Premium and luxury brands were the most active in the occupier market over H1 2023, while innovative mass-market brands...

Low momentum in take-up yet some signs of improvement in capital markets

€143bn were invested in commercial real estate over the 12 months to Q2 2024, which represents a 25 % decrease compared to Q2 2023.
 

After a torrid two years for European commercial real estate (CRE), when annual transaction volumes halved in almost all markets, we are beginning to see the light at the end of the tunnel.

€147bn were invested in commercial real estate over the 12 months to Q3 2024

Demand for office space stabilized in Europe in 2024. The overall result remained below the long-term average (-15%). 

Industrial & logistics investment hit its lowest point in 2023 and has been picking up in 2024. This reflects an improvement in financial conditions. 

Total investment for 2024 amounted to €157bn showing a solid +21% year-on-year increase. Q4 stood out, with a quarterly increase of +50% compared to Q3 2024.

This year will be an inflection point for European real estate markets. The macroeconomic environment remains uncertain and long-term interest rates are likely to remain elevated.

Office letting activity held firm in the first quarter of 2025, with take-up rising by 6% compared to the same period last year.