Netherlands Light Industrial Market Dynamics, Q3 2024
Summary and analysis of The Netherlands current light industrial real estate market conditions.
- Sven Bertens
- Floor Beeren
- Jerrel King
- Evan Henneberry
- Tilly Spierings
The light industrial occupier market continues to record robust leasing activity in Q3, despite the challenging economic environment and the persistent supply-demand mismatch. YTD take-up volumes reached 1.7 million sq.m., which is in line with volumes reached last year.
Vacancy rates have remained stable from last quarter, standing at 1.8%. Scarcity remains high, especially for high-quality assets in attractive regions. Revitalisation of older assets in these locations continue to provide rental growth opportunities. However, we continue to see the stabilisation of rental growth in line with slowing economic growth forecasts.
Investment activity amongst light industrial assets are still in the phase of recovery. YTD investment volumes reached €288 million (-26% y-o-y). Market activity continues to be dominated by value-add opportunities.