Post on 14-Apr-2017
2.9%
0.6%YoY
QoQ
on 5 yr average50%
JLL quarterly Logistics and Industrial analysis illustrates the current market condition and examines how it will evolve in the future.www.joneslanglasalle.eu
For more information Alexandra TornowEMEA Logistics & Industrial Researchalexandra.tornow@eu.jll.com
Guy GueirardHead of EMEA Logistics & Industrialguy.gueirard@eu.jll.com
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2015 expected to be a record year with occupational demand approaching 16 million sq m across Europe
Strongest Q1-Q3 year result on record over the last 10 years
Robust development activity continued in Q1-Q3 2015
Slowing rental growth across Europe in Q3 as the majority of markets saw stable rental environments – UK and southern periphery recovery laggards show strongest YoY rental growth
Demand for e-fulfilment space rises strongest YoY albeit on a small scale, manufacturing companies remain more active this year compared to their 5yr historic average
CEE markets still leading YoY growth in Q1-Q3 2015 – Russia recovery boosted by surging Q3 activity
Occupational activity stabilised in Q3
European Logistics Market FundamentalsQ3 2015
Occupational demand is becoming more balanced by occupier group
Development activity continues at a steady pace
Rental growth remains marginal
Top performersPrime rental growth (QoQ)
Dublin
London
Manchester
*ecxluding Moscow
8.1 million sq m
under construction
7% QoQ
8% YoY*
35% on 5yr average
*10% up if excluding Russia
*17% excluding Russia
But speculative development remains limited
… and still significantly below... the 70+% speculative share... recorded in the 2006/2007
Third Party Logistics Retail Companies E-CommerceManufacturing
CEE
50%Russia Southern Europe
33% 32%
sq m taken-up in Q3 2015
QoQ2%
16 millionsq m
4.4 million take-up Q1-Q3 2015
YoY24% on 5 year average26%12.4 million
33% 30% 25% 8% 4% Other
Strongest growing occupier groups in Q1-Q3 2015
E-commerce driven take-up
87%YoY
Manufacturing companies take-up
77% YoY
YoY11%2.0 million
sq m QoQ5%Completed Q3 2015 Completed Q1-Q3 2015
6.3 million sq m
22%*
non-speculative
Q3 logistics rents*