Demand for modern logistics properties in Europe remains high, and matters such as location quality, energy efficiency, automation and flexible use are continuously gaining in importance. Germany in particular plays a key role in this framework – as Europe’s largest logistics market and as a hub for international supply chains. Swiss Life Asset Managers, with a Europe-wide logistics strategy, is amongst those actively shaping this change.
Germany as the backbone of European supply chains
With its central location, excellent infrastructure and political stability, Germany forms the backbone of European goods traffic. The large metropolitan regions such as Rhine-Ruhr, Stuttgart, Hanover and Nuremberg are integral parts of global supply chains. Even in times of increased construction costs and economic uncertainty, demand for modern space remains significantly greater than supply. Vacancy rates remain at a low level, while hardly any new logistics sites are being designated in metropolitan areas.
This has two consequences for investors: On the one hand, the market remains a stable earnings anchor despite cyclical fluctuations. On the other hand, the ongoing shortage of space increasingly calls for forward-thinking development concepts such as brownfield reactivations, further development or the construction of multi-storey logistics centres in urban areas. The market thus differentiates more in terms of quality, location and ESG standards.
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Supporting documents
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