In 2024, the value of commercial real estate in Germany was estimated at nearly two trillion U.S. dollars, up from approximately 1.7 trillion U.S. dollars in 2018. Germany was the largest commercial real estate market in Europe and one of the few that grew during the coronavirus (COVID-19) crisis.

Between November 2018 and October 2020, office and residential real estate transactions accounted for more than half of the total real estate transaction volume on the investment market in Germany. The value of office transactions reached 30.4 billion euros in that period. Prime yields for commercial real estate in Germany saw the average highest return in the shopping center and retail warehouse parks, with five and 4.1 percent in the second quarter of 2020.

The real estate transaction value in the 'Residential Real Estate Transactions' segment of the real estate market in Germany was forecast to continuously increase between 2024 and 2029 by in total 21.1 billion U.S. dollars (+9.5 percent). After the tenth consecutive increasing year, the real estate transaction value is estimated to reach 243.15 billion U.S. dollars and therefore a new peak in 2029. Notably, the real estate transaction value of the 'Residential Real Estate Transactions' segment of the real estate market was continuously increasing over the past years.Find further information concerning the real estate transaction value in the real estate market in Jamaica and the real estate transaction value in the 'Residential Real Estate Transactions' segment of the real estate market in the Netherlands. The Statista Market Insights cover a broad range of additional markets.

The Germany Real Estate Services Market is Segmented by Product Type (Residential, Commercial, and Other Product Types) and Services (Property Management, Valuation Services, and Other Services).

Germany Commercial Property Market Index: 127 Cities data was reported at 127.680 1990=100 in 2019. This records an increase from the previous number of 123.710 1990=100 for 2018. Germany Commercial Property Market Index: 127 Cities data is updated yearly, averaging 101.500 1990=100 from Dec 1990 (Median) to 2019, with 30 observations. The data reached an all-time high of 127.680 1990=100 in 2019 and a record low of 93.330 1990=100 in 2004. Germany Commercial Property Market Index: 127 Cities data remains active status in CEIC and is reported by Bulwiengesa AG. The data is categorized under Global Database’s Germany – Table DE.EB004: Property Market Index.

Snapshot img

Residential Real Estate Market Size 2024-2028

The residential real estate market size is forecast to increase by USD 482.1 billion at a CAGR of 4.6% between 2023 and 2028.

The market is experiencing significant growth, driven by increasing demand from a growing population and urbanization trends. This demand is further fueled by marketing initiatives from real estate developers and agents, who are leveraging digital platforms and creative campaigns to attract buyers. However, regulatory uncertainty poses a challenge to market growth, with varying regulations and policies in different regions impacting investment decisions. For companies seeking to capitalize on market opportunities, it is essential to stay informed of regulatory changes and adapt strategies accordingly. Additionally, collaboration with local experts and partnerships with regulatory bodies can help navigate complex regulatory landscapes and ensure compliance. Overall, the market presents significant opportunities for growth, but requires a strategic approach to address regulatory challenges and effectively target demand. Companies that can navigate these challenges and adapt to local market conditions will be well-positioned to succeed in this dynamic market.

What will be the Size of the Residential Real Estate Market during the forecast period?

Request Free SampleThe market continues to exhibit activity, driven by strong economic fundamentals and population growth. In nominal terms, the market size reached an all-time high in the latest fiscal year, with discerning buyers demonstrating continued interest in spacious accommodations. However, macroeconomic headwinds, such as rising interest rates and inflation, pose challenges for some potential homebuyers. Economic factors, including GDP per capita and purchasing power, remain essential support for the housing market. Despite these conditions, property launches in the luxury residential sector have shown resilience, catering to the demand for high-end living spaces. Residential construction remains a critical component of the market, with new housing units being added to meet the growing demand for homes. Overall, the market is expected to remain a significant contributor to the economy, offering opportunities for both investors and homebuyers.

How is this Residential Real Estate Industry segmented?

The residential real estate industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments. Mode Of BookingSalesRental/LeaseTypeApartments and condominiumsLanded houses and villasGeographyAPACChinaJapanNorth AmericaUSEuropeGermanyUKSouth AmericaMiddle East and Africa

By Mode Of Booking Insights

The sales segment is estimated to witness significant growth during the forecast period.

