The market for industrial and logistics areas (lease and sale) in Hamburg have clearly surpassed expectations. The total absorption of 600,000 square metres in 2015 increased 31.8% over 2014 (455,000 square metres). Two large sales by Edeka (approx. 30,600 square metres) and Still GmbH (approx. 25,000 square metres) had affected the market’s development, Engel & Völkers said Tuesday.
Strong year in Billbrook
“The striking aspect of last year was that 66 per cent of entire floor-space turnover occurred in the city,” said Tobias Hein, Deputy Division Manager of Industry at Engel & Völkers Commercial Hamburg. As alternatives were lacking, some revitalisations had created additional supply. An increase of 17 percentage points to 30 per cent in surface area transactions occurred in Billbrook, east Hamburg. This was the most noticeable development. Hamburg’s south followed with a turnover share of 25 per cent. The regions of Rade, Buchholz or Winsen remain attractive.
Ongoing strong demand
Last year, surface areas over 5,000 square metres accounted for 62 per cent of floor-space turnover. Surface areas between 2,500 and 5,000 square metres in Hamburg were the most available. “There were hardly any vacancies especially in the port and in Allermöhe,” Heine noted. Although 71 per cent of companies had rented surface areas, the demand for and sale of existing premises had increased slightly. Due to some big requests made on the market as well as the sustained strong demand, Heine expects floor-space turnover of between 500,000 and 550,000 square metres in 2016.
Sources and further information: