GERMANY 21: REGIONALER OFFICE INDEX Asking Rents in German Key Regional Cities 12th Edition Focal City Karlsruhe Status: 3/2017
CORPUS SIREO CONTENTS Market Overview and Key Ratios 3 Index Performance 10 Benchmark Comparison Age Categories City Trends Focal city Karlsruhe 20 Interview with Michael Kaiser, Director of Economic Development in Karlsruhe 22 Methodology 26 About empirica and CORPUS SIREO 28 Contact 32 2
Overview SUSTAINED MOMENTUM ON THE GERMAN OFFICE MARKETS Dear Reader, The office rental and investment market was in extremely good shape in 2016. Driven by robust economic data, lettings on the main office markets increased by around 10% yearon-year. Vacancy rates continued to decline despite the moderate rise in construction activity, and there was growth in both prime rents and average rents. On the investment market, office properties worth almost 25 billion changed hands. Following a muted first half of the year, the market rallied towards the end of 2016 with turnover of almost 10 billion in the final quarter. This meant that the volume for the year as a whole was comparable with the previous year in spite of the shortage of supply, with investors proving relatively reluctant to sell in the current low-interest environment. Strong demand led to a further rise in the price level in the top seven cities and the regional office markets, with initial yields declining significantly in some cases. The development of the rental markets, and especially asking rents in 14 selected regional centres, is illustrated in the regional office index, which CORPUS SIREO is publishing in conjunction with the research firm empirica for the twelfth time. The index shows a tangible increase in asking rents in the second half of 2016. The regional focal point of this edition lies on the office market of Karlsruhe, which is characterised by long-term positive rental development accompanied by pronounced stability. We hope you will enjoy reading this publication. Ralph Scherer and Ralf Bäuchle 3
CORPUS SIREO REGIONAL CENTRES SUPPLEMENT THE BIG OFFICE LOCATIONS Regional office markets enjoy solid economic foundations The 14 cities examined by CORPUS SIREO and empirica in GERMANY 21: Regional Office Index are characterised by growing office employment and stable demand for office space. These regional centres were selected on the basis of the following criteria: In addition to these regional centress, Germany has a number of other cities with positive growth trends whose rental development is not yet included in the office index on account of their comparatively small market size. absolute size of the office market importance of office employment for the regional macro-economy excellent historical and promising future demand trends Change in office employment 2007 2025 in % below -15 % -15 % to -5 % -5 % to 5 % 5 % to 15 % above 15 % Key regional centres Examples of other attractive office markets Top 7 cities Focal cities of previous editions 4
Overview SELECTION OF THE REGIONAL CENTRES Growth in office employment 2007 2025 KIEL ROSTOCK HAMBURG BREMEN BERLIN HANNOVER POTSDAM MÜNSTER DORTMUND ESSEN LEIPZIG DUSSELDORF DRESDEN ERFURT COLOGNE AACHEN BONN WIESBADEN FRANKFURT/MAIN MAINZ MANNHEIM NUREMBERG KARLSRUHE STUTTGART AUGSBURG FREIBURG Previous editions are available as free downloads at: www.corpussireo.com/downloads MUNICH Source: empirica 5
CORPUS SIREO FALLING YIELDS IN THE REGIONAL CENTRES Affordable office market in Karlsruhe Interpretation of the available key market data based on the example of Karlsruhe: At 2.9 million square metres, Karlruhe is one of the smaller regional office markets. Take-up in 2017 is expected to be lower than the figure of 74,000 square metres recorded in the previous year. Prime rent in Karlsruhe at year-end 2016 was 13.30/sqm. The vacancy rate of 3.6% is expected to decline further over the next year. Aachen 1.8 Prime rent 14.50 Return 5.0 Take-up 35 Vacancy 2.4 Bonn 4.0 Prime rent 19.00 Return 4.6 Take-up 90 Vacancy 2.6 (Focal city, 2nd edition) Key figures for 2016 City Trend (YoY change) Office stock (GLA, in million sqm) Prime rent stable /sqm/month Yield rising Net initial yield (prime properties, in %) Take-up declining Net absorption (in thousand sqm) Vacancy Vacancy rate (in %) Bremen 3.2 Prime rent 12.80 Return 5.3 Take-up 88 Vacancy 4.5 (Focal city, 6th edition) Dortmund 3.3 Prime rent 13.50 Return 5.0 Take-up 100 Vacancy 5.4 (Focal city, 5th edition) 6
