In 2025, Cologne's investment market continued the positive trend that began in the previous year. With a transaction volume of around 1.45 billion euros, the result from 2024 of 1.2 billion euros was even significantly exceeded by around 21%. "Even if the record sales achieved during the low-interest phase are still out of reach, it is clear that the market has adjusted to a new price and yield level and is becoming increasingly stable," explains Alexander Wunderle, Managing Partner of Angermann NRW.
Large transactions as a signal of growing market liquidity
Two individual transactions, each with a volume of over 200 million euros, had a significant impact on the annual result. "Even if large-volume deals did not otherwise dominate the market, these transactions impressively demonstrate that transactions above the 100 million euro mark are once again feasible," says Alexander Wunderle.
It is worth noting that both transactions were carried out by professional investors on the open market. In the previous year, market activity in this segment was still dominated by purchases by the City of Cologne, including the acquisition of the Rossio and the exhibition halls.
This year's lighthouse transactions were supplemented by numerous deals in the volume segment between 10 and 100 million euros. In terms of transaction volume, investors feel particularly comfortable in the range up to 50 million euros, as evidenced by the more than 30 deals registered this year.
Office properties are moving back into focus
Office properties are also becoming more important again. Although the number of transactions is still below the level of the record years, a clear recovery can be seen. Both new-build projects with long-term rental agreements as well as value-add properties and transformation projects are being successfully placed. "Institutional investors in particular are showing increased interest again and are prepared to look at office products and submit bids at the new market level," says Alexander Wunderle.
National investors dominate - equity remains decisive
As in the previous year, market activity is predominantly characterized by national investors. "Buyers with a strong equity base remain at an advantage as they can act faster and structure transactions more flexibly. At the same time, audit, exclusivity and due diligence phases continue to be challenging and are increasingly individualized. The quality of process management is therefore becoming increasingly important," emphasizes Alexander Wunderle.
Feasibility beats maximum price
A key feature of the current market environment is that it is no longer the highest bid that determines the success of a transaction, but its feasibility. Sellers and advisors are once again placing greater emphasis on financing security, reliability and transaction speed. This is also reflected in the return of structured sales processes, particularly for core and core-plus products.
"The Cologne investment market has proven that last year's strong result was no exception. We are once again seeing functioning processes, institutional buyers with clear purchase profiles and a growing willingness to implement transactions at the new market level. The decisive factor here is not the maximum price, but the security and feasibility of a deal," says Alexander Wunderle.
High demand for light industrial and logistics
Interest in light industrial and logistics properties remains high. Many off-market transactions continue to be implemented, which are generally realized faster than office deals. This underlines the attractiveness of these asset classes and the high demand for functional, easily let products.
Pricing stabilizes - realism prevails
Even though pricing on the Cologne investment market has stabilized, the discussion about prime yields remains sensitive. For completed office transactions in the core segment, initial yields are currently around 4.6%, with more opportunistic products sometimes even exceeding 8%. At the same time, it can be observed that investors are submitting their bids confidently and often below the original asking price. As a result, the sales process is repeatedly aborted, often forcing sellers to implement value-add and ESG strategies on their own.
"This development shows that the market is increasingly moving towards a new balance between risk, return and financing costs. Professionalism and realism are prevailing - an essential prerequisite for successful deals," says Alexander Wunderle.
Outlook: Pipeline well filled for 2026
A well-filled pipeline is already emergingfor 2026, which also includes one or two major transactions with the potential for surprises. "Demand for stable investment products in prime locations in Cologne remains high, while secondary locations will continue to be viewed selectively. Overall, it can be assumed that the transaction volume will stabilize at the current level," forecasts Alexander Wunderle. 
