E & G Real Estate office market report Stuttgart 2017-2018

Wangen/Hedelfingen
Low vacancy rates and a lack of new
space meant the Wangen/Hedelfingen
submarket was not particularly
dynamic. At approx. 11 000 m² total
take-up was significantly below
the 10-year average of 20 500 m².
Southern Stuttgart – a popular area. Development worthwhile.
Degerloch
In 2017 take-up in the area was 9 700
m², representing an increase of 27 % over
2016. All of the corresponding contracts
were, however, for properties around
the Albplatz square, since space in the
rest of the district remains very scarce.
Thanks to its good infrastructure Degerloch
continues to offer potential and
probably a decisive factor in the new letting
transactions which took place. Development
projects in the Albplatz area,
which have remained at the planning
stage for some years now, seem to be
making progress and the first changes
can be expected in the next few years.
The recent announcement that law firm
CMS Hasche Siegle has signed a contract
for premises in Stuttgart’s central business
district will result in further changes
around Albplatz; they will, however,
only have an impact from approx. 2022
onwards. Overall, thanks to its good infrastructure
and local shopping amenities
the district remains popular with a
wide range of users and further positive
development is expected.
Leinfelden-Echterdingen
At the end of 2017 the new-build space
created by the “SkyLoop” and “SkyPort”
projects at Stuttgart Airport had been
almost fully let. In response to this, the
possibility of further development of currently
vacant plots around the airport is
under consideration. A number of development
projects in recent years have
resulted in a significant upgrading of Echterdingen’s
industrial park. January 2017,
for example, saw the opening of the
Moxy Hotel in Dieselstrasse, while the
neighbouring former “Brixner Complex”,
located directly adjacent to the Leinfelden-Echterdingen
motorway exit, was
Stuttgart – Central I 23
In previous years take-up has been tes will allow higher-quality use in
characterized by projects which are the form of modern office space to
currently under construction. Changes
take place.
in take-up are not expected to A further project, whose industrial
occur until new projects commence. character makes it unusual, is underway
Two developments are currently foreseeable
in neighbouring Obertürk-
in Ulmer Strasse, where heim – the “Hammerwerk”.
the demolition of old production si-
Degerloch < 500 m 2 501 - 1,000 m 2 1,001 - 2,000 m 2 2,001 - 5,000 m 2 > 5,001 m 2
% share of space 0 % 0 % 15 % 0 % 85 %
m 2 0 0 1,466 0 8,190
Ø rental price 11.90 €/m 2
With rental take-up of 18 600 m² in 2017
Fasanenhof’s industrial park was able to
achieve almost match its performance of
the previous year. The upturn which was
already being forecast some years ago appears
to be making steady progress, with
the co-working concept established in
2016 proving very popular. In combination
with the GFT AG start-up incubator Fasanenhof
now has two buildings serving
young start-up companies at different stages
of their development. A diverse range
of restaurants offer many options for workers’
daily needs.
At 22 the number of contracts concluded
is similar to the statistics for previous ye-
Leinfelden-
Echterdingen
sold in 2016. Scheduled for completion
in 2018 the modern new office complex,
comprising three buildings with a total
area of approx. 26 000 m², will function
as a “gateway” to the industrial park and
looks set to give the area a smarter appearance.
One building, accounting for
some 30 % of the total area, has already
been fully let even before construction
has begun. Completion of the campus is
scheduled for 2020/2021.
In 2017 Daimler AG acquired a plot in
the Leinfelden area, with the objective
of developing the “Daimler Truck Campus”,
a central site for its entire truck division
which will have a total of some 50
000 m² floor space and is scheduled for
completion by 2021. A total of 63 100
m² of office space was let in the entire
Leinfelden-Echterdingen district, which
also includes Stuttgart Airport, in 2017.
This represents an increase of 76 % over
the previous year, whereby the 10-year
< 500 m 2 501 - 1,000 m 2 1,001 - 2,000 m 2 2,001 - 5,000 m 2 > 5,001 m 2
% share of space 1 % 4 % 13 % 0 % 82 %
m 2 257 2,561 8,671 0 51,500
Ø rental price 12.20 €/m 2
Prime rent 15.90 €/m 2
Fasanenhof < 500 m 2 501 - 1,000 m 2 1,001 - 2,000 m 2 2,001 - 5,000 m 2 > 5,001 m 2
% share of space 22 % 0 % 26 % 0 % 52 %
m 2 3,985 0 4,807 0 9,648
Ø rental price 12.20 €/m 2
Prime rent 13.50 €/m 2
average for the district is around 16 400
m². Pressure on the market makes shortterm
development in this location an interesting
option.
Fasanenhof