Logistics market Ruhr Region

AVERAGE AND PREVIOUS YEAR'S RESULT IN REACH

• Against the background of the difficult overall economic situation, the logistics market Ruhr region has started well into 2023. With take-up of 110,000 m², the first quarter result is in line with both the previous year (119,000 m²) and the long-term average (116,000 m²). The fact that all three results are in a relatively small corridor between 110,000 and 120,000 m² also underlines the high consistency of the Ruhr region, even under more challenging conditions.
• Once again, new-built properties (54 %), but also lettings in existing buildings (46 %) are extensively involved in the distribution of the good overall result. The two major lettings in the new-build sector include Recht Logistik (Bönen, 27,000 m²) and Bayer (Bergkamen, 15,000 m²). Larger areas were also let in the existing stock to logistics firms d-log (Essen, 11,000 m²) and ID Logistics (Dortmund, 10,000 m²).
• The prime rent is now to be set at 6.50 €/m² and the average rent at 5.30 €/m². 

MEDIUM-SIZED SPACES IN FOCUS, LOGISTICS FIRMS IN FRONT

• While large deals of 20,000 m² or more are traditionally the main reason for high take-up in the Ruhr region, in the first quarter it was primarily the medium-sized deals between 8,000 and 20,000 m² that were the decisive take-up drivers. They account for almost half of the volume, leaving a market share of around a quarter each for large contracts and smaller deals up to 8,000 m². 
• The sector distribution is also unusual, with manufacturing companies and logistics firms sharing the result on each other in the first three months with 69 % and 31 % respectively. In contrast, the supply bottleneck in the modern space segment and a somewhat more restrained market activity are reflected in the wholesale/retail companies, which have been among the most active demanders in the Ruhr region in recent years. However, this should rather be seen as a snapshot and not as a general market trend.
• Due to a lack of available site ares, owner-occupier deals have also failed to materialise so far.

KEY FIGURES

OUTLOOK

• The Ruhr region logistics market closed the first quarter with a good result despite the challenging economic conditions. Demand continues to exceed supply, particularly in the size categories of 5,000 m² and above.
• On the supply side, developers still try to use the few available plots of land to successively expand the stock through new developments. However, the segment of short-term requests in particular can hardly be served by this. On the other hand, the supply of sub-lease space, which represents a temporary solution, does not compensate for the surplus demand in the long term.  
• In addition, it can be assumed that with the further improvement in the economic outlook, the activities of wholesale/retail companies will also noticeably increase in the course of the year. Slight upward trends are also to be expected in the level of rents.