Gform, the grocery-anchored real estate management platform launched by Greenman Group two years ago, is bullish on further growth this year and expansion into other markets on the back of a wider market recovery.
Speaking to PropertyEU at Expo Real, Gform CEO James McEvoy said that the platform had been able to capitalise on investment opportunities, building on its ‘strong presence and deep-rooted relationships’ within the German food retail market.
‘We have observed an increase in transaction activity in our asset class during the first half of this year, and we anticipate further growth in the coming months. Lower interest rates could provide a favourable environment for dealmaking,’ he noted.
Gform currently oversees a real estate portfolio valued at over €3 bn, encompassing around 90 supermarket properties throughout Germany. The firm has links with leading German grocery retailers, including Edeka, Kaufland, and Rewe. Locations are selected according to factors such as population growth and future development potential.
Recent acquisitions include a €62 mln property purchased from German retailer Edeka, while further deals are in the pipeline which could be closed before the end of the year. ‘The positive feedback we received at recent industry events reinforces our optimistic outlook for the market,’ said McEvoy.
Explaining the appeal of food retail assets, he said they offered ‘a stable and sustainable investment opportunity’, as the properties are ‘essential to local communities, ensuring consistent demand and long-term income streams’.
While the current focus is on Germany, Gform has ambitious plans to expand into neighbouring European markets, he confirmed. ‘Our 10-year business plan outlines our strategy to replicate our successful model in these regions.’
The platform is also making strides in the area of ESG, in line with the green focus of its parent group Greenman. McEvoy anticipated that Gform will launch a pilot net-zero supermarket with a major German retailer by the end of the year. ‘By working directly with the grocer from the ground up, we can incorporate sustainable design elements and cutting-edge technologies,’ he explained.
For McEvoy, this year's Expo Real was noticeably more upbeat compared to 2023. ‘I believe the market is starting to show signs of recovery,’ he said. ‘Increased interaction and a renewed willingness to transact are positive indicators. Additionally, the presence of lenders at Expo suggests a growing appetite for real estate financing.
‘While the market may have changed, it's important to remain adaptable and focused. By staying informed and proactive, we can navigate the current landscape and capitalise on emerging opportunities.’
