Investments in logistics by country

Main markets (core markets) - Berlin, Hamburg, London, Madrid, Marcel, Munich, Paris, Frankfurt, Stuttgart. There are the least investment-related risks. Established markets (established markets) - Budapest, Warsaw, Vienna, Krakow, Moscow, St. Petersburg, Helsinki. Emerging markets (emerging markets) - Bucharest, Kiev, Sofia, Istanbul. In emerging markets, the highest rates of rental return and the highest risks.

Investment in German logistics centres is particularly beneficial. The country ' s economy is export-oriented, the logistics sector is growing steadily, the demand for this type of real estate is the highest in Europe, and the sector is well developed (2,89 million people). Additional benefits are the geographical location in the centre of Europe and the developed transport system. According to the Federal Statistical Office, freight traffic in Germany increased by 2.9 per cent in 2014, reaching a record level of 4,5 billion tons. Germany ' s most popular markets are Berlin, Hamburg, Dusseldorf, Munich, Frankfurt. It's also important in the Rorsk region, Leipzig and Stuttgart.

According to JLLL, investment in German industrial facilities has increased over the last six years, reaching Euro3, 6 billion in 2014, 38 per cent more than the previous record in 2007 (2,6 billion euros) and 60 per cent more than in 2013 (2,23 billion euros).

The market for logistics complexes has grown significantly over the past decade, thanks to the development of online trade. And this type of real estate has great potential. Forrester estimates that online trade in Europe will increase from Euro112 billion to Euro233,9 billion by 2018. By 2020, the market will require additional logistics complexes totalling 94 million m2.

Income

The average return of the industrial storage space is about 7 per cent. It has remained relatively stable in recent years.

Average return rate trends
Logistical real property in Europe, per cent

According to Knight Frank, among the major cities of Europe, only the premier logistics centres are awarded in London (Hitrow airport area) and Zurich more than 150 euros/m2 per year. Five also include Stockholm, Helsinki and Moscow. Lower rent rates are in Antwerp, Brussels, Bucharest, Lyon and Bratislava.