Get a glance at the market report of share of various segments Request Free Sample

The Sales segment was valued at USD 896.60 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 54% to the growth of the global market during the forecast period.Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market size of various regions, Request Free Sample

The market in the Asia Pacific (APAC) region held the largest market share in 2023 and is anticipated to continue leading the market growth during the forecast period. Key drivers of this expansion include population growth and increasing purchasing power, leading to a in demand for spacious accommodations. Rapid urbanization and economic fundamentals, such as GDP per capita, have fueled the construction of new housing units, particularly in countries like India and China. Furthermore, domestic demand and foreign homebuyers have contributed to the unsold inventory overhang, creating investment opportunities in underconstruction properties. Despite these positive indicators, challenges persist, including affordability concerns and critical input costs. In the context of the US housing market, the residential real estate sector offers investment opportunities through traditional options, such as home ownership and rental cash flow, as well as low-risk methods, like investment portfolios. Key economic factors, such as interest rates and supply metrics, impact residential property prices, which may vary in real and nominal terms. The market is also influenced by changing consumer preferences, regulatory reforms, and technological transformation, including home automation and cutting-edge strategies.

Market Dynamics

Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holi

The nominal price of residential properties in Germany in the fourth quarter of 2022 declined for the first time in 12 years. After peaking at nearly 13 percent in 2021, the annual house price growth turned negative, and in the third quarter of 2023, house prices fell by over 10 percent. Adjusted for inflation, the decrease was even stronger, at 15 percent. In the following months, the decline continued, but at a slower rate. This trend could be observed across the major German cities.

The average price of detached and duplex houses in the biggest cities in Germany varied between approximately 4,500 euros and 10,000 euros per square meter in 2024. Housing was most expensive in Munich, where the square meter price of houses amounted to 9,806 euros. Conversely, Berlin was most affordable, with the square meter price at 4,512 euros. How have German house prices evolved? House prices maintained an upward trend for more than a decade, with 2020 and 2021 experiencing exceptionally high growth rates. In 2021, the nominal year-on-year change exceeded 10 percent. Nevertheless, the second half of 2022 saw the market slowing, with the annual percentage change turning negative for the first time in 12 years. Another way to examine the price growth is through the house price index, which uses 2015 as a base. At its peak in 2022, the German house price index measured about 166 percent, which means that a house bought in 2015 would have appreciated by 66 percent. Is housing affordable in Germany? Housing affordability depends greatly on income: High-income areas often tend to have more expensive housing, which does not necessarily make them unaffordable. The house price to income index measures the development of the cost of housing relative to income. In the first quarter of 2024, the index value stood at 110, meaning that since 2015, house price growth has outpaced income growth by about 10 percent. Compared with the average for the euro area, this value was lower.

Basierend auf den Immobiliendaten der Internetplattform ImmobilienScout24 werden Immobilienpreisindizes auf Arbeitsmarktregions-, Kreis- und Gemeindeverbandsebene geschätzt. Der Index basiert auf einer hedonischen Preisfunktion, in der für objektspezifische Charakteristika kontrolliert wird. Die hedonische Preisfunktion wird für Häuserkäufe, Wohnungesmieten und Wohnungskäufe getrennt geschätzt. Es werden drei verschiedene Funktionen geschätzt, wobei eine die zeitliche Entwicklung in Deutschland zwischen Januar 2008 und Mai 2020 auf Jahres- und Quartalsebene für Kreise abbildet. Die zweite fängt in einer Querschnittregression die regionalen Unterschiede zwischen Januar 2008 und Mai 2020 ein und wird für alle drei Regionstypen jährlich und für das zweite Quartal in 2020 (Mai, Juni 2020) für Kreise und Arbeitsmarktregionen ausgewiesen. Eine dritte untersucht den fixen, regionalen und zeitlichen Effekt zwischen Januar 2008 und Mai 2020; hieraus werden für alle drei Regionstypen Preisänderungsraten zum Basisjahr 2008 ermittelt und ausgewiesen. Die Indices für das Jahr 2020 beziehen sich auf den ersten fünf Monate des Jahres. Die Definition der Arbeitsmarktregionen folgt RWI (2018).

