European Retail Warehousing – 2026
Retail warehousing has proven to be one of Europe's best-performing retail formats in recent years, delivering sector-leading total returns of 7.4% in 2025.
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Retail warehousing has proven to be one of Europe's best-performing retail formats in recent years, delivering sector-leading total returns of 7.4% in 2025.
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Exceeding modest expectations neatly captures the mood surrounding the European economy.
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Growing suburban consumer belts
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Retail parks embrace a more multifunctional future
Growing suburban consumer belts
Growing suburban consumer belts
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Demographic tailwinds move closer to home
Growing suburban consumer belts
European retail park stock has now reached 51 million sq m, on the back of a 2.4% increase last year, the strongest year of development activity since 2020.
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Evolution over broad-based expansion
European retail park stock has now reached 51 million sq m, on the back of a 2.4% increase last year, the strongest year of development activity since 2020.
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"The Prague office market has entered a second consecutive year of low completions. In Q1 2026, new supply totalled 8,600 sq m, with full-year construction completions expected to reach 36,700 sq m, approximately half the volume of new deliveries recorded against the five-year annual average. "
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"Following an exceptionally strong finish to 2025, real estate investment volumes in Q1 2026 presented a notably subdued picture. Overall transaction activity continues to be constrained by a renewed sense of caution in the market, driven primarily by geopolitical tensions and concerns over a potential energy crisis. As a result, investor sentiment has softened, with many market participants adopting a more selective and defensive approach to acquisitions. "

"Stronger for longer: The region’s recent outperformance is increasingly underpinned by structural factors"

"Regulation, demand and fragmentation are reshaping the investment case for serviced apartments in Europe."

"Growth of data centre market across Europe to create an 8.5 million sq ft ripple effect for logistics"

"The flexible workspace sector in Prague has expanded significantly, bringing the total operational area to 130,500 sqm as of December 2025 - a 60% increase over five years. Flexible solutions are now a core part of the city’s office market, driven by occupiers’ demand for flexibility, quality, and prime locations. "

"European investment activity is set to rise by 6% YoY to €52 billion in Q1. Global capital is returning, albeit not yet at full speed, and confidence is gradually building. As a result, full-year investment volumes are forecast to increase by around 16%, with a further 17% growth expected in 2027."

"New development completions in 2025 increased by 25% y-o-y, reaching a total of 819,900 sq m, which was 13% above the ten-year average. The largest share of newly delivered space was added in the Central Bohemian region (24%), followed by Moravia-Silesia (17%)."
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"In 2025, new office supply reached the lowest level in the market’s history, with only 26,600 sq m added to Prague’s office stock. This comprised one newly completed building and four refurbished projects. New supply is expected to remain subdued through 2026, with only 36,700 sq m currently scheduled for delivery."

"European office demand held steady in 2025, with vacancies at 9% and incentives tightening, and take-up forecast to grow 3% in 2026."