It's only 185.220.100 [0] and 185.220.101 [1] that contain all those relays. Some of the bigger German families work together as "Stiftung Erneuerbare Freiheit" that's why you see a big cluster there. But Tor never uses relays in the same /16 for a circuit so it's not really an issue.
[0] https://metrics.torproject.org/rs.html#search/185.220.100 [1] https://metrics.torproject.org/rs.html#search/185.220.101
Correct. "Stiftung Erneuerbare Freiheit" acts as LIR in charge of the address space, handing out chunks of that space to exit relay operating non-profits for free, but does not operate any Tor infrastructure themselves and has no visibility into the traffic. The cost for us are the RIPE membership fees (approx 2000€/yr).
Source: I'm its director and founder of torservers.net. Usually using a different nick here.