The company’s task is to make optimum use of its real estate holdings
When German state railway, Deutsche Bahn, was privatised in 1994, the property assets were split and allocated to different companies. A total of 1.4m m2 was retained for operational purposes and is managed by DB Imm, a subsidiary of Deutsche Bahn.
Assets no longer required for the railway operation and all housing stock were transferred to the Bundeseisenbahnvermogen, where they remain under government control and are managed by Eisenbahn-Immobilien-Management Gesellschaft (EIM). The residential holdings were recently sold for DM 1.2bn to a consortium of ten public and private regional property companies.
Michael Monno, executive vice president of DB Imm, says: “We look after all aspects of corporate real estate management of the Deutsche Bahn group. This includes project and property management, facility management and real estate sales.”
DB Imm’s task is to make optimum use of existing offices of the different subsidiaries. In some cases offices have been relocated. “As new techniques are being developed in the railway transportation business certain areas are no longer required for the rail traffic infrastructure. Some of these sites are fairly centrally located and are available for redevelopment. As corporate real estate managers, it is our job to find an alternative use for these sites,” explains Monno. For example, in Mainz DB Imm developed an office scheme which it subsequently let to DB Cargo and sold to an institutional investor.
All DB’s real estate is zoned for railway use, and DB is the land-use planning authority for railway operations. However, as soon as sites cease to be operational, responsibility for planning decisions reverts to the relevant municipal department.
Many of the older stations are in prime city centre locations. DB is redesigning these termini, putting them underground and freeing up to half the site. Says Monno: “We will only look at redevelopment options if they are commercially viable. Often the sites have to be cleared of waste and railway tracks and these costs will have to be included in the site purchase price.”
Stuttgart is one example where a marshalling yard has been released, providing redevelopment potential for 1m m2 of prime downtown real estate and increases the adjacent central business district by 40%. The first phase of the project, Stuttgart 21st Century, comprises 160,000 m2 and work on it will start next January. Later phases starting in 2010 will liberate a further 600,000 m2 area.
Phase one will provide a gross floor area of 480,000 m2 of shopping, entertainment and restaurant facilities plus offices and housing on the upper floors. DB has also prepared similar proposals for other cities such as Berlin, Hamburg, Munich, Dusseldorf, Dortmund, Ulm and Karlsruhe.
|
area under management |
14.3 bn m2 |
|
staff |
1200 |
|
head office |
Frankfurt |
|
branches |
39 |
DB Imm
Morfelder Landstrasse 55
60598 Frankfurttel: +49 69-265-28010
fax: +49 69-265-28019
