Leipzig office market collapses: only three major degrees in 2025!

Leipzig office market collapses: only three major degrees in 2025!

What is going on at the Leipzig office market? In the first half of 2025, the market is quite challenging. Only 70 rental contracts were concluded, which corresponds to a decline of 39 percent compared to the previous year. A total of 37,100 square meters were rented-a value that is 43 percent below the long-term average, such as lvz.de reported. Anja Schuhmann, who is the branch at JLL, describes the current development as weak and indicates that the office market, which presented itself stable during the Corona crisis, now needs reforms and return to more security.

A particularly worrying trend is the lack of major degrees: In the first half of the year, only three noteworthy rental contracts were signed. A positive exception is the new construction project of the Vollack Group at the old fair, which is completely rented. One of the most important tenants is the LGH Leipzig commercial area, which rented 3100 square meters of office and laboratory areas.

market development and future prospects

The Leipzig office property market, however, remains one of the leading economic centers in East Germany, which is favored by a well -developed infrastructure and highly qualified workers. Even if the current figures show a decline, the perspectives for 2025 are positive due to economic framework conditions, technological innovations and changed working models, such as erena.me discussed.

The city continues to attract investors, among other things, the constant increase in start-ups, the settlement of international companies and the growing demand for modern, energy-efficient office space. The current trends on hybrid office concepts and coworking spaces are also central in this context. Companies are increasingly looking for flexible solutions. The demand for compact work areas and "offices on call" increases significantly. The labor market is further strengthened by state funding programs and an increasing number of training offers.

construction projects and demand

With regard to the office space, it should not be overlooked that the LGH cannot cover the current need. Many of the new areas have already been awarded, while for example, the move of C-Lecta will open an additional 3000 square meters in the old trade fair. The vacancy in Leipzig has increased by nine percent to 198,000 square meters, but overall remains below the average of the past ten years. Older office objects that were renovated before the turn of the millennium often remain unused, which also contains market development.

got to the point: The office market in Leipzig faces deep changes. Another 130,000 square meters of office space will be under construction in the coming years, with a third of the new office space still available for rental. The demand remains high in central parts of the city such as the Leipzig city center, Plagwitz and southern suburb, which is supported by the moderate increase in price. The rental price for office space could increase by 5 to 7 percent by the end of 2025.

Surprisingly, the market events in the first half of 2025 only experienced a significant sale of a commercial object: The retail center on the Rewe-Markt in Zschocherschen Straße changed owners for around 40 million euros, such as the Jll.com . These transactions are rare in the current context, but they show that there is still movement in the market, even if the uncertainty remains.