PRIOR YEAR'S RESULT EQUALISED, TEN-YEAR AVERAGE NOT YET ACHIEVEABLE

  • At the end of the third quarter, the Berlin office market recorded good letting momentum overall, although it did not reach the ten-year average (-26%). Considering that some of the results in the long-term analysis were achieved under significantly better economic conditions, the current results can be considered as favorable overall. With take-up totaling around 421,000 sqm, Berlin reconfirmed its previous year's result (-1%).

  • When comparing the A cities, Berlin was narrowly behind the Munich office market (444,000 sqm), as it had already been at the end of the first half of the year. However, the results of the two top markets place them well ahead of the other major office locations Frankfurt (307,000 sqm) and Hamburg (301,000 sqm).

  • In the submarket analysis, Berlin-Mitte (103,000 sqm) stands out in particular, accounting for around a quarter of the overall result due to many contracts and some larger deals. This also reflects the increasing focus of tenants on central locations. The fact that the top city and city centre submarkets account for around 80% of take-up also underlines this observation.

  • Meanwhile, the momentum of recent years has slowed in prime rents: at currently €45 per sqm, there have been no changes in the premium rental segment over the past 12 months. The average rent for the entire market is now approaching the €30 per sqm mark with a value of €29.30 per sqm.

 

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