Quarterly Report

Frankfurt real estate investment market: Significantly more sales processes, especially in secondary locations

Immobilieninvestments Frankfurt
Foto von Igor Flek auf Unsplash

Frankfurt real estate investment market

According to Savills, around 248 million euros were turned over on the Frankfurt real estate investment market in the 1st half of 2025. Compared to the same period last year, this corresponds to a decrease of 58%. Compared to the 10-year average, sales were even 87% lower. In the last twelve months, Savills has registered about 20 transactions, the same number as in the same period last year. Prime yields for offices and commercial buildings were 4.5% and 4.3% respectively at the end of June, unchanged from the previous quarter and also unchanged from the previous year’s figure.

Marisa Müller, Associate Director Investment at Savills in Frankfurt, comments on the market as follows: “In the second quarter, we registered a significant increase in the number of sales processes that have been initiated, and there are currently significantly more properties for sale than at the beginning of the year. We therefore expect a higher transaction volume for the second half of the year – even if not every property for sale will find a buyer. Many properties are located outside the attractive locations and therefore meet with limited investor interest. Whether and at what prices buyers and sellers will find each other here remains one of the central questions to which the market will seek answers in the further course of the year.”

With a transaction volume of EUR 430 million, office properties have contributed the most to investment turnover in the last twelve months, followed by industrial/logistics properties (approx. EUR 170 million) and residential properties* (approx. EUR 140 million).

Against the backdrop of increasing willingness to sell and more realistic price expectations of many owners as well as the growing number of active investors, Savills expects a gradual increase in transaction activity in the future.

* Only properties with at least 50 residential units

#Newsletter: Stay up to date!

Sign up for our newsletter and receive regular updates on the latest topics.

Register now