Take-up
At the end of 2025, the logistics market showed some stronger signs of improvement in the leading European markets.
The market was mainly driven by 3PLs, representing nearly 50% of total take-up. Sectors such as Defence and Healthcare logistics strengthened in 2025.
Prime rents
Market slowdown is easing the pressure on rental growth.
Prime rents rose by 4.6% during 2025 (y-o-y) in a panel of 46 markets covering 22 countries.
Inflation and high construction costs were strong contributors to rental growth between 2020 and 2023.
In 2025, some cities continue to see rents expand but overall, the market slowdown in 2024 and early 2025 resulted in limited rental growth.
Investment
The investment market is back to growth.
Strong activity in 2025 boosted by the return of portfolio deals. Yield correction is complete in most countries providing a more stable environment.
Prime Yields
Logistics prime yields stabilised in Europe.
Logistics prime yield expansion over the past two years has ceased with moderating inflationary pressure and long-term government bond yields hitting a ceiling.
Over the past twelve months, prime yields have adjusted gradually towards stabilisation in all European countries. They only adjusted slightly over the last quarter in Europe.
