Friedrich Kugler was quite taken with the investor’s demeanor at the introductory meeting: “Mr. Büschl is a very smart man.” But Kugler is still not convinced of his plans for the construction of a new wholesale market hall. On the contrary, he is certain: “The project will not turn out the way it was presented to us.”
Friedrich Kugler, 53, has been working at the wholesale market since he was a teenager. His Biotiv GmbH trades in fruit and vegetables. He is one of 30 to 40 people from the wholesale market who came together for a meeting on Wednesday. The reason was that Ralf Büschl, Chairman of the Advisory Board of the Büschl Group, together with his Managing Director Frank Jainz, wanted to outline his thoughts on the new building project, which envisages a combination with residential construction on top, to potential future tenants.
“I think the whole thing is unrealistic,” says Kugler. He doesn’t believe that Büschl will be able to complete the massive construction project on Schäftlarnstrasse in Sendling in the timeframe set by the city until 2030 and then also offer the promised low stand rents. Kugler predicts that even a portion of today’s dealership would make the move, as many of his peers reached retirement age by the end of the decade.
Other listeners on Wednesday, with whom the SZ spoke, but who did not want to be named, share Kugler’s skepticism. One raises the question of what will actually happen if the Büschl Group announces in the course of construction work in a few years that the calculation will not work out. “Then there is no way back for the city, and Büschl could put pressure on them and force a reduction in ground rent or a subsidy on stand rents.” The retailers are also concerned with the question of how the wholesale market will continue to operate during the years of construction work.
However, the operators of the approximately 200 companies in the wholesale market traditionally do not have a uniform opinion. For example, Günther Warchola, President of the Bavarian Fruit Trade Association, the largest local interest group, is said to have a positive attitude towards the Büschl project. In a phone call on Thursday, he declined to comment.
In July, after a Europe-wide tender, the Büschl Group from Grünwald was awarded the contract as an investor for the new construction of the wholesale store. The city had previously commissioned the wholesale market company UGM with the project. But that was overwhelmed. As a result, the Büschl Group, which is one of the largest private housing developers in Munich and is planning a city quarter with two 155-meter towers at the Paketposthalle, bought UGM and got involved in the wholesale market project. It was also the only company that had submitted a suitable application for the job advertisement.
The next official step is that the municipal department and planning department should compile “all functional, planning and contractual framework data” by the city council meeting in January 2023. This is what it says in the minutes of a jour-fixe between the municipal department and dealers from the beginning of August, which is available to the SZ. There it also says: “Due to its performance, professional suitability and the necessary wholesale market expertise, the Büschl Group meets all the requirements for the implementation of the new wholesale market hall project.”
What the Büschl Group cannot influence are factors such as rising construction costs and interest rates on loans, which have caused great uncertainty in the construction and real estate industry in recent months. In many places, large projects are being recalculated, put on hold or even overturned. But the Büschl Group is unimpressed. One sees “due to the current market development no new, previously unassessed risks,” explains a spokesman.
They did not want to comment on the date on Wednesday because it was “under the seal of confidentiality”. “In the current, early planning stage” one cannot give any more precise information about the concept or timing. But the spokesman adds: “In order to find out and take into account the wishes of our dealers, we will continue to maintain a close dialogue in the future.” In about two months, the listeners reported on Wednesday, the Büschl Group wants to present details of its planning.