Germany Warehouse and Logistics MarketView Snapshot Q4 2018
For the first time, a take-up of 7.0m sq m of space was recorded on the German logistics market, 7% more than in the same period of the previous year.
There is a shortage of space on the logistics real estate market - and at the same time the previous record of 6.7m sq m in 2016 was exceeded. The frequently reported shortage of space describes the situation in the 23 German logistics clusters. In 2018, users have shown that they are also prepared to move to other regions where large, inexpensive plots are still available.
The market in 2018 was driven by take-up in property developments. At 4.4m sq m, they accounted for 63% of total take-up.
Since the take-up of owner-occupiers has remained largely stable with a slight decline of a good 3% to 2.3m sq m, most of the growth is focused on the letting market.
The market shows no signs of slowing on the demand side. Even the limiting factors on the supply side are unlikely to change fundamentally over the course of the year.