Colliers Denmark Market Report 2025

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INDUSTRIAL AND LOGISTICS - COLLIERS MARKET REPORT 2025

HOTEL INDUSTRIAL AND LOGISTICS RETAIL RESIDENTIAL OFFICE

Vacancy trends vary across specific locations in Denmark

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Greater Copenhagen Triangle Region Aarhus

Note: Vacancy rates, industrial and logistics. Source: Ejendomstorvet.dk, Colliers

for the past 4 years. Although the vacancy level remains low, it indicates a better supply/demand balance.

therefore foresee sustained upward pressure on Greater Copenhagen rent levels in 2025.

Despite the signs of weakness in the European economy, our forecast is that the industrial and logistics property market will be strong in 2025. In the occupational market, companies continue to focus on avoiding weak links in supply chains and being close to the main markets. This supports demand, and we have yet to see supply really catch up, especially in Greater Copenhagen. Weak supply may slow growth in certain areas Byggefakta's construction forecasts show a total pipeline of approx. 210,000 sq m of new industrial and logistics construction in selected municipalities around Greater Copenhagen in 2024-2027. However, it should be noted that around 85% of the future space will be built for own er-occupation, that is, the available new supply is limited. Because of the moderate increase in the supply of new properties combined with a positive net absorption of approx. 85,000 sq m in 2024, we are still looking at a mar ket where demand outstrips supply. This may motivate developers to build on speculation, but development opportunities are scarce in Greater Copenhagen. We

In the Triangle Region, occupational demand is also strong, but the supply is greater. This is partly because there are more newly developed properties on the mar ket and partly because large companies such as DSV have moved to owner-occupied properties, which has freed up their previous space. Although vacancy rates have also increased in the Triangle Region, we do not see signs that the market is in a negative spiral. Instead, we are seeing that the market is finding a more natural level where sup ply and demand are becoming more aligned. Therefore, we also believe that the Triangle Region is likely to see more moderate rent increases than Greater Copenhagen. Is the market keeping up steam? Although we believe that 2025 will be a strong year for industrial and logistics properties, there are several external factors that could have a negative impact on the market. We recommend keeping an eye on market developments in Denmark's two largest export markets, the US and Germany. In Germany, the economy is under pressure, having shrunk for five consecutive quarters as