Colliers Copenhagen Property Market Report 2019

23

Copenhagen Property Market Report 2019

pressure in this segment. Longer term, against the backdrop of the ongoing redevelop- ment of Kalvebod Brygge on the Copenhagen waterfront, the Copenhagen CBD is running out of the most likely development opportunities. As a result, any rent hikes that may occur will presumably not be temporary but rather reflect structural changes in CBD rent levels. Although ample development opportunities are still available in non-CBD districts like Ørestad, Nordhavn and Valby, these districts cannot be considered direct substitutes for the Copenhagen CBD, although the supply in these districts serves to put a ceiling on rent hikes in the CBD.

Office vacancy rates remain record-low

10% 12% 14%

0% 2% 4% 6% 8%

09

10

11

12

13

14

15

16

17

18

Copenhagen

Greater Copenhagen, excl. Copenhagen

Source: Ejendomstorvet.dk

Volume of net office take up at some 875,000 sqm since 2009

-250,000 -200,000 -150,000 -100,000 -50,000 0 50,000 100,000 150,000 200,000 250,000

-600,000 -480,000 -360,000 -240,000 -120,000 0 120,000 240,000 360,000 480,000 600,000

09

10

11

12

13

14

15

16

17

18

CBD (l. axis) CBD (acc.) (r. axis)

Greater Copenhagen (l. axis)

Greater Copenhagen (acc.) (r. axis)

Note: Annual net take up, quoted in sqm space. Sources: Ejendomstorvet.dk and Colliers International