Future of the Kika branches: focus on usage concepts in the region

Future of the Kika branches: focus on usage concepts in the region

The closure of 23 Kika/Leiner branches in the summer of 2023 initiated a number of developments, especially in St. Johann im Pongau, where XXXLutz has now acquired a former Kika location. Thomas Salinger, spokesman for the company, points out that it is currently being checked in which way the building could be used in the future. He emphasizes that XXXLutz already has a sufficient branch network in Austria and Salzburg and there is no acute need for further locations.

A change in the use of a building in question, be it for shopping centers or residential construction, is subject to approval by the respective municipality. The Graz real estate developer Supernova, who acquired all 40 Kika/Leiner locations from the Signa Group a few months ago, has already started to use it, but many projects are still in the planning phase.

situation of the former Kika locations

Overall, the fates of the 17 Kika/Leiner branches still open are uncertain up to a planned renovation process, which is due to last until mid-January 2025. The XXXLutz group has already taken over eleven former branches. Among these locations are real estate in Amstetten, Horn, Mistelbach, Steyr, St. Johann, Vöcklabruck and Unterwart. Salinger explains that the future use of these properties is currently being discussed, but without the compulsion to only open new locations for reasons of growth.

There is also the possibility that some of these takeover of the examination by the Federal Competition Authority (BWB) must be subjected to. This expressed that so far no merger had been registered, but those responsible for the companies were obliged to clarify this themselves at certain sales limits. As part of this examination, it remains unclear whether the transmission of the locations to XXXLutz will result in a registration obligation.

diverse developments in other cities

The closed Leiner branch in Villach is currently being developed by Supernova. Multifunctional use is planned, with alternative uses being considered on the upper floor. Such developments in urban areas currently seem to be a common strategy. One example is the former Kika location in Feldbach Eastern Styrian, which is converted into a multifunctional building, with a planned photovoltaic system on the roof.

In Upper Austria, the Holzhaider Group plans to convert the Leiner area in the Linz Markartviertel to apartments, a student apartment building as well as office and business areas. Real estate developer David Erhardt has redesigned the old Kika building in Aurolzmünster and created new shopping and office space with the "Vario-Center". In the meantime, various tenants are moving in there, including a Danish furnishing chain. These trends show the multitude of possibilities that the closed branches could offer as part of the reuse.

In contrast, the location in Eisenstadt, which was converted into a gym last summer, remains only partially occupied. However, further planning for gastro and retail surfaces are still in the queue. In Unterwart, on the other hand, there is no progress or information about the nine-use of the former Kika location.

The future orientation of the closed branches will continue to be observed in more detail, while the relevant companies and municipal administrations are working on specific subsequent use concepts. The situation remains dynamic and it is clear that further decisions will have to be made in the coming months that affect the local economy and the users of these former sales areas.

For further information on the developments related to the KIKA/Leiner branches and the planned subsequent use, see the article on www.salzburg24.at .