Vacant 3,400 m² office building near Munich Airport to become business hotel, with wider redevelopment creating momentum for mixed-use growth
In a bold repositioning move targeting long-term value creation, B&B HOTELS has signed a 20-year lease with Union Investment to occupy a 3,400 m² former office building in Unterschleissheim’s Lohhof district. The €9.6m conversion will deliver a 93-room hotel in a strategic location just 20 km north of Munich Airport, with S-Bahn access and visibility from the A13.
The asset, part of Union Investment’s UniImmo: Europa fund, sat vacant after Deutsche Pfandbriefbank exited in 2019. Now, the transformation aligns with growing institutional interest in repurposing stranded office assets into income-generating hospitality products. For developers and investors, the move reflects a wider opportunity to unlock submarket potential by combining operational flexibility, transport connectivity and ESG-conscious retrofitting.
“The B&B HOTEL will share a development core with the adjacent office building. This offers the decisive advantage that not everything has to be turned upside down. We can connect to existing systems for building services. This reduces costs and makes the conversion sustainable because we can use most of the existing resources,” said Malte Schönbohm, technical project manager at Union Investment. The scheme includes 50 underground parking spaces, with 10 electric vehicle charging stations.
Current tenants such as Sauter-Cumulus GmbH and TenneT TSO, occupying 1,600 m², are set to benefit from this shift. A fitness centre is now in final lease talks, and discussions are ongoing to bring in restaurant and retail operators, helping reposition the area as a destination rather than a pass-through office cluster. This layered amenity strategy is expected to boost tenant retention and asset resilience.
“The redesign of the former IT port in 2019 and the ongoing maintenance measures are now paying off. The concept of careful transformation is beginning to take hold – and is now even creating demand again among office users,” said Kristina Mattheis, Senior Asset Manager at Union Investment. The landlord is now in negotiations for an additional 3,000 m² of office lettings, a signal of renewed market confidence and the commercial upside of placemaking.
“With the conversion of the office space in Unterschleißheim, we are seizing the opportunity to fill a gap in the market at an ideally located site while creating a sustainable hotel offering. This project is a prime example of our ability to intelligently and efficiently transform existing properties into attractive hotel solutions,” said Tobias Gollnest, Chief Development Officer, B&B HOTELS Central & Northern Europe. The deal was brokered by Alexander Zahrt of Deal Manufaktur.
People mentioned:
Kristina Mattheis – Senior Asset Manager, Union Investment
Malte Schönbohm – Technical Project Manager, Union Investment
Tobias Gollnest – Chief Development Officer, B&B HOTELS Central & Northern Europe
Alexander Zahrt – Broker, Deal Manufaktur
Companies mentioned:
B&B HOTELS – Hotel operator and long-term tenant
Union Investment – Owner, developer and fund manager
Sauter-Cumulus – Existing office tenant
TenneT TSO – Existing office tenant
Deal Manufaktur – Brokerage and advisory
Image Credit: Lohhof Quartier – the future B&B HOTEL - source: Union Investment
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