Überblick Dresden 3.3 Prime rent 12.60 Return 5.0 Take-up 80 Vacancy 8.4 (Focal city, 8th edition) Essen 3.7 Prime rent 14.00 Return 5.0 Take-up 85 Vacancy 5.4 (Focal city, 10th edition) Leipzig 3.4 Prime rent 13.00 Return 5.0 Take-up 97 Vacancy 11.4 (Focal city, 4th edition) Mainz 2.0 Prime rent 12.70 Return 5.3 Take-up 21 Vacancy 5.5 Nuremberg 4.5 Prime rent 13.80 Return 4.8 Take-up 70 Vacancy 6.1 (Focal city, 1st edition) Wiesbaden 2.8 Prime rent 14.30 Return 5.1 Take-up 58 Vacancy 5.7 (Focal city, 7th edition) Hanover 6.1 Prime rent 14.80 Return 4.7 Take-up 110 Vacancy 5.5 (Focal city, 3rd edition) Mannheim 2.6 Prime rent 15.20 Return 5.0 Take-up 91 Vacancy 4.9 (Focal city, 9th edition) Karlsruhe 2.9 Prime rent 13.30 Return 5.0 Take-up 74 Vacancy 3.6 (Focal city, 12th edition) Münster 2.8 Prime rent 14.40 Return 5.0 Take-up 60 Vacancy 3.0 (Focal city, 11th edition) Source: empirica, BulwienGesa, Wirtschaftsförderung der Städte 2017 7
CORPUS SIREO BERLIN STAYS AHEAD IN TERMS OF TAKE-UP Vacancy rate in Munich continues to fall Interpretation of the available key market data based on the example of Munich: Prime rent in the Bavarian capital amounted to 34.70/sqm at year-end 2016, placing it only just behind Frankfurt; further growth is anticipated. The vacancy rate in Munich has reached a low level of 2.7%, and this figure is expected to decline further. Key figures for 2016 City Trend (YoY change) Office stock (GLA, in million sqm) Prime rent stable /sqm/month Yield rising Net initial yield (prime properties, in %) Take-up declining Net absorption (in thousand sqm) Vacancy Vacancy rate (in %) 8
Overview Berlin 23.6 Prime rent 28.00 Return 3.3 Take-up 875 Vacancy 3.0 Düsseldorf 9.1 Prime rent 24.50 Return 4.1 Take-up 308 Vacancy 8.3 Frankfurt 12.4 Prime rent 35.50 Return 4.1 Take-up 463 Vacancy 10.7 Hamburg 17.2 Prime rent 26.00 Return 3.6 Take-up 550 Vacancy 5.3 Cologne 9.4 Prime rent 21.00 Return 4.1 Take-up 375 Vacancy 5.6 Munich 17.1 Prime rent 34.70 Return 3.2 Take-up 581 Vacancy 2.7 Stuttgart 9.3 Prime rent 19.70 Return 3.9 Take-up 400 Vacancy 2.9 Source: empirica, BulwienGesa 9
CORPUS SIREO NEW UPTURN IN ASKING RENTS IN THE REGIONAL CENTRES Regional markets outperform the top 7 in terms of rental development Average asking rents for office space in the 14 regional markets increased by an average of 1.8% in the period from July to December 2016. Development saw the same pattern as in 2015, with stability in the first half of the year followed by substantial growth in the second half. In the regional centres, the asking rent for office space amounted to 8.42/sqm on average in the fourth quarter of 2016. Rents mainly came in at between 5.00 and 12.00/sqm, with prime rents amounting to around 17.00/sqm. In terms of rent categories, the trends recorded in the early part of the year continued, with asking rents in the high-end segment again enjoying above-average growth in the second half of the year while rents in the other segments saw little movement. of 2.9% in the first half of the year was followed by a modest rise of just 0.2% in the second half, suggesting a shortage of high-quality space in particular. Asking rents in the top seven cities averaged 13.66/sqm in the fourth quarter of 2016, with rents excluding the most expensive 10% of the market ranging from 7.50 to 21.00/sqm. Only the mid-price segment saw rental growth, whereas rents in the upper and lower market segments remained unchanged compared with the halfway point of the year. Interpretation of the Regional Office Index The Regional Office Index shows the average asking rents in the 14 regional centres since the first quarter of 2008 (index = 100). The development of the corresponding rents in the top 7 locations is shown for comparison. Asking rents saw more muted developed in the top seven locations. The increase 10
Index Performance REGIONAL OFFICE INDEX Development of asking rents in the regional centres compared to the top 7 120 115 110 105 100 95 90 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 2014 2014 2015 2015 2016 2016 Asking rent indices 14 Key Regional Cities Top 7 Cities Regional Office Index Asking rents in the top 7 cities Source: empirica Preisdatenbank 2017 (IDN Immodaten GmbH, empirica systeme GmbH) 11
