Catella has published a new logistics map for Europe. The European Logistics Market Overview Q2 2025 covers 50 markets in 21 countries and provides an up-to-date overview of prime net yields, rent levels and export/import dependency of each country.
Europe has once again come into focus for logistics real estate. In view of global trade conflicts, changes in customs policy on the part of the current US government and economic fluctuations, shorter supply chains and geographical proximity to sales markets are becoming increasingly important again. Near- and reshoring are driving demand for modern space in Europe – and are increasingly reflected in rents and increasing investor activity in the face of scarce supply.
Dr. Lars Vandrei, Head of Research at Catella Investment Management, explains: "Prime rents for logistics properties in Europe have been rising robustly for a long time before they literally exploded with the outbreak of the war in Ukraine. As a result of the interest rate turnaround, investment momentum cooled down significantly – at the same time, logistics properties in the investment market have caught up with the office segment and are now one of the central pillars of the commercial real estate industry."
Stable returns, selective declines
The unweighted average of Prime Net Yields across the markets shown is 5.42%. Further development is likely to be stable, with slight tendencies towards further compression. In particular, this could be the case in France (Lyon, Marseille, Lille), Germany (Berlin, Munich), Poland (Warsaw, Wrocław), Hungary (Budapest) and Slovenia (Ljubljana). Ljubljana still has the highest net initial yields at 8.75%, followed by Oulu in Finland (8.25%).
Rents at a high level
The average prime rent across the markets analysed is €8.10/m²/month. Particularly high values are recorded in London (€27.50/m²/month), Zurich (€16.50/m²/month) and Oslo (€15.50/m²/month). These figures reflect the continued strong demand for modern logistics space in urban conurbations. By far the cheapest prime rents can be found in Wroclaw at €4.50/m².
Logistics as the backbone of retail
In addition to the real estate key figures, the logistics map also provides an insight into the trade dependence of the individual countries. Slovakia (75.5%), Slovenia (63.0%) and Ireland (58.2%) have particularly high export quotas. Slovakia is also in 1st place in terms of import quotas of goods (75.8%), followed by Slovenia (62%) and Hungary (56.8%). In the UK, on the other hand, exports account for the lowest share of GDP (14.1%) and imports are also at a comparatively low level (22.4%). Nonetheless, the UK has both the highest logistics rents and the largest transaction market.
Marten Helms, Senior Fund Manager Europe at Catella Investment Management, explains: "Overall, we are seeing a stabilisation of the markets. In view of the unprecedented uncertainties in global trade, it is all the more important to closely track trade flows, identify regions with potential at an early stage and at the same time maintain the demand for sustainable assets. At the moment, we see an attractive window of opportunity for countercyclical investments in the European logistics real estate markets."
