The situation is getting tougher due to the Corona pandemic and growth in e-commerce and real estate in Germany.

A press conference was recently held with some industry heavyweights (held, appropriately for the times, online). This was to discuss the binding change and modernization of retail, shopping centers and department stores, along with the real estate in Germany. If they are going to survive – and hopefully thrive – in the future. There are considerable challenges before it becomes a reality. A bright light exists in the field. It is the retail field anchored in the groceries sector and mixed-purpose real estate trade with a focus on food. Where demand will continue to grow, as confirmed by the participants.

One participant summed up the situation as follows. “The emergence of the Coronavirus requires a differentiated assessment, in the field of retail more than in real estate of any other kind. On the one hand, retail revenue recorded annual growth of 8.2% in October, according to the Federal Bureau of Statistics. With sales of furniture, household appliances and building materials increasing by 14.2%. On the other hand, the apparel industry alone suffered 29% revenue losses during the first six months of 2020. This is in comparison to the second half of 2019. “