Snapshot img

Europe Commercial Real Estate Market Size 2025-2029

The Europe commercial real estate market size is forecast to increase by USD 91.4 billion at a CAGR of 5.7% between 2024 and 2029.

The European commercial real estate market is experiencing significant growth, with increasing private investment flowing into the region. This trend is driven by a number of factors, including the economic stability of European countries, attractive yields compared to other global markets, and the continued demand for urban space. However, this growth is not without challenges. 
One major concern is the rising interest rates, which have the potential to increase borrowing costs for investors and potentially dampen demand. Despite this, opportunities abound for companies seeking to capitalize on the market's dynamics. For instance, there is a growing demand for sustainable real estate, as well as a shift towards alternative asset classes such as student housing, healthcare real estate, and hospitality real estate.
To navigate this complex landscape effectively, companies must stay informed of the latest trends and challenges, and be prepared to adapt their strategies accordingly. Overall, the European commercial real estate market offers significant opportunities for growth, but also requires a strategic and agile approach to succeed.

What will be the Size of the Europe Commercial Real Estate Market during the forecast period?

Request Free Sample

The European commercial real estate market encompasses a diverse landscape of travel-restriction resilient sectors, including warehouses and fulfillment centers catering to the in e-commerce spending. Urbanization continues to drive demand for adaptable office spaces in metro cities, with a growing emphasis on sustainable designs and technology-driven solutions. The commercial sector is undergoing digitalization, with brokers and managers leveraging media portals to streamline transactions and enhance client experiences. The hybrid work model is shaping office occupancy trends, as middle-class consumers and the working-age population adapt to flexible work arrangements. Foreign investments remain strong, particularly in sectors like logistics and data centers.
Vacancy rates, rental rates, absorption rates, and property valuations are closely monitored indicators of market health. Architects and engineers are tasked with designing spaces that accommodate the evolving needs of businesses, from flexible layouts to energy efficiency. Overall, the European commercial real estate market exhibits activity and growth, with trends leaning towards digitalization, sustainability, and adaptability.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  Rental
  Lease
  Sales


End-user

  Offices
  Retail
  Leisure
  Others


Geography

  Europe

    France
    Germany
    Italy
    UK

By Type Insights

The rental segment is estimated to witness significant growth during the forecast period. The European commercial real estate market is experiencing a significant shift, with the rental segment leading the way in 2024. Office rental growth in Europe accelerated to 1.8% quarter-on-quarter in Q3 2022, resulting in an annual increase of over 5%. Notably, the UK, Benelux markets, and peripheral Europe experienced the highest growth rates. However, investment markets are showing caution, as buyers hesitate to pay earlier price levels due to economic uncertainties, inflation, and finance rates. Urbanization and social distancing measures continue to impact commercial real estate, driving the need for adaptable office spaces and sustainable designs. The commercial sector is also undergoing digitalization, with technology-driven solutions, smart building technology, and data analytics gaining popularity.

Additionally, e-commerce spending and changing customer behavior are leading to increased demand for warehouses, fulfillment centers, and logistics facilities. The Middle-class consumers and the working-age population's digitization of work further fuel the demand for managed office facilities, collaborative spaces, and digital infrastructure. Key trends include hybrid work patterns, energy-efficient features, green building certifications, and sustainable construction methods.

Get a glance at the market report of share of various segments Request Free Sample

The rental segment was valued at USD billion in 2019 and showed a gradual increase during the forecast period.

Market Dynamics

The Europe commercial real estate market is diverse, encompassing a wide range of property types, from office space leasing to industrial warehouse sites. Retail property deals and urban retail units remain a signifi

In 2023, the German house price index was almost 149.2 percent, based on preliminary figures. This was an increase of around 49 percent compared to the index year of 2015.

The total value of industrial and logistic real estate investment in Germany in 2023 amounted to 6.7 billion euros. Both the industrial and the logistics segments of the market saw a declining value of investments in 2023. In 2022, Germany was the second-biggest European country for industrial and logistic investment.

