SUPPLY SHORTAGE AFFECTS TAKE-UP
- The Cologne warehouse and logistics market achieved a take-up of 55,000 m² in the first half of 2023. This represents a decline of 65 % compared with the corresponding result for the previous year as well as -48 % compared with the ten-year average. In other years, there have also been half-year results of a similar magnitude, which were generally compensated over the year. Currently, in addition to the continuing economic uncertainties, the lack of available space throughout the market area is primarily responsible for the low take-up.
- This applies in particular to the large-space segment of the market, where it is not possible to meet the corresponding demand. There are hardly any market-adequate properties available in the existing stock and new construction activity is currently too low to provide any short-term relief.
- The development in rents is dynamic: both the prime and average rents have risen by around 10 % year-on-year to 7.50 €/m² and 5.50 €/m² respectively.
NO MAJOR CONTRACTS TO DATE
- The distribution of take-up by size class reveals the main difference from the strong prior-year result. Whereas currently the largest registered contract comprises just 11,000 m² (retail company in Cologne), last year already more than 90,000 m² were recorded in the larger segments from 12,000 m².
- Market activity was particularly lively in the category between 3,000 and 5,000 m², which also made an above-average contribution in absolute terms with 43 %.
- In terms of take-up by sector, wholesale/retail companies are in first place with 41 % and increased their value in absolute terms compared with the previous year. Logistics firms follow with 36 %, while manufacturing companies are still underrepresented at around 15 %.
- Due to the current economic environment and the lack of development land, owner-occupiers have been quite cautious to date and contribute only around 6 % to take-up.