Record year for German commercial real estate investment
Approximately €70.8 billion ($78.7 billion) was invested in German commercial real estate in 2019, a 9 percent growth year-on-year, exceeding the €70 billion ($78 billion) mark for the first time in history, according to Savills. Approximately €16.1 billion ($17.9 billion) was transacted in December alone, the highest monthly volume on record.
Marcus Lemli, CEO Germany and head of European investment at Savills, said, “This record transaction volume is all the more remarkable when you consider that product shortage was a dominant issue for investors throughout the year. However, ultimately, it was this very product shortage that contributed to such high investment volumes, with prices rising significantly. Other factors included the strong pressure on investors to invest capital and Germany’s continued attractiveness as a safe haven.”
Office assets made up almost half (around 48 percent, up on 44 percent year-over-year) of the total investment volumes. The