MID-YEAR TAKE-UP SUBDUED, BUT IMPROVEMENT IN SIGHT
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By mid-2025, the Munich market for warehouse and logistics space achieved a take-up of 60,000 sqm. While this figure surpassed last year's weak result by approximately 15%, it remains below average when compared to long-term trends (-43% compared to the ten-year average). Nevertheless, the current result belies the fact that market activity has increased considerably compared to last year. Several major contracts are close to being finalised and will be included in this year’s final results.
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To date, the largest contract is the 10,000 sqm rental by an online food service provider in Kirchheim. Additionally, two other notable deals were signed: one for 9,000 sqm by a logistics firm in Markt Schwaben, and another for 9,000 sqm by a manufacturing company in Erding.
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All three of the above mentioned deals took place in existing properties. There is still a very limited supply of new construction space in the entire market area. Accordingly, the share of new builds in take-up is currently very low, even by national standards: just 6%.
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Meanwhile, there has been no change in rent levels since the beginning of the year. Both prime and average rents remain at €10.50 per sqm and €9.00 per sqm, respectively. Thus, Munich remains by far the most expensive logistics location in Germany.