An all times high for logistics markets
Take-up
Market fundamentals are healthy with low vacancy rates in most countries. The lack of new developments combined with the strong activity in the e-commerce sector are the two main factors that contribute to rental growth in prime sectors.
- European logistics set up a new record volume of transactions boosted by a strong economic upturn.
- Supply is low with vacancy rates down again to 5.0% or less in most European countries.
- Rents rose by 3.4% in 2021 and are likely to continue to grow, stimulated by inflation, particularly in sectors where the imbalance in demand vs supply is strong.
Investment
The industrial & logistics market is yet again breaking a new record volume of investment gaining market share against other assets. Supported by strong occupier fundamentals, yields are still compressing in most market.
- With over €65 bn invested during 2021 in industrial and logistics, the market set a new record compared to last year.
- Prime yields compressed by 65% on average in Europe in 2021. The prime yield dropped to 3% in the main markets.
- Further yield compression is expected for prime assets reflecting limited stock and strong demand.

Property Report - European Logistics Market - March 2022
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