Real estate developer Gerch Group has acquired a major redevelopment opportunity at the site of the former police headquarters in Frankfurt, for €212 mln.
The Dusseldorf-based developer purchased Altes Polizeipräsidium (Old Police Headquarters) from the German state of Hesse. The sale ends over 15 years of uncertainty and debate about the 15,000 m2 site. Many buildings have been vacant since the police department moved to new premises in 2002.
Gerch Group intends to invest about €800 mln in the site over the coming years to convert it into a mixed-use scheme, comprising of apartments, office space, a hotel, a school gym and a day-care facilities.
BNP Paribas Real Estate, acting on behalf of the Federal state of Hesse, launched the marketing and sales process for one of the largest redevelopment sites in Frankfurt last autumn.
Over 40 expressions of interest were received for Altes Polizeipräsidium. 'The high number of serious prospects reflects the great interest of national and international investors who want to invest in Frankfurt am Main,' said Oliver Barth, managing director of BNP Paribas Real Estate and Frankfurt branch manager.
Altes Polizeipräsidium is located on the Friedrich-Ebert-Allee / Mainzer Landstraße, at the junction of Westend, Bankenviertel and Europaviertel. The site was inaugurated as the headquarters for the city's police in 1911. The department moved out in 2002. Some of the buildings on the site are registered monuments, while others can be demolished.
Urban planning
The City of Frankfurt was closely involved in the sales process. Five bidders presented their respective urban planning concepts to the city's planning department. Gerch Group emerged as the winner, with its concept described as 'as realistic, convincing and particularly suitable for a goal-oriented cooperation.'
Hesse's finance minister Thomas Schäfer, this related to the allocation of 40% of the floor space to housing, with 30% for subsidised accommodation. There is also allocation for a school gymnasium, the furnishing of crèche and day-care centre. There is also agreement on an urban planning and architectural competition procedure in which the city of Frankfurt will be expressly involved.
Gerch Group said that it w ill coordinate the further procedure for the €800 mln development with the offices of the city of Frankfurt in the coming weeks. Due to the still pending construction law and conceptual issues, the developer is currently scheduling the start of construction for 2022. Completion of the overall project is scheduled for 2026.
