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Engel & Völkers Commercial: Berlin market for industrial and logistics space returns to stability

The Berlin market for industrial and logistics real estate is optimistic about 2026. According to Engel & Völkers Commercial, the positive market development from 2025 is likely to continue.

“The Berlin market for industrial and logistics space underwent a clear trend reversal in 2025 – after the weak year 2024 – and we expect this trend to continue in 2026. Market participants are once again much more willing to make decisions – especially when it comes to modern and ESG-compliant spaces,” says Sebastian König, Head of Industrial Spaces. “The high take-up underlines the robustness and attractiveness of Berlin as a business location.”

This assessment is based on the latest market data from the 2026 Market Report by Engel & Völkers Commercial. According to the report, the Berlin market for industrial and logistics real estate recovered significantly in 2025 and returned to a stable growth path. Take-up rose to around 416,000 m² and was thus 46% higher than in 2024. This means that the market is approaching the long-term level of activity again and is almost reaching the adjusted ten-year average.

A key driver of the market dynamics was new construction activity. With a completion volume of 211,000 m², more than half of the take-up was accounted for by new projects. In particular, modern business parks and light industrial areas were in high demand.

Demand in 2025 was largely driven by the retail sector, which further expanded its leading position with a share of 38% – especially due to the increasing demand for e-commerce and distribution space. This was followed by production and industry with 32% and transport and logistics with 24%. At the same time, a structural trend towards smaller, flexible units under 3,000 m² and specialised areas for the urban “last mile” can be observed.

In terms of space, market activity shifted further to the Berlin area, which now accounts for 72% of total take-up. The northern area was particularly in demand, favoured by several major deals. Within the urban area, Lichtenberg and Marzahn-Hellersdorf led the ranking.

Despite the brisk construction activity, rents developed moderately. The prime rent rose to EUR 8.40/m², while the average rent was EUR 7.50/m². “Quality, energy efficiency and a secure power supply are now central location factors. Users are willing to accept rent surcharges for these criteria,” says König. “The first successful deals at the beginning of the year make us confident that the positive market momentum will continue in 2026.”

Engel & Völkers Commercial is optimistic about the market for 2026. Take-up is expected to be between 420,000 m² and 470,000 m². “The fundamentals are robust. Berlin and its surrounding area remain a strategically important location for industry, logistics and trade,” reports Sebastian König. Above all, the demand for inner-city logistics space continues to exceed supply.

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