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Market Report

Germany Offices - February 2016

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The six largest office letting markets in Germany are enjoying an uptrend characterised by growing demand, rising rents and declining vacancy rates.

On the supply side, there is a markedly below-average completion volume of 0.9 million sq m scheduled for 2016 (unchanged on 2015), two thirds of which is already pre-let. The vacancy rate may, therefore, decline even further in 2016.

Owing to the sustained supply shortage, which may conceivably worsen, rental growth is likely to continue over the coming years. In (good) B locations, the rental growth may well even accelerate.

Source : Savills

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