CORPUS SIREO RENTAL GROWTH BENEFITS ALL AGE CATEGORIES Very low supply of new construction space New builds in the regional centres increased by 0.4% to an average of 11.90/sqm in the second half of the year. New construction continued to account for a relatively low share of around 5% of the total supply in the fourth quarter of 2016. Only the lower price segment saw rental growth, whereas rents in the mid-price and high-end segments remained unchanged as against the end of the first six months. New build rents in the final quarter of 2016 ranged from 9.00 to 14.90/sqm (excluding the top segment). Asking rents for new properties averaged 12.45/sqm in central locations compared with 11.43/sqm in peripheral areas. Properties built between 1980 and 1994 record strongest growth Asking rents for properties built between 1945 and 1994 recorded above-average growth in the second half of 2016, increasing by 1.9% to an average of 8.18/sqm at the end of 2016. However, this development was driven solely by properties built between 1980 and 1994, whereas asking rents for properties from the 1950s to the 1970s remained unchanged. Asking rents for older properties increased by 0.4% since the middle of the year, averaging 7.90/sqm in the fourth quarter of 2016. Dresden had the most affordable older properties, with prices averaging 6.63/sqm, while Wiesbaden was most expensive at 11.02/sqm. 12
Indexentwicklung OLDER PROPERTIES RECORD ABOVE-AVERAGE GROWTH Regional Office Index by age category (/2008 - Q4/2016) 130 120 110 100 90 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 2014 2014 2015 2015 2016 2016 after 1995, excluding new buildings new buildings* 1945-1994 before 1945 *Buildings less than 3 years old Source: empirica price database 2017 (IDN Immodaten GmbH, empirica systeme GmbH) 13
CORPUS SIREO MANNHEIM, BONN AND WIESBADEN RECORD HIGHEST ASKING RENTS Strong growth in Aachen, Hanover, Mannheim and Wiesbaden In the second half of 2016, these four cities saw the strongest performance in terms of asking rents, with growth rates in excess of four percent. Aachen led the way with growth of 5.6%. Average rents climbed to 8.71/sqm, with the high-end price segment in particular enjoying positive momentum. The 5% increase in Hanover was attributable primarily to rental growth at either end of the price scale, i.e. among affordable and high-end properties. The situation is different in Mannheim, the second most expensive regional centre at 9.90/sqm, where asking rents increased across all segments. Above-average growth also recorded in Karlsruhe, Leipzig and Nuremberg In the second half of the year, average asking rents in these office markets rose by between 2.2% in Karlsruhe and 3.2% in Leipzig. With an average asking rent of 7.22/sqm, Leipzig has overtaken Dresden but remains affordable. Rents increased in the high-end segment in particular. In Karlsruhe, rents were around 6% higher than the average for the 14 regional markets at 8.92/sqm. Growth was recorded in the affordable and high-end segment alike. Rents increased more sharply in central Karlsruhe than in peripheral locations, with older buildings in particular enjoying above-average rental growth. The small number of new builds in the city centre also became more expensive, with asking rents generally in excess of 13/sqm. By contrast, properties from the 1950s and 1960s saw falling prices even in central locations. 14
Index Performance LEIPZIG OVERTAKES DRESDEN Absolute rents* (/2008 - Q4/2016) /sqm/month 12 11 10 9 8 7 6 5 % 130 125 120 115 110 105 100 95 90 85 4 Leipzig Bremen Dresden Hannover Nuremberg Dortmund Essen Münster Aachen Karlsruhe Mannheim Mainz Bonn Wiesbaden 80 /2008 Q4/2016 Increase /2008 to Q4/2016 Expected year-on-year rental trend Aachen Bonn Bremen Dortmund Dresden Essen Hannover Karlsruhe Leipzig Mainz Mannheim Münster Nuremberg Wiesbaden Source: empiraica price database 2017 (IDN Immodaten GmbH, empirica systeme GmbH) *Arithmetic mean 15
CORPUS SIREO CITIES IN NRW BENEFIT FROM UPTURN IN PRICES TO A LIMITED EXTENT Bonn, Münster, Dortmund and Bremen record moderate rental growth The office markets in this group of cities recorded moderate rental growth of up to one percent in the second half of 2016. The former German capital, Bonn, remains the most expensive regional centre with average rents of 9.92/sqm. Price increases in the mid-price segment were offset by reductions in the high-end segment. The most expensive properties in Bonn, with rents in excess of 16.50/sqm, were new builds in the Bonner Bogen and Regierungsviertel districts. The 1% increase in Münster (to 9.06/sqm) is based on above-average growth in the affordable segment, with the other categories seeing stable development. The