Office market Leipzig

TAKE-UP SLIGHTLY UNDER PREVIOUS YEAR'S RESULT, NO LARGE-SCALE LETTING SO FAR

• In the first quarter of 2024, a take-up of 18,000 m² was registered, slightly below the previous year's figure (-10%). Leipzig's office market has long been characterized by a relatively high degree of stability compared to the rest of Germany. This is primarily due to the fact that a relatively large number of small-scale contracts characterize the market and provide a solid foundation. This structural characteristic was confirmed once again at the beginning of the year.
• In total, around 87% of the result is attributable to contracts of up to 2,000 m², which is eight percentage points more than the ten-year average. As in the previous year, contracts for over 5,000 m² were not signed at all. As a result, market activity was again particularly lively in the small and medium-sized segment. The largest lettings include SimpliOffice for 2,300 m² and SAE Institute for 1,400 m², both in the city centre, as well as Distart Learn for 1,600 m² in centre fringe location.
• The comparatively stable overall market development in Leipzig is also reflected in rents. Following a continuous rise in prime rents in recent years, which was primarily due to a significantly larger supply of modern new-build space, it stabilized in the first quarter of 2024 and remains at €19/m². The upward trend in the average rent has actually continued. In the first three months of the current year, it rose again by almost 2% to €12.30/m².

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