1.
11%share*
Germany United KingdomFrance
European prime logistics yield
* excluding Moscow
Markets recording yield levels below their historic peak
(achieved in 2007)
Amsterdam
Berlin
Düsseldorf
Frankfurt
Hamburg
Lyon
Munich
Paris
Rotterdam
Stockholm
5.9%*
* share on total commercial real estate volumes
European Industrial & Logistics
Capital Markets
>€100million
1single asset
8portfolio deals
>€100million
largest portfolio
traded for
>€500
74%traded in core
markets (DE, FR, UK)
JLL quarterly Industrial & Logistics analysis illustrates the current market condition and examines how it will evolve in the future.
All figures are in sq m / €, based on logistics units >5,000 sq m
www.jll.eu
COPYRIGHT © JONES LANG LASALLE IP, INC. 2016. All rights reserved. No part of this publication may be reproduced or
transmitted in any form or by any means without prior written consent of Jones Lang LaSalle. It is based on material that we
believe to be reliable. Whilst every effort has been made to ensure its accuracy, we cannot offer any warranty that it contains
no factual errors. We would like to be told of any such errors in order to correct them.
For more information, contact:
Alexandra Tornow
EMEA Industrial & Logistics Research
alexandra.tornow@eu.jll.com
Philip Marsden
Head of EMEA Industrial & Logistics Capital Markets
philip.marsden@eu.jll.com
Tom Waite
Director - Capital Markets
tom.waite@eu.jll.com
Nick Jones
Director - Capital Markets
nick.jones@eu.jll.com
73%
YoY in volume terms
in portfolio transactions
of capital invested in
Q1 2016 sourced outside
of Europe or globally
YoY in volume terms
53%share
238%
27%
of international capital
was invested in Europe’s
traditional core markets
63%
80%
on 5yr Q1 average
+181%
YoY
60bps
QoQ
stable
YoY in volume terms
33% 17% 13%
Industrial and Logistics assets account for 11% of all European transactions…
Only four markets – Amsterdam (10 bps), Lyon (20 bps), Paris (10 bps) and Rotterdam (10 bps) –
recorded further yield compression over the quarter.
Q1 2016 marks strongest
start to a year on record
FY 2016
outlook
Q1 2016
€5.1 bn
+29%
5 year Q1 average
+52%
of total Q1 volumes
invested in core markets
DE, FR, UK
64%
of global Q1 industrial
transaction volumes
31%
25
20
15
10
5
201220112007 2008 2009 2010 2014 20152013
Q1 | 2016
+6%
Global
6%share*
Portfolio transactions made up 39%of total
international capital invested in Q1 2016 including
the largest Q1 2016 portfolio transaction of over
€500million
Strongest start to a year for portfolio transactions
International investors continue to target Europe
Yields broadly stable after eleven quarters of compression
Industrial & Logistics volumes continue to shine
...with the region recording the 2nd strongest YoY growth for logistics and
industrial assets globally after the strongly emerging Asian markets
… albeit further mild yield compression is expected throughout the remainder of the year
-15%
USEurope
+29%+33%
Asia Pacific
…whilst large single asset deals are now held down by a growing scarcity of available product
“Following a significant yield compression over the last 2-3 years and with some markets recording
historic peaks, we feel the market is now at a point where yields will start to bottom out.”
Nick Jones, Director, JLL EMEA Capital Markets
€Billion
0
2006 2016