Office rents: Prices for non-central locations rising not only in Berlin
Office space is booming even outside the top locations of Germany. This has been the perception for some time, and JLL has now confirmed it with nationwide figures on rent price development in sub-markets. Four of the ten non-central locations with the strongest average rent growth of the past twelve months are in Berlin. The sub-market Außerhalb Ost leads the list, with rent prices increasing by 61 % between July 2018 and today to €15.75/sqm. Nevertheless, the top 10 also include locations in other top 7 cities, such as Umland Ost and Arabellapark in Munich (+41 % and 34 %, rank 3 and 9), Stuttgart-West with +38 % (rank 5), Hamburg’s City Nord (35 %, 6.), and Cologne locations Ossendorf/Nippes and Deutz/Messe. “The growth rates are impressive, particularly because these are actual contracted rent prices,” says JLL-head researcher Helge Scheunemann. They are possible because the central locations are swept clean and users have to turn toward other quarters.
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