• Transaction volume of €2.0bn in the first quarter close to year-earlier level
• Yields of shopping centers up slightly
• Retail warehouses and retail parks remain the most desirable retail asset type, followed closely by shopping centers
• International investors raise market share by 11 basis points to 40%

• Office investment market feeling the effects of short supply
• Transaction volume at €5.5 billion – down 22 percent year on year
• Virtually no portfolio transactions – seven percent in the first quarter of 2019
• Prime yield of the Top 7 markets ticks down to 3.14 percent

• Against the backdrop of the almost unavailable supply of office space that can be moved into at short notice, take-up fell by 19% year-on-year to 197,300 sq m. Nevertheless, the result, which was 13% above the 10-year first quarter average, can be assessed as solid
• A good quarter was accounted for by lettings of over 5,000 sq m each. In terms of the total number, more than three quarters of the lettings in Q1 were concluded in the small space segment of less than 1,000 sq m
• Due to the limited supply, there is still strong demand for project developments. As a result, 55 % of the development pipeline until 2021 has already been pre-let
• The unrestrained high demand pressure is causing rents in Munich to rise further. Factors such as the large number of lettings in project developments and rent increases due to rising construction costs also play a major role

- Economic Outlook: Germany’s economic fundamentals remain robust – positive outlook for employment, income and consumption

- Investment Outlook: Strong performance on the letting markets is keeping demand high, especially for office, logistics and residential property

- Office Market Outlook: Consistently high demand for office space will ensure that the market will quickly absorb growth in the pipeline

- Retail Outlook: Selectivity increasingly set to become the key to successful investment and trading strategies in retail

- Residential Outlook: In view of the lack of existing stock, property developments and securing them by way of forward deals gaining importance in the market for student halls of residence and micro living

- Logistics Outlook: Logistics properties in hot demand but supply is tight in the market – yet another reason why corporate real estate is attracting more investor attention than ever

- Hotel Outlook: Unabatedly strong demand on the German hotel investment market coincides with limited availability – property developments highly desirable

- Care Home Outlook: The German market for healthcare properties evidencing steady growth. Care homes offer an attractive investment alternative and are in growing demand

• Competition among demand groups, yield compression, increasing dynamism of investments
• Student halls of residence: Requirements for student housing – past and present
• The future of private student apartments: Who can hold their own in a mature market?

• Positive trend in consumer spending at a time of favourable economic conditions
• Retail sector reports strong turnover growth in both bricks-and-mortar and online segments
• Total sales area remains at the previous year’s level
• Superstores and drugstores are the most expansive operation types
• E-commerce is mainly a sales channel for the non-food sector
• Improved letting market over the first half of 2018
• Retail warehouses and retail parks are the most popular property types in the investment market
• Significant scarcity of product results in further pressure on prime yields
• Expert survey shows more optimistic view of bricks-and-mortar retail
• Greater focus on value-add and opportunistic investments

-  Industry 4.0, Big Data und Iot – growing requirements placed on the digital infrastructure

- The fourth Industrial Revolution – the growing need for data Centres

- IoT and Big Data will prompt a massive increase in the data volume in the future as well

- Requirements placed on computing power set to increase

- Great challenge: electricity costs

• Sustainable upswing on German real estate markets Thanks to economic boom
• Growth rate of GDP is set to rise by 2.2% (2017) - economic uptrend is set to continue at a vivid pace in 2018 as well and gain a broader footing
• Transaction volumes on the German commercial investment market 2017 exceeded the €57 bn mark; for 2018 we assume that despite limited supply the market dynamic will remain high
• Record in office letting take-up 2017 - veritable excess demand, reduced vacancy and moderate new build activity lead to further rising rents in 2018
• Overall German retail take-up volume in 2017 is anticipated to exceed the €500 bn threshold - demand of (inter-)national retailers still high, but more focused on locations and concepts - challenge of growing e-commerce
• Due to strong expanding online-trading, new logistics property types for the last mile are increasingly in discussion in urban locations
• Fiercer competition for core hotel products in prime locations is expected -  investors will focus more on economically strong major provincials, secondary cities and new property developments.
• Care homes establish themselves more firmly as an investment alternative – even for classic, conservative core investors
• Residential markets remain strained despite risen building activity - increasing rents and purchasing prices in the high-influx regions.

• International investors in particular are on the lookout for large-scale investment opportunities in Germany
• Currency profits as additional incentive to buy for international real estate investors
• The debt environment for property investments is expected to remain quite favorable in Germany despite the recent slight upward shift of the yield curve
• Due to positive exchange rate effects against the British Pound and the US Dollar denominated investors Euro-denominated real estate investment markets seem relatively attractive
• Similar effect should arise out of the Canadian Dollar and Australian Dollar denominated investors
• Additional positive effects thanks to lower financing costs