Real Estate Management in Germany - Market Research Report (2014-2029)
Frankfurt, Germany
Last Updated: August 2024
WZ L68.32DERevenue
€18.7bn
Past 5-Year Growth
Profit
€X.Xbn
Employees
137k
Businesses
33,191
Wages
€X.Xbn
Real Estate Management in Germany industry analysis
While the property market in the major cities boomed in the last few years up to 2022, it often performed worse in rural areas. The reason for this is that big cities offer more jobs - especially in booming sectors - better educational facilities and a wider range of cultural activities. Industry players primarily offer their services to landlords of residential property. This includes, for example, hiring building cleaners and other service providers to keep properties in an attractive condition. The industry players also collect rents for landlords. Property landlords and other building owners are constantly faced with the question of whether they want to carry out building management themselves or outsource it. Very large property landlords in particular generally opt for in-house management, which means that the property management sector is missing out on potential revenue. IBISWorld therefore expects turnover to fall by 0.2% year-on-year to €18.7 billion in 2024. Over the last five years, industry turnover has fallen by an average of 1.5% per year.The decline in turnover expected for the current year is due in particular to the emergence of large residential property groups, which generally take over the management themselves and contribute to the bypassing of this sector. The weak performance of the retail sector is also having a negative impact on commercial property sales. The trend towards online shopping is also indirectly impacting property managers, as the number of branches is falling and retail space is being reduced. By contrast, wealthy private individuals who have invested more in residential property during the coronavirus pandemic, some of which is used for subletting, are having a stabilising effect on sales. Private landlords with several properties are an important market for industry players and much more significant than the large housing companies.For the period from 2024 to 2029, IBISWorld expects average annual growth of 0.2% and industry turnover of €18.9 billion in 2029. Industry players are likely to benefit from the growing interest of private investors in property, while the trend towards large housing companies should continue to have a negative impact. The number of sector companies and employees is expected to continue to rise until 2029, partly due to the expansion of sector activities, for example to include consultancy services.
Trends and Insights
- The trend towards managing properties in-house is bypassing the industry. Outsourcing is often too expensive for owners of individual properties, while it is worthwhile for large housing associations to manage their properties internally. The most important customers are owners of medium-sized portfolios.
- Maintenance services are the core business of the sector and ensure stable revenues. Demand for more extensive maintenance and repair services has recently fallen in line with the higher vacancy rate in the retail sector.
- Most companies in the sector are located in the centre region. The high economic output and high population density lead to a corresponding demand for property, from which the sector benefits.
- The biggest competition comes from large housing associations and private individuals who manage their properties themselves. Medium-sized companies and landlords who do not live close to their properties are the most likely customers.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has declined at a CAGR of 1.5 % over the past five years, to reach an estimated €18.7bn in 2024.
Trends and Insights
The weak construction sector is weighing on property managers' sales
- The German property market is experiencing a downturn after a decade-long boom that was fuelled by low interest rates. The main reasons for the downturn are rising interest rates, higher construction costs and lower demand for commercial space following the pandemic.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
The German property market is suffering from the withdrawal of international investors
- The German property market is in a deep crisis due to the reluctance of international investors. In the first quarter of 2024, only 35% of commercial property transactions were attributable to foreign buyers, the lowest figure since 2013.
Biggest companies in the Real Estate Management in Germany
| Company | Market Share (%)
2024 | Revenue (€m)
2024 |
|---|---|---|
Emeria Germany GmbH & Co. KG | 255.6 | |
Ecowo GmbH | 98.4 | |
BNP Paribas Real Estate Holding GmbH | 25.3 |
To view the market share and analysis for all 4 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Administrative services, More extensive maintenance and repair services and Other services. Administrative services is the largest segment of the Real Estate Management in Germany.
