Real estate management key to success in logistics: Garbe

The quality of real estate management determines success in the logistics sector, delegates heard at the Garbe Pyramid H1 2026 presentation, organised by Real Asset Media and Garbe, which took place online recently.

“In a market defined by a high degree of uncertainty, the outcome depends less on the cycle than on the quality of the asset management”, said Tom Herrschaft, Head of Real Estate Management & member of the Executive Board, Garbe Industrial. “Stable cash flows, active contract management and tenant management along with tight control on the property level represent the key success factors today.”

The increasingly opaque and unpredictable market environment exposes investors and operators of logistics properties to ever-tightening requirements. A clear-cut strategic trajectory, in-depth knowledge of the local market and a consistent implementation on the location level and portfolio level are needed to achieve success.

Garbe’s strategy rests on three pillars: asset managers take care of tenant search and selection, lease negotiations, monitoring and tenant management and market knowledge. Property managers optimise running costs, are the main contact person for tenants and do property accounting. Technical managers ensure the quality of the property, do the budgeting and reporting, project management and cost control.

Each of Garbe’s six offices in Germany, looking after 200 assets, have an independent team with an asset manager, who has the overall commercial responsibility, presiding over a tech manager and a property manager. All six offices are supported by Central services and systems support at head office in Hamburg.

“We call our approach boots on the ground, because you need to be close to our clients and to our assets”, said Herrschaft. “These are highly efficient units with a clear focus on asset performance, because the quality of the team determines the good performance of the asset.”

Each type of asset – big box, last mile, industrial production facility, cold storage – has a different type of tenant and different requirements. Tech innovations are integrated whenever possible as well as ESG-compliant improvements, such as installing LED lighting, putting PV systems on the roof, creasing a green belt around the property and promoting biodiversity and putting in bicycle parking spaces and charging stations for electric vehicles.

Good asset management strengthens tenant relations, defines investment priorities, plans modernisations, lowers costs and systematically improves the quality of the property.

“The outlook for logistics is positive, but the market is still slow compared to the last cycle”, said Tobias Kassner, Head of Research & ESG, member of the Executive Board, Garbe Industrial. “There is a real need for active management of assets to increase the value of portfolios.”