Munich investment market at the top of the city ranking

In addition to the above-mentioned large-volume office buildings and the high-street property "Alte Akademie", the Excelsior Hotel and serviced apartment properties (currently operated by Numa and Limehome) have also changed hands in inner-city locations, which has contributed to an overall diversified investment activity in Munich's most important submarket. The transaction activities outside the city can also be described in a small-scale but varied way, with some office properties as well as logistics and retail and food retail sales being observed. Taken together, a good 43% of the volume was generated outside the city centre.

In the size classes, around as much has been invested in top properties above the €100 million mark as in medium-sized and smaller commercial properties up to this threshold. This results in an average volume per deal of around €39 million.

"At the middle of the year, the Munich investment market created a very good starting position to be able to record an increase in turnover at the end of the third and fourth quarters compared to the same period last year. The Bavarian metropolis underlines its continued excellent competitive position in a comparison of cities not only by leading the location ranking, but also by the top office and retail deals, which are once again among the largest nationwide investments in their respective asset classes," says Michael Morgan.

The fact that Munich's office leasing market was also in good shape in the first six months of the year and reported above-average take-up with further rising rents should further strengthen the return of confidence in the office sector. In addition, the investment location has repeatedly recorded larger high-street transactions and hotel sales above the €50 million mark, which is a clear indication of the equally positive conditions in these two sectors.

Nevertheless, the market-dominating uncertainties about the geopolitical situation, financing conditions and economic developments have the potential to fundamentally change the investment environment overnight and drive it in a different direction. However, the Munich Metropolitan Region has the basic prerequisites for a continuously increasing investment volume. Munich is an economic powerhouse that is future-proof and fast-growing with its technology sector and innovative industries. This is the key investment argument for investors.