NOT YET BACK IN AVERAGE RANGE, BUT TOP IN AN Y-O-Y AND LOCATION COMPARISON
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In a generally challenging market environment due to the still comparatively weak economic development and the continuing supply bottlenecks, the Frankfurt logistics market was able to take the lead among the top markets in the middle of the year.
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With take-up totalling 195,000 sqm, the current result is 24% short of the long-term half-year average, but the increase in take-up of 52% compared to the previous year and the top ranking in a comparison of locations show that the logistics region of the Main metropolis has achieved a good interim given the current framework conditions.
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The fact that the share of new builds in take-up reached 64%, which is the highest figure among the most important logistics markets, is a positive sign. In this segment in particular, there was a lack of supply and letting momentum in many locations due to the difficult market conditions for project developments. Although the high proportion of take-up in Frankfurt is pleasing, it can only be seen as a snapshot due to the continuing shortage of supply.
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Overall, rents have stabilised at the level reached at the turn of the year. The prime rent rose marginally by 1% to €7.95 per sqm in the second quarter. The average rent has remained stable at €6.70 per sqm since the end of 2023.