How the City allocates commercial space

The selection process is based on a standardized points assessment.

As soon as a procedure is started, we send a mailing to all companies that have registered their space requirements with us or have asked the munich business company support team to help with their location search.  

You can register your space requirements at any time using our contact form. You will then be informed in good time and receive all the essential documents for participation by e-mail.

Our colleagues in the company support team will also be happy to offer you advice prior to the allocation of a plot. We will give you initial feedback on whether your spatial and functional plans are fit to be implemented on a specific plot of land. If you are interested, please contact firmenbetreuung@muenchen.de and send us your concept.

Once a selection procedure has been initiated, prospective tenants generally have 6-8 weeks to express their interest and submit the information required for participation. This is followed within 3-4 months by an internal administrative review and assessment of the information submitted, which is then presented to the Economic Committee in a City Council presentation. The city council decides on the administration's proposal on this basis.

When can a company start planning and submit a building application if the space is available?  

Once the decision has been made, all applicants will be notified whether the application was successful or not. The successful company can then start the contract negotiations, which are conducted by the municipal department. At the same time, the company can start planning and prepare a building application (Bauantrag). As soon as a building permit (Baugenehmigung) has been granted, the project can begin on the commercial property.

A leasehold gives you the right to use a property for a limited period of time - currently 40-60 years - without being the owner of the property (Section 1 (1) ErbbauRG). The exact conditions are agreed to in a contract. For the details please read our document "The contractual terms of the leasehold and the commercial ties" (pdf)

What are the costs of a leasehold?

Instead of a land purchase price, ground rent is payable for the leasehold. The amount of the ground rent is determined individually for each plot of land by the Valuation Office of the City of Munich.

What are the advantages of a ground lease?

The fixed ground rent can be paid either once at the beginning of the term or annually. The annual payment offers companies the advantage of using liquidity for the construction of the company building, machinery and equipment as well as for product development instead of for the purchase of the land. Leasehold thus offers the company a high degree of flexibility.

The requirements for a successful application are based on the building planning and building regulations for the respective property. For example, the Freiham & Riem Technology Parks can only be used by companies that want to realize stackable uses, e.g. in the fields of research and development, life sciences, information and communication technology.

Furthermore, the city imposes the following requirements on companies wishing to apply for a municipal commercial site:

•     Submission of a written declaration that the company's employees are paid according to or above the collective wage agreement, insofar as a collective wage agreement exists for the respective sector.
•     Willingness to install photovoltaic systems on at least 75% of the roof area

In the interest of equal treatment of all parties interested in locating here, the city council has defined uniform criteria on the basis of which prospective companies must be evaluated as part of a selection process for a municipal commercial property. In the procedure, a total of 99 points can be achieved from the three equally weighted areas. The individual areas are listed below with their respective point weighting:

•  labor market (. jobs and apprenticeships, company housing) - 33 points
•  economic strength (trade tax performance) - 33 points
•  environmental protection and ecological management - 33 points

In order to successfully pass the selection process, a minimum score of 10 points is required in each of the three areas (capping limit).

The criteria catalog “Award procedure for municipal commercial sites” (PDF for printing) linked here describes the conditions for the application in detail.

The Freiham & Riem Technology Parks were designed to offer companies from innovative sectors good development options. This range of space is therefore aimed at companies from research and development, life sciences and information and communication technology (ICT). Here, the city assumes that multi-storey buildings for stackable uses are planned and that a high-quality location environment is desired.

We would be happy to discuss whether your company is a good candidate for these lots.

The City of Munich also offers space for “traditional” manufacturing businesses - such as construction and installation trades, repair workshops, the automotive industry, logistics and others. Currently available commercial space can be found in Constanze-Hallgarten-Straße (Munich Obersendling) and Mauerseglerstraße (Munich Trudering), for example.

munich business - company support

Manuel Echter

Tel. +49 89 - 233 233 58firmenbetreuung@muenchen.de

E-Mail firmenbetreuung@muenchen.de