Europe’s top 10 largest real estate developers
This article examines the Top Ten Real Estate Developers in Europe, according to the 2018 Forbes Global 2000 list of the world’s largest companies. The European real estate market is, according to Statista, primarily geared towards the office real estate market, with $20.6 bn being invested in the sector in 2016.
10 | LEG Immobilien AG
Headquartered in Dusseldorf, LEG Immobilien AG is Germany’s largest real estate developer, according to Forbes. The company reported a net revenue of $958mn in 2017, holds $12.41bn in assets and achieved $1.04bn in profits - a 4.26% increase year-over-year. According to the Financial Times, the majority of LEG Immobilien’s portfolio is located in the North Rhine Westphalia region of Germany. It is comprised of diversified assets, ranging from urban apartments to rural housing complexes, and contains parcels of undeveloped land.
9 | SEGRO Plc.
Founded in 1920, SEGRO Plc. is the second-oldest company in the Top Ten. With headquarters in London, the investment trust specialises in the development, leasing, and operation of “modern warehouses and light industrial properties” and, according to Forbes, “owns warehouses in distribution markets in the UK, Belgium, the Netherlands and the Czech Republic, and offices in Slough and Milan”. SEGRO reported a net revenue of $382mn in 2017 and the company’s asset portfolio was valued at $10.73bn with profits totalling $1.23bn.
8 | Lundbergs AB
Stockholm-based real estate developer Lundbergs AB operates as a parent company and operator for other commercial enterprises, including real estate leasing operations. The company also operates equities and securities trading, and forestry and paper manufacturing ventures. Lundbergs reported a net revenue of $2.39bn in 2017. The company’s total asset portfolio is valued at $15.78bn, and total reported profits equalled $782mn, representing a more than 40% decrease year-over-year.
7 | British Land
Operating as a real estate investment trust since 1856, British Land is the oldest company in the Top Ten. The London-based company “focuses on high-quality UK retail locations and London offices. Its property portfolio comprises retail parks, super stores, shopping centers, department stores, residential and offices”, according to Forbes. British Land reported a net revenue of $790mn in 2017, with its total asset portfolio valued at $17.53bn. The company reported profits of $794.2mn, doubling its bottom line year-over-year.
6 | Aroundtown Properties
Luxembourger property holdings plc Aroundtown Properties specialises in managing real estate both directly and indirectly in the European Market. The company reported net sales totalling $594mn in 2017, with gross profits of $1.45bn - a record high since joining the Forbes Global 2000 in 2015. In June 2017, the company announced its uplisting to Prime Standard status on the Frankfurt Stock Exchange. It is currently market capped at $8.6bn.
5 | Foncière des Régions
Headquartered in Metz, France, Foncière des Régions owns and operates real estate properties, designs real estate solutions, and manages hotels, according to Forbes. The company has major offices in both France and Italy and operates a series of parking lots throughout the region. Foncière des Régions reported net sales of $1.12bn in 2017, with gross profits reaching $1.03bn, the first time this figure has surpassed $1bn since its founding in 1963. The company controls $26.18bn in assets, both directly and indirectly.
4 | Klepierre SA
Parisian real estate developer Klepierre SA manages commercial properties in France, Belgium, Scandinavia, Italy, Spain, Central Europe, and others. The company specialises in the operation of shopping centers, retail complexes, and hypermarkets. Since 2014, Klepierre has more than doubled its asset portfolio, from $12.4bn to $30.02bn last year. 2017 also represented a ten-year high point for gross profits, with a final bottom line of $1.39bn.
3 | Gecina SA
Gecina SA operates out of Paris, France, with its operations split between Economic and Demographic subsectors. The former engages in the development and management of offices and hotels, while the latter oversees student, residential, and healthcare real estate. Gecina reported a net revenue of $799mn in 2017, and gross profits of $2.14bn, which represents a ten-year high. The company’s asset portfolio also dramatically increased in size between 2016 and 2017, leaping from $13bn to $24.1bn, another ten-year high point.
2 | Abitare In Spa
Headquartered in Milan, Italy, Abitare In Spa engages in urban development projects at the architectural, interior and exterior design levels. With only 13 employees, it is also the smallest company in the Top Ten. Founded in 1976, Abitare In Spa only joined the Forbes Global 2000 in 2017 and is already ranked in the world top 500 for sales. The company reported a total revenue of $21.55bn last year, and its asset portfolio is valued at $32.67bn.
1 | Unibail-Rodamco
The largest European real estate developer is also based in Paris. Unibail-Rodamco sits in the Forbes Global 2000’s top 300 companies for profit, with a reported bottom line of $2.75bn in 2017, representing a seven-year high point for the company. Unibail-Rodamco engages in the development and management of offices, shopping centers, and exhibition and convention spaces throughout Europe. It reported net sales of $2.34bn in 2017 and its current asset portfolio is valued at $51.92bn, an all-time high since the company’s founding in 1968.