small number of new builds in Münster are located in the city centre and the Stadthafen district (up to 14.50/sqm). Dortmund and Bremen, where average asking rents are considerably lower at 8.28/sqm and 8.23/sqm respectively, saw divergent trends in terms of price segments. In Dortmund, average rents remained essentially unchanged (+0.2%), with only the high-end segment recording growth. This related to space in modernised 1990s buildings as well as properties built in the 2000s. By contrast, office space in new builds was still a rarity at the end of the year, accounting for just 2% of the total supply. Driven by growth in the midprice segment, average rents in Bremen increased by 0.7% in the second half of the year. Compared with the 14 regional markets, the Bremen office market had a relatively generous supply of new-build space in the second half of the year; in particular, this was concentrated on the Überseestadt district, where rents exceeded 11/sqm. Falling rents in Essen, Mainz and Dresden Average rents in all three cities decreased in the second half of the year. In Essen, rents declined by 1.6% to 8.17/sqm. This development affected all categories with the exception of the low-price segment, where rents stagnated. New builds accounted for 3% of total supply in the fourth quarter of 2016 compared with the average of 5% for the regional markets covered by 16
Index Performance istockphoto.com kupicoo this report. The city centre in particular demonstrated a shortage of high-quality new office space. Despite a downturn of 0.8% in the second half of the year, Mainz remains one of the more expensive regional office markets with average asking rents of 9.57/sqm. Growth in the high-end segment partially offset the downward rental trend in the other categories, as new builds in the waterfront districts of Winterhafen and Zollhafen increasingly came onto the market at prices of 14.00/sqm or more. At 6.85/sqm, Dresden was the regional centre with the lowest asking rents at the end of 2016. Rents have declined across almost all price segments in the past six months, resulting in an average downturn of 1.1%. Compared with the average for the regional markets as a whole, new build properties at year-end 2016 were comparatively scarce, accounting for 3% of the total supply; however, asking rents for these properties rarely exceed 10/sqm. 17
CORPUS SIREO GAP BETWEEN MUNICH AND FRANKFURT INCREASES Berlin and Cologne record strongest rental growth With growth of 5%, asking rents in Berlin continued on their upward trend in the second half of the year. Asking prices averaged 12.92/sqm in the fourth quarter of 2016. Rents in Berlin increased across all segments, with high-end space performing especially well. Following a sustained phase of muted price development, Cologne saw strong growth towards the end of 2016. An increase of 3.1% with above-average growth in the high-end segment meant that average rents climbed to 11.04/sqm. Cologne remained the top 7 market with the lowest rental level. Stuttgart, Düsseldorf, Munich: Growth curbed Rents in this group of cities saw considerably more muted development. With growth of 1.6% to an average of 12.42/sqm at year-end 2016, Stuttgart remained slightly ahead of Düsseldorf, where asking rents increased by 1.1% to average 12.14/sqm. Munich remained the most expensive of the top 7 cities, with rents rising by 1.5% to 16.47/sqm. While rents in Munich and Düsseldorf mainly increased in the high-end segment, the upturn in Stuttgart was attributable to all market segments. Falling rents in Frankfurt and Hamburg Asking rents in Frankfurt declined by 3.3% in the second half of 2016, with office space being marketed for an average of 14.99/sqm at the end of the year. Rents declined across all market segments. In Hamburg, average rents fell by 0.8% to 12.96/sqm, with only the mid-price and top segments recording stable development. 18
Index Performance BERLIN CONTINUES TO CATCH UP Absolute rents* (/2008 - Q4/2016) 17 /sqm/month % 130 15 120 13 110 11 9 100 7 90 5 Stuttgart Berlin Cologne Hamburg Dusseldorf Frankfurt Munich 80 /2008 Q4/2016 Increase /2008 to Q4/2016 Expected year-on-year rental trend Berlin Dusseldorf Frankfurt Hamburg Cologne Munich Stuttgart Source: empirica price database 2017 (IDN Immodaten GmbH, empirica systeme GmbH) *Arithmetic mean 19
