Office rents in top markets rising more sharply – Freiburg remains most expensive secondary market
Office rents in the top markets rose more significantly in the second half of 2017 than those in regional centers. In the top 7, Corpus Sireo observed an average plus in quoted rents of 3.8 % to €14.51/sqm. This is the largest plus in a second half-year since 2008. In the 19 analyzed secondary markets, on the other hand, the rent increase declined by 1.6 % to €8.87/sqm, after 1.9 % in the first two quarters of the year. The best performance among secondary markets was recorded in locations in northern Germany. Kiel topped the list at +7.3 %. Above average increases were logged in Hannover (4.8 %) and Bremen (3.4 %). In southern Germany, Karlsruhe (2.8 %) and Regensburg (3.2 %) again showed significant gains, while in other markets like Freiburg (0.8 %) and Augsburg (0.5 %), growth seems to be leveling off. However, at the end of the year, Freiburg remained the secondary market with the highest average quoted rent at €11.99/sqm.
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