MARKET REPORT ON THE LEASING OF LOGISTICS PROPERTY AND INDUSTRIAL SPACE

Greater Berlin area for 2017

Market report on the leasing of logistics proper-

ties and industrial spaces in the Greater Berlin

area* for 2017

n Forecastfor2018:take-upbetween390,000sqm

and420,000sqm

n Focus on size segments between 5,000 sqm

and15,000sqm

n Stable take-up of 412,000 sqm in 2017:

second-highestfigureinlastfiveyears

n Highdemandincitycentreduetofast-growing

e-commerce

Berlin is one of Germany’s most attractive mar-

ketsforindustry,commerceandlogistics.Accor-

dingtoRealogisBerlin’sanalysis, theannual let-

tingvolumeofstorage, logisticsandproduction

spacehascometoaround400,000sqmforthree

years inarow,andisthus inveryrobustshape.

Due to the infrastructure andadirect transport

connectiontootherareasofBerlin,spaceinare-

astothesouthofBerlinwasparticularlysought-

afterin2017.Atthesametime,demandforspace

inthecitycentrewasalsohigh.Thisresultedinan

increaseinprimerentsbythecitymotorwayA100

toEUR6.50/sqm.

Morethanhalfofthetotaltake-upof412,000sqm

in2017wasgeneratedinnewconstructionpro-

jects. One of the main drivers behind this de-

velopment is the booming e-commerce sector.

Modern logistics properties proved particularly

attractive in 2017, as they offer high flexibility

in termsofuseanddirectproximity to thenew

tenants’ customers. National and international

project developers have recognised this trend:

In2017,newspacewasconstructedinsouthern

Berlintocounterthescarcityofmodernlogistics

properties.

1.Asos,Großbeeren,approx.43,000sqm

2.dm-drogeriemarkt,Wustermark,

approx.25,000sqm

3.BLGLogistik,Falkensee,approx.22,000sqm

>> Take-upoflogisticspropertiesandindustrialspacesinthegreaterBerlinarea

*Sourceofdatafor2013and2014:Statista

A9A10

A10

A10

A10

A10

A24

A10

A13

A11

A12

115

111

100

114

Eberswalde

Potsdam Schönefeld

Ludwigsfelde

Brieselang

Wustermark

Nauen

Hennigsdorf

Panketal

Hoppegarten

Strausberg

Altlandsberg

Werneuchen

Oranienburg

Velten

Werder

Berlin

WusterhausenKönigs

A13

Lichtenberg/Rhinstraße(existing properties) EUR 4.00 - 4.50/sqm

Schönefeld/Ludwigsfelde/Großbeeren(surrounding area) ~ EUR 4.20/sqm

Oranienburg (surrounding area)EUR 3.00 - 4.00/sqm

Reinickendorf/TegelEUR 5.00 - 6.00/sqm

Inner cityEUR 6.00 - 6.50/sqm

Lichtenberg/Rhinstraße (high-quality logistics properties)EUR 5.00 - 5.50/sqm

GroßbeerenRelevant deals in 2017

City centre: alongthecitymotorwaybetween

BeusselmarktandNeukölln:EUR6.00-6.50/sqm;

Lichtenberg/Rhinstraße:oldbuildings:EUR4.00-

4.50/sqm,high-qualityproperties:approx.EUR

5.00-5.50/sqm;Reinickendorf/Tegel:EUR5.00-

6.00/sqm

Surrounding areas:Schönefeld/Ludwigsfelde/

Großbeeren:EUR4.20/sqm;Oranienburg:

EUR3.00-4.00/sqm

Overview of rental prices by location in the greater Berlin area

400,000sqm350,000sqm

450,000sqm500,000sqm

300,000sqm250,000sqm200,000sqm150,000sqm100,000sqm

50,000sqm0sqm

201620152014*2013* 2017

RealogisBerlinisforecastingtake-upofbetween

390,000sqmand420,000sqminthelettingof

logistics properties and industrial spaces in the

Greater Berlin area by all market participants,

providedthemarketsituationremainsstable.The

focus is on deals in the size segments between

5,000 sqmand15,000 sqm.One suchdeal for

approximately10,000sqminthesouthofBerlin

wasalreadyimplementedviaRealogisatthebe-

ginningof2018.However, leasesformorethan

20,000sqmwillgenerallyberare inthecurrent

year.

In the area around the city, besides major re-

quests for space Realogis records demand for

smallersizes(between2,500sqmand3,500sqm)

in2018,butthisisunlikelytobemetasspaceis

onlyavailableinsegmentsof5,000sqmormore

asofthestartoftheyear.Atthesametime,the

analysis indicates a trend towards small-scale

demand for between800 sqmand2,000 sqm,

drivenprimarilybyusersfromthemanufacturing

industryandbyexpandingstart-ups.

City-centre logistics is well-represented in the

1,000sqmto2,000sqmsegment,whilerequests

turnouttogetlarger,i.e.5,000sqmormore.In

ordertomeetthisgrowingdemand,sustainable

solutions for city-centre logisticswill be in even

higherdemandinthefuture.