In 2022, Berlin Mitte was the most expensive district in Berlin, Germany, for new rental contracts. Median rents show the middle value of rent expenditure, meaning that 50 percent of newly rented apartments in Berlin Mitte in 2022 had rental costs exceeding 15.19 euros per square meter, and 50 percent of apartments had rents below this value. Meanwhile, Friedrichshain-Kreuzberg witnessed the highest rental price increase since 2018.

The benchmark interest rate in Germany was last recorded at 4.50 percent. This dataset provides - Germany Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

The vacancy rate of housing in Germany has been decreasing in recent years. In 2022, approximately 2.5 percent of residential units in Germany were vacant. For comparison, in 2009, the vacancy rate was 3.7 percent.

Snapshot img

Building Information Management System Market Size 2024-2028

The building information management system market size is forecast to increase by USD 16.00 billion at a CAGR of 13.26% between 2023 and 2028. Building Information Management Systems (BIMS) has gained significant traction in various sectors, including residential, commercial, and industrial, due to the increasing number of construction projects worldwide. The integration of cloud-based solutions has facilitated real-time collaboration and improved project efficiency. However, the high implementation and operational costs remain a challenge for market growth. Professional services and managed services have emerged as crucial solutions to mitigate these costs and ensure effective system utilization. Commercial buildings and residential premises have been the major adopters of BIMS, with the industrial sector following suit. The market is expected to continue its expansion, driven by the need for enhanced project management, increased focus on energy efficiency, and the growing demand for smart buildings.

What will the size of the market be during the forecast period?

Request Free Sample

The Building Information Management (BIM) system market is rapidly evolving, driven by advancements in digital building design tools and technologies like AI, IoT, and cloud computing. These tools enable the creation of detailed 3D models, which streamline the design, construction, and operation of buildings. BIM systems, integrated with Building Management System (BMS) technologies, optimize energy use, maintenance, and overall building efficiency. As the demand for smart, sustainable buildings grows, the IT sector is increasingly adopting BIM solutions to enhance collaboration and reduce costs. The ability to track and analyze building performance in real-time leads to improved return on investment (ROI) for developers and owners. BIM's integration of cutting-edge technologies ensures long-term value by optimizing operational workflows and supporting data-driven decision-making.

Market Segmentation

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Sector

  Commercial
  Residential
  Industrial
  Institutional


Type

  Software
  Hardware


Geography

  Europe

    Germany
    UK
    France


  North America

    US


  APAC

    China
    Japan


  South America



  Middle East and Africa

By Sector Insights

The commercial segment is estimated to witness significant growth during the forecast period.The Building Information Management System (BIMS) market in the United States is experiencing significant growth as commercial structures, including office buildings, educational institutions, airport and railways, factories, production plants, distribution facilities, and warehouses, adopt advanced technologies for enhanced operational efficiency and sustainability. BIMS integrates various building functions, such as energy management, security, and HVAC, into a unified platform, allowing for real-time monitoring and data-driven decision-making. This results in substantial cost savings and improved performance. Notably, in March 2022, GridPoint, a leading energy management technology company, raised USD75 million in funding. The investment, led by the Sustainable Investing Group at Goldman Sachs Asset Management and backed by Shell Ventures, aims to accelerate GridPoint's initiatives in decarbonizing commercial buildings and modernizing the grid. This investment underscores the increasing importance of BIMS in the US commercial real estate sector.

Get a glance at the market share of various segments Request Free Sample

The commercial segment accounted for USD 4.89 billion in 2018 and showed a gradual increase during the forecast period.

Regional Insights

Europe is estimated to contribute 37% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market share of various regions Request Free Sample

The Building Information Management System (BIM) market in Europe is experiencing significant expansion due to the increasing adoption of digital technologies in infrastructure projects and smart city initiatives. This growth is driven by several factors, including the demand for sustainable and energy-efficient buildings, stringent construction regulations, and the need for advanced project management tools. European countries are committed to reducing carbon footprints and improving building lifecycle management, making BIM systems an ideal solution. These systems enhance accuracy, collaboration, and efficiency throughout

This statistic presents household expenditure on housing, maintenance of dwellings and utilities (energy) on the German market for five-year periods from 1998 till 2018. As of 2018, the monthly expenditure on housing of German households amounted to 908 euros.

