Hornbach Baumarkt AG to boost Bornheim location

Bornheim bei Landau, June 11, 2019. The measures to expand and modernize the company headquarters of Hornbach Baumarkt AG in Bornheim in the South Palatinate region are on the home straights. Following the extension of the site with two office buildings in 2017, the refurbishment of the main building is now also scheduled for completion by the end of the 2019/20 financial year. After that, the DIY store operator will be merging its administration functions at its main site in Bornheim. Around 280 employees will change their workplace from Neustadt an der Weinstrasse to Bornheim, located around 15 kilometers away. The company expects this move to enhance cooperation in its administration, produce benefits for its operational retail business in Germany, and generate substantial cost savings. The headquarters of the parent company Hornbach Holding AG & Co. KGaA and of Hornbach Baustoff Union GmbH will not be affected and will remain in Neustadt an der Weinstrasse.

Founded in 1871 in Landau in der Pfalz, the family company Hornbach has been headquartered in Bornheim since 1954. That is also where Otmar Hornbach opened what was Europe’s first combined DIY store and garden center in 1968. To cope with the lack of space resulting from the company’s accelerated growth, at the beginning of the new millennium individual specialist departments at Hornbach Baumarkt AG were relocated to Neustadt an der Weinstrasse. Following the extension with two four-story office buildings and modernization of the five-story main building, the Bornheim location will soon offer space for all employees in the Germany and Group administration departments.

“With this move, we aim to organize the cooperation between the individual specialist departments at headquarters more efficiently. Not only that, it will at the same time enable us to boost the development of our Germany business. We are moving closer together, drawing on synergies, and speeding up decisions”, explains Karsten Kühn, a member of the Board of Management of Hornbach Baumarkt AG.

“Bringing the administration sites together at Bornheim is a clear step towards enhancing cost efficiency. In terms of its central administration expenses, Hornbach Baumarkt AG expects this to generate annual savings in a high six-digit range”, he adds.

For the employees, this step will in future remove the need for time-wasting journeys between the two administration locations. Over and above that, it will enable better use to be made of the existing infrastructure in Bornheim. As well as the administration departments, this location is home to what is still the Group’s largest DIY store and garden center, a training center, the Essingen logistics center, and various shopping possibilities in the adjacent specialist retail center.

Hornbach Immobilien AG, which owns the commercial space on the site of the former Turenne barracks in Neustadt, will be looking for tenants for the premises in Le Quartier Hornbach 13 and 19, which are expected to be vacated in spring 2020 (contact details for interested parties: +49 (0)6348-60-2921 / expansion@hornbach.com).

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Financial Update: 3rd Quarter of 2020/2021 as of November 30, 2020
Financial Update: 3rd Quarter of 2020/2021 as of November 30, 2020


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