Munich might be the company’s local playground, but over the past 50 years Münchner Grund Immobilien Bauträger GmbH has continuously expanded its presence in major cities throughout Germany, operating sales offices not only in Munich but also in Berlin, Frankfurt and Hamburg.
Next on the company’s agenda are further developments in Stuttgart and Düsseldorf. “We have established ourselves as one of the leading names in project and property development in all parts of Germany. Our focus is clearly on commercial, office and residential objects,” points out Christian Berger, Managing Director of Münchner Grund Immobilien Bauträger GmbH. “As we can fall back on more than 50 years of experience in the property development market, we have become a highly sought-after partner to private residential buyers as well as to international and institutional investors, including large pension funds, insurers and real estate funds.”
The Munich-based company was founded 50 years ago and has gained broad recognition, especially in and around Munich, Frankfurt and Berlin. “Since May 2015 we have expanded considerably through the merger of Münchner Grund Immobilien Bauträger AG with our sister company Strauss & Partner Projektentwicklungs GmbH,” continues Mr. Berger. “This merger has enabled us to further strengthen our market presence in Germany. We really complement each other due to our different focal points and market expertise when it comes to construction projects for residential and office buildings.”
Being part of the Austrian UBM Development AG, a real estate developer with a strategic focus on the three asset classes – hotel, office and residential – will bring about some changes in June 2018 when all European subsidiaries will be renamed UBM companies. Consequently, Münchner Grund will soon operate under its new name UBM Development Deutschland GmbH.
The parent company, UBM Development, is listed on the Vienna Stock Exchange and, apart from its concentration on the three home markets of Austria, Germany and Poland, it has set up further subsidiaries and project companies in the Czech Republic, France, the Netherlands and Croatia.
Today, the entire group realizes a total volume in investments and projects of 1.2 billion EUR, with Münchner Grund alone generating between 300 and 500 million EUR per year. The project and property developer has realized a large number of high-quality, sophisticated and profitable properties for both private customers and investors and, according to official and current industry analysis, it ranks among the leading top ten real estate project developers in Germany.
“We consider ourselves a very well-positioned player, as we successfully carry out construction projects in Germany’s most important city areas,” says Mr. Berger. “We have set up optimum regional networks, which is very important in our business. This principle applies more than ever before when it comes to planning and building. Even at the construction site development stage and during the approval process, important points can be set for the project in progress. At all construction stages, it pays off to join forces with a partner which has proven itself on more than 100 projects.”
Münchner Grund offers all services from a single source, from design and planning to development and construction to sales and letting. “The development and implementation of large projects usually takes several years. It really pays off if the supervising experts know the project inside out and accompany it through to the end. The continuously acquired knowledge reduces the risk of surprises at later stages,” stresses Mr. Berger. “Even evaluation and acquisition of the property, profitability analyses, financing up to turnkey handover to investors and buyers are now part of our job.”
Münchner Grund covers the entire value chain. As it does not keep any of the buildings in its portfolio, it generally acts as trader-developer. “Our range of services now completely covers the office, residential and hotel property market segments. Our team consists of employees who have been working for us for many years. They know their job and ensure smooth processes and efficient interaction between the individual areas,” stresses Mr. Berger.
For large construction projects of commercial and hotel buildings, Münchner Grund cooperates with international real estate consultants, while for condominium projects it focuses on classic media and internet portals for apartments and real estate.
In the past years, the company has realised a number of prestigious large-scale projects, including the Steigenberger Hotel Berlin at Berlin’s Central Station, Zalando’s new Berlin headquarters, the Trikot office complex in Munich as well as various Holiday Inns in Frankfurt and many other projects in major German cities.
“It is fun and it makes us proud to consider these projects as our own ‘babies’ and to plan, construct and finish them as major landmarks in a townscape,” says Mr. Berger. “In some cases, you drive by every day and see and observe the events and developments in the townscape around these visually attractive buildings.”
In the coming years, Münchner Grund will continue its successful path in property development even though it has to adjust to changing legal prerequisites imposed by the government. Right now, it takes up to twelve months to get a building permit, despite politicians’ promises to speed up building projects. This is an intolerable financial burden for the construction industry and only one example to demonstrate that there is still a great deal to do for Münchner Grund.