Munich, March 19 – The Forum Schwanthalerhöhe, a shopping center located near the Theresienwiese, has been the subject of sharp criticism from its tenants, leading to a planned comprehensive repositioning. A study by the real estate consulting firm Ecostra ranked the center among the worst in Germany, prompting its owners, Hanseatische Betreuungs- und Beteiligungsgesellschaft (HBB), to introduce a new strategy focused on experience and leisure.
Shopping Center’s Poor Performance Revealed by Study
Opened in 2019, the Forum Schwanthalerhöhe, with space for 90 tenants across three levels, aimed to be a major retail destination. It houses a variety of stores, including dm, Hugendubel, Edeka, Lidl, H&M, and several gastronomic establishments. However, a study by Ecostra, which surveyed commercial tenants over a 15-year period, painted a grim picture of its success.
The center landed on the penultimate spot in a ranking of 237 shopping centers across Germany, receiving a dismal overall grade of 4.4 out of 5 from 48 commercial tenants. Only the Flair shopping center in Fürth scored worse with a 4.59.
Location and Concept Criticized by Expert
Joachim Will, managing director of Ecostra, offered a blunt assessment of the Forum Schwanthalerhöhe’s struggles. Speaking to AZ, he stated, “One wonders what it’s even doing there. A local supply center at this location is okay, but a shopping center of this size was not needed. It’s not even directly next to the subway.”
Will emphasized that people are unlikely to make a special trip to the Forum for shopping when the Marienplatz and the pedestrian zone, with their diverse shopping options, are only a few stops away. The poor tenant ratings, he explained, stem from the fact that the returns do not justify the location costs, such as rent and ancillary expenses.
New Strategy to Transform into an ‘Urban Meeting Place’
Recognizing the need for change, the owners, HBB, are implementing a comprehensive repositioning strategy. Center manager Vladimir Tinchev informed AZ that the Forum is set to transform into an “urban meeting place with a significantly stronger experience and leisure offering.”
The planned changes include the introduction of karaoke rooms, escape rooms, and additional sports and activity options on the first floor. A large experiential gastronomy area featuring the Hot-Pot concept ShooLoongKan is also slated to open on the ground floor, likely in April.
The center’s website is already promoting children’s activities, such as Easter bunny crafting and puppet shows, signaling a shift towards a more family-friendly and entertainment-focused environment.
Munich Shopping Centers in the Ecostra Ranking
The Ecostra ranking included 24 shopping centers from Bavaria. The Donau-Einkaufszentrum in Regensburg, opened in 1967, performed best among them, scoring 2.01 and ranking 11th nationwide. Among the five Munich shopping centers evaluated, the Pasing Arcaden secured the best position, ranking 5th in Bavaria and 32nd nationwide. The Pep ranked 9th in Bavaria (73rd nationwide), and the OEZ came in 13th (92nd nationwide).
Community Reaction and Future Outlook
The announcement of the transformation has garnered some initial reactions from the community. One commenter, HanneloreH, noted that the center has “improved by leaps and bounds compared to the past.” Another, kartoffelsalat, highlighted the challenging location, stating, “The location without a decent public transport connection and a one-sided catchment area for local supply is truly absurd.” This commenter further elaborated, “Apart from a few car drivers via the Bavariaring and a few residents in the immediate vicinity, nobody goes there voluntarily.”
The success of the new concept will depend on its ability to overcome the geographical and competitive challenges that have plagued the Forum Schwanthalerhöhe since its opening. The shift towards an experience-driven model aims to provide compelling reasons for both locals and visitors to choose the center over other established shopping destinations in Munich.