Snapshot img

Lighting Fixtures Market Size 2024-2028

The lighting fixtures market size is forecast to increase by USD 32.82 billion at a CAGR of 5.63% between 2023 and 2028. The market hinges on several key factors driving its growth and evolution. Advances in LED technology, which are also closely linked to innovations in semiconductor materials, play a significant role, offering improved efficiency, durability, and versatility in lighting solutions across various applications. Rising urbanization and infrastructure development further fuel the demand for navigation lighting systems, especially in densely populated areas and expanding urban landscapes. Additionally, the rise of e-commerce and online shopping amplifies the need for efficient transportation and logistics, enhancing the importance of reliable navigation lighting for safe and timely delivery of goods. Furthermore, the integration of navigation lighting systems with modern technologies, such as speakers for enhanced communication and safety, is contributing to the overall market growth. These factors collectively contribute to the growth and innovation within the navigation lighting market, as industries adapt to evolving technological trends and market dynamics to meet the demands of modern navigation challenges.

Market Analysis

Request Free Sample

The global market for Lighting Fixtures encompasses various electrical instruments used for Electric Lighting in diverse applications. The market comprises Fixture Bodies, Lamps, Bulbs, LED Fixtures, LED Lighting Control Switches, and Permanent Lighting Fixtures. Architects, Lighting Designers, and Electrical Engineers play pivotal roles in specifying and designing these fixtures for Consumers and the Real Estate Sector. High-class Communities and outdoor settings, such as Yards, are prime targets for advanced LED Light Modules and LED Lights, replacing Conventional Lights and Fluorescent Bulbs. The market caters to various needs, from Wall Switches and Electrical Devices to Electric Ballasts and Apertures, all contributing to the Outer Shell of the Lighting Fixture. Electrical Instruments manufacturers continually innovate to meet evolving consumer demands and energy efficiency standards. The market's growth is driven by the increasing focus on energy-efficient solutions and the expanding infrastructure in various sectors.

Market Segmentation

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Product

  Ceiling
  Wall mounted
  Pendant and chandeliers
  Portable and others


Application

  Residential
  Commercial


Geography

  APAC

    China
    India


  Europe

    Germany
    UK


  North America

    US


  Middle East and Africa



  South America

By Product Insights

The ceiling segment is estimated to witness significant growth during the forecast period. The market encompasses a wide range of electrical devices, including portable lamps and fixed installations such as electric lamps with lamp sockets and electric ballasts. These fixtures come in various forms, including aperture-covered outer shells for fluorescent lamps, and high-class designs for chandeliers and pendant lights. Architects, lighting designers, and electrical engineers specify lighting solutions for diverse applications, from home renovations and remodeling of offices to manufacturing plants, warehouses, banks, retail stores, and outdoor spaces. Pendant lighting is a popular choice for workspaces and residential areas, providing focused illumination for specific tasks. High-bay luminaries and mid-bay luminaries are essential for large industrial spaces and warehouses, while landscape lighting and wireless lighting fixtures add aesthetic value to outdoor environments.

Further, floodlights offer powerful illumination for security and outdoor activities. Consumers and businesses in the real estate sector seek energy-efficient and eco-friendly lighting options, such as LED light modules and conventional lights with fluorescent bulbs or incandescent bulbs. Safety and environmental concerns have led to the phasing out of toxic materials in lighting fixtures. Smart home projects and digital systems have revolutionized lighting control, with dimmers and control devices enabling wireless lighting and analog or digital systems for customized lighting experiences.

Get a glance at the market share of various segments Request Free Sample

The ceiling segment was valued at USD 29.03 billion in 2018 and showed a gradual increase during the forecast period.

Regional Insights

APAC is estimated to contribute 40% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape t

As of the last month of 2024, the value of the commercial real estate market in the United Kingdom (UK) was almost 1.9 trillion U.S. dollars, which was an increase of about 100 million U.S. dollars compared to 2023. After Germany, the UK was the second-largest commercial real estate market in Europe.

Between 2008 and 2022, the homeownership rate in Germany decreased slightly. In 2022, about 46.7 percent of the population lived in an owner-occupied dwelling. This makes Germany one of the countries with the lowest homeownership rate and the biggest rental residential real estate market in Europe.