• Christoph von Schenck to head up E&V “Agriculture & Forestry”
Hamburg. Engel & Völkers is brokering agricultural and forestry properties in Germany with immediate effect. The “Agriculture & Forestry” offering by Engel & Völkers encompasses all real estate related to agricultural and forestry industries like, for example, winegrowing estates, private hunting grounds, forestry estates, farmland and meadow land. The addition of these specialist properties to its portfolio marks an extension for Engel & Völkers of its “Castles & Manor Houses” business segment, which has been managed since its founding in 2012 by Christoph von Schenck.
Annual transaction volume of around 2 billion euros
“In just two years, Engel & Völkers has successfully established itself in the relatively small market for castles and manor houses with a very high market share. With the brokerage of agricultural and forestry properties, we are now tapping into another strategically important market segment that has seen very positive development over recent years,” said Christoph von Schenck. The annual transaction volume of forestry and agricultural plots in Germany totals approximately 2 billion euros.
Historic estates such as manor houses and castles are in strong demand as investments offer high potential for appreciation in value. Increasing numbers of investors are discovering the promising prospects for future returns associated with the acquisition of heritage properties, due to the diverse range of commercial uses they offer. Such commercial enterprises include usage as company headquarters, a restaurant, hotel, conference or seminar centre, holiday apartments or an event venue. “Demand is especially high in cases where such properties come up for sale with the inclusion of woodland or an agricultural business,” said Christoph von Schenck.
Asset class sought after amongst farmers, investors and private buyers
Frequently, buyers are farmers and foresters who are looking to expand their current business operations. Capital investors and family offices are increasingly looking for agricultural and forestry properties to round off their portfolio with profitable agricultural and forestry investments. They also benefit here from the protection against inflation that such investments offer. In addition to investors, ever-greater numbers of private individuals are also realising the potential of this asset class. City dwellers, for example, are fulfilling their dream of owning a small rural recreation area of their own and holiday home for their family by purchasing vineyards. Hunting is also becoming an increasingly relevant factor. “For many private buyers, what begins as a hobby soon develops into a proper business model,” Christoph von Schenck reveals.
For Engel & Völkers, this is a particularly opportune time to enter into this specialist market. “A major generational shift is taking place in Germany amongst farmers at the moment. Large numbers of long-established businesses that are no longer able to compete due to their size, are being put on the market as a result,” said Christoph von Schenck. The increasing need for renewable raw materials and the general shortage of agricultural land resulting from the emergence of industrial estates and new housing developments, along with a growing global population, are making plots used for agricultural and forestry purposes a sought-after investment.
Brokerage beyond local borders offers added value for sellers
The buyer group for agricultural and forestry properties is rarely contained to the local region. Christoph von Schenck is registering the strongest demand from interested parties based throughout Germany and western Europe, as well as occasional clients from China. The market for agricultural and forestry properties in Germany is very fragmented and has, up until now, been handled exclusively by local specialist brokers. Engel & Völkers has a key competitive advantage here thanks to its international network and its access to an exclusive clientele. “By applying a systematic approach to brokerage that goes beyond local borders, we are in a position to offer agricultural and forestry properties to interested buyers all over the world,” Christoph von Schenck determines.
(Source: Engel & Völkers)
Engel & Völkers is now brokering agricultural and forestry properties in addition to historic estates, under the management of Christoph von Schenck.
For further information please contact:
ENGEL & VÖLKERS AG Princess Bettina Wittgenstein Head of Global Corporate Communication Stadthausbrücke 5, 20355 Hamburg Germany Phone: +49 40-36 13 11 20 Fax: +49 40-36 13 11 37 Bettina.Wittgenstein@engelvoelkers.com
About Engel & Völkers:
Engel & Völkers is one of the world’s leading service companies specialised in the sale and rental of premium residential property, commercial real estate and yachts. With its licence system, Engel & Völkers is the only Germany-based firm to rank amongst the top 100 franchise companies in the world.* Around 540 residential property shops specialised in high-class real estate and 60 commercial offices brokering office, retail and industrial space, investment properties, multi-purpose apartment and office blocks and property portfolios offer both private and institutional clients a professionally tailored range of services. Leasing, sales, consultancy and valuations form the core competences of the staff of around 5,000 employees. The Company is currently operating in 38 countries on five continents. Intensive training schemes in its in-house real estate Academy and the high level of quality assurance governing its systematically structured service provision are key factors that account for the Company’s success. In 2012, Engel & Völkers was named the most valuable property brand in Germany in the category “Property broker” by the European Society for Real Estate Brand Observation (EUGIMB). * Source: Franchise Direct “Top 100 Global Franchises Ranking 2011”