GARBE Industrial sees Europe logistics prime yields tightening 26 bps by 2031 - XLRE News | RalliesGARBE Industrial sees Europe logistics prime yields tightening 26 bps by 2031
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XLRE• Europe logistics prime yields seen tightening by 2031
- GARBE Industrial forecast Europe logistics real estate prime yields to tighten to 5.1% by 2031 from about 5.3%.
- Prime rents are projected to rise 2% a year on an area-weighted basis, signaling a moderate, selective recovery.
- The UK and Germany are seen leading rent growth at 2.3% and 2.1% annually, supported by mature regional market depth.
- Munich tops markets with 3.2% annual rent growth and a 4.5% prime yield; Munich, Manchester and Berlin City are seen compressing 40 bps.
- Poland and Italy are expected to lag on yields, with rent growth of 1.7% and 1.6% annually; site selection is flagged as decisive.
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