In its Global Market Perspective report for Q315, Jones Lang LaSalle (JLL) notes that the notional capital values of prime office buildings in Frankfurt have risen by 9.6% over the last year. The prime yield is 4.4%, or a 3.58% premium to the yield on 10-year government bonds. Over the last year, rents have risen by 1.4% and net absorption (on a rolling one year basis) has been 1.1%. The vacancy rate is currently 10.0%. Taking into account completions of new projects prior to the end of 2016, the supply pipeline is 1.5% of current stock. JLL considers that conditions will likely favour neither landlords nor tenants in 2016.

Source : November 2015/JLL/Frankfurt/OFF