Focus Report Copenhagen - Colliers Denmark 2025

OFFICE - COLLIERS FOCUS REPORT COPENHAGEN 2025

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Copenhagen CBD The following is a brief introduction to the central Copenhagen office market, Copen hagen Central Business District (CBD). Government District The Government District houses a prominent stock of historical landmark buildings, almost exclusively used by public authorities and agencies as well as several minis tries and government agencies. An actual letting market in the ordinary sense is therefore virtually non-existent, and the vacancy risk is limited due to the potential number of public-sector tenants in the downstream of central government. The Pedestrian District Comprising the Copenhagen high-street area and the medieval city centre, the Pedestrian District is charac terised by a predominance of smaller office premises, often with inefficient space layout reflecting the design and age of the building stock. Despite its central location in the CBD and easy access to Nørreport station, a hub for public transport, most of the office stock in the district is lacking in functionality, flexibility and cost efficiency. In addition, there is a significant shortage of available parking spaces in the district. As a result, the district is not considered a prime office location compared to other CBD districts, which is reflected in rent levels. The Banking District Located east of the Pedestrian District and just north of the Government District, the Banking District encom passes the areas surrounding Holmens Kanal and Kongens Nytorv. The district was traditionally among the preferred locations for banks and other financial insti tutions, including the Danish central bank, Danmarks Nationalbank. The latter’s domicile at Havnegade 5 is currently undergoing restoration and refurbishment, expected to finish in 2030. Another landmark property that is also undergoing a significant refurbishment is Børsen, the old stock exchange. The historic property burned down in April 2024. Work to rebuild the building

has begun and is expected to be completed in 2029, although the completion date is associated with a great deal of uncertainty as only phase 1 of 42 was completed as of early 2025. The district benefits from easy access to public transport at Kongens Nytorv offering multiple bus services and a metro station providing access to all four metro lines. The area is hampered by scarce parking facilities, but the diversified building stock, easy access by public transport and diverse urban life give the district char acter, appealing to a wide range of businesses in pursuit of small and medium-sized office units. The district is predicted to transform in the coming years as it is becoming an increasingly popular location for serviced offices, restaurants and shops. For instance, there are plans to repurpose the former Danske Bank head-office buildings for hotel, shops, restaurant and office uses. Frederiksstaden Centred around the King’s residence, Amalienborg Palace, Frederiksstaden is considered a prestigious CBD office location with an imposing building stock consisting of mansion and palace-style buildings with a modernised layout. Both historically and today, the district is preferred by law firms, professional and business service consul tancies, financial institutions and shipping companies, including the A.P. Moller-Maersk Group, which is head quartered in Frederiksstaden. In addition, attracting many restaurants and art galleries, the district has a rich cultural life. After much political attention, in November 2023, A.P. Moller-Maersk had plans for an expansion of their head quarters at Amaliegade approved. The project includes a 26,000 sq m office expansion, which will be built in line with the company's ESG strategy and provide a modern workplace. A new waterfront plaza with a café or restaurant is also prioritised, which is expected to bring more traffic to the area. The expansion is scheduled for completion in 2026.