Trends and Insights
Administrative services represent the core business of the sector and ensure stable sales
- Management services include the organisation of building cleaning as well as simple maintenance and repair services that a caretaker can carry out directly on site without much effort. This segment also includes organising or paying for security services or gardeners.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Letting & Operating of Real Estate in Germany
- Estate Agents in Germany
- Combined Facilities Support Activities in Germany
- General Building Cleaning in Germany
- Collection Agencies & Credit Bureaus in Germany
International industries
- Global Commercial Real Estate
- Property Management in the US
- Property Management in Canada
- Realty Management in China
Table of Contents
About this industry
Industry definition
The sector comprises the management of residential and commercial properties as well as land for third parties. These activities also include the fiduciary management of buildings for the owners' association of condominiums located there. Cleaning services, maintenance and minor repairs, waste disposal and the provision of guard and security services are not sector-specific.
What's included in this industry?
Administrative servicesMore extensive maintenance and repair servicesBrokerage servicesConsultancy servicesCompanies
Emeria Germany GmbH & Co. KGEcowo GmbHBNP Paribas Real Estate Holding GmbHPurchase this report to view all 4 major companies in this industry.
Related Terms
REAL ESTATERENTALASSOCIATIONCONDOMINIUM OWNERS ASSOCIATION (AWAY)NET IMMIGRATIONNET OUTFLOWCOWORKINGIndustry Code
WZ 68.32 - Real Estate Management in Germany
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The trend towards managing properties in-house is bypassing the industry. Outsourcing is often too expensive for owners of individual properties, while it is worthwhile for l...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Maintenance services are the core business of the sector and ensure stable revenues. Demand for more extensive maintenance and repair services has recently fallen in line wit...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Most companies in the sector are located in the centre region. The high economic output and high population density lead to a corresponding demand for property, from which th...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The biggest competition comes from large housing associations and private individuals who manage their properties themselves. Medium-sized companies and landlords who do not ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
There are no major players in the property management industry. Most of the companies active in the sector are sole proprietorships or small partnerships that only manage a f...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Emeria Germany GmbH & Co. KG's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Ecowo GmbH's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of BNP Paribas Real Estate Holding GmbH's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for Emeria Germany GmbH & Co. KG, and factors influencing its performance in the industry
- Description and key data for Ecowo GmbH, and factors influencing its performance in the industry
- Description and key data for BNP Paribas Real Estate Holding GmbH, and factors influencing its performance in the industry
- Description, key data and performance trends for one additional company
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Increasing digitalisation in Germany poses a risk for industry players involved in commercial property management. Thanks to digitalisation, more and more people are shopping...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
The industry has a comparatively high profit margin. However, the increasing circumvention of the industry by property groups that take over the management of their rental pr...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Germany include:
- German Federal Statistics Office (Destatis)
- European Statistics Office (Eurostat)
- United Nations Comtrade
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Real Estate Management industry in Germany in 2024?
The market size of the Real Estate Management industry in Germany is €18.7bn in 2024.
How many businesses are there in the Real Estate Management in Germany industry in 2024?
There are 33,191 businesses in the Real Estate Management industry in Germany, which has grown at a CAGR of 1.3 % between 2019 and 2024.
Has the Real Estate Management industry in Germany grown or declined over the past 5 years?
The market size of the Real Estate Management industry in Germany has been declining at a CAGR of 1.5 % between 2019 and 2024.
What is the forecast growth of the Real Estate Management industry in Germany over the next 5 years?
Over the next five years, the Real Estate Management industry in Germany is expected to grow.
What are the biggest companies in the Real Estate Management market in Germany?
The biggest companies operating in the Real Estate Management market in Germany are Emeria Germany GmbH & Co. KG, Ecowo GmbH and BNP Paribas Real Estate Holding GmbH
What does the Real Estate Management in Germany include?
Administrative services and More extensive maintenance and repair services are part of the Real Estate Management industry.
Which companies have the highest market share in the Real Estate Management in Germany?
The company holding the most market share in Germany is Emeria Germany GmbH & Co. KG.
How competitive is the Real Estate Management industry in Germany?
The level of competition is low and increasing in the Real Estate Management industry in Germany.
