Statement on the ECB’s interest rate decision by Stefan Hoenen, Head of Commercial Real Estate, Hamburg Commercial Bank (HCOB)
“As expected, the ECB has left the key interest rate unchanged and we expect it to maintain this path until mid-2026. This stability creates planning security and reduces short-term interest rate risks, not least for real estate financing. Interest rates are also likely to remain moderate in the long term, which will keep financing costs for existing properties and new projects low. In addition, subdued inflation expectations favor an investment-friendly environment. Overall, this increases the calculability of projects – and thus strengthens the attractiveness of the real estate market.”
