City says it cannot keep Kaufhof at Rotkreuzplatz open as owner plans redevelopment

Munich's planning department has said the city has no power to keep the Kaufhof department store at Rotkreuzplatz open, in response to a motion from SPD councillors calling for the store to be saved. The building, at Donnersbergerstraße 3 and Pötschnerstraße 5, is already the subject of redevelopment plans that do not include a department store.

The motion, submitted on 12 May 2026 by councillors Kathrin Abele, Simone Burger, Paula Gundi and Dr Christian Köning, asked the mayor to campaign for the store's survival, open talks with the owners and use the legal options available under building and planning law. In her reply, the city's head of planning, Professor Dr Elisabeth Merk, said the city can set a framework but must respect free competition and cannot require a shop with a particular range of goods to operate. A development plan has applied to the site since 20 December 1977 and designates it as a core area for uses such as retail. However, that does not give any right to a particular business being established or kept there, and permissible projects must be approved.

The current lease on the building is due to end in 2027. In March 2026, Galeria announced that it wanted to renegotiate the leases for eight branches, including Rotkreuzplatz, prompting speculation about closures. According to press reports, Galeria cannot provide information on ongoing talks or negotiations, including on the situation of its staff.

Under the owner's plans, the basement and ground floor of the existing building would be largely retained and upgraded, with retail continuing on those levels. The upper floors would be demolished and rebuilt higher, with office and hotel space. A residential building would be built over the loading yard on Pötschnerstraße, and south-facing flats would be created on the first to fourth floors. A first draft has been presented to the city's urban design commission and is being revised.

The planning department said the store does not fall within the Neuhausen preservation area, and that the law does not allow a distinction to be drawn between luxury and ordinary flats. Under city rules, a proportion of subsidised or price-capped homes is to be included. A preliminary application submitted on 4 February 2026 has been decided, while the city's building control authority is still examining whether the scheme can be approved.