In a striking display of strategic expansion, Central Group has finalized the acquisition of a prestigious real estate firm that owns the iconic Kadewe Department Store in Berlin’s prime shopping district, Tauentzienstraße. This acquisition not only underscores Central Group’s robust investment in the luxury retail sector but also positions it as the sole proprietor of the celebrated Kadewe property.
Founded over a century ago, Kadewe is the epitome of luxury and the largest department store in Germany, boasting an expansive 60,000 square meters retail space. Annually, it attracts more than 8 million patrons, ranging from high-net-worth individuals to international tourists, drawn by its superior range of high-end fashion, gourmet food, and exquisite wines. The architectural brilliance of the Kadewe building complements its rich historical backdrop, making it a cornerstone of European retail excellence.
The strategic move by Central Group, a conglomerate renowned for its visionary leadership in the retail sector, marks a continuation of its investment in the Kadewe Group. Since 2015, Central has held a 50.1 percent stake in Kadewe Group, operating three luxury department stores in Germany. Before this acquisition, Cigna Prime Selection AG owned Kadewe’s real estate, with the department store as a tenant. Central Group solidifies its status with full ownership by owning the flagship property outright, thus enhancing its operational control and future revenue potential.
Mr Thos Chirathivat, Chairman of the Executive Committee of Central Group, expressed his enthusiasm about the acquisition: “We are delighted to welcome Kadewe Berlin into Central Group’s portfolio of premier properties. This acquisition is a testament to our dedication to enhancing our offerings and commitment to the European market. It strengthens our resolve to support the Kadewe Group and its stakeholders, ensuring the continuation of its legacy of retail excellence.”
This acquisition is not just a property purchase but a landmark investment in the future of European luxury retail. It promises to bolster Central Group’s influence in the international market, providing an elevated platform for growth and innovation in retail strategies. Furthermore, it signifies a crucial step towards revitalizing and strengthening the Kadewe Group’s operational capabilities, elevating the shopping experience to new heights and achieving unprecedented success in the coming years.
The move has already stirred positive speculation among industry analysts, who foresee a significant boost in customer traffic and sales, further cementing Kadewe’s position as a leading luxury department store sector in Germany and beyond.
Written by: Supaporn Pholrach