Inlightofthesteadilygrowinge-commercesector

andadvancingdigitalisation,thereisalsoincrea-

sing competition with regard to delivery speed

andservices.Increasinglysmalldeliveryquantities

need to reach consumers more and more fre-

quently.Asaresult,therequirementsforlogistics

properties are also changing. This includes the

need for a larger number of gates and parking

spacesforvans.Electricmobilityhasalsoreached

logisticsproperties,withtheeffectthatincreased

demandforchargingstationsforelectriccarscan

nowbeobserved.Realogisexpectsthatthetopic

ofsustainabilitywillcometotheforeevenmore

inthefuturewith“greendelivery”.

Forecast 2018

Eberswalde

Potsdam Schönefeld

Wustermark

Nauen

Planebruch

Hennigsdorf

Panketal

Hoppegarten

StrausbergAltlandsberg

Werneuchen

Müncheberg

Wiesenaue

Oranienburg

Velten

Werder

Berlin

WusterhausenKönigs

an der HavelBranden- A13

A9

A10A10

A10

A10

A10

A10

A24

A10

A13

A11

A12

115

111

114

Ludwigsfelde

Prötzel

>>*GreaterBerlinarea

BerlinisagrowinglogisticslocationandTHEstart-uplocationinEurope.Realogisdefinesthesub-marketoftherelevantavailablestorage,logistics,industrial

andproductionspaceinthesurroundingareasasfollows:inthenorthuptoNeuruppin,Oranienburg,Eberswalde;intheeast:Straußberg,Fürstenwalde;in

thesouth:Ludwigsfelde/Großbeeren,Zossen,KönigsWusterhausen;inthewest:Brieselang,Wustermark,Werder.Geographically,theGreaterBerlinarea

formspartofanimportanttraffichubfortheeast-westconnectionandfornorth-southmotorways.Itcontainsninemotorways(A100(citymotorway),A9,

A10,A11,A12,A13,A24,B96(a)andB101),inlandportsandairports.

MARKET REPORT ON THE LEASING OF LOGISTICS PROPERTIES AND INDUSTRIAL SPACES // GreaterBerlinareafor2017

REALOGISImmobilien

BerlinGmbH

Wilhelm-Kabus-Straße77

10829Berlin

phone:+49(0)30-5096999-0

fax:+49(0)30-5096999-29

e-mail:berlin@realogis.de

www.realogis.de

MARKET REPORT ON THE LEASING OF LOGISTICS PROPERTIES AND INDUSTRIAL SPACES // GreaterBerlinareafor2017

RegionBerlin

REALOGIS Immobilien Berlin GmbH

Contact:

AdrianZellner(Managingdirector)phone:+49(0)30-9096999-0

fax:+49(0)30-9096999-29

e-mail:berlin@realogis.de

The first port of call for industrial and logistics

property

WhenRealogiswasfirstestablished in2005,we

had an ambitious goal: to become the market

leaderforpropertylettingsinthe“industrialand

logistics” segment. The concentration and poo-

lingofourknow-howintothisnichemarkethas

proved successful: in 2015 we again gained

market leadership inGermany for space take-up

in industrial properties,warehouses and logistics

properties.What’smore,wehavealsocontinued

toexpandourshareoftheEuropeanmarket.

Today,theowner-managedRealogisgroup,which

isheadquarteredinMunichandalsohasofficesin

Berlin,Dusseldorf,Frankfurt,HamburgandStutt-

gart,notonlyofferslettingsandconsultancyser-

vicesbutisalsoasought-afterpartnerofinvestors

andinstitutionalinvestors,towhomweofferour

comprehensiveexperienceandin-depthregional,

nationalandinternationalmarketknowledge.

Extensive consultancy services in the areas of

logistics and fulfilment round off our range of

services. With a team of highly motivated and

well-trained professionals, we continually strive

to provide long-term support to our customers

andenablethemtobenefitfromourpositionas

marketleader.

Our services

n Preparationofadetailedandindividualrequi-

rementsprofile

n Targetedoffers

n Developmentofpossiblealternatives

(leasing,purchase)

n Integrated Realogis logistics consultancy to

define the optimal location and implement

internalprocessesinanexistingproperty

REALOGIS -

Available to you directly on-site in Berlin

Weareyourpointofcontactforthelettingofin-

dustrialandlogisticspropertyaswellasbusiness

parksintheBerlinregion.You’relookingforacer-

taintypeofproperty?Wewilldefinetheprecise

detailsofyourrequirements,enhanceyoursearch

profileandprovideyouwithexactpropertymat-

ches.Maybeyouarelookingforanewtenantfor

yourproperty.Inthatcasewewillassistyouinva-

luingyourpropertyandsettingtheoptimalrental

price.Wehandletheprofessionalpresentationof

yourpropertytothepublicandensureaprompt

letting.

Bothtenantand landlordbenefitfromthemany

years of specialist market knowledge of our

eight-strong consultancy team in the region,

as well as our market proximity and valuab-

le contacts. We only employ well educated and

experienced property consultants, and also

offeraccesstoanin-housesite-department,which

isspecialisedincommercialandindustrysites.

Pleasecontactusaboutanydecisionsrelatingto

industrialandlogisticsproperty.

n Soundandrealisticvaluationofyourproperty/

land

n Individualmarketingconcept

n Adviceonoptimisingproperty

n Strategy consulting to minimise the risk of

vacanciesanddefaults

n Extensive regional, national and international

contactnetworkofpotentialtenants