Germany: Paulaner expands new brewery in Munich

Paulaner Group, a 70/30 joint venture between family-owned Schörghuber Corporate Group and Heineken (, 10.2.2017), is expanding its new brewing site on the outskirts of the Bavarian capital Munich two years after its inauguration. Munich’s Department of Urban Planning and Building Regulation cleared path last week for building logistics facilities at a 4.4 hectare site next to the new brewery in Munich-Langwied.

The buildings will be home to Paulaner’s subsidiary InterDrink Getränke-Vertriebsgesellschaft, which plans to relocate its current logistics site in Gräfelfing (near Munich) upon expiry of the current rental agreement. The company wants to directly link the logistics area to the new brewery and to erect a modern automated high-bay warehouse. The original plan provided for a 30 meter high building with an area of 7,000 square meters. Paulaner also intends to build a bridge across an adjacent street to connect the brewery with the new logistics site.

In contrast to many other larger breweries, Paulaner directly supplies its customers in its home region instead of outsourcing the business to third parties. 117 people deliver beer and other beverages with 58 trucks directly to pubs and restaurants in the Munich area.

The brewing site in Langwied, which is now occupied by Paulaner was originally designed for a relocation of the Spaten-Löwenbräu-Brauerei, a subsidiary of AB InBev.

Jobst Kayser-Eichberg (76), former CEO of Spaten-Löwenbräu-Brauerei and Member of the Foundation Board of the Schörghuber Foundation, whose wife is a direct descendant of the former owner’s family Sedlmayr, sold the brewery in 2003 to Interbrew, which eventually became the world’s largest brewer AB InBev. While the brewery and the brand rights were sold, the former owners kept the continuous area of the former Löwenbräu brewery  (25,000 square meters) and Spaten-Franziskaner brewery (50,000 square meters) in the heart of Munich and rented it to the new owners.  The rental agreement provided for a tenfold increased rent to yearly €6.5 million after 15 years, which will become effective in 2018.

In the original agreement, the Sedlmayr family also commited to offer the buyer of Spaten-Löwenbräu a new brewing site in the boundaries of Munich to enable the brewery also after a relocation to operate as a Munich brewery and to serve beer at the world’s largest beer festival, the Oktoberfest, which is reserved to breweries from Munich.

In 2010 AB InBev refused to buy the site in Langwied, which was offered by Kayser-Eichberg’s real estate company Sedlmayr Grund und Immobilien (SGI). Instead Schörghuber/Paulaner took the chance and bought it.

In the meantime construction of a housing area with 1,500 condominiums for 3,000 people started on the grounds of the former Paulaner brewery, located at the Nockherberg, a small river terrace on the slope of the eastern bank of the Isar river in the district of Au-Haidhausen. Developer is Bayerische Hausbau, a company founded in 1954 by Josef Schörghuber, the founder of the Schörghuber Corporate Group.

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