CORPUS SIREO KARLSRUHE: ECONOMIC CENTRE OF BADEN REGION Technology location with a stable office market With around 240,000 people in employment, Karlsruhe is the second-largest economic centre in Baden-Württemberg state after Stuttgart. The technology location on the Upper Rhine Plain is very well connected to Stuttgart and the Rhine-Neckar and Rhine-Main conurbations by rail and road. Key industries include knowledge-intensive services, information and communications technology (ICT) and culture and the creative arts. In the ICT industry, Karlsruhe is the fourth most important location in Europe after Munich, London and Paris. The Karlsruhe Institute of Technology (KIT) and Karlsruhe University of Applied Sciences are among the best universities in Germany. The city is also the home of the German Federal Constitutional Court and the German Federal Court of Justice. The broad industry mix helps to ensure stable demand for office space. Only 3.6% of the city s around 2.9 million square metres of office space was vacant at yearend 2016. Take-up of 74,000 square metres in 2016 was the highest level recorded in a number of years. With average asking rents of 8.92/sqm at the end of 2016, Karlsruhe is ranked in the mid-table of the regional centres. Rents have increased by 12% since the start of 2008 but the growth momentum remains below the average for the regional office markets as a whole. Prime rents in Karlsruhe amount to 13.30/sqm, making it affordable compared with other locations of a similar size. Deviation from average rent (=0) Built-up areas Green areas Other areas below -25-25 to -15-15 to -10-10 to -5 5 to 10-5 to 5 10 to 15 15 to 25 25 to 50 above 50 20
Focal City KARLSRUHE OFFICE MARKET Asking rents (/2012 - Q4/2016) Source: empirica-systeme GmbH, Infas Geodaten GmbH 2017 21
CORPUS SIREO NEW PROJECTS CREATE FUTURE DEVELOPMENT POTENTIAL Interview with Michael Kaiser, Director of Economic Development in Karlsruhe What are the characteristics of the Karlsruhe office market? Stability is the defining characteristic of the office market in Karlsruhe. Even in the financial crisis of 2008/09, the local economy and the office market were largely unaffected by external disruptions. The reasons are the city s broad industry mix, lots of small and mediumsized enterprises and the demand resulting from its universities and public bodies. Very few properties are constructed speculatively; instead, they typically have high levels of pre-letting and are developed with a view to the specific requirements of the user. Demand for office space in Karlsruhe has been rising steadily since 2011 in particular. Where is the office market currently developing? 30,000 square metres of gross floor area are currently being constructed on Ludwig-Erhard- Allee, one of the prime locations in Karlsruhe, for the Municipal Supply Association of Baden-Württemberg and the head office of the construction firm Weisenburger. The new dm head office in Durlacher Str. (approx. 40,000 square metres of gross floor area) will be completed in 2019. The new Hauptbahnhof Süd office district is expected to provide more than 100,000 square metres of gross floor area. Karlsruhe Technology Park is being made fit for the future the potential for up to 300,000 square metres of gross floor area should suffice for the next 15 to 20 years. What are the trends for the future? Thanks to an economic structure that is fit for the future and good living conditions in the city and the surrounding region, the Karlsruhe office market will continue to enjoy positive development. The vacancy rate is set to increase in the medium term as existing space is freed up, e.g. following the construction of the new dm head office, which will have a corresponding impact on average rents. The peak in take-up that was recorded in the previous year is unlikely to be repeated in 2017, but demand for office space is expected to remain solid in the longer term. The new builds in the pipeline suggest that prime rents will continue to rise. 22
Focal City OLDER BUILDINGS DRIVE CITY-CENTRE RENTAL GROWTH Karlsruhe index performance compared with the index as a whole 130 125 120 115 110 105 100 95 90 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 2014 2014 2015 2015 2016 2016 Karlsruhe Centre Karlsruhe Periphery All 14 Regional Centres Centre All 14 Regional Centres Periphery Source: empirica price database 2017 (IDN Immodaten GmbH, empirica systeme GmbH) 23
