endangering his health.

Kirsten, a former Thyssenkrupp and Vonovia board member, replaced the previous chairman in 2022 after British short seller Fraser Perring had raised doubts about the company's accounting methods.

Shares of the stock rise 3.4% at 0915 GMT.

(Reporting by Matthias Inverardi; writing by Anastasiia Kozlova and Amir Orusov; editing by Bartosz Dabrowski and Rachel More)