CAUTIOUS START TO THE YEAR AGAINST A BACKDROP OF ECONOMIC WEAKNESS
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In the first quarter of 2026, the Cologne office market recorded a take-up of 45,000 sqm, representing a 33% year-on-year decline and a volume 24% below the long-term average. This subdued start to the year should be viewed in the context of an ongoing challenging and volatile macroeconomic environment. Against this backdrop, the result should not be overstated and—particularly after just three months—represents a snapshot rather than a definitive trend.
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Compared with the exceptionally strong first quarter of the previous year, which was driven by two large-scale lettings each exceeding 10,000 sqm, market activity in early 2026 has been characterized by a more fragmented contract structure. The largest letting was concluded by Deutsche Bank, which leased more than 7,000 sqm of modern office space in the city center. This was followed by MSIG Europe SE, which secured approximately 3,400 sqm, also in a prime inner-city location.
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The prime office rent in Cologne remains stable at €33.50 per sqm, a level achieved by high-quality assets in central locations. In contrast, the average rent, which is inherently more volatile, has increased by 4% over the past twelve months to currently €21.40 per sqm. This trend highlights the continued robust demand for modern and well-located office space across the market.