CORPUS SIREO CORPUS SIREO ACTIVE ON THE KARLSRUHE PROPERTY MARKET 1 Schenkenburgstraße 2 2 Am Entenfang 1 Lettable area 1,225 sqm Main tenant Deutsche Telekom AG Year built 1975 Lettable area 2,240 sqm Main tenant Deutsche Telekom AG Year built 1956 Selected investment transactions in the office sector 2015 2016 Period Property Floor area Buyer Q4/2016 Philipp-Reis-Str. 2 32,300 sqm GIEAG Immobilien AG Q4/2016 Haid-und-Neu-Str. 13 7,820 sqm Wealth Mgt. Capital Holding GmbH Q2/2016 Karlstr. 2,300 sqm Seeger & Russwurm Immobilien GmbH Q4/2015 Karl-Friedrich-Str. 23 n/a City of Karlsruhe Q4/2015 Herman-Veit-Str. 23,000 sqm Israeli investor /2015 Bannwaldallee n/a b.i.g. Group Q2/2015 Rheinstr. 44 1,540 sqm Investa Real Estate Deviation from average rent in (=0) Built-up areas below -25-10 to-5 10 to 15 above 50 Green areas -25 to -15-5 to 5 15 to 25 Other areas -15 to -10 5 to 10 25 to 50 Source: Thomas Daily 24
Focal City KARLSRUHE OFFICE MARKET Asking rents (/2012 - Q4/2016) Waldstadt Nordweststadt Nordstadt Hagsfeld Mühlburg Innenstadt-West Oststadt Rintheim Weststadt Innenstadt-Ost Grünwinkel Südweststadt Südstadt Beiertheim-Bulach Durlach Oberreut Weiherfeld-Dammerstock Rüppur Wolfsrtsweier Source: empirica-systeme GmbH, Infas Geodaten GmbH 2017 25
CORPUS SIREO METHODOLOGY The quoted prices for office properties as represented in the images and maps are the result of an evaluation of the empirica price database (source: IDN Immodaten GmbH) and the price database of empirica-systeme GmbH. Together, these two databases include more than 100 sources (e.g. major real estate portals and daily newspapers), thereby covering a large share of the German real estate market. In order to achieve a high degree of valid results, office listings are filtered in a graduated cleaning process. In the first step, recurrent listings are isolated by matching multiple characteristics. In the second step, improbable listings are removed from the data record by setting threshold values. Almost four million listings were included in the evaluation for the period from /2008 to Q4/2016. The GERMANY 21: Regional Office Index profiles average rents calculated as arithmetic medians. The transition of the data source from the empirica price database (source: IDN Immodaten GmbH) to the price database of empirica-systeme GmbH necessitated a conversion of the absolute rents mapped by the index for each city for /2008. The transition was accompanied by the elimination of extreme values at the level of the individual cities. Any cases exceeding three times the standard deviation (above and below) are excluded from the 26
Methodology calculation of the arithmetic mean of the office rents for the respective market. The rent increases identified by either source are used to determine the retrospectively calculated rents listed on pages 15 and 19. The asking rent levels in Karlsruhe as shown on page 21 and 25 represent zones of identical rents in the office quarters of the city as a deviation from the city-wide average and irrespective of urban district boundaries. This not only identifies the office rent price structure within a given city but also highlights the price differences within a given district. Methodologically speaking, the asking rent level is based on a geostatic process that links asking rents from the years 2012 to 2016 geographically right down to the exact address. In the final step, the findings are coordinated with local office market experts to enhance plausibility. The empirica office employment forecast for the regional planning regions (page 5) is based on the empirica employment forecast and a forecast for the office employment ratios in 60 business departments backed by a regression analysis of the office employment ratio. 27
CORPUS SIREO About EMPIRICA empirica ag empirica, an independent economics and social science research and consulting firm, operates three offices: empirica Forschung und Beratung AG in Berlin, its branch office in Bonn, and komet-empirica Regionalentwicklung, Stadtentwicklung, Immobilienforschung GmbH in Leipzig. empirica advises national, regional and international institutions as well as private clients in the areas of real estate markets, economic research and urban and regional planning, and maintains proprietary databases (the empirica price database, the empirica vacancy index, the empirica regional forecasts and the empirica urban sub-district database). empirica ag is a member of the Rat der Weisen council of experts that regularly submits a spring report on the forward-looking development of Germany s key real estate segments. For more information about empirica, go to www.empirica-institut.de empirica-systeme GmbH empirica-systeme GmbH specialises in the processing, analysis and supply of real estate market data. The empirica-systeme market database provides the basis for differentiated analyses of the real estate market including a wide range of variables concerning the location, features and condition of individual properties. For more information about empirica-systeme GmbH, go to www.empirica-systeme.de 28
