Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting to read:%0A%0A {0} %0A%0A {1} Share on Xing

Significantly more office space let in Germany’s top-5 markets than last year

Verena Bauer • 06/10/2021

In Q3 2021, take-up in Germany’s top-5 office markets totalled 780,000 sq m, 54 per cent more than in the equivalent quarter last year. The current year totals 1.88 million sq m so far, 17 per cent above the level of a year ago. After last year's slump in take-up and the subdued start to 2021, there is now renewed impetus in market statistics and occupier sentiment. But the result is still 17 per cent below the five-year average, so there can be no talk of a return to "normal mode" yet. For 2021 as a whole, Cushman & Wakefield expects take-up to exceed 2.5 million sq m.

Berlin leader in take-up
With 217,000 sq m of office space newly let or occupied by owner-occupiers, Berlin saw the highest take-up of any German city in Q3 2021. This is followed by Munich with 214,000 sq m - a strong quarterly result that was driven in particular by a major letting to the German Patent and Trademark Office (45,000 sq m) in the Pandion Soul development project. Hamburg (154,000 sq m) and Düsseldorf (109,000 sq m) also posted high quarterly results. In the first three quarters of 2021, Berlin (592,000 sq m, up 30 per cent year-on-year) is also ahead of Munich (453,000 sq m, down 3 per cent). In the same period, 23 leases were signed for more than 10,000 sq m of office space each, almost equalling the number for the whole of 2020 (25 ).

Büroleerstand Deutschland Q3 2021

Christian Lanfer, Head of Office Agency Germany at Cushman & Wakefield stated
"Many office users are currently faced with the question of how to shape their working and space model in the future. A mixture of remote working and office could prevail," comments Christian Lanfer, Head of Office Agency Germany at Cushman & Wakefield. "The office must have a magnetic effect, appealing to employees emotionally. The office is then transformed from the headquarters into the 'heart quarters', where culture, learning and team spirit are the focus. But there will not be a blanket solution. Very easily accessible prime inner-city locations are increasingly the focus of users in the market."

Vacancy increase in all top-5 markets
The overall office vacancy rate in Germany's top-5 office locations was around 3.8 million sq m at the end of Q3 2021. This corresponds to a vacancy rate of 5.0 per cent, 0.9 percentage points higher than a year ago. The year-on-year vacancy trend ranges from +0.1 percentage points in Düsseldorf to +1.3 percentage points in Berlin and Munich. Stabilisation at the current level is expected by the end of the year.

Büroleerstand Deutschland Q3 2021

Increase in completions and high construction volume
In the first nine months of 2021, around 895,000 sq m of new or core refurbished office space was completed (+13 per cent compared to the same period last year) - a large proportion of this in Berlin, with 383,000 sq m. At the end of the third quarter, 4.4 million sq m of office space was under construction across Germany - this is now the tenth quarter in a row with a construction volume above the 4 million sq m mark. Around 53 per cent of this is already let or occupied by owner-occupiers. The largest construction volumes continue to be in Berlin (1.79 million sq m) and Munich (1.29 million sq m). Further completions of 550,000 sq m are expected to the end of the year. The expected 2021 total of 1.4 million sq m would be 16 per cent above last year and 54 per cent above the five-year average. In 2022, however, completions will increase yet again.

Rents rise for high quality fit-outs and locations
Three markets exhibited increasing prime rents during the quarter: Frankfurt and Hamburg by 50 cents each and Munich by 1 EUR/sq m per month. Average rents rose in the 12-month period by +2.6 per cent in Munich, by +3.7 per cent in Frankfurt and by +6.5 per cent in Hamburg. The prime rent index for the top-5 markets stands at 142.2 points (2010=100) at the end of Q3 2021. A further increase of 0.6 per cent is expected by the end of the year, and 1.2 per cent next year. The average rent index is currently at 149.4 points. After six quarters of increasing rent-free periods in prime central locations, they stagnated in the third quarter of 2021. For a 5-year lease, rent-free periods currently account for around 6 per cent.




verena bauer
Verena Bauer

Head of Marketing & Communications Germany, Cluster Lead • 60313 Frankfurt am Main


Pierre Nolte becomes Head of Tenant Representation EMEA

Pierre Nolte has been appointed Head of Tenant Representation EMEA. He takes on the newly created role in addition to his role as Head of Tenant Representation Germany, which he has already held for four years.

Verena Bauer • 28/09/2023

German Residential market visual people move in
Current residential real estate market sentiment and changed investment strategies

Regarding the past twelve months, residential investors in Germany paint a sombre picture: More than half have not achieved their sale and acquisition targets and transaction processes are protracted. 

Verena Bauer • 25/09/2023

Markus Kullman; Head of Office Agency Frankfurt 2023
Markus Kullmann new Office Agency Frankfurt Team Lead

Markus Kullmann will become head of the Frankfurt office leasing team at Cushman & Wakefield on September 1.

Verena Bauer • 21/08/2023


A businesswoman on the way to office with her bicycle
Research • Workplace

Rethinking the Office Sector

Identify obsolescence risks. Implement repositioning and repurposing strategies.
German Residential market visual people move in
Insights • Investment / Capital Markets

Residential Real Estate Investor Survey Q2 2023

Strategies and trends in the German housing market: How are investors acting in the current environment?


Get in touch with one of our professionals.
With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on Cookies.
These cookies ensure that our website performs as expected, for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Agree All
Reject All