NO STONE UNTURNED: WHY INVESTING IN FOOD HUBS IS A FUTURE-PROOF STRATEGY

In challenging times, food security is no longer just an agricultural issue - it’s a real estate challenge too. In the latest episode of No Stone Unturned, Charlotte de Mos discusses with Christian Heerings (property manager at Hines and park manager of Hines Fresh Park Venlo) and Wouter van ‘t Grunewold (market intelligence analyst at Savills) how the real estate sector contributes to a robust food supply system.

Food hubs as a resilient investment

Hines Fresh Park Venlo began in the 1960s as a fruit and vegetable auction and has since evolved into one of Europe’s largest agri-food hubs. With 26 proprietary units, 12 third-party facilities, around 80 (sub)tenants and approximately 2,000 employees, the park is a prime example of a niche market that also plays an essential role in our spatial and economic infrastructure. “At the end of the day, we all need to eat,” Christian emphasises. As a result, food-related real estate is, by definition, a future-proof and relatively stable investment — even in times of economic uncertainty.

Challenges call for creativity and collaboration

At the same time, food hubs face a range of challenges:

• Energy demand: Refrigeration, freezing and often 24/7 operations require more energy capacity than many traditional distribution centres.
• Zoning and permits: Strict spatial planning regulations limit the potential for expansion and for innovative uses such as vertical farming.
• Infrastructure and renovation: Many buildings date back to the 1960s and are outdated. Due to high steel prices, nitrogen legislation and grid congestion, renovation is often more viable than new construction.

To solve this puzzle, park managers, tenants, local authorities and grid operators are working closely together. For instance, Hines Fresh Park Venlo is exploring the potential of a smart local energy network using solar panels, batteries and hydrogen, which Savills can support through GIS analyses to identify development or expansion opportunities based on factors such as electricity availability, accessibility and environmental constraints.

Ecosystem thinking: more than square metres

Successful food hubs are much more than a collection of warehouses - they are nodes within a complex ecosystem. In addition to auction and trading activities, Hines Fresh Park Venlo accommodates cold store builders, packaging specialists, logistics providers and even pharmaceutical freezer storage. The proximity to knowledge centres (such as the Brightlands Campus Greenport Venlo) and active collaboration foster cross-pollination between traditional agritech, high-tech agriculture and life sciences. As Wouter puts it: “Investors should therefore not only look at the individual building, but at the entire ecosystem surrounding it.”

Start small, scale up

Not every food hub has to unite dozens of partners from the outset. According to Christian, it’s perfectly fine to start small — for example, by sharing a battery or coordinating peak energy usage between two neighbouring companies — and then gradually expand. By demonstrating success, more parties become convinced, creating a solid business case for further investment.

Conclusion

Real estate plays a vital role in the food supply chain. Agri-food hubs such as Hines Fresh Park Venlo offer investors a stable, forward-looking proposition - provided they invest in renovation, smart energy and data solutions, and in close collaboration between with all stakeholders.

Listen to the full episode of No Stone Unturned here: Spotify and Apple Podcasts.