Market Report 2022

80

I&L - Colliers Market Report 2022

In 2021, repeated retail lockdowns due to COVID 19 boosted e-commerce growth, increasing the focus on buffer stocks, which exacerbated the already pronounced shortage of contemporary storage and logistics facilities. Mainly contemporary storage facilities attract demand, but so do more outdated facilities as several old industrial areas out side major cities are disappearing. Investors, mainly those from abroad, have a strong appetite for the segment, with yield requirements seen to dip below 4.00%. The strong demand con tinues to provide lucrative conditions for speculative newbuild ing, but sites are scarce. Industrial/logistics summary

Transaction volume DKKbn

13

6

Gt. Copenhagen Denmark

Share of total transaction volume

13% Denmark

10% Gt. Copenhagen

Strong demand continues to drive down yields across Denmark

Share of foreign investors

12%

10%

66% Denmark

8%

6%

80% Gt. Copenhagen

4%

2%

0%

13

14

15

16

17

18

19

20

21

22

Greater Copenhagen, prime

Greater Copenhagen, secondary

Triangle Region, prime

Triangle Region, secondary

Note: Based on transaction volume for I&L in 2021, Denmark. Source: Colliers

Note : Net initial yields, industrial and logistics. Source : Colliers