Insights & Research

Dynamic year on the Berlin office letting market – differentiation of property and location quality determined activity on the market.

Strong growth in rents on Düsseldorf office letting market.

Frankfurt office market 2022 without year-end rally.

Hamburg office take-up back to pre-pandemic level – increasing demand in medium size segment.

Resilient letting market – investment market restrained.

In the first three quarters of 2022, take-up on the German industrial and logistics property market totaled 6.4 million sq m, slightly up on the same period of the previous year. However, only just over 1.5 million sq m was attributable to the third quarter of 2022 - significantly less than in the previous two quarters with 2.7 million sq m in the first quarter and 2.1 million sq m in the second quarter.

The Berlin industrial and logistics property market achieved a take-up of 864,000 sq m in the first three quarters of 2022. This corresponds to a year-on-year increase of 97%. The Berlin city area accounted for 123,000 sq m (-15% year-on-year). Take-up in the surrounding area, on the other hand, rose by 154% to 747,000 sq m.

The Frankfurt industrial and logistics property market achieved take-up of 244,000 sq m in the first three quarters of 2022, 61% below the volume in the same period of the previous year. Around 90,000 sq m of this was attributable to the third quarter.

Hamburg's industrial and logistics property market recorded take-up of 346,000 sq m in the first three quarters of 2022, which represents a decline of 30% compared with the same period of the previous year. Of this, 183,000 sq m was attributable to the city area and 162,000 sq m to the surrounding region.

The industrial and logistics property market in Munich recorded take-up of 109,000 sq m in the first three quarters of 2022 - a year-on-year decline of 35%. Beyond the borders of the region defined by CBRE as the Munich market area, there were also larger deals.

In the first three quarters of 2022, the industrial and logistics property market in North Rhine-Westphalia recorded take-up of 1.275 million sq m. At the same time, take-up was slightly above the 5-year average of 1.204 million sq m for the first three quarters.

The real estate market for big box Grade A logistics properties represents the core market for user-specific and speculative, i.e. without pre-letting, properties which are the particular focus of most developers and investors.