NAI apollo group analyses market for logistics properties in the Rhine-Main region for Q3 2011

After an exceptional first half of the year, with 274,450 sqm logistics and warehouse space being leased, demand in the Rhine-Main region rose strongly again in the third quarter, adding to the shortage of available real estate. According to an analysis conducted by NAI apollo group, a total of almost 160,000 sqm of logistics and warehouse space was leased by all market players in July, August and September. "This means that in the current year already 433,350 sqm of space were leased out in this special segment – a figure that exceeds our previous expectations," says Martin Birkert, authorised signatory of NAI apollo group. And Birkert expects a further increase in the fourth quarter: "It will be interesting to see if we can break through the 500,000 sqm mark on the logistics real estate market in Rhine-Main." In particular demand among trading companies, manufacturers and logisticians in the third quarter of 2011, accounting for around 50 percent of all new leases, were spaces of more than 10,000 sqm. "What is more, in this exceptional year 2011, we are also seeing an unusual trend towards short-term leases," says Birkert. "And at the same time, custom-tailored properties are in more demand from owner-users."