THE RECOVERY OF INVESTMENT MARKETS CONTINUES TO GAIN MOMENTUM
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The transaction volume for commercial property totalled a good €5.9 billion in the first three months of the year, up around 7% on the same period of the previous year. Although the increase in turnover is considerably lower than in the residential sector, it nevertheless underlines the slight upward trend that has been observed for some time. This continued positive development is quite remarkable, as current market developments are being influenced by a wide variety of factors.
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Looking at commercial investments, office properties regained their traditional leading position, which they had lost to logistics properties in the last two years, in the first quarter of 2025. With a transaction volume of just under €1.75 billion, they doubled their previous year's result and contributed the most to commercial investment turnover at almost 30%, significantly influenced by the sale of the Upper West in Berlin with well over €400 million. At just under €1.3 billion each, logistics properties and retail properties contributed a good fifth of investment turnover.
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As expected, prime yields remain constant. For office properties, they average 4.36% in the A-locations. Logistics properties are set at 4.25%. Retail high street properties also remain stable and currently achieve an average of 3.76%. Retail parks (4.65%), discounters/supermarkets (4.90%) and shopping centres (5.60%) are also yielding constant returns.