LACK OF LARGE DEALS LEADS TO WEAK TAKE-UP
Rental activity on the Munich warehouse and logistics market is slowly levelling off at pre-Corona level. All in all, take-up has been very stable in recent months, with 58,000 m² let in the second quarter and 60,000 m² in the third quarter. By the end of September, 166,000 m² had been taken up during the year (including owner-occupiers). The record take-up from the previous year (391,000 m²) was thus clearly missed. However, the current result is rather weak, even by long-term comparison. The ten-year average fell short by almost 17 %. The main reason for this is the lack of large deals. To date, no contracts beyond the 20,000 m² mark have been registered. Supply shortages remain the most important market parameter. It is a particular obstacle to short-term rental decisions. As a result, the Munich logistics market could not, like so many other German locations, benefit from the ad hoc increase in demand from retail and manufacturing companies during the lockdown period.
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