Quarterly result of around €790m represents the lowest level since 2010
Project developments account for a market share of more than 59 %
Increasing trade in smaller portfolios particularly in the value-add segment; significant falls in segments above €50m
Public Sector increases purchase volume and is now second-largest investor group after Asset Managers & Funds Managers
German investors dominate on buy side despite around 66 % decline in sales
Outlook for 2024: General conditions remain challenging; refinancing and securing liquidity increase pressure to sell; end of the price negotiation phase and stabilisation of interest rates encourage market activity; investment incentives in the rental market with rising excess demand and dynamic rental price growth especially in growth regions
Space take-up reaches 172,800 sqm in the fourth quarter of 2023
Annual take-up of 484,700 sqm is 40 % above the previous year, but remains below the long-term average
Take-up increases in segment for large spaces, of which sub-lettings account for 30 %
New building segment sees further decline in market activity
Warehousing and logistics service providers placed ahead of companies from industry and manufacturing
Outlook: shortage of available space continues to limit market activity; increase in new developments, especially from a speculative standpoint, is unlikely owing to higher costs and a lack of suitable sites; prime rent expected to exceed €8
Transaction volume amounts to €6.2bn for 2023 as a whole
Fourth quarter in line with previous three months at €1.4bn
Lack of large transactions has biggest negative impact on the overall result
Trading in project developments falls to a 22 % market share
Manage-to-green strategies and ESG conformity of growing importance
Asset Managers and Funds Managers are most active buyers, while Listed Property Companies dominate on the sell-side
Outlook for 2024: transaction activity expected to remain subdued in the coming months in light of the continuing difficult economic conditions; increased pressure to sell as a result of refinancing and to safeguard liquidity; signs of market recovery later in the year owing to a growing demand-supply imbalance on rental markets as well as dynamic rental trends and price stabilisation
Third-quarter take-up of 164,800 sqm is best result since Q3 2021
The 311,800 sqm registered in the year to date is well below long-term average
Large-scale segments show market revival, but remain below average in a long-term comparison
Market activity in new-build segment remains at a low level
Storage and logistics service providers represent most active group, followed by companies from industry and the manufacturing sector
Focus on southern sub-markets with market share of 65 %
Outlook: overall economic environment will constrain occupier demand, although the limited supply of available space remains the key problem; significant increase in construction activity is not expected; total annual take-up of over 400,000 sqm is possible
Transaction volume of €4.7 billion in the year to date
Investment revenue of €1.4 billion in third quarter is slightly above the previous quarter
Number of transactions halved compared to the previous year; trading in project developments continues to decrease
Asset and Funds Managers remain the most active buyers, while Listed Property Companies account for highest sales volume
Outlook for 2023/2024: Price expectations of market participants are slowly converging, yet transaction activity remains subdued owing to ongoing macroeconomic uncertainties and high construction and financing costs
Space take-up of 87,000 sqm broadly in line with previous quarterly results
Take-up in 2023 to date amounts to 261,100 sqm and is well below the medium and long-term averages
Banks, financial service providers and insurance firms as well as industrial production and manufacturing sector represent most active industries
Banking district and Messe/Europaviertel are most popular sub-markets
Vacancy rate rises to 9.0 %
Average rent at €24.80/sqm; prime rent at €46.00/sqm; positive rental development likely in foreseeable future
2023: Economic slowdown acts as a noticeable deterrent for office users, although there are requests for large spaces on the market, including from the public sector; total annual take-up could reach around 350,000 sqm
Frankfurt am Main, August 29, 2023 – NAI apollo, a partner of the NAI apollo group, has secured Klaus Schumacher, one of the leading experts in Distressed Real Estate and Non-Performing Loans (NPL) in Germany, for its Corporate Finance division under the leadership of Ingo Rösinger. Together, they will establish a real estate-oriented special situation platform with a wide range of services in the NPL and Distressed Real Estate sector. Schumacher sees himself as a problem solver for banks, other financiers, and portfolio holders.
Total space take-up of 174,100 sqm in the first half of the year is below comparable mid- and long-term average figures
Group comprising banks, financial service providers and insurance companies still accounts for the highest take-up volume
Users focus on central locations and sustainable properties
Vacancy rate increases to 8.9 % while total vacancies exceed 1 million sqm
Rental prices keep on rising: average rent reaches €24.90 €/sqm; prime rent remains at €46.00/sqm
2023: take-up impacted by the challenging economic environment and changing needs for office space; larger lease signings expected in the second half of the year; sustainable space remains of growing importance
