Closing of the Art Gallery in Pforzheim
The Galeria department store in Pforzheim, originally named S. Wronker & Co. and established in 1890, has closed its doors following a series of financial difficulties. The ground floor closed on Tuesday, with other floors being locked in previous days, resulting in the loss of around 100 jobs.
The store operated under various names over the years. It was taken over by merchant Schlomo Salman Schocken in 1931 and renamed Merkur Department Store. After World War II, it changed names again, first to Horten in 1977, and later to Galeria Kaufhof in 1994.
In a bid to revitalize the building, councilor Andreas Sarow of the FDP municipal council faction has proposed a temporary use of the Galeria building for art and culture, experiences, exhibitions, pop-up stores, and pop-up gastronomy. The FDP municipal council faction has also suggested a use by the University of Applied Sciences in Pforzheim.
Mayor Peter Boch is optimistic about a "high-quality solution" for the Galeria building, with a "mix of retail and other uses". In similar situations, it is common practice to pay a deposit and sign a waiver of liability for the owner.
The sales negotiations for the Galeria building in Pforzheim are currently in a "hot phase". The business conduct around Austrian entrepreneur René Benko, who bought Kaufhof AG, has been controversial, with critics arguing that he primarily aimed to acquire the associated real estate within his Signa Group. The Signa Group, in turn, faced financial difficulties leading to insolvencies within the corporate group in 2023.
As other cities have done, the goal is to enable a sustainable and long-term use of the Galeria building, providing a much-needed boost to Pforzheim's city center. By transforming the space into a hub of cultural, educational, and retail activities, the community can come together and enjoy a revitalized urban area.
Working towards a sustainable solution, the FDP municipal council faction proposes the temporary use of the Galeria building for home-and-garden pop-up stores and art exhibitions. To ensure a revitalized urban lifestyle, the community also considers a use by the University of Applied Sciences in Pforzheim for shopping and general news experiences.
In times of financial difficulties, it is not uncommon for property owners to sign waivers of liability and pay deposits during sales negotiations. As the business conduct around René Benko's acquisition of Kaufhof AG has been under scrutiny, the sales negotiations for the Galeria building in Pforzheim remain in a hot phase.
