The first half of 2026 saw a transaction volume of almost EUR 2.3 billion in the German office investment market. This represents an increase of 10 percent compared to the corresponding period of the previous year. A long-term view, however, reveals a shortfall of 71 percent against the ten-year average. Savills recorded 65 transactions during these six months, a figure similar to the previous year.
Prime yields for office properties in five of the six top markets remained stable compared to the previous quarter. Only in Düsseldorf was an increase of 10 basis points recorded. The average prime yield across all markets was just under 4.4 percent, matching the previous year's level.
Market Dynamics and Product-Specific Demand
Karsten Nemecek, Deputy CEO Germany and Head of Capital Markets at Savills, characterises the current market phase as a discovery phase. He points out that while the supply of office properties is increasing, market liquidity remains limited. This means that alongside successfully completed transactions, aborted processes are also part of normal market activity. Every transaction, regardless of its outcome, provides valuable information on product marketability and pricing.
An example of this is the persistently high interest from family offices in smaller core properties. In contrast, large-volume properties across all risk classes often encounter difficulties and are priced accordingly. This increased transparency will potentially help buyer and seller interests align more frequently in the future. No significant changes are expected in the fundamental market dynamics over the coming months.
Approximately three quarters of the total transaction volume was accounted for by the Top 6 markets. In these markets, the transaction volume increased by 74 percent compared to the previous year's period. The number of transactions in the Top 6 markets rose by 8 percent. Despite these increases, both indicators remain significantly below the average of the last ten years.
