in the 1st quarter of 2026, the transaction volume with office properties amounted to just under 700 million euros, according to Savills. This represents a decrease of 22% compared to the same period last year. The 10-year average, on the other hand, was missed by 83%. Savills registered around 30 transactions in Q1 2026, which is 29% less than the year before. Prime office yields in Q1 2026 remained unchanged in all top 6 markets* compared to the previous quarter. On average across all markets, they were 4.33%, 7 basis points below the previous year’s figure.
Karsten Nemecek, Deputy CEO Germany and responsible for Capital Markets at Savills, comments on the market as follows: “The German office investment market is currently characterised by a significant increase in the supply of properties. Compared to the previous year, more properties are in the process of being sold, accompanied by more realistic price expectations overall and a greater willingness to negotiate on the seller’s side. However, the decisive factor for the rest of the year will be the extent to which this communicated realism also translates into concrete action if expected sales prices are not reached. This is because the larger supply meets capital that continues to act very selectively. The recent increase in geopolitical uncertainty, especially in connection with the Iran conflict, further reinforces this restraint, at least in the short term.”
About 77% of the transaction volume was in the top 6 markets, where the transaction volume increased by 28% compared to the same period last year. The number of transactions in the top 6 markets, on the other hand, fell by 8%. Both key figures remain well below the 10-year average.
* Berlin, Dusseldorf, Frankfurt, Hamburg, Cologne and Munich
Supplementary charts and data related to this press release can be found in our online real estate investment market dashboard.
