Focus Report Copenhagen - Colliers Denmark 2025

INDUSTRIAL AND LOGISTICS - COLLIERS FOCUS REPORT COPENHAGEN 2025

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INDUSTRIAL AND LOGISTICS RETAIL RESIDENTIAL OFFICE

Greater Copenhagen

The following is a brief introduction to the Greater Copenhagen industrial and logistics market, with the so-called south corridor considered one of Denmark’s premier logistics locations.

Birkerød/Allerød/Hillerød Situated north of Copenhagen, the towns of Birkerød, Allerød and Hillerød generally feature a stock of built to-suit production facilities that fail to meet today’s tenant requirements. Dating mainly from the 1960s to 1980s, the building stock typically comprises ancillary office units at the front and industrial/warehouse facil ities at the back. The area is popular with businesses looking to cut overhead costs, e.g. small to medium-sized wholesalers and businesses in the automobile industry, including dealers in spare parts and car accessories, leasing companies, etc. Such facilities are in relatively low demand and somewhat susceptible to structural vacancy. It is worth mentioning that the area has an important concentration of modern production facilities for phar maceutical, biotech and medtech industries, including Novo Nordisk, which company is once again expanding its production facilities in Hillerød. In December 2024, the company announced plans to invest just shy of DKK 3 billion in some 53,000 sq m state-of-the-art laboratories for quality control, scheduled for completion in 2027. This follows the 2023 announcement that Novo Nordisk is adding a new 65,000 sq m multi-product facility. The investment comes with a price tag of DKK 16 billion, with the facility scheduled for completion in 2029. Pharmaceutical company Fujifilm Diosynth Biotechnol ogies is also present in Hillerød, in early 2025 inaugu rating its first expansion in Hillerød. With the expanded production facilities, the factory will be the largest in Europe. Finally, at year-start 2025, Matas opened its new 25,000 sq m logistics centre in Lynge. Development is therefore brisk in the area, involving interesting players.

Ballerup/Måløv Ballerup is located just northwest of Copenhagen, where the building stock largely resembles that of Birkerød/ Allerød/Hillerød, i.e. typically with too large office compo nents as well as insufficient ceiling heights and loading docks, etc., rendering them less suitable for today’s logistics purposes. Garmin Nordic is currently headquar tered in Allerød but wants to be closer to the capital and has therefore started the development of its own building in Ballerup with 6,000 sq m of combined warehouse and office space. The property is scheduled for completion by year-end 2025. The Toms Group has had a chocolate factory in Ballerup since 1962, but with the decision to move production to Poland, a 240,000 sq m site is now ready for rede velopment. It is still to be decided what the area will be used for. Brøndby/Glostrup/Herlev (the west corridor) Typically located along the Ring Road 3 corridor west of Copenhagen, traditional Greater Copenhagen industrial districts start at Brøndby to the south, fanning out to Glostrup, Albertslund, Herlev and Gladsaxe. Developed some 50 years ago, more industrial properties in this area are becoming functionally obsolete. However, because of excellent infrastructure and prox imity to Copenhagen, the area attracts increasing demand for last mile distribution centres from busi nesses that realise the importance of quick delivery to customers in the Copenhagen area, both in terms of groceries and traditional specialty goods. For example, builders merchant chain Stark plans to build a new 24,000 sq m distribution centre in Brøndby for day-to-day delivery of light goods such as tools, screws,