Despite a subdued start to 2024 across Europe’s office and industrial markets, the prospect of falling interest rates, accelerating economic growth and opportunities from long-term shifts in demand, give cause for optimism.

The Society of Industrial and Office Realtors (SIOR) recently conducted a survey of its European membership to gauge the outlook for the office and logistics sectors, and some of the key results within the context of current market performance provide further ground for optimism.

Quality counts

When looking at the office sector, city centre office occupancy rates remain below pre-pandemic levels, but they do appear to be stabilising. Indeed, some employers are starting to assert themselves a little more, with an increasing number encouraging or requiring their employees to come into the office five days per week. This trend is, however, very sector specific.

Office occupier demand remains subdued, with the focus very