Colliers Denmark Market Report 2024

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OFFICE - COLLIERS MARKET REPORT 2024

Brisk letting activity and low vacancy

Throughout 2023, the Danish office market was characterised by high demand and lower vacancy rates than many other countries. Activity in the investment market was limited, while ESG has moved up the agenda for both tenants and investors.

Denmark has fairly low office vacancy rates in a European context - throughout 2023 it was around 5% according to Ejendomstorvet.dk. Vacancy peaked in the wake of the financial crisis at around 10% in 2012-2015. An important explanation for the low vacancy rate is steadily increasing employment, which set several records in 2023 despite rising interest rates and uncertainty due to

the war in Ukraine. This has ensured a sustained demand for modern office space, especially in Copenhagen.

Another explanation for the low vacancy rate is that com panies in Copenhagen and Aarhus have only experienced limited pressure from employees to work more from home and therefore no resulting decline in office space requirements.

Job growth continues after coronapause

3,100

3,000

2,900

2,800

2,700

2,600

2,500

14

15

16

17

18

19

20

21

22

23

Note: Number of FTEs (’000 persons, seasonally adjusted) over time in Denmark, 2014-2023. Source: Statistics Denmark, Colliers