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CORPUS SIREO YOUR CONTACTS Contact Ralph Scherer Managing Director Head of Transaction National CORPUS SIREO Real Estate GmbH Investment & Transaction Zeppelinstraße 1 85748 Garching b. München Tel. + 89 230006-180 ralph.scherer@corpussireo.com Ralf Bäuchle Director Regional Head Central CORPUS SIREO Real Estate GmbH Investment & Transaction Jahnstraße 64 63150 Heusenstamm Tel. +49 6104 664-250 ralf.baeuchle@corpussireo.com 32
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CORPUS SIREO CORPUS SIREO IS GERMANY S LEADING ASSET MANAGER CORPUS SIREO Germany s most valuable real estate asset management brand for the fifth year in succession Cologne, May 2016: CORPUS SIREO has been recognised as Germany s most valuable brand in the real estate asset management segment for the fifth year in a row. This is the outcome of the Berlin-based EUREB Institute s survey of around 44,000 industry experts concerning awareness of a total of 1,200 European real estate brands. The survey, which has been conducted annually since 2009, is the most extensive empirical study of brand value in the German real estate industry. CORPUS SIREO also received the Brand Sustainability Over Five Years award across all categories and asset classes. PropertyEU: Swiss Life Top Investor 2016 According to the ranking by the real estate industry journal PropertyEU, Swiss Life Asset Managers is Europe s largest asset management service provider with assets under management of 62.2 billion. CORPUS SIREO has been an independent business unit of Swiss Life Asset Managers since 2014. 34
Awards CORPUS SIREO crowned top midmarket employer in the consulting industry in 2017 FOCUS has recognised Germany s best employers for the fifth time in cooperation with Kununu and Xing, and CORPUS SIREO placed extremely well for the fourth year in succession. The largest survey of its kind, which asked more than 70,000 employees to rate their own companies, identified the 1,000 best employers with over 500 employees from across a total of 22 industries. This year s survey again asked employees about their employer s image, their workplace equipment, career opportunities, management behaviour, corporate culture, and whether they would recommend their employer to others. CORPUS SIREO among the top two most popular employers The annual survey of students conducted by Immobilien Zeitung showed that we are again one of the two most popular employers in the real estate industry. The most important German trade publication surveyed 588 students taking industry-related degree courses at a total of 112 educational institutions throughout Germany, asking them about their preferred employer. The outstanding result: CORPUS SIREO improved its score from the previous year and took second place. 35
CORPUS SIREO Asset Management Commercial GmbH Jahnstraße 64 63150 Heusenstamm Tel. +49 6104 664-0 A product of: Please visit us at: www.twitter.com/corpussireo www.xing.com/companies/corpussireo www.linkedin.com/company/corpussireo Previous editions are available as free downloads at: www.corpussireo.com/downloads COPYRIGHT: All rights to this edition reserved. Reprinting, including excerpts, subject to prior written permission. Photographs, charts, and layout designed by the editorial team are protected by the applicable copyright laws. The data and information contained in this publication are based on publicly available sources that the editor deems to be trustworthy. The CORPUS SIREO group of companies assumes no warranty regarding the accuracy or completeness of the information provided. Any opinion offered represents the current assessment of the editor. No warranty is assumed regarding the opinions and forecasts ventured. In particular, no liability is assumed for future developments in the real estate economy. The data and information contained in this publication is subject to change without notice both during the time of its publication and thereafter. Status: March 2017