Cologne, January 22, 2025 - The Cologne logistics market recorded remarkable take-up growth in 2024. With a letting performance of around 272,000 m², not only was a significant increase of 67% achieved compared to the previous year, but the average of the last five years (256,000 m²) was also exceeded by 6%. A total of 56 deals were registered, underlining the robust development of the market. "The figures show that Cologne's logistics market has remained resilient in 2024, even though the economic environment continues to be characterized by uncertainty. The strong performance shows that Cologne remains a sought-after location for logistics and industry and has sufficient potential for sustainable growth," emphasizes Patrick Sohns, Managing Director of Angermann NRW GmbH.
Major lettings shaped the year 2024
Major lettings of over 12,000 m² were a key driver of growth, accounting for around 44% of total take-up. Particular highlights of the year were the relocation of the GEA Group to Elsdorf (40,000 m²) and the leases taken by online retailer Woltu in Cologne-Bickendorf (30,000 m²) and a fulfillment service provider in Bergheim (30,000 m²). "The past few months have once again shown how crucial large-scale relocations are for the market. GEA's owner-occupier relocation in Elsdorf, for example, highlights the strategic relevance of the location. At the same time, the short lease terms of some large lettings are a signal that users want to retain flexibility in an uncertain economic environment," states Patrick Sohns
Retail and e-commerce dominate tenant ranking
The retail sector, including e-commerce, was the sector with the highest turnover in 2024 with a 42% share. Logistics service providers and freight forwarders followed with 25%. The production and trade sector - strongly influenced by the GEA relocation - accounted for 22%. "The disproportionately high growth in e-commerce illustrates the change in consumption patterns. Cologne underlines its importance as an ideal logistics hub that guarantees fast and efficient supply chains," explains Patrick Sohns.
Average rent increases slightly - prime rent remains stable
While the prime rent in Cologne remained stable at €7.70/m², as in the previous year, the average rent increased by 3.5% to €6.10/m². A notable proportion of the large lettings took place in older properties or via subletting, often with short rental terms of up to 2.5 years.
The continuing demand in the small-scale segment (up to 2,000 m²) shows a differentiated picture: While there is still interest here, longer marketing periods are noticeable.
"The rise in average rents is proof that quality has its price, even in uncertain times. At the same time, the developments in subletting show that companies are focusing on flexibility and risk minimization in the current economic situation," says Patrick Sohns.
Outlook
The market will continue to be characterized by macroeconomic uncertainties in 2025. Although construction will start on two major developments in Cologne in the first quarter, the future development of the market is dependent on external factors. A return to political stability could provide important positive impetus and enable an increase in high-quality inquiries from the business sector.
In the coming months, we anticipate that price pressure may arise for high-priced products, while average rents are likely to remain stable. Take-up in the Cologne logistics market is likely to be well above 200,000 m², if only because of the two developments already secured in the city. Despite positive signals, it will be decisive how the players react to the increased challenges and to what extent the economy stabilizes.