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„The Ruhr Area Has people who are eager

Construction is currently undergoing significant changes due to market conditions, resource efficiency, building in existing structures, and digitalisation. Drees & Sommer, a consulting and project management company, is incorporating these trends into its office, industrial, and infrastructure projects throughout Europe.

 

For the past decade, the company has also had a presence in the Ruhr area. According to North Rhine-Westphalia location partner Stefan Heselschwerdt and Mareike Haak, team leader at the Dortmund location, the market has a penchant for experimentation, numerous exciting projects, and exceptional specialists.

 

  • From which area do you expect a spark to revive the property market? Consider interest rates, construction costs, and energy costs?

Stefan Heselschwerdt: We are currently discussing investments. Institutional investors, such as insurance companies or funds, have money that needs to be invested. For example, Patrizia property funds already invest half of their funds in infrastructure, with property being subordinate to this. Swiss Life and others are also moving in this direction. There are significant opportunities and potential for growth in the area of technical infrastructure, including bridges, roads, and e-mobility hubs. We believe that new asset classes will emerge, including infrastructure and data centres. As the funds must be invested, they are not lost.

  • Is it difficult to earn money with infrastructure?

Stefan Heselschwerdt: If you build and let, i.e. if you rely on PPT models.

Mareike Haak: This even extends to social infrastructure. The fact that private companies are building schools is becoming more and more of an issue.

  • Which player needs the most convincing? 

Stefan Heselschwerdt: The investors have been convinced, as evidenced by the change of mind by Patrizia and Swiss Life. The local authorities need to improve their organization of tenders. Sufficient experts are available.

Mareike Haak: Currently, local authorities and public bodies that use private providers are still pioneers. Many are cautious when considering other procurement models.

  • Energy costs are a significant factor in the German economy. What developments do you see in your projects and industrial clients? 

Mareike Haak: Energy supply, including energy and cost security, is crucial. Location choice is heavily influenced by energy considerations, particularly renewable energy.  Energy supply now plays a significant role in project planning from an early stage, unlike five years ago. Hydrogen is an essential component of industrial projects.

 

More about Drees & Sommer

Drees & Sommer is a consulting, planning, and project management company that has been providing support to private and public clients and investors in all matters related to property and infrastructure for 50 years. The Group currently has over 5,100 employees at 59 locations, including Dortmund, and manages an annual project volume of 83.3 billion euros (2022).

 

  • What opportunities does hydrogen offer as an energy source?

Stefan Heselschwerdt: Hydrogen is a promising solution for the future, particularly for energy-intensive industrial processes such as steel production. Electrolysers are already being constructed, including by our company. We are proud to be building one of the largest electrolysers in Germany, with a capacity of 340 MW, in Emden. Our commitment to this technology will only grow. We believe that the Ruhr region, where many of our major customers are located, has a bright future in this regard.

 

  • Everyone is talking about the circular economy and cradle-to-cradle approaches, but not all projects have considered them yet. Which property projects offer the most potential?

Mareike Haak: Potential exists in all areas. The construction industry plays a crucial role in resource conservation. It is technically feasible for all asset classes. Various approaches are available for new constructions, such as modular construction or the use of Building Information Modeling, representing medium- to long-term solutions.

However, Germany also has a massive existing stock. Implementing Cradle-to-Cradle in this context is challenging but crucial. Renovation is more sustainable than demolition and new construction from the perspective of the circular economy. Planning requires more effort since we often lack data. The Ruhr area presents a significant challenge due to its extensive building stock, with a considerable portion built before 1978.

  • Many people hesitate: is it due to a lack of information, or are they not aware of the possibilities? Or is it a barrier of effort and cost?

Stefan Heselschwerdt: If they leave only the shell of the building, they not only save a tremendous amount of CO₂, as it is generated during cement production, but also the costs associated with the construction of the shell. They also avoid excavation issues, which is an economic advantage. The risk, however, lies in not knowing all the details of the building. One must take the time to become familiar with the structure. How sturdy is the shell? How much steel is embedded, and is it positioned correctly? Substances, whether bound or unbound, become a significant concern. Crucially, setting aside reserves for risks is necessary. Upon closer examination, one often finds that this approach is more cost-effective in the end, saving both CO₂ and time, as there is no need to construct a new shell.

 

  • Energy, building materials, and digitalization need to be considered together. What specific trend do you identify?

Stefan Heselschwerdt: Digitalisation is a widely discussed topic, but what is the ultimate goal? The focus should not be on the planning process, which should work effectively regardless. Instead, the goal is to ensure that buildings collect data and adjust consumption accordingly.

Mareike Haak: In many existing buildings, there is insufficient information about energy consumption. Fortunately, there is technology available that can be retrofitted with minimal effort to capture and analyse consumption.

Stefan Heselschwerdt: Cybersecurity is crucial as technology can be a gateway for potential hacker attacks, which will become increasingly important in the future.

  • What potential do you see for the property sector and companies in the Ruhr Metropolis?

Stefan Heselschwerdt: I came from Baden-Württemberg to North Rhine-Westphalia in 2010, from a state that is successful but also saturated. I then started here and founded our office in Dortmund, getting to know the Ruhr area as an innovative region. I encountered people who think about what they can really change and drive forward. Look at projects like Phoenixsee in Dortmund, the Zollverein area in Essen, or Mark 51°7 in Bochum. It's amazing what developments have been achieved there. The Ruhr area has people who are eager to make things happen.

Mareike Haak: I find the people in the Ruhr area to be highly curious and experimental. In other regions, I often sense that those with reservations take centre stage. However, in the Ruhr area, discussions are always future-oriented. If you have good ideas and a willingness to experiment, you are in the right place and can quickly make connections with like-minded partners. 

  • What advice do you give to companies that, like you, want to come to the Ruhr area? What do companies need when they want to engage in the region for the first time?

Stefan Heselschwerdt: For success, one thing is necessary: having people from the Ruhr area who identify with it. Flying in and out doesn't work, as we have observed. The Ruhr area has a high number of well-educated individuals, thanks in part to its universities. Mareike Haak is a prime example; she hails from Wetter and strongly identifies with the region. It is important to give people their own responsibilities early on, even among working students.

Mareike Haak: The university landscape in the Ruhr area is strong, and we have well-trained individuals.   However, it is often difficult to retain them here, and they migrate elsewhere. As a company, you should develop a mechanism to provide these individuals with a perspective. They are capable of shaping and implementing things effectively here. It is worth staying.

Regarding persons

Photo Maike Haak: Andreas Endermann; Photo Stefan Heselschwerdt: Drees & Sommer SE / Chantal Wagner

Maike HaakTeam leader and site coordinator in Dortmund, Drees & Sommer SE.
Stefan HeselschwerdtLocation partner North Rhine-Westphalia, Drees & Sommer SE

Photo in the upper section of the page:

 

One of the groundbreaking projects in the Ruhr area: Delta Development, in collaboration with Drees & Sommer, constructed the most sustainable logistics center in Germanys.

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Lydia MatthiasProject Manager
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