In the seven leading German office letting markets, take-up of approximately 1.29 million square metres was registered in the first half of 2026, comprising both lettings and owner-occupancies. This represents a reduction of about 6 per cent compared to the same period last year, when 1.38 million square metres were transacted. Markus Müller, spokesperson for German Property Partners (GPP), characterises the current market situation as differentiated. He notes that although Berlin and Munich showed significant increases due to large-scale deals, other locations lagged behind their comparative figures from the previous year. The general reluctance to make letting decisions is attributed to the persistently strained economic environment and geopolitical uncertainties.
The highest growth rates in take-up within the Top 7 markets were observed in Berlin and Munich. Berlin achieved an increase of 52 per cent to 361,000 square metres, marking the highest take-up among the leading cities. Munich recorded a rise of 34 per cent to 346,000 square metres. These developments were partly driven by lettings to JetBrains in both locations, as well as large-volume deals by E.ON in Munich and STRABAG in Berlin. In contrast, several other locations experienced declines in take-up: Frankfurt am Main saw a decrease of 53 per cent, Stuttgart a deficit of 42 per cent, and Cologne a reduction of 27 per cent.
Vacancy rates in the Top 7 markets continued to rise. Total vacancy in the Top 7 cities increased by 7 per cent to 8.69 million square metres, corresponding to a rate of 9.0 per cent – an increase of 0.57 percentage points. Hamburg showed the largest absolute increase, rising by 19 per cent to 1.05 million square metres. Munich recorded the highest vacancy with 2.1 million square metres. In Frankfurt am Main, vacancy remained stable, while Düsseldorf saw a slight decrease of 1 per cent.
The development of average rents was inconsistent. Düsseldorf showed the strongest increase of 14 per cent to EUR 22.10 per square metre per month. In contrast, average rents fell in Stuttgart by 15 per cent, in Frankfurt by 11 per cent, and in Cologne also by 11 per cent. Berlin achieved the highest average rent among the Top 7, at EUR 28.50 per square metre per month. Prime rents rose in most locations, with Frankfurt am Main showing the largest increase at 10 per cent, followed by Berlin (+7 per cent) and Düsseldorf (+6 per cent). Munich leads in prime rents at EUR 56.70 per square metre per month.
Mr Müller emphasises that quality differentiation continues in the office letting market. Modern, sustainable office spaces in central locations continue to experience solid demand, while older existing properties are increasingly subject to marketing pressure. This development will also shape the market in the second half of the year. GPP predicts regionally divergent dynamics; despite optimistic signs from large-volume enquiries in some locations, a declining annual result is expected for others. However, for the full year 2026, Top 7 take-up is projected to slightly exceed the previous year's figure. German Property Partners includes the companies Grossmann & Berger Immobilien, Anteon Immobilien, GREIF & CONTZEN Immobilien, blackolive, and E & G Immobilien.
