(Essen, 18 April 2024). The retail property market got off to a strongly positive start in 2024. Brockhoff, which has specialised in marketing stores and retail properties in prime 1A locations across Germany for more than 35 years, recorded nearly 10% more lease transactions in the first quarter of 2024 than in the same period last year. International fashion concepts were particularly active.

Just over 100,000 m² of space was marketed in German city centres. The availability of vacant premises is making leases easier to conclude, and many chains are taking the opportunity to optimise their prime locations and lease new space.

One important trend noted by Brockhoff is that chains are paying closer attention to how well a store fits their concept. Alongside the size of the sales area, flexibility in negotiating lease terms has become decisive in choosing a location. “Many chains carefully assess which stores best suit their concept. In addition to sales-area size, the ability to negotiate lease terms has become a key criterion,” explains Brockhoff Retail expert Bert Pfeffer. While leases often ran for ten years in the past, companies now frequently prefer shorter terms of three or five years. This allows them to adapt more flexibly to changing business needs.

Lower rents are also enabling alternative uses for retail premises. Restaurants, leisure providers and healthcare businesses are taking space in city centres. This gives city centres a stronger social role, encourages people to stay longer and brings shopping streets to life.

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About Brockhoff

Brockhoff GmbH is one of Germany’s leading commercial real estate agencies and the market leader in the Ruhr region. The owner-managed company, headquartered in Essen, was founded by Eckhard Brockhoff in 1987. With more than 35 years of industry experience, it has extensive expertise in marketing properties across OFFICE, INVEST, RETAIL and LOGISTICS. Its portfolio includes nationwide sales of office and investment properties, office leasing focused on the Ruhr region, brokerage of retail properties in prime 1A locations in German cities of all sizes, and leasing and sales of logistics properties. In 2021, ADOMO Beteiligungs GmbH acquired a 41% stake in the company.